Tuesday, December 10, 2019

Gas Price News

Exceptional Growth in LNG Trade, Says Awilco

 Pic: Awilco LNG

The exceptional growth in LNG trade recorded in the first half of the 2019 continued in Q3, says Awilco LNG Group, the Norwegian based fully integrated pure play LNG transportation provider.According to Fearnleys LNG total LNG trade is up about 13 % in the first nine months of the year vs last year. In line with normal seasonal patterns gas prices inched upwards in Q3 but remained…

Rebooting What’s Possible in India’s Gas Market

‘To lose patience is to lose the battle’ -Mahatma GandhiIndia is something of a conundrum for global LNG players. I recently returned from a week in Delhi, just as the capital was making headlines for one of the worst episodes of air pollution, while the country’s energy mix remains dominated by cheap domestic coal. At the same time, gas price sensitivity continues to stymie investment and contracting negotiations.

LNG Spot Shipping Rates Increase, Says Awilco

Pic: Awilco LNG

In spite of low gas prices due to ample LNG supply growth and muted demand so far in 2019 spot shipping rates have gradually increased over the last few months and are currently about USD 70,000 per day on average, said Awilco LNG Group.According to Norwegian LNG transportation provider, European gas storage nearing full capacity coupled with a consistent contango across the LNG…

UK Gas Prices Rise as Norway Imports Dip

© DJ Mattaar / Adobe Stock

British wholesale gas prices rose on Tuesday morning as imports from Norway fell, creating undersupply.Within-day gas price up 1.30 pence at 31.20 pence per therm by 0809 GMT.Day-ahead gas price up 0.90 p at 30.50 p/therm."Prompt prices are all up a bit on lower supply," a gas trader said.UK gas system undersupplied by 11.7 million cubic meters (mcm) with demand forecast at 153.3 mcm and flows at 141.6 mcm/day, National Grid data showed.Imports from Norway through the La

European Gas Prices Fall To 10-Years Low

Graph: Rystad Energy

European natural gas prices reached their lowest in at least a decade, fueled by a battle for market share between Russia, traditionally the continent's supplier, and the U.S., whose gas exports have gained momentum on the back of the shale boom.European natural gas prices are at a historical low and below the cost of shipping gas from the US to Europe. In May, prices remained just above this floor…

LNG Shipping Demand Flat in Q1 209

Pic: Awilco LNG Group

Global liquefied natural gas (LNG)  shipping demand in Q1 209 was essentially flat compared to Q1 2018 and coupled with a 10 % growth in the fleet since Q1 2018 rates suffered, said Awilco LNG Group.A relatively warm winter in the Far East and high storage levels in China and South Korea resulted in muted gas buying interest in the quarter and the downward gas price pressure seen in Q4 2018 continued throughout Q1 2019…

U.S. LNG Exports Soar, Europe a Big Buyer

File image: LNG tanker transiting the Med (Credit: Robert Murphy)

U.S. LNG to Europe may squeeze out smaller gas suppliers.Shipments of U.S. liquefied natural gas (LNG) have gathered pace in March and Europe is set to stay a top destination for spot cargoes with Asian prices still too low to ship the chilled fuel that far.But winter demand for gas is fading, while steady supplies of gas and LNG have kept inventories well stocked, depressing European gas hub prices.

Shell Sells Upstream Interests in Ireland for $1.3bln

Image: Shell

Shell Overseas Holdings, an affiliate of Royal Dutch Shell plc, has completed the sale of its shares in Shell E&P Ireland Limited (SEPIL), which holds a 45% interest in the Corrib gas venture, for up to $1.30 billion, to Nephin Energy Holdings Limited (NEHL), a wholly-owned subsidiary of Canada Pension Plan Investment Board (CPPIB).A press release said that completion follows receipt…

Low Returns Put Lid on New British Gas Storage

Investment in new, large gas storage sites in Britain which can help provide a buffer in times of high demand and reduced supply is seen by operators as unlikely due to market prices offering low returns.This is due to weak gas price spreads, the difference between gas prices in summer and winter, which are not allowing operators to cover their fixed costs.The spread has narrowed in recent years…

LNG Bunkering to Grow at CAGR of 62.50% CAGR to Reach $247bn in 2023

LNG for Marine. Photo: Skangas

The global liquefied Natural Gas (LNG) bunkering market is expected to witness a CAGR of 62.5% over the forecast period 2017-2023, and is projected to reach USD 24,684.7 million by 2023.The key factors driving the growth of LNG bunkering market are increase in LNG demand in order to reduce the carbon footprint in the shipping industry stringent international emission policy, the…

Russia's Gazprom Does Not Rule Out Dividend Rise

Russian gas giant Gazprom may increase dividends on 2018 results, however it is more likely to raise them after 2020 once the current investment cycle is over, Alexander Ivannikov, the head of company's financial department said on Friday.Gazprom also sees its average gas price in Europe at $230 to$240 per 1,000 cubic metres in 2018, Gazprom Export's Andrei Zotov said on a conference call.Reporting by Vladimir Soldatkin

Total's North Sea Oil Platforms Hit by 24-hour Strike

Around 40 rig workers started a 24-hour strike on Monday on the Alwyn, Elgin and Dunbar platforms in the British North Sea, curbing gas flows to shore, but stored crude was expected to mitigate any oil supply disruption.The platforms halted production at 0500 GMT, said Unite, Britain's largest labour union. Unite and Total, which operates the platforms, earlier failed to agree on work shifts and pay…

Cheniere's U.S. LNG Outage Spurs European Reload Activity to Asia

Photo: Cheniere Energy

Cheniere Energy, dealing with an ongoing partial outage at its Sabine Pass liquefied natural gas (LNG) plant in Louisiana, is making use of its idle tankers to pick up LNG in Europe for sale in Asia where prices are surging, traders said.Feedgas volumes into Sabine Pass fell by a third to 2 billion cubic feet/day on May 15 and have remained there ever since, according to flow data…

LNG Prices Firm on Chinese, South Korean Demand

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

Spot price highest in more than 3 months. Asian spot liquefied natural gas (LNG) prices breached the $9 per million British thermal unit (mmBtu) mark this week, a three-year summer season high driven by crude oil gains, production outages and demand from key Asian consumers. Spot prices for July <LNG-AS> delivery in Asia were at $9.20 per mmBtu this week, gaining 50 cents from the previous week and the highest in more than three months.

Angola LNG Plant Sells Cargo to Petrobras

(File photo: Angola LNG)

Angola's sole liquefied natural gas (LNG) project has sold a cargo loading over May 12 to 13 to Brazil's Petrobras, two industry sources said on Monday.The exact price details could not immediately be confirmed but the cargo is priced off the European benchmark National Balancing Point (NBP) gas price, one of them said.The cargo will be loaded on the vessel 'Sonangol Sambizanga' and will head to Brazil, the source added.(Reporting by Jessica Jaganathan; Editing by Christ

Chesapeake Beats Street as Costs Fall

Chesapeake Energy Corp's quarterly profit exceeded analysts' estimates on Wednesday, as it produced more oil and natural gas at higher prices while continuing to lower costs, pulling shares in the company around 3 percent higher. Chesapeake's production rose nearly 5 percent to 554,000 barrels of oil equivalent per day (boepd), while its number of gross wells supplying to the market dropped 25 percent.

Gail India Offers Sabine Pass LNG Liftings

File Image: cheniere's Sabine Pass facility. (CREDIT: Cheniere)

Gail India has offered three liquefied natural gas (LNG) cargoes for May to July loading from Sabine Pass in the United States, two traders said on Tuesday. The cargoes will be sold based on the U.S. benchmark Henry Hub gas price, one of them said. The tender closes on March 29 with same-day validity, the trader added. The Indian importer has 20-year deals to buy 5.8 million tonnes per annum of U.S.

PGNiG Wants to Negotiate Gas Price with Gazprom

Polish gas company PGNiG said it has asked Russia's Gazprom to renegotiate the price paid for gas in its long-term delivery contract. Poland imports most of the gas it consumes from Russia on the basis of an agreement which expires in 2022. The contract, which was signed in 1996, allows for a price change every three years. PGNiG buys most of the gas it sells from Russia's Gazprom at a price it does not disclose.

PetroChina's Q3 net profit leaps

China's largest oil and gas producer PetroChina reported on Monday a leap in third-quarter net profit on rebounding crude prices and deleveraging. Net profit surged to 4.69 billion yuan ($706 million), up 290 percent from a year earlier, as the company cut debt and interest expenses. Revenues rose to 481.8 billion yuan, up 17 percent from the same period last year, PetroChina said in a filing to the Hong Kong stock exchange.

Gazprom Says Progress Made in EU Anti-trust Talks

Gazprom said on Friday that anti-trust talks with the European Competition Commissioner Margrethe Vestager had made progress. The Russian state-controlled company is fighting allegations of overcharging customers and blocking East European rivals in contravention of EU rules. It denies the allegations. Gazprom said it and the European Commission had agreed to continue work on "seeking…