IEA predicts record LNG demand to lower prices and spur demand
The International Energy Agency announced on Monday that a record amount of liquefied gas production capacity will be coming online by 2030. This is expected to change the dynamics of the gas market, strengthening global supply and easing pressures. In its "Gas 2025", medium-term outlook, the IEA stated that by 2030, 300 billion cubic meters per year of LNG will be exported. This capacity is mainly in the United States and Qatar. The Paris-based agency said that this translates to a potential increase in net LNG supply of 250 bcm per year by 2030.
Singapore's power demand expected to increase in the next decade
The chief executive of Singapore's Energy Market Authority, who spoke on Monday, said that the expansion of advanced manufacturing and technology in Singapore, as well as the electrification of cars, will increase the growth of power demand in the next decade. EMA CEO Puah Kok Keong said that electricity consumption would grow between 2% to 5% by 2035. This compares with an average increase of 1.9% in the 10 years up until 2024. Singapore's power consumption is growing faster than that of its regional neighbours Australia or Japan…
Spot prices fall on German wind production
The European spot price for Tuesday dropped as the German temperatures are expected to increase and wind power production will rise. LSEG data shows that the German day-ahead price was 63.25 Euros ($73.76 per megawatt hour) at 0929 GMT. This is down 17.9% compared to Friday's closing price for Monday delivery. LSEG data revealed that the French baseload price for the day was 45 euros/MWh. On Friday, the Monday price was not traded. Wind and solar are increasing in Germany. According to LSEG analyst Xiulan He, the lower wind in France, Austria, and Germany is increasing residual load.
EIA predicts that heating US homes with electricity will cost more than it did last winter
The Energy Information Administration reported on Wednesday that U.S. homes heated by electricity primarily will spend 4% more to stay warm this winter, due to forecasts of higher power prices. The demand for electricity will likely outpace supply due to the growth of data centers, which are driving the AI boom. Also, the electrification and automation of other industries, such as transportation, should result in higher prices for American consumers. The EIA said that households who heat their homes with electricity will have to pay more in the winter…
EIA: US power consumption will reach new highs by 2025 and 26.
The Energy Information Administration's short-term energy forecast on Tuesday predicted that U.S. electricity consumption would reach record levels in 2025 and in 2026. The EIA predicted that power demand would rise to 4,191 kilowatt hours in 2025, and 4,305 kilowatt hours in 2026. This is up from the record 4,097 kWh of 2024. These increases are due to the data centers that focus on artificial intelligence, cryptocurrency, and homes and businesses using more electricity for heating and transportation and less fossil fuel.
Sempra sells 10 billion dollars stake in infrastructure unit and approves Port Arthur expansion
Sempra, a U.S. utility company, announced on Tuesday that it would sell its infrastructure unit to a third party for $10 billion. It also approved a $14 billion project expansion in Texas at Port Arthur LNG. The company is selling a 45% stake in Sempra Infrastructure Partners to KKR, Canada Pension Plan Investment Board and other investors. Sempra Infrastructure Partners owns liquefied gas assets, pipelines and storage facilities. Private equity firms are rushing to buy power infrastructure assets, as electricity consumption reaches record levels.
Thailand sets record for annual drop in power output and LNG imports
Thailand's electricity production is expected to drop by a record amount this year due to a mild winter and a slowed economy, according government data. This will result in Southeast Asia’s largest LNG importer experiencing its steepest fall in fuel purchases. Official data revealed that the power generated and imported by the 70 million-plus people in the country fell by 5.4% in the seven-month period ending in July. This is nearly twice as much as the 2.8% drop in January-July of 2020, due to the coronavirus lockdowns.
India's power production rises at the fastest rate in five months due to industrial boost
The data of the federal grid operator revealed that India's electricity generation in August increased at its fastest rate since March. Manufacturing activity was accelerating due to strong demand. Grid India's daily analysis showed that the 4% increase in output of electricity last month led to a first-time annualised boost in coal-fired generation in five months. This year, India's dependence upon coal has been reduced by the sustained growth of renewable energy capacity. About three-quarters of the annual electricity is generated by coal.
WhiteWater, Partners Move Ahead with Eiger Express Pipeline Construction
WhiteWater and its partners have reached a final investment decision (FID) to move ahead with the construction of the Eiger Express Pipeline, the infrastructure firm said on Monday.Driven by a boom in U.S. liquefied natural gas exports as well as rising demand for natural gas on the back of increasing electricity consumption, gas production in the country's shale fields is expected to rise even as oil output begins to plateau.U.S.
Heatwave expected to increase French demand
The heatwave expected in France will have a positive effect on electricity consumption, but it could also hurt nuclear power production due to high river temperatures that hinder cooling at nuclear reactors. LSEG data shows that the German and French Monday basis power contracts were not traded by 846 GMT. Baseload prices on Friday closed at 76.75 Euros/MWh compared to 54.75 Euros/MWh on Thursday. LSEG data indicated that German wind power production was expected to drop by 4.8 GW and reach 4.7 GW while French wind generation was projected by 3.5 GW and reach 5.2 GW.
Coterra Energy's profit beats expectations in the second quarter due to higher gas prices and strong output
Coterra Energy beat Wall Street expectations for the second quarter profit on Monday as higher production volumes, a rebound of U.S. Natural Gas prices and lower oil prices were offset. Houston-based shale producers benefited from increased production across the Permian basin and Anadarko Basin. The total production increased to 783.900 barrels equivalent of oil per day (boepd), from 669.200 boepd, during the second quarter. The production gains helped boost results but were partly offset by lower crude prices. The average Brent crude price fell over 20% compared to a year ago amid U.S.
Expand Energy, a US-based natgas producer, reports a second-quarter profit despite higher prices and output.
Expand Energy, the U.S. natural-gas producer, reported a profit for its second quarter on Tuesday. This was compared to a loss in the same period last year, due to higher production and commodity prices. After-hours, shares of the company rose 2.4% to $101,76. Expand, previously Chesapeake Energy became the largest independent natural gas producer in the United States after its $7.4-billion acquisition of Southwestern Energy was completed in October 2024. The company has also benefitted from the higher U.S. Natural Gas prices. These have recovered from multi-year lows reached last year.
Google signs $3 billion US Hydropower Deal in Largest Clean Energy Agreement
Google announced on Tuesday that it had agreed to purchase up to 3 gigawatts (or more) of hydroelectric power in the United States, forming the largest corporate clean energy pact ever for hydroelectricity. This comes as Big Tech continues its expansion of data centers, which are notoriously energy-hungry. The agreement between Google and Brookfield Asset Management includes initial power purchase agreements totaling $3 billion for electricity generated by two hydropower plants in Pennsylvania.
Google signs $3 billion US Hydropower Deal in Largest Clean Energy Agreement
Google announced on Tuesday that it had agreed to purchase up to 3 gigawatts (or more) of hydroelectric power in the United States, in what is the largest corporate clean energy pact ever made. This comes as Big Tech continues its expansion of data centers, which are notoriously energy-hungry. The agreement between Google and Brookfield Asset Management includes initial power purchase agreements totaling $3 billion for electricity generated by two hydropower plants in Pennsylvania. After nearly two decades stagnation…
Draft document shows that heavy industries will get a price reduction on electricity under the new EU regulations
A draft of the new EU rules on state aid, which are due to be published by the European Commission on Wednesday, revealed that heavy industries would receive a temporary reduction in electricity prices. This is despite criticisms from companies about high energy costs and restrictive green regulations. Eurometaux, a group of metals industry professionals, sent a warning to Ursula von der Leyen at the beginning of this month. The letter warned that the sector was losing its competitiveness in comparison with U.S. competitors and Chinese counterparts.
As new gas plants become more expensive, renewable energy is still the cheapest way to build power.
Lazard, in a Monday report, said that renewable power sources like solar and onshore winds are the least expensive, and fastest, power generation methods to deploy in the United States. This is true even without any government subsidies. In its annual Levelized Energy+ analysis, Lazard, an international financial services firm, reported that the cost of building new gas-fired plants has reached a decade high. This is due to the record electricity consumption in the country and the growing backlogs on turbines and equipment required to build the plants. After a 20-year hiatus, the U.S.
GAIL India sells LNG cargo because early monsoons lead to weak power demand.
GAIL (India) Ltd resold a liquefied gas (LNG) shipment this week, according to three sources in the market on Friday. The state-run company's tanks are full due to the weak demand for power in India. GAIL, India's largest gas distributor could reduce India's appetite for super-chilled fuel by reducing the number of LNG imports. India was the fourth largest LNG purchaser in the world last year, with about 26 million metric tonnes imported. This is due to India's rapid industrialisation and urbanisation as well as its growing electricity demand.
UN agency: Tech giants' indirect emission has increased 150% in the last three years, as AI grows.
A United Nations report on Thursday said that indirect carbon emissions from four of the world's leading AI tech companies increased by an average of 150% between 2020 and 2023 due to power-hungry data centers. According to the International Telecommunication Union, the U.N. agency responsible for digital technologies, the use of artificial intelligence in data centres by Amazon, Microsoft Alphabet, and Meta increased their indirect global emissions. Indirect emissions are those produced by the electricity, steam and heating/cooling that a company consumes.
UN agency: Tech giants' indirect emission has increased 150% in the last three years, as AI grows.
A United Nations report on Thursday said that indirect carbon emissions from four of the largest AI-focused tech firms, Amazon, Microsoft Alphabet, and Meta, increased by an average of 150% between 2020-2023 as they used more power to run energy-demanding servers. According to the International Telecommunication Union, the U.N. agency responsible for digital technologies, artificial intelligence increases global indirect emissions due to the huge amounts of energy needed to power data centers. Indirect emissions are those produced by the electricity, steam and heating/cooling that a company consumes.
Maguire: Eastern Europe's secretive surge in solar power generation
In Europe, the discussion of solar energy generation is dominated by Germany and Spain. Solar capacity in the nine largest producers of solar energy in Eastern Europe grew at a pace that was more than twice as fast as the rest of Europe over the last five years. This has allowed Eastern Europe to double its regional solar production share since 2019. Solar farms will provide electricity to at least six Eastern European countries, when solar radiation levels reach their peak this summer. The…