Gas & LNG Contracts: Structures, Pricing & Negotiation

“A comprehensive all-in-one course addressing all key elements for successful gas & LNG business strategies”

Gas, Oil, & Petroleum, Education & Learning

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Due to the complex geopolitical nature of gas/LNG sourcing and long
term nature of gas transactions between buyers and sellers, it is
commercially prudent for those involved in this process to know the
global gas/LNG supply situation, available methodologies for price
determination, contract structure and negotiation techniques. Any
misjudgement in any of these areas could result in wrong sourcing
decisions, significant adverse financial consequences and legal liabilities.

This course has, therefore, been designed to enable the professionals in
the gas sector and gas advisory services to make right sourcing decision,
construct gas/LNG contracts and negotiate from a position of strength
and knowledge in order to gain a competitive edge in the process. The
course aims:

To highlight the global spread of gas/LNG sources with their strengths
and weaknesses

To explain the underlying principles and provide hands on experience of
formulation of Gas/LNG Sales and Purchase Agreement (GSPA)(SPA)
and Gas Transportation Agreement (GTA) between buyers, sellers and
transporters of natural gas and LNG

To explain the principles and provide working knowledge of pricing of
natural gas and LNG in a competitive gas market with reference to other
competing fuels and under gas to gas competition and determination of
transportation tariff. The course contains detailed references to open
access system, regulatory control and entry/exit methodologies, for
transportation tariff determination

To acquaint the participants of the current developments in
international LNG and gas trading activities in Europe, USA, Middle East,
Atlantic and Mediterranean basins and Asia Pacific region with specific
reference to unconventional gas sources such as shale gas

To analyse the commercial and geopolitical aspects of gas transit
across international boundaries, the comparative position of
transportation by LNG and pipeline, GTL and CNG by ship, floating
versus onshore liquefaction and regasification terminals (FSRU, SPV etc.)

To provide a comprehensive guide to contract negotiation techniques

To explain the fundamentals of hub linked gas trading, spot markets
and arbitrage

Course Highlights

Global gas/LNG market and market structure

Current gas/LNG trading activities in Europe, USA, Asia Pacific, Atlantic
and Middle East region

Principles and formulation of gas/LNG Sales and Purchase Agreement
(GSPA)(SPA) and Gas Transportation Agreement (GTA)

Contract terminology and construction - operational, commercial and
legal basis of gas, LNG and Gas Transportation Contracts

Gas/LNG pricing strategy and price indexation in a competitive gas

Contract negotiation - best practice techniques

Key Learning Objectives

Background knowledge to facilitate gas/LNG sourcing decisions

Understanding current trends of the gas organisation structure

Knowledge of the underlying reasons for gas contract terms and

Sufficient knowledge enabling construction of gas, LNG and gas
transportation contracts

Expertise for contract negotiation

Techniques of gas/LNG pricing in a competitive market

Understanding of operation of trading hubs, spot and arbitrage

Knowledge of transportation tariff determination methodologies

Course Certificate

Upon the successful completion of this course, you will receive a
Certificate of Attendance bearing the signatures from both the Expert
Workshop Leader and the Course Organiser. This Certificate will testify
your endeavour and serve towards your professional advancement.