In this issue

 

The Penco-Lirquen LNG import project in the South American nation of Chile, with plans to ship US cargoes from Texas, has had its environmental permits suspended by the Chilean Supreme Court because of a breakdown in communication with indigenous people in the area. 

Israeli East Mediterranean company Delek Group, with plans to supply natural gas to Jordan, Israel, Egypt and the Palestinian Authority has signed an agreement to acquire Canadian company Ithaca Energy for US$525 million. 

Our North America editor in New York

The US Center for Liquefied Natural Gas, the trade association for LNG producers, shippers and terminal operators and developers, said the nation was now currently awash with natural gas and would have no problem meeting domestic needs as well as rising LNG exports. 

Williams Partners, the US pipeline company, said regulators have authorized the Atlantic Sunrise expansion project, an expansion of the existing Transco gas pipeline to connect abundant Marcellus shale-gas supplies with markets in the Mid-Atlantic and Southeast US where LNG export plants are being developed. 

Our Asia-Pacific editor

Japan said the average price of spot liquefied natural gas cargoes contracted in January jumped to its highest level in almost two years to reach $8.40 per million British thermal units, a rise of $1.30 per MMBtu compared with the $7.10 per MMBtu price logged in the same month a year ago. 

Hindustan LNG and AG&P plan to site facility in Andhra Pradesh

Our Asia editor

Atlantic, Gulf and Pacific Co. of the Philippines, the LNG infrastructure and modules supply company, has signed an accord to supply and import plant and cargoes for power stations in the East Godavari region of the state of Andhra Pradesh on the East Coast of India. 

Our Asia-Pacific editor

Marubeni Corp., the Japanese trading house and liquefied natural gas player, said it was advancing with a gas-to-power project in Indonesia that will involve the deployment of a floating storage and regasification unit (FSRU) to ship in LNG. 

Chiyoda Corp. of Japan, one of the leading global liquefied natural gas engineering and construction companies, has taken a $335 million hit on the setting up of its first subsea business in 2016. 

Our Asia-Pacific editor

Royal Dutch Shell sold more than 57 million tonnes of liquefied natural gas in 2016, though earnings from the volumes were lower and only partially offset by the start-up of the Gorgon LNG project in Australia as income from all of the Integrated Gas division dropped 27 percent to $3.70 billion from $5.05Bln in the previous year. 

The Polish national energy company has opened a trading office for liquefied natural gas in London’s Mayfair as it aims to increase its presence in global LNG trading. 

Our Americas editor

AES Corp. of the US said its LNG import terminal at Punta Caucedo in the Dominican Republic has completed modifications to enable reloading and exports of shipments to the Caribbean and Central America. 

A liquefied natural gas import joint venture backed by Excelerate Energy, the US provider of floating storage and regasification units, will give Pakistan three FSRU import facilities by the end of 2018. 

Our Europe editor

Wärtsilä, the Finnish marine propulsion and energy and gas equipment maker in the LNG sector, posted a 13 percent fall in annual profits to 479 million euros ($511M) compared with 553M euros the previous year. 

Our Asia-Pacific editor

Teekay LNG, the carrier owner with 31 vessels operating and 19 newbuilds awaited, has attended the launch at the Daewoo Shipbuilding and Marine Engineering shipyard in South Korea of its first ship for the Russian Yamal LNG project located in the Arctic region. 

News Nudges

Vitol-Gazprom LNG deal

Swiss-based global commodities company Vitol has signed a multi-year LNG purchase agreement for the Russian player Gazprom Marketing and Trading (Singapore) to supply around 300,000 tonnes of LNG per annum from 2018. The supply will come from Gazprom’s diversified LNG portfolio. “We are delighted to be working with Gazprom Marketing and Trading, a subsidiary of Gazprom, the world’s largest producer of natural gas,” said Pablo Galante Escobar, Head of LNG at Vitol. “Vitol is an established participant in LNG markets globally and this development will strengthen our offering to customers worldwide,” he added.


Spanish firm is on track

Gas Natural Fenosa of Spain, one of Europe’s main LNG players with a supply agreement at Sabine Pass in the US, has held its annual shareholder meeting in Barcelona. Chief Executive Rafael Villaseca highlighted the company’s business performance, which was above the average for comparable companies in Europe. Villaseca said that GNF last year obtained 75 percent of its gross earnings from the regulated activities of gas and electricity distribution and the remaining 25 percent from liberalized power generation and natural gas marketing activities.


ABS starts in Houston HQ

The American Bureau of Shipping, one of the leaders of the development of the LNG industry in the US, has broken ground on its new global headquarters in Houston, Texas, comprising a 10-storey building and 326,800 square feet of office space. Completion of the ABS HQ, is scheduled for the end of 2018.