TotalEnergies has signed an agreement with Energia Natural Dominicana (ENADOM), the joint venture between AES Dominicana and Energas in the Dominican Republic, for the delivery of 400,000 tons of LNG per year.
Subject to the finalization of the supply purchase agreements (SPAs), this contract is set to start in mid-2027, for 15 years, with the price indexed to Henry Hub.
The agreement will enable ENADOM to supply natural gas to the 470 MW combined-cycle power plant, currently under construction, which will increase the country's electricity generation capacity.
The project contributes to the energy transition of the Dominican Republic by reducing its dependence on coal and fuel oil through the use of a less carbon-intensive energy source, natural gas.
"We are pleased to have signed this agreement to answer, alongside AES and its partners, the energy needs of the Dominican Republic. This new contract underscores TotalEnergies' leadership in the LNG sector and our commitment to supporting the island's energy transition. It will be a natural outlet for our US LNG supply which will progressively increase,” said Gregory Joffroy, Senior Vice President LNG at TotalEnergies.
“This agreement with TotalEnergies, is the result of the confidence placed in the Dominican Republic's energy sector and, specifically, in ENADOM and AES.
“This partnership, alongside ENADOM's has demonstrated investment capabilities in providing natural gas to the Dominican electricity market by ensuring a reliable, competitive, and environmentally responsible energy supply. ENADOM is proud to play a pivotal role in the expansion and strengthening of the nation's energy matrix in the Dominican Republic,” added Edwin De los Santos, Chief Executive Officer at ENADOM.
Subscribe
