PV Gas signs Vietnam’s first term LNG supply agreement for 2027-2031

PV Gas, a subsidiary of state-owned Petrovietnam, has signed a term LNG purchase agreement with Shell Eastern Trading (Pte) Ltd (Shell Eastern LNG), a wholly owned subsidiary of Shell plc, for the 2027-2031 period.

The agreement marks the outcome of PV Gas’s first term LNG procurement package, which completed its supplier selection process at the end of 2025. It also represents the first time a term LNG supply contract has been signed to deliver LNG to Vietnam.

With the signing, PV Gas has become the first Vietnamese company to fully meet the requirements to negotiate and execute term LNG purchase agreements in line with international LNG market standards and practices.

The deal represents a major milestone in the development of Vietnam’s LNG market and supports the government’s policy of diversifying energy supply sources with stable, long-term supplies. It is expected to contribute to national energy security, while meeting fuel demand for power generation and economic development.

Shell, one of the world’s leading LNG trading companies, delivered more than 72.9 million tonnes of LNG in 2025 and has extensive experience in implementing long-term supply agreements. In July 2023, the giant also supplied Vietnam’s first LNG cargo for the commissioning of PV Gas’s Thi Vai LNG Terminal, marking the beginning of the country’s LNG import market.

Shell Eastern LNG was selected through an open, transparent and competitive international bidding process in accordance with global procurement practices. The tender attracted participation from a number of reputable global energy companies, including major players in the LNG sector.

The selection outcome not only highlights the growing attractiveness of Vietnam’s LNG market but also reflects PV Gas’s strengthening reputation, capabilities and position within the international LNG supply chain.

The completion of the supplier selection process and the signing of the 2027-2031 LNG purchase agreement further underscore PV Gas’s progress in integrating into regional and global LNG supply chains.

Building on this foundation, PV Gas will continue to play a pioneering role in developing Vietnam’s LNG market, proactively diversifying supply sources, optimizing business efficiency, and contributing to sustainable development goals and national energy security.