Thursday, July 18, 2019

Gas Pipeline News

Leviathan Platform Starts Voyage to Israel

(Image: Delek Drilling)

The gas platform for the Leviathan natural gas field is on its way to Israel from the Gulf of Mexico, the partners in the project said on Sunday.The first of four barges transporting the production structure units has left Texas and the other three will set sail in the coming weeks. In September, all the units will be installed on the jacket of the platform already in place 10 kilometers from Israel's shore.After connecting the units to the platform, Noble Energy, one of Leviathan's partners, will start a series…

Petrobras Sells TAG, Gets $8.7 bln

Image: Petrobras

Brazilian state-run oil firm Petroleo Brasileiro SA (Petrobras) has concluded the sale of gas pipeline system Transportadora Associada de Gás S.A. (TAG) to a group led by France'sEngie SA and Canada'sCaisse De Depot Et Placement Du Quebec (CDPQ).According to a stock exchange annoucement, Petrobras received a total of 33.5 billion reais ($8.69 billion) from buyers on Thursday for the 90 percent stake it had in TAG.Petrobras will continue to use natural gas transportation services rendered by TAG, through contracts already in force between the two companies…

US Considering Sanctions Over Nord Stream 2

Pipelaying operations underway (© Nord Stream 2 / Axel Schmidt)

President Donald Trump said on Wednesday he was considering sanctions over Russia's Nord Stream 2 natural gas pipeline project -- which the United States has told European companies to avoid -- and warned Germany against being dependent on Russia for the fuel."We're protecting Germany from Russia and Russia is getting billions and billions of dollars from Germany," Trump told reporters at an appearance with Polish President Andrzej Duda at the White House.Nord Stream 2, a 760-mile (1,225-km) pipeline project to ship gas from Russia under the Baltic Sea to Germany…

Exxon to Proceed with Argentina Development

(Photo: ExxonMobil)

US based ExxonMobil said on Tuesday it is proceeding with a long-term oil development in Argentina’s Bajo del Choique-La Invernada block.The project is expected to produce up to 55,000 oil-equivalent barrels per day within five years and will include 90 wells, a central production facility and export infrastructure connected to the Oldeval pipeline and refineries.“We are encouraged by the excellent results of our Neuquén pilot project and look forward to increased production through this significant expansion,” said Staale Gjervik, senior vice president of unconventional at ExxonMobil.

US Oil Production Up, Needs More Pipelines

Graph: Source: U.S. Energy Information Administration liquids pipeline projects database

The rising domestic crude oil production in the United States has created a need for more pipeline capacity, revealed the US Energy Information Administration (EIA).EIA recently launched a new liquids pipeline projects database that tracks more than 200 crude oil, hydrocarbon gas liquids (HGL), and petroleum products pipeline projects."Rising domestic crude oil production has led to several changes in Gulf Coast crude oil supply and demand patterns, creating a need for more pipeline capacity," it pointed out.Crude…

Sabah-Sarawak Gas Pipeline Shit for Maintenance

Malaysia's state oil and gas company Petroliam Nasional Bhd said on Tuesday it has shut the Sabah-Sarawak gas pipeline that feeds gas to its liquefied natural gas (LNG) complex at Bintulu in the state of Sarawak as part of maintenance work.Operations will resume when the maintenance work is completed, said Petronas, as the company is popularly known, in a statement, without specifying how long works would take."LNG supply from Petronas LNG Complex is not impacted as any shortfall of gas supply from the Sabah-Sarawak gas pipeline shall be made up with the gas supply from other fields in offshore Sarawak during this period," the compa

Nord Stream 2 Launch Facing Delays

© Nord Stream 2 / Axel Schmidt

Russia's Nord Stream 2 gas pipeline project to Germany may launch in 2020, rather than the end of 2019, due to delays in obtaining permits from Denmark, Interfax news agency on Friday quoted Nord Stream 2 AG as saying.The Russian-led company has two pending route applications with Danish authorities, the first of which was submitted more than two years ago, but it was asked in March to assess a third route option in Danish waters.Nord Stream 2 was quoted by Interfax as saying that the launch date could be pushed…

Natural Gas Consumption Up 10% in China

Image: CNPC

According to the preliminary estimate, the consumption of natural gas in China exceeded 27 million cubic meters in 2018, registering a YOY increase of more than 10%, said a report.The growing Chinese economy and stricter environmental protection policies drive the growth of natural gas consumption in China. In 2018, the Chinese government introduced several environmental protection policies to further prevent and control atmospheric pollution and replace coal with natural gas in key areas, which pushed up natural gas consumption in China.The market survey by ResearchAndMarkets shows that in 2018…

Fire Breaks Out on Gas Pipeline in Russia's Urals Region

A fire broke out on a major gas pipeline in the Urals region of Russia, Interfax news agency reported on Monday, citing an unnamed source in the emergency services.Gazprom, which operates the pipeline via Gazprom Transgaz Yugorsk, said in a statement there were no casualties as a result of the fire and the company was using alternative routes to transport gas.It also said that it was preparing to do repairs. (Reuters, Reporting by Maria Tsvetkova and Vladimir Soldatkin. Editing by Jane Merriman)

Kinder Morgan's $1.75 bln Gas Pipeline Hit with Steel Tariff

Photo courtesy of  Kinder Morgan

U.S. pipeline operator Kinder Morgan Inc will pay a tariff on imported steel used in a $1.75 billion natural gas pipeline project, the U.S. Department of Commerce ruled on Monday, dealing a setback to energy industry efforts to avoid the penalties.The tariff could add up to $80 million to the construction cost of Kinder Morgan's Gulf Coast Express Pipeline, analysts estimated, because about half the project employs some Turkish pipe subject to a 50 percent tariff. It filed for an exemption nearly a year ago, citing the lack of domestic steel and the economic benefits to natural gas exports.

Solitaire on Nord Stream 2 Job in Russia

Solitaire. Image: Allseas

Allseas-owned pipelay vessel Solitaire has started laying the first line of the Nord Stream 2 twin gas pipeline in Russian waters.Solitaire will spend about a month constructing one of the two  approximately 100-kilometres-long sections in the Russian territorial sea.Solitaire, operated by Allseas, is a 300-metres-long and 41-metres-wide dynamically positioned vessel that will lay pipes around the clock seven days a week. It accommodates up to 420 people on board.A vessel that is positioned using thrusters instead of anchors helps to minimise the impact on the environment and marine traffic…

Russian Pipeline: Bringing Gas and Building Trust

© alexkich / Adobe Stock

A discussion over energy at the summit last week between Russian President Vladimir Putin and North Korean leader Kim Jong-un has excited the government in South Korea, where the government is desperately looking to entice the North Koreans to come in out of the cold.Among the topics that came up was access for the North Koreans to Russian electricity supplies and the question of North Korea allowing the Russians to build a pipeline that would ship natural gas from Vladivostok, where the summit was held, through…

EU: New Rules Apply to Nord Stream 2

© Nord Stream 2 / Axel Schmidt

The European Union executive on Thursday said its stance on Nord Stream 2 is law and will not change, despite receiving letter from the gas pipeline threatening legal action if it is not exempt from new energy rules.The bloc amended its energy rules to ensure they would apply to the 11 billion euro ($12 billion) project to build a gas pipeline from Russia to Germany that has come under fire from the United States and several EU nations, who fear it will increase reliance on Russia.The changes cast doubt over the pipeline's business plan, to be both owned and operated by Russian gas export monopoly Gazprom, and threaten to slow its c

Saipem Settles South Stream Dispute

Image: South Stream Transport B.V.

South Stream Transport, which is responsible for the construction and operation of the TurkStream Offshore Pipeline, and the Italian oil and gas industry contractor Saipem have settled the arbitration concerning the South Stream offshore pipeline installation contract entered into on March 14, 2014.The subsidiary of Italian energy company Eni said in a release that the companies have positively ended their negotiations signing an agreement to amicably settle the arbitration.In December 2014, Russia, citing the EU's unconstructive position, gave up on South Stream in favor of a new gas pipeline toward Turkey (TurkStream).

BSOG Gets Approval in Offshore Romania

Image: Black Sea Oil & Gas

Romanian-based Black Sea Oil & Gas (BSOG), controlled by private equity firm Carlyle Group, said that it received approval from the Romanian government for the field development plan (FDP) for the Ana and Doina gas fields.The Ana and Doina gas fields make up the Midia Gas Development (MGD) Project, offshore Black Sea.The MGD Project, which is the 1st new offshore gas development project in the Romanian Black Sea to be built after 1989, consists of 5 offshore production wells (1 subsea well at Doina field and…

Black Sea MGD Project Gets Government Nod

(Image: BSOG)

Black Sea Oil & Gas (BSOG), controlled by private equity firm Carlyle Group LP, announced it has received Romanian government approval from the Romanian Government through the National Agency for Mineral Resources (NAMR) for its plan to develop the offshore Ana and Doina natural gas fields which make up the Midia Gas Development Project (MGD Project), in the Black Sea.Gigi Dragomir, NAMR President, said, “The development of the Ana and Doina gas fields offshore Romania is a top priority for NAMR, which supports…

Petrobras to Sell Pipeline Unit for $9 Bln

© freedom_naruk / Adobe Stock

Brazilian state-run oil company Petroleo Brasileiro SA has agreed to sell its TAG natural gas pipeline unit to a consortium led by France's Engie SA for roughly $9 billion, Bloomberg News reported on Friday, citing a source.The Engie consortium, which also includes Canada's Caisse de Dépôt e Placement du Québec, beat out two competing consortia, led by Itausa Investimentos Itau SA and EIG Global Energy Partners with Mubadala Investment Co, respectively, Bloomberg said, citing a source with knowledge of the matter.Petrobras…

Nord Stream 2 Expecting Denmark Approval

© Nord Stream 2 / Axel Schmidt

The Russian-led Nord Stream 2 gas pipeline company expects to receive approval from Danish authorities for a 180-km stretch of the pipeline under the Baltic Sea in time to finish the pipeline by the end of 2019 as planned, a spokesman said on Monday.Nord Stream 2 spokesman Jens Mueller said there was "good reason" to believe Danish authorities would process a second proposal submitted by the project in August 2018 within eight to 12 months, allowing the pipeline to be finished on schedule.Even if the Danes acted late in the year…

BP, ExxonMobil in Alaska LNG Deal

Image: Alaska Public Media

Alaska Gasline Development Corp (AGDC) has signed an agreement with BP and Exxon Mobil to help advance the state-owned company's proposed $43.4 billion Alaska liquefied natural gas (LNG) project.According to the agreement, the concerned parties would work together to identify ways to improve the Alaska LNG project ’s competitiveness, and progress the Federal Energy Regulatory Commission authorization to construct the project.AGDC Interim President Joe Dubler said, “Our respective organizations share an interest in the successful commercialization of Alaska’s stranded North Slope natural gas.

Indonesia Okays Empyrean Plan for Mako Gas

Image: Empyrean Energy PLC

Indonesia has approved the development plan for the Mako gas field, Empyrean Energy PLC and Coro Energy PLC said.Indonesia’s Ministry of Energy and Mineral Resources (MEMR) has approved the plan of development (POD) for the Mako gas field at the Duyung production sharing contract (PSC), offshore Indonesia, said a joint statement.Mako is located on the Duyung production sharing contract, which covers 890 square kilometres offshore the Riau Islands province.Tom Kelly, CEO of Empyrean, said: "The POD approval by…