Trafigura, a market leader in the global commodities industry, has signed a long-term natural gas agreement with NuVista Energy Ltd. (“NuVista”) (TSX: NVA), a leading producer of condensate-rich natural gas in the Montney formation in the Alberta Deep Basin, Canada.

Under the agreement, NuVista will supply 21,000 MMbtu/d of natural gas to Trafigura with the purchase price indexed to JKM for a period of up to thirteen years beginning January 1, 2027.

Jonathan Wright, CEO for NuVista said: “For over a decade of growth, we have prioritized ensuring significant diversity in our North American natural gas sales locations to maximize returns on our condensate-rich natural gas. We are extremely pleased to now make our first entry to the world LNG markets with this long-term agreement with Trafigura, one of the world’s leading LNG, energy and commodities groups.”

This agreement will support the growth of Trafigura’s natural gas business and further grow the company’s role in ensuring security of energy supply for customers worldwide.

Igor Marin, Global Head of Gas, Power and Renewables for Trafigura said: “We’re delighted to be entering into a long-term offtake agreement with NuVista which has become a leading E&P producer in the Alberta Deep Basin. Canada’s gas producers are now creating an important new connection to global LNG markets. The signing of our first agreement with NuVista reinforces our dedication to these markets and to the growth of our long-term portfolio. It also showcases our capability to supply customers globally, helping them to navigate market fluctuations and ensuring reliability, adaptability and energy stability.”