OQ Trading (OQT), a subsidiary of Oman’s integrated energy group OQ, has secured a 15-year agreement to purchase liquefied natural gas (LNG) from Amigo LNG, which is a subsidiary of Singapore-based LNG Alliance. This deal is a crucial step in OQT’s strategy to diversify its LNG supply sources beyond traditional markets, particularly those in the Middle East and Asia.

Under the terms of the agreement, OQT will procure 0.6 million tonnes per year (tpy) of LNG on a free-on-board (FOB) basis from Amigo LNG’s forthcoming export terminal located in Guaymas, Sonora, on Mexico’s Pacific coast. Shipments from this terminal are expected to commence in the second quarter of 2028.

The agreement enables Oman to access a supply route that is both logistically efficient and geopolitically neutral, which is especially beneficial for meeting the increasing demand in Asian markets. The Guaymas terminal’s location provides a direct maritime link to Asia, thereby reducing shipping times compared to conventional supply routes.

Wail al Jamali, CEO of OQ Trading, emphasized the importance of this agreement, stating, “This agreement with Amigo LNG is a key milestone in our efforts to build a more diversified and resilient global LNG portfolio.” The Guaymas facility is being developed as part of Mexico’s national energy strategy, known as Plan Sonora, and has the backing of both the federal government and the Government of Sonora. Furthermore, the project aligns with the Mexican Navy’s initiatives to modernize the Port of Guaymas, making the terminal a strategic gateway for LNG exports.

Muthu Chezhian, CEO of LNG Alliance, noted that the deal significantly supports Amigo LNG’s efforts to commercialize its operations. He stated that this long-term partnership with a reputable player like OQ Trading underscores Mexico’s increasing significance in the global transition to clean energy.

This agreement also signals a growing collaboration between Gulf countries and Latin America in the energy sector, aimed at enhancing long-term energy security through strategic partnerships.