Tuesday, August 22, 2017

Natural Gas News

US LNG Exports to Increase: EIA

© Wojciech Wrzesien / Adobe Stock

U.S. Energy Information Administration (EIA)'s latest Short-Term Energy Outlook projects that the United States will export more natural gas than it imports in 2017. The U.S. has been a net exporter for three of the past four months and is expected to continue to export more natural gas than it imports for the rest of 2017 and throughout 2018. The nation’ status as a net exporter is expected to continue past 2018 because of growing U.S.

Ghana, Equatorial Guinea to Sign LNG Deal

Ghana's President Nana Akufo-Addo plans to sign an agreement to import liquefied natural gas (LNG) from Equatorial Guinea during his three-day visit to the Gulf of Guinea petroleum producer due to begin on Monday, his office said. Though an oil and gas producer in its own right since its flagship Jubilee field came on stream in 2010, Ghana has in the past struggled to ensure reliable power production for a growing domestic market.

ENI, Anadarko to Build LNG Terminals in Mozambique

Italy's ENI and U.S. oil and gas firm Anadarko signed agreements with the Mozambique government on Thursday to build two liquefied natural gas terminals in the southern African country. The terminals will be built in Cabo Delgado province, where Mozambique has made massive gas discoveries that could transform it from a poor African country into a major energy supplier to Asia. The agreements were signed by Mozambique's energy minister Letícia Klemens and the regional heads of ENI and Anadarko…

Energy Capital-led Consortium to buy Calpine Corp

Debt-laden power producer Calpine Corp said it agreed to be acquired by a consortium of investors led by Energy Capital Partners for $5.6 billion. Calpine's shares were up 10.5 percent at $14.93 in premarket trading on Friday. The $15.25 cash per share offer, represents a 13 percent premium to Calpine's closing price on Thursday. The consortium includes billionaire industrialist Leonard Blavatnik's Access Industries and Canada Pension Plan Investment Board. U.S.

Brazil Extends Oil Industry 'Perks' Through 2040

Brazil on Friday extended through 2040 a preferential customs regime for the oil and gas industry called Repetro, which was set to expire in 2019, as it seeks to entice investment ahead of key auctions later this year. The move was accompanied by another decree creating a special tax regime to bolster local suppliers for the oil and gas sector. The Repetro system, which was put in place in 2009, suspends the payment…

Petrobras Authorized to Export Idle LNG Cargoes

Brazil's Petroleo Brasileiro SA has been authorized to export idle liquefied natural gas (LNG) in the spot market, according to the Wednesday issue of the official gazette. According to the text, Petrobras has been given the green light to export up to 6.6 million cubic meters, assuming this would not result in supply problems for the domestic market. As a state-controlled company, some of Petrobras' commercial strategies require energy ministry authorization.

Australia Risks Missing Next LNG Wave: Russell

File Image: Credit GAC

Should the arrival of the last major piece of kit in Australia's $180 billion liquefied natural gas (LNG) spree be a cause for celebration or for a wake? It may seem that the arrival of the Ichthys Venturer floating production, storage and offloading facility would be worthy of breaking out the champagne. The vessel, which will be moored some 220 kilometres (132 miles) off the northwestern coast as part of Inpex's Ichthys project, is the final piece of the jigsaw that completes eight massive new LNG ventures.

Sakhalin II LNG Export Plant Awards 3-cargo Tender

Russia's Sakhalin II liquefied natural gas (LNG) export facility has awarded its three-cargo tender to Royal Dutch Shell, Gazprom and Mitsui, trade sources said. The plant offered three October cargoes loading on Oct. 5, 7 and 15, they said. The companies are estimated to have paid about $6.30 per million British thermal units (mmBtu) per cargo, traders said.     (Reporting by Oleg Vukmanovic)

Trafigura to Lift Angolan LNG Cargo

File Image (CREDIT: AdobeStock / (c) Fotmart)

Commodity trader Trafigura purchased a liquefied natural gas (LNG) cargo offered by Angola's export facility through a tender, trade sources said.   The cargo, which loaded on Aug. 7-9, attracted a price in the $6 per million British thermal units (mmBtu) range, they said.   Reporting by Oleg Vukmanovic 

Lithuania Receives First U.S. LNG Cargo

File Image: A typical LNG Carrier at Sea (CREDIT: QGTC))

Lithuania received its first spot shipment of liquefied natural gas (LNG) from the United States on Monday, the result of a deal aimed at reducing dependence on Russia and consolidating relations with Washington amid increased tension in the region. Russia's annexation of Crimea in 2014 has spooked the Baltic states, once ruled from Moscow but now members of both NATO and the European Union. "This is crucially important for the whole region," said Lithuania's Foreign Affairs Minister Linas Linkevicius.

US Shale Output Poised to Keep Rising Despite Investor Concerns

© Matt / Adobe Stock

Shale production in the largest U.S. oilfield should rise by as much as 300,000 barrels per day by December, according to updated forecasts following the industry's latest quarterly results. The higher outlooks, amid worries the recent breakneck pace of gains may not be sustained, come on the heels of one high-profile Permian Basin producer's oil output miss last quarter and decisions by several other energy companies to trim annual budgets.

Canceled LNG Project Casts Shadow over Canada's Biggest Shale Play

Petronas' decision to cancel its Pacific NorthWest LNG project is a blow to the growth outlook for Canada's largest shale play, eliminating a potentially huge source of future gas demand. Gas from the Montney shale play in western Canada would have supplied the C$36 billion ($28.7 billion) project in northern British Columbia. The project, majority-owned by Malaysia's Petronas, would then have shipped 12 megatonnes per year of liquefied natural gas to Asia.

Cheniere Energy to Open China Office

File Image: a large LNG carrier at sea. (CREDIT: QGTC)

U.S. natural gas exporter Cheniere Energy Inc is setting up an office in Beijing to help it clinch long-term supply deals with Chinese buyers, four industry sources said. Cheniere, which held extensive talks with China earlier this year, will be the first operator of a U.S. liquefied natural gas (LNG) export facility to establish a presence in the country. The move follows an agreement in May between the U.S and…

Zizhou Gas Field Resumes Production after Floods

China's CNPC has resumed production at its Zizhou gas field in the western Shanxi province, the company said on Friday.   CNPC shut the natural gas field with 3.6 million cubic meters of daily production on July 25, as mud floods and heavy rains hit the region. (Reporting by Meng Meng and Josephine Mason; Editing by Subhranshu Sahu)

North Dakota Oil Production Slips about 1% in June

North Dakota's daily oil production slipped about 1 percent in June amidst tepid crude prices , according to state data released on Friday. The state pumped 1.03 million barrels of oil per day (bpd) in June, down from 1.04 million bpd in May, according to the North Dakota Department of Mineral Resources, which reports on a two-month lag. Natural gas production dipped slightly to 1.85 million cubic feet per day. The state's oil well count hit 13,915 during the month, an all-time high.

E.ON CEO Says Turkish Business Going Well

Johannes Teyssen (Photo: E.ON)

E.ON Chief Executive Johannes Teyssen said business in Turkey was going well, adding the group expected power demand in the country to rise and flagging a possible listing of Enerjisa, its local joint venture with Sabanci. Sabanci in March announced that Enerjisa would be split into two corporations: one in charge of electricity distribution and retail and one responsible for generation and energy and natural gas wholesale.

Ichthys LNG Output Expected to Start by Year-end

Japan's biggest oil and gas explorer Inpex Corp expects gas production from the seabed for its offshore Ichthys liquefied natural gas (LNG) project to start from around the end of the year, a senior company executive said on Friday. Inpex in late April delayed the Ichthys start to the first quarter of next year, citing delays in the installation of offshore production facilities. The floating production, storage…

Mexico Raises Pemex Deductions to Continue Oil Output

Mexico's finance ministry on Friday said state oil company Pemex will be allowed to deduct more costs for developing some projects so the firm can maintain production, which has been steadily declining since 2004. The cost recovery adjustments will allow Petroleos Mexicanos, as Pemex is formally known, to continue producing some 150,000 barrels per day of oil and 500 billion BTUs of natural gas per day from so…

Duke Energy, Piedmont & Dominion to Build Atlantic Coast Pipeline

Pipeline map

Duke Energy and Piedmont Natural Gas today announced the selection of Dominion to build and operate a 550-mile interstate natural gas pipeline from West Virginia, through Virginia and into eastern North Carolina to meet the region’s rapidly growing demand for natural gas. Called the “Atlantic Coast Pipeline,” it also is expected to serve as a key infrastructure engine to drive economic development and create jobs…

Caterpillar Sponsors 2014 High Horsepower Summit

Caterpillar

Caterpillar Inc. now underway in New Orleans, Louisiana. The event is North America’s leading conference on the use of natural gas to fuel high horsepower operations. As an industry leader in the design and manufacture of dual-fuel and natural gas engines, Caterpillar plans to highlight its commitment to delivering the highest customer value for energy and power systems operations, as well as rail, marine and mining applications.