The Alaska LNG Project reached a historic milestone today as BP Alaska and Alaska Gasline Development Corp. (AGDC) said on May 7 that they have agreed to key terms of a gas sales agreement, including price and volume.

The terms are captured in a gas sales precedent agreement signed May 4, 2018.

The parties anticipate finalizing a long-term gas sales agreement in 2018 for AGDC to purchase BP Alaska’s share of 30 trillion cubic feet of gas from the Prudhoe Bay and Point Thomson units. BP operates the Prudhoe Bay field—the largest oil and gas field in North America and owns a 26% share of Prudhoe Bay as well as a 32% share of the nearby Point Thomson field.

“BP has a long history in Alaska and Prudhoe Bay,” Bob Dudley, BP’s CEO, said. “We are very pleased to be part of the state’s vision to bring Alaskan natural gas to new and expanding markets globally. We think this is good for the state, good for BP and good for the environment.”

This development comes just six months after President Donald Trump and President Xi Jinping witnessed the signing in Beijing of the five-party joint development agreement to monetize Alaska’s natural gas.

“This gas sales agreement is a significant factor in progressing the Alaska LNG Project,” Keith Meyer, AGDC’s president, said. “We have secured the customers, we have progressed on the pipeline build with regulators and the finance community and now we have a commitment that there will be gas to sell and put through the pipeline. I look forward to continued negotiations to secure supply from other North Slope producers.”