Australia delays its first offshore wind auction due to global investment retreat
Victoria, Australia, has delayed its first auction of offshore wind farm financing, citing global investments hurdles. This is a blow to an industry that's deemed crucial to Australia's transition away from coal-fired energy to renewables. The state government announced on Tuesday it will delay the auction, originally scheduled for this month. A revised schedule is expected to be released by year's end. Lily D'Ambrosio, Minister of Energy and Resources, said that global investment headwinds made it unlikely an auction would attract enough participants.
Australia approves the North West Shelf Gas Plant to operate until 2070
Australia approved Woodside's application to operate Australia's second largest and oldest liquefied gas plant, the LibNaGa Plant, until 2070. The new emission rules were imposed to reduce its environmental impact. North West Shelf, a plant in Western Australia, is expected to emit up to 4.3 million metric tons carbon dioxide over its lifetime. Critics say this will endanger nearby ancient rock art as well as set back climate change efforts. Murray Watt, the Environment Minister, told a Friday press conference that Woodside had accepted a number of conditions to protect Indigenous art.
GASTECH-Japan’s JERA looks at Alaska and Qatari Liquefied Natural Gas to meet demand and diversify supply
JERA, Japan's largest power generator, is increasing its interest in U.S. LNG, especially from Alaska. It is also in talks with QatarEnergy about securing faster and more efficient routes for supply to Japan. JERA, the company's Chief Low-Carbon Fuel Officer, told reporters that it is exploring other LNG suppliers than its traditional ones to meet Japan’s increasing energy needs. AI-driven data centers are driving up demand for electricity. Tsugaru stated that JERA was keen to secure supplies from Alaska LNG because of its proximity to Japan during an interview with the Gastech conference held in Milan.
Santos, Australia's gas supplier, signs a deal with Orica to supply Narrabri to Orica
Santos, Australia's second largest gas producer, announced on Thursday that it had signed an agreement to discuss a possible domestic gas supply contract from its Narrabri Gas Project located in New South Wales. Santos will supply Orica with up to 15 petajoules per year and for ten years. Kevin Gallagher, Santos managing director and chief executive officer, said that the memorandum of agreement highlights Santos’s interest in domestic supply from Narrabri. It builds on an earlier deal made with Engie's supply utility company in August.
GASTECH-Japan’s Inpex considers UAE production increase, Norway expansion
Inpex, Japan's largest oil and gas exploration company, is looking at increasing production in its concessions onshore and off-shore in the United Arab Emirates as well as expanding their activities in Norway. This was announced by its chief executive and president on Tuesday. Takayuki ueda, speaking on the sidelines at the Gastech conference held in Milan, stated that this is in line the UAE's plan to increase production from 4 to 5 million barrels a day. We have assets in Norway and just recently acquired assets in the Northern Sea. We also have land to expand our operations in Norway.
EQT Corp. signs 20-year LNG contract with Commonwealth LNG Louisiana facility
The companies announced on Monday that the U.S. energy company EQT Corp would purchase 1 million tonnes of liquefied gas per year (mtpa), from Commonwealth LNG’s planned export facility on the Gulf Coast, near Cameron, Louisiana. EQT will purchase the LNG at a fixed price indexed by Henry Hub, and market and optimize their cargos on an international level. The company stated that the additional export capacity would allow EQT's domestic direct-to customer strategy to be expanded into global energy markets. Commonwealth LNG has been in the news this week. The U.S.
Russell: ADNOC must offer more than just money to make the Santos deal work.
Abu Dhabi National Oil Company's (ADNOC) $18.7billion bid for Australian liquefied gas producer Santos faces a much higher hurdle than the money offered. The politics surrounding the deal, which would represent Australia's biggest-ever cash takeover in history, are becoming increasingly difficult to overcome. ADNOC, Australia's second largest oil and gas company launched its bid in June, and a preliminary due diligence was to be completed no later than August. The deal was delayed from August 19 to September 19, despite the fact that no major problems were found with the transaction.
Russell: ADNOC must offer more than just money to make the Santos deal work.
Abu Dhabi National Oil Company's (ADNOC) $18,7 billion bid for Australian liquefied gas producer Santos faces a much higher hurdle than the money offered. The politics surrounding the deal, which would represent Australia's biggest-ever cash takeover in history, are becoming increasingly difficult to overcome. ADNOC began its bid in June for Santos, Australia’s second largest oil and gas company. A due diligence initial was to be completed before August. The deal was postponed from August to September 19, despite the fact that no major problems were found.
Investors await growth data; consumer and energy sectors drag Australian share prices lower
The Australian share market ended Tuesday with a lower closing price, due to thin trading. This was mainly caused by the consumer and energy sector, where heavyweight constituents were traded ex-dividend. Local traders also remained on the sidelines, waiting for economic growth figures that are expected later this week. The S&P/ASX 200 index fell 0.3% to 8,900.6, its third consecutive session in red. The 0.5% drop on Monday followed a strong August. Woolworths, the supermarket chain, fell 3.1%. Consumer stocks dropped 1.7%.
Andy Home: A quiet revolution is taking place in the mining industry
If the world wants to move away from fossil fuels, it will need to have a large amount of copper. Can the mining industry meet this demand? The challenges are enormous. The challenges are huge. The mining process has been highly wasteful and polluting in the past. According to a research paper from Germany's Fraunhofer Institute, the world discovered 650 million metric tonnes of copper between 1910-2010 but only 100 million tons made it to the market. The metal in the tailings ponds is still there, waiting for the right technology to unlock its potential.
Al Mansour Holdings, Qatar, bets on Zimbabwean energy in a deal with Australia's Invictus
Al Mansour Holdings, a Qatari investment company, has acquired a 19.9% stake of Invictus Energy in Australia and will contribute up to $500m to the development of the Cabora Bassa Gas Project in Zimbabwe. The equity stake acquired for A$37.8m ($24.56m) will be used to fund short-term projects, including drilling the Musuma-1 priority well. Al Mansour Holdings will form a joint-venture with Invictus called Al Mansour Oil & Gas. This venture will be led by Sheikh Mansour Bin Jabor Bin Jassim Al Thani. It will acquire oil and natural gas assets in Africa.
Russell: China's thermal coal imports surge as India's tumble
In August, China's seaborne thermal coal imports are expected to reach their highest level this year while India's top buyers slump to a three-and-a half-year low. The two largest importers of this fuel, which is mainly used to generate electricity, have divergent trends. This is largely due to the interaction between coal production on their home markets and the increasing use of renewable energy. According to commodity analysts Kpler, China's seaborne thermal coal imports are expected to reach 25,63 million metric tonnes in August.
Santos extends exclusive offer for ADNOC's $18.7 Billion, but profits decline
Santos, the Australian gas producer, agreed on Monday to extend exclusivity for an 18 billion dollar takeover bid by a group led Abu Dhabi National Oil Co. (ADNOC) and reported a 22% decline in profit that was better than expected. The shares of the company rose 1% at the opening of trading on September 19, after the due diligence period was extended to allow the consortium led ADNOC’s investment arm XRG to have more time to obtain the required internal approvals prior to making a takeover offer.
Russell: Asia's LNG imports will likely increase, but not enough to satisfy Trump
As part of the trade agreements with President Donald Trump, there are some early signs that certain Asian countries will increase their imports from the United States of liquefied gas (LNG). According to commodity analysts Kpler, Asia's super-chilled fuel imports are set to reach a record of 2,01 million metric tonnes in August. This is an eight-month-high. The Kpler forecast that Asia's imports of LNG from the United States would surge to 3,61 million tons in the month of October is far more important. This would be the second highest on record, behind the 3,75 million tons from February 2021.
Russell: Asia's LNG imports will likely increase, but not enough to satisfy Trump
As part of the trade agreements with President Donald Trump, there are some early signs that certain Asian countries will increase their imports from the United States of liquefied gas (LNG). According to commodity analysts Kpler, Asia's super-chilled fuel imports are set to reach a record of 2,01 million metric tonnes in August. This is an eight-month-high. The Kpler forecast that Asia's imports of LNG from the United States would surge to 3,61 million tons in the month of October is far more important. This would be the second highest on record, behind the 3,75 million tons from February 2021.
Vedomosti reports that Murmansk LNG is facing delays of years.
Vedomosti reported Wednesday that the start of production for Murmansk LNG - a project to produce liquefied gas led by Novatek - has been delayed by several years. The newspaper cited updated government plans. The reported delay is another challenge for Russia. It aims to reach a 20% market share on the global LNG by 2030-35, where it will compete with Qatar, Australia, and the United States. Murmansk LNG is set to be the largest LNG plant in Russia, producing up to 20.4 million tonnes of LNG per year. The first two trains were expected to begin production by the end 2027.
US Natural Gas Prices Drop 3% Ahead of Cooler Weather Forecasts
U.S. natural gas futures fell about 3% on Monday on near-record output, ample fuel in stockpiles and forecasts for less hot weather next week than previously expected.Front-month gas futures for September delivery on the New York Mercantile Exchange fell 9.5 cents, or 3.3%, to $2.821 per million British thermal units by 5:53 a.m. EDT (0953 GMT).The U.S. National Hurricane Center (NHC) projected Hurricane Erin, which was near the Bahamas, would move north and then east off the U.S. East Coast…
US Natgas Prices Rise on Increasing Demand
U.S. natural gas futures edged up about 1% on Wednesday after dropping to an eight-month low in the prior session on forecasts for more demand over the next two weeks than previously expected and near-record gas flows to liquefied natural gas (LNG) export plants.That small price increase came despite near-record output, ample supplies of the fuel in storage, and the approach of a storm that could affect the U.S. East Coast as a demand-destroying hurricane next week. Front-month gas futures for September delivery on the New York Mercantile Exchange rose 1.9 cents…
AGL's shares in Australia plunge after weaker results reflect the cost of going green
AGL Energy, Australia's largest power producer, reported on Wednesday a 21% decline in its annual underlying profit. It also missed expectations for earnings due to lower retail margins and increased costs associated with the transition to renewable energies. The shares closed at their lowest level since April 20,24 and had the weakest trading session in October 2007. The Sydney-based company - Australia's largest carbon emitter – said that it was confident in its investment in large batteries, once they were operational.
Inpex Japan increases its annual profit forecast due to strong Ichthys Liquefied Gas production
Inpex, Japan's largest oil and gas exploration company, raised its net profit forecast for the year by 23% on Friday, citing higher oil prices, stronger yen and strong production at its Ichthys project, which is Australia's key liquefied gas project. The company expects a profit of 370 billion yen (about $2 billion) in 2025. This is up from the 300 billion yen it projected for May and well above an LSEG survey's estimate of 324 trillion yen. Daisuke YAMADA, Senior Managing Executive Officer, said at a press conference that the revision reflected the steady production of the Ichthys Project.