TotalEnergies has signed a heads of agreement (HoA) with Energia Natural Dominicana (ENADOM), a joint venture involving AES Dominicana and Energas in the Dominican Republic, to deliver 400,000 tonnes of LNG per year.
Subject to the finalisation of the SPAs, this agreement is due to start in mid-2027, and last for 15 years, with the price indexed to Henry Hub.
This 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.
This project will contribute to the Dominican Republic’s energy transition by reducing its dependence on coal and fuel oil through the use of a less carbon-intensive energy source - natural gas, the French energy giant said.
"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, ENADOM’s CEO.
