Woodside Petroleum Half-year Profit Rises
Australia's Woodside Petroleum Ltd said on Wednesday that its first-half net profit rose 6 percent and it raised its 2018 production outlook after strong performances from its Wheatstone and Pluto LNG projects.For the 2018 fiscal year, Woodside said it now expects fiscal 2018 production between to 87 mmboe to 91 mmboe from an earlier outlook of 85 mmboe to 90 mmboe.Production costs per barrel of oil equivalent across all operating assets for 2018 are expected to be between $5.50 and $5.80, Woodside said.Australia's biggest…
Enestas Boosts SEA\LNG’s Presence in Americas
SEA\LNG, the multi-sector industry coalition aiming to accelerate the widespread adoption of liquefied natural gas (LNG) as a marine fuel, announced that it has welcomed Mexico-based LNG company Enestas to its membership coalition.With the addition of Enestas, the SEA\LNG coalition bolsters its efforts to drive forward LNG as a marine fuel, and to progress its vital role as a viable solution in the energy transition within shipping.As the largest private LNG company in Mexico and with the largest LNG distribution network…
Sovcomflot's Pskov Loads First Cargo from Yamal LNG
The liquefied natural gas (LNG) carrier Pskov completed loading at the Port of Sabetta (YNAD), with the first cargo of LNG produced from the second high-tech production line at the Yamal LNG plant.August 08 marked the launch of the second production train at Yamal LNG, which happened six months ahead of schedule.Pskov is a state-of-the-art Atlanticmax LNG carrier with a cargo capacity of 170,000 cubic metres. She was built to order for Sovcomflot Group in 2014, to transport LNG under a long-term time charter agreement with Gazprom.
Yamal LNG Commissioned in Record Time
Russia’s PAO Novatek has launched a second liquefied natural gas (LNG) production train at its plant on the Yamal peninsula ahead of schedule.Russia's largest independent natural gas producer announced that "Yamal LNG has launched the second LNG train and dispatched the first cargo from this unit. The second LNG train commissioned six months ahead of its original schedule, and combined with the first LNG train launch in December 2017, has achieved the commissioning of the first two LNG trains in record time."The first gas…
Gas to Become World's Primary Energy Source by 2035
Oil and gas will be crucial components of the world’s energy future, according to DNV GL’s forecast of the energy transition. While renewable energy will grow its share of the energy mix, oil and gas will account for 44% of world energy supply in 2050, compared to 53% today.Gas will become the largest single source of energy from 2034.DNV GL’s Energy Transition Outlook (ETO), a forecast that spans the global energy mix to 2050, predicts that global demand for energy will flatten in 2030, then steadily decline over the next two decades, thanks to step-changes in energy efficiency.
Cheniere on Track to Finish 3 US LNG Trains in 2019
U.S. liquefied natural gas (LNG) company Cheniere Energy Inc said on Thursday it remains on track to finish building three liquefaction trains in 2019 at its export terminals at Sabine Pass in Louisiana and Corpus Christie in Texas:* The company said in its second quarter earnings release that Sabine 5 and Corpus 1 are expected to enter service in the first half of 2019, followed by Corpus 2 in the second half of 2019.* Corpus 3 is expected to enter service in the second half of 2021.* All of Cheniere's liquefaction trains are capable of liquefying about 0.7 billion cubic feet per day (bcfd) of natural gas.
Tellurian to Start Building Louisiana LNG Export Terminal in 2019
U.S. liquefied natural gas company Tellurian Inc said on Wednesday it remains on track to begin construction of its Driftwood LNG export terminal in Louisiana in the first half of 2019 and begin operations in 2023.Tellurian President and CEO Meg Gentle said in the company's second-quarter earnings release that Tellurian is on schedule to announce its partners in the Driftwood project in the third or fourth quarter.Driftwood is one of more than two dozen LNG export projects under development in the United States seeking…
Papua New Guinea LNG Export Plant Offers Cargo for September
Exxon Mobil's Papua New Guinea liquefied natural gas (LNG) export plant has offered a cargo for delivery in September, two industry sources said on Tuesday.The cargo is to be delivered into Japan, Taiwan, South Korea or China, and the tender closes on Wednesday with bids to remain valid until Thursday, one of the sources said.This is expected to provide some relief to the spot market at a time when spot demand from Japan and South Korea has been firm due to warm temperature, traders said.(Reporting by Jessica Jaganathan; Editing by Tom Hogue)
Petronas Delivers First LNG Cargo to Hokkaido Electric
Malaysian state-owned oilcompany Petroliam Nasional Bhd (Petronas) through its subsidiary, Malaysia LNG (MLNG) delivered its first liquefied natural gas (LNG) cargo to Japan's Hokkaido Electric Power on August 1st, 2018.This delivery marks the beginning of MLNG's supply to Hokkaido Electric via a 10-year Sale and Purchase Agreement (SPA) signed on 2 March 2017.Hokkaido Electric will be utilising the cargo for the commissioning of its LNG tank at Ishikari Terminal. The cargo was delivered from Petronas LNG Complex in Bintulu, Sarawak to Ishikari by Puteri Delima Satu, the LNG vessel chartered by MLNG and operated by Petronas' subsidiary MISC Bhd.
Chinese Tariffs on LNG, Oil May Threaten US Energy Dominance
China's targeting of U.S. liquefied natural gas and crude oil exports opens a new front in the trade war between the two countries, at a time when the White House is trumpeting growing U.S. energy export prowess.China included LNG for the first time in its list of proposed tariffs on Friday, the same day that its biggest U.S. crude oil buyer, Sinopec, suspended U.S. crude oil imports due to the dispute, according to three sources familiar with the situation.On Friday, China announced retaliatory tariffs on $60 billion worth of U.S.
Gas Production at Egypt's 9B Field to Begin in October - Minister
Production of natural gas from two deepwater wells at Shell's West Nile Delta field 9B in Egypt will begin in the first half of October, the country's petroleum minister said on Friday.Tarek El Molla said in a statement the whole project, which includes several other wells being dug and linked to production, was set for completion in the second half of 2019 and that its output aims to reach 400 million cubic feet per day.The statement did not say how much gas the first two wells would initially produce.Egypt plans to become…
Croatia Extends LNG Terminal Gas Bidding Deadline
A deadline for bids on output from a planned offshore liquefied natural gas (LNG) terminal to be built on Croatia's northern Adriatic island of Krk has been extended until Sept. 28, developers LNG Croatia said on Friday.Demand will dictate the capacity of the 250 million euro terminal, which is part of EU-led efforts to diversify away from Russian energy imports.The deadline on bidding for output was Aug. 3 but was delayed on requests from potential customers who are still in negotiations, LNG Croatia said.The European…
NYK Line and Partners Set Up Second LNG Bunkering Project
NYK Line has signed a memorandum of understanding with Kyushu Electric Power, Saibu Gas, and The Chugoku Electric Power for joint discussions on the commercialization of a new business to supply liquefied natural gas (LNG) as a marine fuel to ships in the Setouchi and Kyushu areas of western Japan.This is the second LNG bunkering project NYK Line is engaged in after investing in an LNG bunkering vessel with "K" Line, Chubu Electric, and Toyota Tsusho Corporation."The demand for LNG as a marine fuel, a practical alternative to heavy fuel oil because of its relatively low emission of air polluting substances and greenhouse gases…
Texas Pipeline Blast Injures 7, Explosions Probed
Authorities on Thursday morning were investigating what caused a fire and a series of natural gas pipeline explosions on Wednesday in Midland County, Texas, which sent seven people to the hospital and shut down five lines before being extinguished late in the evening.Workers and firefighters were responding to a leak when the blast occurred, Midland County Fire Marshal Dale Little said on Thursday.Five workers with critical injuries were airlifted to University Medical Center in Lubbock, Texas, and were being treated at the center's burn unit…
Gunvor Opening London Trading Office, Closes Bahamas
Global energy trader Gunvor Group is opening its first London office while also closing its trading desk in the Bahamas to increase efficiency in North America, sources familiar with the matter said.Gunvor had recently recruited a natural gas trading team for London, the sources told Reuters, adding that the Switzerland-based firm briefly had one trader in London a few years ago but this latest push was on a larger scale.Natural gas accounted for 23 percent of Gunvor's traded volumes last year while crude oil accounted for 30 percent.
Bad Weather Stalls Bangladesh FSRU Hook Up
A vessel that arrived in Bangladesh in April to offload its maiden cargo of liquefied natural gas and moor permanently as an import terminal should begin operations "within a week" after bad weather hampered its start-up, an official said on Thursday.The floating storage and regasification unit (FSRU) will allow Bangladesh to import LNG for the first time as its domestic gas production falls and will boost several power projects in a nation where 30 percent go without electricity.Since its arrival at Moheshkhali, near Cox's Bazar in southeast Bangladesh…
MOL Takes Delivery of LNG Schneeweisschen
Mitsui O.S.K. Lines (MOL) announced that the LNG carrier, LNG Schneeweisschen, jointly ordered by MOL and Itochu Corporation was delivered on July 31st at the Okpo shipyard by Daewoo Shipbuilding & Marine Engineering (DSME) in South Korea.The 180,000 cbm newbuilding has entered in to a Transportation Service contract for several voyages with Uniper Global Commodities, 100% owned by one of the largest European gas and electricity companies, Uniper SE.The LNG Schneeweisschen features two new technologies - the slow-speed two-stroke engine (X-DF) made by Winterthur Gas & Diesel…
Trump Bets on New European LNG Terminals
U.S. President Donald Trump expects the European Union to fund 9 to 11 liquefied natural gas (LNG) ports to absorb "vastly" more shipments from the United States but current EU investment in new projects will only help open small markets.In a White House press conference with Italian Prime Minister Giuseppe Conte late on Monday, Trump said part of the U.S.-EU trade talks sought to expand America's reach into the continent's gas markets which were awash in Russian supply."And we are already talking to the European Union about building anywhere from 9 to 11 ports…
China's New Shenzhen Terminal Receives First LNG Cargo
China National Offshore Oil Company (CNOOC) started operating a new import facility in southern China for liquefied natural gas (LNG), state media reported on Wednesday.The terminal in the city of Shenzhen, near Hong Kong, on Wednesday received a 93,000-tonne LNG cargo from Qatar, Securities Daily reported, making it the state firm's ninth LNG terminal in operation.The new facility has four tanks each sized 160,000 cubic meters and a berth able to dock 266,000 cubic-meter tankers, with annual handling capacity of 4 million tonnes, according China Environment News.CNOOC's press office was not available for immediate comment.CNOOC in the same city a
Gas Production Begins at Ichthys LNG Project
Inpex Corp said on Monday it has begun producing gas at the $40 billion Ichthys liquefied natural gas (LNG) project off northern Australia, a major milestone for the long-delayed project."The project expects to begin the shipment of products towards the end of the first half of the current fiscal year," Inpex said in a statement. The first half ends in September.Condensate will be shipped first, followed by LNG, Inpex said.(Reporting by Sonali Paul)
Bureau Veritas Issues New FSRU Guidelines
Bureau Veritas has issued new and updated notations and guidance to support the construction and operation of both Floating Storage and Regasification Units (FSRUs) and Floating Storage Units (FSUs).Interest in FSRUs and FSUs is growing as floating gas terminals offer operational flexibility, reduced timescales, from concept to operation, and cost effectiveness in comparison with onshore terminals. Additionally, converting existing liquefied natural gas (LNG) carriers offers a fast route to operational availability. There are more than 20 LNG carriers presently in laid-up condition…
Wison Wins FEED Contract for Canadian FLNG Project
Wison Offshore & Marine announced it has been awarded a contract to carry out front-end engineering design (FEED) for a proposed floating liquefied natural gas (FLNG) project sited in British Columbia, Canada.Wison said it has entered into a Technical Service Agreement (TSA) with the project’s developer Western LNG LLC, pursuant to which Wison will develop the basis of design (BOD) and carry out FEED wordk. Western also appointed Wison as the EPC service provider for the floating liquefaction plant upon project FID.Under the terms of the TSA…
Middle East Oil & Gas Shipping Routes are at Risk
Saudi Arabia said on Thursday it was suspending oil shipments through the Red Sea after Yemen's Iran-aligned Houthis attacked two crude tankers, underscoring risks caused by the conflict in the world's top oil exporting region.Iran, in its row with the United States over sanctions, has also threatened to block the Strait of Hormuz, the other major strategic shipping route for oil from the region and the main route for Iranian crude exports.Below are facts about region's shipping routes:Bab al-MandebAny move to block the Bab al-Mandeb…
Rosneft suing Exxon-led oil project over dispute between neighbours
Russian oil major Rosneft's $1.4 billion lawsuit against the ExxonMobil-led Sakhalin-1 consortium relates to a row over how oil should be shared between the Sakhalin-1 concession and an adjacent Rosneft field, court papers show.Rosneft filed the suit in the Sakhalin district arbitration court in Russia's far east, accusing the consortium of unjust enrichment, an allegation the consortium denied. Rosneft did not disclose the exact nature of the dispute.According to court documents reviewed by Reuters on Tuesday, the court asked Rosneft to present documents related to an agreement over the "cross-flows" of oil from the Northern Chayvo oilfield…
Plans for Another South Australia LNG Import Plant in the Works
A private firm is looking to import liquefied natural gas (LNG) to South Australia starting in 2020, around the same time as two other proposed import projects, looking to fill a supply gap as domestic gas gets sucked into LNG exports.Venice Energy, set up by former BHP Billiton executives, plans to submit a development application to the South Australian government within the next month to park a floating storage and regasification unit (FSRU) in Port Adelaide, Managing Director Kym Winter-Dewhirst said.If regulatory approvals come through by March, construction could begin by June 2019, he told Reuters in an interview.
Ice-Breaking LNG Carrier Vladimir Rusanov First Call at PetroChina LNG Jiangsu Terminal
Mitsui O.S.K. Lines (MOL) announced that the Ice-Breaking LNG Carrier "Vladimir Rusanov", which is jointly owned by MOL and China COSCO Shipping Corporation Limited for the Yamal LNG project, made its first call at PetroChina LNG Jiangsu Terminal in China on 17 July.A ceremony celebrating this milestone was held on 19 July.At the end of March 2018, the vessel started transportation services for LNG produced by the Yamal LNG plant at Sabetta port in Russia. For its latest voyage, the vessel departed from Sabetta port on 25 June…
S.Korea LNG Imports Set to Ease from Record
South Korean imports of liquefied natural gas are set to ease from record levels racked up in the first-half of the year, with appetite for the fuel from utilities seen fading as a raft of nuclear power stations come back online.The country's imports of the commodity jumped nearly 16 percent year-on-year to a record 22.7 million tonnes in the first six months of 2018, according to customs data in mid-July, boosted by demand from power firms as around half the nation's 24 nuclear plants were shut for maintenance.But with an average of only six reactors expected to be offline over the rest of the year…
Japan's LNG Imports Slide to Lowest Since May 2016
Japanese imports of liquefied natural gas (LNG) in June fell to the lowest in more than two years as the country's utilities switched on more nuclear reactors that had been shut in the wake of the Fukushima atomic disaster in 2011.Japan has six reactors operating and three others have passed safety inspections and could be operating by October, allowing utilities to switch away from LNG. Spot prices for the fuel rose to three-and-a-half-year high in June.Japan, the world's biggest importer of LNG, brought in 5.55 million tonnes of the fuel in June, down more than 10 percent from a year earlier, official data showed on Wednesday.
Socar's Oil Trading Arm Rolls Back Expansion After Weak Profits
Azerbaijan's Socar is refocusing its trading arm's activities on LNG and its new Turkish refinery while winding down less profitable trades as it feels the sting of weak profits, sources familiar with the matter said.Many trading houses had weaker performances in 2017 due to a less lucrative, backwardated market structure for much of the year and relatively low volatility.Geneva-based Socar Trading also was stung, costing its chief executive Arzu Azimov his job.The firm was set up in 2007 and has become a global player in the last few years, having previously been only a marketer of its country's crude, Azeri Light.
For the Global LNG Industry, is the FSRU Honeymoon Over?
A giant vessel docked at the port of Moheshkhali in Bangladesh two months ago, propelling the populous but poor nation into the fast-expanding club of liquefied natural gas (LNG) buyers.The Excellence is the latest floating storage and regasification unit (FSRU), a type of carrier that has proliferated since 2015 as many countries switch to a cleaner and increasingly cheaper fuel than oil and coal.But the young FSRU industry has been beset by more project delays than successes in the past 12 months as fluctuating energy prices…
Spanish LNG Cargoes Set for Export from Gas Terminals
The following table lists liquefied natural gas (LNG) cargoes set to be loaded on tankers for onward export.Spain is Europe's most diversified gas importer and has the continent's biggest LNG import capacity spread across its six terminals, sourcing LNG from Qatar, Nigeria, Trinidad, Algeria and other producers.Imported cargoes are stored in tanks located at terminals, where the LNG can either be regasified and pumped into the local grid or loaded on to new tankers for export.PortLoading window dateVolume (in cubic meters)TankerBBGJuly 11-1395,000UnknownBarcelonaJuly 13-15159,000UnknownBarcelonaJuly 23175,000 UnknownSource: Enagas(Bengaluru Commod
Exxon Expands Mozambique LNG Project to Cut Costs
Exxon Mobil will expand its Rovuma liquefied natural gas (LNG) project in Mozambique by half to cut production costs as the partners prepare to book the plant's supply and formally tap lenders in September, the company told Reuters.The U.S. oil giant took charge of the East African LNG project's onshore operations following a $2.8 billion deal with Italy's Eni last year, adding to its suite of projects in Qatar, Papua New Guinea, Russia and the United States.It now aims to build the world's biggest liquefaction units, or trains…
Inpex to Ship First Ichthys LNG Cargo by End of September
Inpex said it expects to ship first cargo from its Ichthys liquefied natural gas (LNG) project in Australia by the end of September after safety issues have been resolved, maintaining an earlier schedule.Australian regulators had discovered safety issuess on the Ichthys offshore gas platform and was considering enforcement action.The Inpex-operated Ichthys LNG project carried out an inspection mainly on electrical equipment during the process of final safety verifications in cooperation with Australian regulators, in preparation for the start-up of production.
Pertamina Ends 'Unfeasible' LNG Terminal Project
Indonesia's state owned energy holding company, Pertamina, has decided not to go ahead with what would have been the country's second land-based receiving terminal for liquefied natural gas (LNG), its chief executive said on Monday.Indonesia has forecast sharp increases in gas demand after 2020, but increases in domestic consumption of the super-cooled fuel have been hampered by an abundance of cheap coal and sluggish development of gas infrastructure."Today we are not going ahead, because it is not yet feasible to continue…
Oil Mixed as Investors Short-cover and Saudi Boosts Output
On July 6th, 2018, oil was mixed with short-covering, pushing up U.S. crude futures while Brent slipped on global trade tensions and increased Saudi production. West Texas Intermediate (WTI) crude futures gained 61 cents to $73.55 by 11:30 a.m. Global benchmark Brent was down 39 cents at $77 a barrel. For the week, WTI was on track for a loss of about 0.4 percent while Brent was down about 3 percent. "We have a little bit of a rally that's materialized" for WTI, said Bob Yawger, director of energy futures at Mizuho in New York. The rally appears to be a "short covering situation - we were down almost 2 percent yesterday," said Yawger. U.S.
Japan's First LNG Bunkering Vessel to Launch in 2020
Kawasaki Kisen Kaisha, Chubu Electric Power, Toyota Tsusho, and Nippon Yusen KK said on Friday that their joint venture has placed an order for a liquefied natural gas (LNG) bunkering vessel with Kawasaki Heavy Industries. The vessel, which is scheduled to be delivered around September-December 2020, will be the first LNG bunkering vessel to be operated in Japan, the companies said in a statement. The companies plan to start supplying LNG to vessels as fuel in the Chubu region in central Japan. LNG is seen as an alternative to bunker fuel oil for shipping lines facing a 2020 deadline to meet new international standards on sulphur emissions.
Why Trump is Pressing Saudis to Lower Oil Prices: Kemp
The United States and Saudi Arabia appear to have reached an understanding: Washington will reduce or eliminate Iran’s oil export revenues and in return Riyadh will guarantee oil supplies and stabilise prices. The basic deal is well understood by policymakers in both countries, with U.S. President Donald Trump repeatedly emphasising his great personal relationship with the Saudi king and crown prince. But strong personal relationships between the leaders and agreement on the overall deal obscure disagreement on some key details, not least the desirable level for oil prices.
China Keeps LNG off Tariff List - for Now
China embroiled in festering trade dispute with United States even as Chinese imports of U.S. LNG expected to surge -Morgan Stanley. China's omission of liquefied natural gas (LNG) from its vast list of U.S. products that face hefty import duties from Friday has preserved a potential weapon should the trade war with Washington deepen. It also underscores Beijing's desire to ensure supplies of gas as it pushes to switch millions of households and businesses away from using coal as a key part of its 'war on pollution'. China will on Friday impose tariffs on $34 billion of U.S.
Harvey Gulf Emerges From Chapter 11 Proceedings
Harvey Gulf International Marine announced that it has completed its financial restructuring and emerged from Chapter 11 Bankruptcy proceedings. This marks the completion of the Plan of Reorganization approved by the bankruptcy court, 77 days following Harvey Gulf’s prepackaged filing. Under the reorganization, Harvey Gulf has shed approximately $1 Billion in debt and emerges with a dramatically de-leveraged balance sheet. Additionally, the Company has kept its commitments to its trade vendors, paying all unsecured claims in full.
Taiwan to Purchase LNG from U.S. Producer
Taiwan's CPC Corp on Monday announced a preliminary deal to buy liquefied natural gas (LNG) from U.S. producer Cheniere Energy for 25-years, according to a statement. CPC, a major importer of LNG, signed a Heads of Agreement to purchase 2 million tonnes of LNG annually from Cheniere, which is gearing up to start exports from its second U.S. export plant at Corpus Christi, Texas. Cheniere started exporting LNG from its Sabine Pass plant in Louisiana in 2016. Reporting by Oleg Vukmanovic
CNOOC to Build $2.17B LNG Terminal
China National Offshore Oil Company, or CNOOC, plans to build a receiving terminal of liquefied natural gas in the eastern province of Jiangsu- expected to cost $2.17 billion, local media reported .The project, located in the city of Yancheng, will include a berth to anchor 100,000 ton vessels, land-based storage and a pipeline grid.
Oil Responds to U.S. Sanctions on Iran
U.S. sanctions on Iran to remove crude oil from market; oil markets tight on supply losses in Libya, Venezuela. Oil prices climbed on Friday as U.S. sanctions against Iran threatened to remove a substantial volume of crude oil from world markets at a time of rising global demand. Benchmark Brent crude jumped $1.49 to a high of $79.34 a barrel before easing back to around $78.75 by 1230 GMT. U.S. light crude was unchanged at $73.45. On Thursday, the U.S. oil futures contract hit its highest since November 2014 at $74.03 per barrel.
Gazprom: 'Piped' Gas Always Cheaper for EU than U.S. LNG
Natural gas piped from Russia to Europe will always be cheaper than importing U.S. liquefied natural gas, the CEO of Russian gas producer Gazprom Alexei Miller said on Friday. He also said the United States will never beat Russia in gas supplies to Europe. The company's exports to Europe could reach 205 billion cubic metres (bcm) in 2018 or more, he said. Reporting by Oksana Kobzeva
Novatek, Sovcomflot Pact for LNG Shipping from Yamal LNG
Leonid Mikhelson, Chairman of the Management Board of PAO Novatek and Sergey Frank, General Director of PAO Sovcomflot have signed a Strategic Cooperation Agreement on developing a strategic partnership to transport hydrocarbons (LNG and gas condensate) produced at Yamal LNG, Arctic LNG 2 and other Arctic projects of the Company. “Our unique partnership with Sovcomflot will optimize our LNG transport model through the Arctic zone by efficiently and effectively using ice-class tankers” according to Novatek's Chairman of Management Board Leonid Mikhelson.
Icahn Cuts Stake in Cheniere
Activist investor Carl Icahn has reduced his stake in energy company Cheniere Energy Inc to 9.5 percent, and said he was confident in the company's management and Chief Executive Officer Jack Fusco. Icahn, still the biggest shareholder of the company, had disclosed a stake of 13.8 percent in Cheniere in December 2015.
Sempra Energy to Shed U.S. Storage, Renewable Assets
U.S. utility Sempra Energy said on Thursday it plans to sell some of its natural gas storage and renewable energy assets and expects to record a charge between $1.47 billion and $1.55 billion during the second quarter. Earlier this month, activist investors Elliott Management and Bluescape Resources Co, who have a combined stake of 4.9 percent in Sempra, pushed for a board shakeup and strategic review at the company. The activist investors presented the company with a plan to sell its international business lines and split into two companies through a tax-free spinoff - one focused on utilities and the other on natural gas infrastructure.
Woodside Mulls Texas Sempra LNG Exit
The chief executive officer of Woodside Petroleum Ltd said on Tuesday that Australia's biggest independent oil and natural gas company will soon decide whether to continue to invest in Sempra Energy's Port Arthur liquefied natural gas (LNG) export project in Texas. "We've got to make some decisions pretty soon about our continued pursuit (of Port Arthur) with Sempra," said Coleman, noting that Woodside has been paying part of the project's development costs. "What we've been doing is just paying our way (with Port Arthur), and whether that is going to give us an adequate return, I would say today that is very challenged," Coleman said.
Oil Rises on Supply Losses, U.S. Push to Isolate Iran
U.S. tells countries to cut Iran crude imports to zero as Canada supply disruption and Libya uncertainty push up crude. Oil prices rose on Wednesday on supply disruption in Canada, falling U.S. crude stocks, uncertainty over Libyan exports and U.S. demands that importers stop buying Iranian crude from November. Brent crude was up 65 cents a barrel at $76.96 by 1155 GMT. U.S. light crude was 65 cents higher at $71.18. "Fundamentals still remain favourable for oil prices to rise over the next six months," said BNP Paribas senior oil strategist Harry Tchilinguirian.
Trelleborg Solutions to FSRU-Based LNG Terminal
Trelleborg’s marine systems operation has supplied a suite of products to H-Energy’s Floating Storage Re-gasification Unit (FSRU) based LNG terminal at JSW Infrastructure’s Jaigarh Port in Ratnagiri District, Maharashtra. Developed in accordance with industry leading engineering and safety standards and an annual capacity of 4 MMTPA, H-Energy’s LNG Terminal will offer storage, re-gasification, re-loading, fuel bunkering and truck loading facilities to cater to the growing energy demand of Indian industries. When operational in Q4 2018…
Total, Singapore's Pavilion Energy Sign LNG Ship Fuel Supply Chain Deal
Total and Singapore's Pavilion Energy have signed a non-binding deal through their subsidiaries to develop a liquefied natural gas (LNG) bunker supply chain in the port of Singapore, the companies said in a joint statement on Tuesday.Total Marine Fuels Global Solutions, the French oil major's affiliate in charge of worldwide ship fuelling, or bunkering, activities, and Pavilion Gas signed a heads of agreement which covers the shared long-term time charter of a new generation LNG bunker vessel to be commissioned by Pavilion Gas by 2020…
MOL's FSRU Challenger for Hong Kong LNG Terminal Project
Mitsui O.S.K. Lines (MOL) announced that MOL, has entered into a preliminary agreement to supply a Floating Storage and Regasification Unit (FSRU), as well as Jetty Operation & Maintenance Services for the Hong Kong Offshore LNG Terminal Project on a long term contract. MOL will utilize the "MOL FSRU Challenger" built in 2017 with a storage capacity of 263,000m3 which remains the largest FSRU in the world today, to provide services to the Hong Kong Offshore LNG Terminal Project. The FSRU was constructed at Daewoo Shipbuilding & Marine Engineering Co., Ltd. in South Korea and is currently employed on a mid-term charter for a project in Turkey.
Offshore Energy: LR Supports Mozambique FLNG Project
The scope of work that LR is undertaking covers design, procurement, certification, construction, integration and commissioning, as well as providing classification services under a risk based inspection regime to the FLNG when it enters into service in 2022.The Coral South field is being developed by Eni in Area Four of the Rovuma Basin, off the coast of Mozambique. The floating liquefied natural gas (FLNG) unit will be Africa’s first floating gas facility. The size, quality and position of the field’s resources are set to transform Mozambique’s economy.
Russia's Novatek, S.Korea's Kogas Sign LNG Agreement
Russian energy company Novatek and South Korea's state-run Korea Gas Corp (KOGAS) signed an agreement on liquefied natural gas (LNG) cooperation after talks between Russian President Vladimir Putin and his South Korean counterpart, Moon Jae-in, on Friday.After the signing of the agreement, Putin said South Korean firms may join Novatek's Arctic LNG project. Reporting by Denis Pinchuk and Polina Nikolskaya; Writing by Tom Balmforth
Croatia Reopens Bidding for LNG Terminal Capacity
LNG Hrvatska launched a second round of bidding for potential operators of an offshore liquefied natural gas (LNG) terminal in Croatia's northern Adriatic on Friday, after the previous round drew little interest.Last week, Croatia's parliament passed a law to enable the construction of the terminal, part of a European Union drive to diversify away from Russian gas imports.The project, which will be built on the island of Krk will be partly funded by the EU but has been criticised by environmental groups and local councils.LNG Hrvatska…
LNG to Benefit Philippines, Says ADB Energy Expert
The Philippines stands to benefit from introducing liquefied natural gas (LNG) to support power generation and making it part of its energy mix, the government's Philippine News Agency reported quoting an energy sector expert for the Asian Development Bank (ADB). “Right now and the foreseeable future, natural gas and LNG is much cheaper today compared to two to three years ago, so there is a chance for the Philippines and for the countries in Asia to benefit from LNG and this is window of opportunity I think,” ADB chief of energy sector group Dr. Yongping Zhai said in an interview on Thursday.
Thick Sea Ice Blocks Exports from Yamal LNG Plant
Thick sea ice is impeding Arctic shipments of liquefied natural gas (LNG) from Russia's newly-built export plant in Yamal, Russia's state-run nuclear-powered tanker company Rosatomflot said.Unseasonably severe ice conditions are also clogging routes to Asia through the Northern Sea Route (NSR), leading to the extension of the winter-spring navigation of Atomflot's nuclear ice-breakers, it said.The Novatek-operated LNG facility's fleet of LNG ice-breaking tankers aim to deliver gas to Northeast Asia along the NSR in summertime when ice sheets thin.In winter…
Russia's Yamal LNG Ships First LNG Cargo to Spain's Fenosa
Russia's Yamal LNG plant said on Thursday it had shipped a first gas cargo to Spain's Gas Natural Fenosa.According to the 24-year offtake contract, Yamal, controlled by Russia's Novatek, is set to ship 2.5 million tons of LNG annually, which equals more than 3 billion cubic meters of natural gas.Russian pipeline gas is not supplied to Spain.Reporting by Denis Pinchuk
LNG Imports Climb at CNOOC's Zhejiang Terminal
CNOOC's Zhejiang terminal will receive 5 million tonnes of liquefied natural gas in 2018 up from 3.58 million tonnes last year, CNOOC Gas and Power Co said on Thursday.The Zhejiang terminal located in Ningbo in Zhejiang province has unloaded 33 LNG tankers as of June, or 2.3 million tonnes, up 94 percent from the same period last year, CNOOC Gas and Power said.Storage tanks linked to the terminal are nearly full, CNOOC said.The terminal is a supply hub of LNG for Zhejiang province in eastern China where gas consumption is surging as households switch to gas for winter heating.(Reporting by Meng Meng and Aizhu Chen; editing by Jason Neely)
Shell Sells $1.3 Billion of Oil and Gas Assets
Royal Dutch Shell announced the sale on Wednesday of oil and gas assets in Norway and Malaysia for over $1.3 billion, bringing it closer to a target of $30 billion in disposals by year-end.The Anglo-Dutch company agreed to sell to OKEA, a Norwegian producer backed by private equity firm Seacrest Capital, its 45 percent interest in the Draugen Norwegian offshore field and a 12 percent in the Gjoa block for a total of $566 million, the two companies said.Earlier, Shell announced the completion of the sale of a 15 percent stake in Malaysia LNG (MLNG) Tiga to the Sarawak State Financial Secretary for $750 million.Shell committed to the ambitious three
GasLog Partners Signs New Charter Agreement with Cheniere Energy
GasLog Partners announced that it has entered into a new multi-year time charter for the GasLog Sydney with a wholly owned subsidiary of Cheniere Energy scheduled to commence in 2018. The charterer has options to extend the charter for up to two consecutive periods at escalating rates. GasLog Sydney is a 155,000 cbm tri-fuel diesel electric liquefied natural gas (LNG) carrier built in 2013 and currently on a multi-year time charter with a wholly owned subsidiary of Royal Dutch Shell plc through September 2018. The vessel…
Panama Imports Its First LNG Cargo
Panama has imported its first liquefied natural gas (LNG) cargo to commission the newly built $1 billion Costa Norte facility and power plant at Colon, expected to be a launch-pad for LNG trade across Central America.Many utilities in Central America and the Caribbean remain reliant on burning oil to generate electricity, but LNG offers a cleaner, cheaper and more efficient alternative.Shipping data shows the Engie-chartered Provalys tanker arrived last week, carrying a cargo exported from the Sabine Pass plant in Louisiana in March.AES Panama, a unit of U.S.
Feedgas Flows into Sabine Pass LNG Export Plant Drop Again
Feedgas supplies into Cheniere Energy's Sabine Pass liquefied natural gas (LNG) export plant in Louisiana fell again after recovering briefly following a month-long maintenance shutdown affecting one of three production units, data showed on Tuesday.Input levels on the three pipelines serving the facility showed feed levels had fallen to 2,180 million cubic feet/day (mcf/day) on Tuesday after a fall and briefly recovering to a high of 2,860 mcf/day on Saturday.Current inflow levels suggest that the expected restart of the plant's third liquefaction train, or unit, had suffered a setback.Cheniere was not available for immediate comment.(Reporting b
Trafigura Signs Second Storage Deal with Singapore LNG Corp
Commodities trader Trafigura has signed a second deal with Singapore LNG Corp, operator of the city-state's first liquefied natural gas (LNG) terminal, for storage and reload services, the two companies said on Monday.Under the agreement, which was signed on May 30, Trafigura will have access to 160,000 cubic meters of firm LNG storage capacity on a segregated basis for the next 24 months, they said in a joint statement.It is the second such agreement that Trafigura has signed to use excess LNG storage capacity at SLNG's terminal on Jurong Island off western Singapore.
Centrica, Tokyo Gas Break Mold in Mozambique LNG Deal
Britain's Centrica and Japan's Tokyo Gas aim to buy liquefied natural gas (LNG) from Anadarko Petroleum's $20 billion project in Mozambique, the first joint procurement deal designed to defuse risks facing the buyers in their respective markets.The deal also brings Anadarko one step closer to constructing its East African LNG project just as it corrals $14 billion to $15 billion from banks and export credit agencies for the 17,000-acre liquefaction complex in Mozambique's remote north.Lenders require Anadarko to fix at least 8.1 million tonnes (mt) of the project's 12.88 mt total annual output in long-term sales deals to guarantee project revenues
ExxonMobil Considers Importing LNG to Australia
ExxonMobil Corp, southeastern Australia's biggest gas supplier, is considering importing liquefied natural gas (LNG) to help plug a looming gas shortage from 2021 and protect its market share.The move would compete with plans by both Australia's no.2 energy retailer AGL Energy to start importing LNG by 2021 and a consortium involving Japan's JERA to start imports from 2020.ExxonMobil is also stepping up exploration off the coast of Victoria and considering developing a gas field called West Barracouta close to an existing field…
GTT Studying Gravity Based Systems for LNG Projects
French engineering company GTT said it has been assigned by two major companies to carry out Front End Engineering Design (FEED) studies on new Gravity Based System (GBS) projects for separate linquefied natural gas (LNG) projects.The first one, signed with an European EPC, concerns a large LNG liquefaction project comprising several concrete caissons with several liquid gas membrane tanks, while the second concerns a smaller and metallic GBS project conducted with an Asian partner for providing energy to an island.The…
Enbridge Starts Valley Crossing Natgas Pipe Work at Tex-Mex Border
Canadian energy company Enbridge Inc said it started construction of the offshore border crossing section of its $1.6 billion Valley Crossing natural gas pipeline between Texas and Mexico, according to a federal filing made available on Wednesday.The 168-mile (270-kilometer) Valley Crossing project is designed to carry up to 2.6 billion cubic feet per day (bcfd) of gas from Texas to help Mexico meet its growing power needs as generators there shift away from fuel oil and imported liquefied natural gas.One billion cubic feet is enough to fuel about five million U.S.
Shell Feeds Gas to Australia's New Prelude FLNG
Royal Dutch Shell has introduced gas to its 490 meter (1,600 ft) long Prelude floating liquefied natural gas (FLNG) unit as part of the cooling process before start-up, a spokeswoman told Reuters on Wednesday.Gas was fed to the unit from liquefied natural gas (LNG) carrier Gallina, she said.
AGL Energy Inks Deals for LNG Import Jetty
Australian power producer AGL Energy said on Tuesday it has signed two agreements for its planned liquefied natural gas (LNG) import terminal at Crib Point in the southeastern state of Victoria.The first is with pipeline firm APA Group to develop and construct the Crib Point Pakenham pipeline, and transport gas from the proposed LNG terminal to the domestic market, AGL said.The second is with the Port of Hastings Development Authority for the long-term use of Crib Point Jetty berth 2 to moor the floating storage and regasification unit (FSRU).Both are subject to a final investment decision to be made on the terminal by the financial year 2019.The
Nine People Injured in China Gas Pipeline Blast
A gas pipeline exploded late on Sunday in China's southwestern province of Guizhou, seriously injuring nine people, official news agency Xinhua reported on Monday.The blast occurred on a pipeline owned by PetroChina at Jiangbaying, near Shazi in Guizhou province, Xinhua said. No deaths had been reported.The route is a domestic extension of a Myanmar-China gas pipeline.After the explosion at 11.20 pm (1620 GMT), automatic control systems closed the pipeline, Xinhua said.
Sibur Says New Gas Chemical Complex Will Cost up to $8 Bln
Russian petrochemical company Sibur said its plans to build a gas chemical complex in Russia's Far East will require preliminary investments of up to $8 billion and it is still looking for Asian partners.Sibur said a year ago that it had been in talks with a number of Chinese investors about participating in the project to build the complex in Amur.Sibur's Chief Executive Officer Dmitry Konov told Reuters in a recent interview, that the company, Russia's largest petrochemicals company, was still talking to investors, without giving details on their progress."We look at the implementation of the Amur complex as a joint venture…
New LNG Contract Framework to Spur 'Oil-like' Trading Model
Introduction of GTC contracts could spur trading, cut costs; traders say existing system inefficient and tedious. A new umbrella contract meant to streamline trading of liquefied natural gas (LNG), bogged down in red tape and wrangling over terms, could boost liquidity, draw in new entrants and speed up the market's transition to an oil-like model. Already a mainstay of crude oil and pipeline gas trading, general terms and conditions (GTCs) provide a framework that traders can opt into by reference, scrapping the cumbersome system which currently sees LNG bought and sold through a web of bilateral master sales agreements (MSAs).
TechnipFMC Awarded Pluto Contract
TechnipFMC said it has been awarded a contract by Woodside to upgrade the Pluto Platform Offshore for water treatment, located offshore Western Australia.The contract includes the engineering, procurement, construction, installation and commissioning (EPCIC) of the Pluto Water Handling Module. This module, to be installed on the existing Pluto Alpha Gas Production Platform, will consist of facilities for water separation and treatment, together with upgraded power generation units.Nello Uccelletti, President of TechnipFMC's Onshore/Offshore business…
Explosion on TransCanada WV Gasline Section Contained
An explosion on a TransCanada Columbia Gas Midstream pipeline outside Moundsville, West Virginia early on Thursday has been contained, according to a local media report. No employees were at the site of the explosion and no homes were in danger, the Intelligencer reported on its news website, citing Roberts Ridge Volunteer Fire Department chief Robert Jones. TransCanada Corp was not immediately available for comment.
Phoenix Petroleum, CNOOC Partner for LNG Terminal
Philippine fuel retailer Phoenix Petroleum said it had agreed to partner with a subsidiary of state-owned China National Offshore Oil Corp (CNOOC) to explore building a receiving terminal for liquefied natural gas in the country.The Philippines is seeking investors to build a storage and distribution facility for imported LNG as it moves to replace its Malampaya gas reserves, expected to be depleted by 2024.Phoenix Petroleum, owned by a local businessman who helped bankroll President Rodrigo Duterte's 2016 election campaign…
Cheniere's U.S. LNG Outage Spurs European Reload Activity to Asia
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 from three pipelines serving the facility.The plunge reflects an outage at the plant's third liquefaction train, traders said.
GTT to Equip FSRU Newbuild
GTT has received an order notification from South Korean shipyard Hyundai Heavy Industries (HHI) to equip a new floating storage and regasification unit (FSRU) with its Mark III cryogenic membrane containment system.The FSRU of 170,000 m3 will be built on behalf of a European ship-owner. Its delivery is scheduled in 2020."We are very pleased to pursue our long-term partnership with HHI through this project," commented Philippe Berterottière, Chairman and CEO of GTT. "FSRU are the prime solution chosen by operators as they constitute an economical alternative to onshore storage terminals and offer a higher flexibility…
New LNG Import Terminal Planned at Port Kembla
A consortium including Japan's JERA Co and Marubeni Corp aiming to ship liquefied natural gas (LNG) to Australia's east coast has chosen a site south of Sydney at Port Kembla for an import terminal, it said on Monday.The project will allow access to a new gas supply for local industries in New South Wales state by 2020, the consortium, Australian Industrial Energy (AIE), said in a statement.AIE also includes iron ore magnate Andrew Forrest's Squadron Energy. Top global LNG buyer JERA is a joint venture of Tokyo Electric Power Co and Chubu Electric Power Co.This is Australia's second proposed LNG import terminal.
China's LNG Trucking Capacity to Double by 2025
China's liquefied natural gas (LNG) trucking capacity will double to 38 million tonnes by 2025, consultancy Wood Mackenzie said in a report on Monday.The flexibility offered from delivering LNG by truck will help offset a lack of infrastructure such as pipelines, storage and regasification units, the consultancy said.Wood Mackenzie estimated the country's gas consumption would reach 264 billion cubic metres in 2018, with 12 percent of that delivered by trucks.While gas demand is expected to remain healthy this year, the next winter shortage will not be as severe as last season, Wood Mackenzie said.(Reporting by Meng Meng and Aizhu Chen Editing by
East China LNG Terminal Records 93% Sales Increase
A liquefied natural gas (LNG) import terminal in east China operated by China National Offshore Oil Company, or CNOOC, recorded an increase of 93 percent in gas sales in the first five months of this year, the state oil company said on Monday,CNOOC's LNG sales from the Ningbo terminal in Zhejiang province hit 2 million tonnes by the end of May, nearly doubling the amount from a year ago, according to a statement posted on CNOOC's website.The gas sales are expected to head higher in the coming few months as demand for the fuel rises with hotter summer temperatures.The report did not give a breakdown for sales via pipeline and LNG trailers, the latt