The Middle East escalated prices of GLOBAL LNG/-Asia, which led to the highest spot price since Dec-2022.
The Asian spot prices for liquefied gas have reached their highest levels since December '2022. This is due to the escalation in the Middle East conflict, the high European gas price and the strong demand before winter. The price was $26.00 for a million British thermal unit (mmBtu), compared to $25.70/mmBtu the previous week. Klaas Dozeman of Brainchild Commodity Intelligence, a market analyst, said that "very little LNG" was able make its way from the Gulf in the wake of recent attacks on ships. Ronald Pinto said that prices are expected to be supported next week as increased competition for supply is a result of the renewed Strait of Hormuz tensions…
Northern Territory Shale Developers Look Towards LNG Production
Developers of shale gas in Australia's Northern Territory say they plan to replicate the liquefied natural gas boom in the state of Queensland, but without the duplication of infrastructure and overspending that occurred in the 2010s.The territory's Beetaloo sub-basin was surveyed over 30 years ago but the first commercial volumes of shale gas were shipped only this week from Tamboran Resources’ Shenandoah gas project.Like Queensland's coal seam gas-to-LNG ambitions, Beetaloo shale aspirations have met with initial scepticism by many industry watchers.
Australia's shale producers say they have learned from the LNG boom.
The Northern Territory's shale-gas developers say they want to duplicate the boom of liquefied gas in Queensland without the overspending and?duplication in infrastructure? that happened in the 2010s. Tamboran Resources’ Shenandoah project, which is located in the Beetaloo subbasin of the territory, shipped its first commercial quantities of shale-gas this week. Beetaloo's shale ambitions have been met initially with skepticism by industry observers. Sunshine State is now the second largest LNG exporter in the world, and supplies more than a third of Australia's exports. Beetaloo's output is currently a modest 40 Terajoules per day.
For the first time, China produces less than half its electricity using coal
China, which is the world's biggest coal consumer, produced?less that 50% of its electricity in the six-month period ending June. This was a?first for a country promoting renewable energy. Xing Yiteng said at a Thursday press conference that coal's share in the mix of power was 49.7%. Xing said that the share of renewable energy grew from 41.2% to 24.6%. Natural gas and nuclear power make up the rest. Analysts believe that despite coal's declining share, China could still use more than last year as the demand for power is rapidly increasing. As the demand for power continues to rise, more?Chinese? are turning to electric vehicles.
Oilfield services provider SLB reports lower quarterly profits on Iran War Hit
SLB reported on Friday a 'falling profit in the first quarter, as disruptions caused by the war in Iran affected 'demand for oilfield services in a key oil producing region. Before the bell, shares of the company dropped 3%. He added that "the impact was most noticeable in Well?Construction, and Reservoir Performance". Total revenue for the quarter was $8.72 billion, with revenues from Middle East Asia dropping 10% to $2.69 Billion. SLB's largest market is the Middle East, which will account for 34% of its revenue by 2025. Top oilfield services…
EnQuest confirms production forecast for 2026, but UK windfall tax hurts profit
EnQuest, a North Sea oil producer, reaffirmed its production forecast for 2026 on Wednesday. The company is banking primarily on investments in Britain and South East Asia after Britain's windfall tax levies impacted last year's profit. EnQuest, like its competitors, continues to be challenged by the UK's Energy Profits Levy which has raised questions about the competitiveness of North Sea producers. The company is working to increase?output of mature assets in order to counter third party outages. EnQuest stated that the Middle East conflict had not disrupted its operations yet, but noted the volatility of oil prices due to supply disruptions resulting from the conflict.
Canada and Australia LNG cargoes headed to the Atlantic after Arctic storm in a rare move
Ship tracking data revealed that at least three LNG cargoes, loaded in Australia and Canada, are headed to Europe and the Americas, instead of Asia, their usual destination. This is because an Arctic storm has curtailed?exports out of the U.S. The diverting of "supply" away from Asia could lead to a tightening in supply and support the spot LNG price in that region. The price of gas has risen globally due to the increased demand. "Pacific cargoes could be brought into the Atlantic to backfill lost?U.S. Alex Froley is a senior LNG analyst with energy consultancy ICIS. He said that the drop in feedgas flowing to U.S.
Analysis finds that China's coal plant permits will be at a four-year low by 2025.
A new Greenpeace report showed that China's coal plant permits will fall to their lowest level in four years. This is due to the growing demand for renewable energy sources. Greenpeace has found that China allowed 41.8 gigawatts to be added to coal plant capacity during the first quarter of 2025. If the current pace is maintained, the 2025 permits will be the lowest since 2021. Greenpeace estimates that the approvals for 2025 will represent between 171.5 billion and 181.5 billion dollars in new coal investments. 85% of these investments are owned by state-owned companies.
Halliburton's profits beat expectations on the back of steady drilling demand in North America
Halliburton's third-quarter profits surpassed Wall Street expectations on Tuesday thanks to the steady demand for oilfield equipment and service in North America. The North America segment's quarterly revenue was $2.4 billion. This is the same as a year ago, but it's above analysts’ average estimates of $2.17billion. Halliburton stated that the results were supported in part by the increased stimulation activity on U.S. soil and Canada and the higher completion tool sales as well as the increased wireline activity along the Gulf of America. In premarket trading, the shares of this Houston-based firm were up 1.3% to $22,90.
Analysts say that China has set a renewable energy goal which it can easily exceed.
The climate goals that China made public on Tuesday promise to continue expanding renewable energy. It has done so at an accelerated pace. However, there is no commitment from China to increase its share of power generation or reduce coal. In announcing China's first goals for carbon reduction, President Xi Jinping stated that China's wind and solar energy capacity would be increased six-fold from the levels of 2020 to 3,600 gigawatts in 2035. Analysts say that China's tendency to set goals they know it can achieve is evident in its achievement of the 1,200 GW target six years earlier than scheduled. Yao Zhe is the global policy advisor for Greenpeace East Asia.
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.
Asian Spot LNG Prices Decline, Weak Demand Amidst Sanctions
Asian spot liquefied natural gas (LNG) prices declined this week due to weak demand and as markets awaited further clarity on U.S. Russian energy sanctions or secondary tariffs.The average LNG price for September delivery into north-east Asia LNG-AS was at $11.90 per million British thermal units (mmBtu), down from $12.10/mmBtu last week, industry sources estimated.Spot global gas prices have been relatively rangebound since the start of summer gas season in April, with a brief spike during the Iran strikes in June, said Alex Froley, senior LNG analyst at ICIS…
Asian Spot LNG Prices Fall to Ten-Week Low
Asian spot liquefied natural gas (LNG) prices slipped for a second consecutive week to a ten-week low, weighed down by tepid demand and increasing supply from new projects.The average LNG price for September delivery into north-east Asia LNG-AS was at $11.90 per million British thermal units (mmBtu), industry sources estimated. This is down from $12.30/mmBtu last week and its lowest since May 16."Prices fell this week in part because of persistent weak Asian demand, with limited additional spot demand in northeast Asia during a heatwave because much of the additional cooling demand is being met by cheaper coal-fired generation…
Halliburton profits slump on weak drilling demand in North America and the Middle East
Halliburton announced a 33% drop in profits for the second quarter Tuesday due to weak demand in North America, Saudi Arabia, and Kuwait. The company warned of a negative impact on earnings in the second quarter due to President Donald Trump’s tariffs, and lower oilfield activities in North America. This was because producers analyzed drilling and completions with low oil prices. Halliburton CEO Jeff Miller stated in a press release that the oilfield services market would be weaker than he had anticipated over the short-to-medium term. North America's quarterly revenue dropped 9%, to $2.26 Billion.
Industry body: China is on track to surpass 2030 pumped-storage hydro target by 8 percent
The International Hydropower Association (IHA), which represents the hydropower industry, said that China will surpass its 2030 target for pumped-storage hydropower by more than 8 percent and could reach 130 gigawatts by the end decade. In a press release, the IHA stated that in 2024, the world's second largest economy will add 7.75 GW to its installed pumped-hydro capacity, bringing it up to 58.69GW. It added that more than 200 GW worth of these projects are currently under construction. This represents a third the total number of projects of this type under development worldwide. China has called for more investment in energy storage.
Mitsui OSK To Asses EU Sanction Impact On Its LNG Vessels
Japan's second-largest shipping company Mitsui O.S.K. Lines (MOL) said it is carefully assessing the impact on three of its liquefied natural gas vessels of new sanctions imposed by the European Union against Russia."We will continue to fully cooperate with the relevant authorities, including the European Union and the Japanese government, and remain committed to complying with all applicable laws, regulations, and international rules," said a company spokesperson on Wednesday."We will take appropriate measures as necessary, in accordance with our rights and obligations."On Tuesday…
Indonesia awarded five oil and gas blocks as it seeks energy security
Indonesia has awarded five oil blocks and gas blocks to various companies, the energy ministry announced on Wednesday. The country is trying to increase its oil reserves and energy security. In the next few years, the government will offer more than 60 oil and natural gas blocks in an effort to reverse the decade-long decline of production. In an online broadcast of Wednesday's awards, Tri Winarno said that the government hoped these auction winners would be able contribute to Indonesian energy security in the future. Indonesia awarded the Gaea II and Gaea I blocks in West Papua…
Indonesia makes trade concessions to the US before talks
Indonesia made a series of concessions to the U.S. on Tuesday. These included reducing taxes on steel and electronic goods, in advance of negotiations with Washington regarding President Donald Trump's tariffs. Next week, the largest economy in South East Asia will send a delegation of high-level officials to the United States to seek a deal that would ease the impact on Wednesday's 32% tariff. Airlangga Hartarto will lead Indonesia's delegation to the U.S. and said that Indonesia intends to purchase liquefied gas, liquefied gas natural, and soybeans as part of its negotiations.
Alaska Governor briefs Trump on Asia Gas Push as Tariffs Bite
Alaska's Governor said that he would brief U.S. president Donald Trump's Administration after returning from Japan in the next week about progress made to secure Asian support for a project to develop natural gas, which has been part of a larger discussion on tariffs and trade. Governor Mike Dunleavy and the leaders of the state-run Alaska Gasline Development Corporation and Glenfarne Group visited Taiwan, Thailand and Japan to seek investors and long-term purchasers for a Trump-inspired project. The visit of the Alaskan delegation coincided with a renewed pressure on trade from Washington.