In this issue

 

The Australians, supplying the largest share of China’s LNG imports at around 39 percent, expect the People’s Republic will import 86 million tons of LNG in 2022 – a slightly…
Sizable US LNG supply contracts with destination flexibility are giving Chinese buyers like Sinopec, ENN and China Gas the clout to set up LNG trading desks in Beijing, Singapore and…
The Chinese government has diversified energy imports and is boosting domestic oil, gas and coal production to keep prices under control. The People’s Republic imports more than 70 percent of…
Despite targeting Net Zero emissions by 2060, China’s gas demand is expected to rise for another two decades before peaking in the mid-2040s at above 660 bcm. Around half of China’s…
Free ReadPersuading Asia to use more coal could free up around 50 Bcm of LNG for Europe’s tight gas markets, analysts reckon. This would help Europe get a step closer to…
The almost forgotten Lake Charles LNG export project in Louisiana has been revived by Energy Transfer, owner of assets in the Permian and Haynesville Shale, thanks to two sales and…
Thursday, 07 April 2022
There were 1.15mmt of LNG on the water with destinations in China according to market visibility at the beginning of April. These cargoes had an estimated delivery horizon of 4…
Thursday, 07 April 2022
Free ReadChina's mostly LNG offtake in March amounted to 4.80mmt, our data indicated, which constituted broadly steady monthly demand compared to the 4.76mmt we recorded in February. However, Chinese demand in…
Spot LNG prices into northeast Asia have fallen after China’s Sinopec and CNOOC issued large LNG cargo sale tenders, indicating they are well-stocked amid sluggish demand. Sinopec offered two to…
Price-savvy Chinese energy importers are importing less LNG, particularly spot cargoes, as import cost are higher than domestic sales prices. These sky-high spot LNG make it impossible for China’s numerous…
Free ReadElectricity demand growth in China is forecast to exceed 8 percent in 2022, driving up global coal and LNG prices, which forces power generators to think twice whether to import…
Coal has staged a surprise return in the global power gen market in the face of sky-high LNG prices, but this phenomenon will be short-lived, the International Energy Agency (IEA) says.…
High coal and gas prices combined with a cooling economy will lower China’s electricity hunger this year, partly reversing 2021’s staggering 10.3% growth. The Asian powerhouse consumed 8,312.8 TWh of…
Russia’s state-dominated Gazprom has admitted supplies to Western Europe were reduced by more than 41 percent year-on-year in January 2022, though it claims “gas deliveries are carried out in full…

News Nudges

Rio Grande China deal

NextDecade, developer of the of Rio Grande LNG project along the Brownsville Ship Channel, has executed a binding Heads of Agreement with Guangdong Energy Group for the supply of LNG cargoes for a 20-year term. The Rio Grande project has ultimate plans and permits to produce up to 27 mtpa of LNG from five liquefaction Trains. The accord proposes Guangdong Energy will purchase up to 1.5 mtpa of LNG indexed to US benchmark Henry Hub natural gas price. The LNG supply will initially be from Train one of Rio Grande LNG, which is expected to start commercial operations in 2026.


Peru sends cargoes to Asia

Peru’s LNG exports in March are heading for the North Asian markets of China and South Korea, according to data from energy company PeruPetro. Four vessels have left the Pampa Melchorita liquefaction plant on the Pacific Coast of Peru with three headed for South Korea on the 173,540 cubic metres capacity carrier “Megara”, the 135,400 cbm capacity carrier “Madrid Spirit” and on the 173,400 cbm capacity vessel “Sevilla Knutsen”.


Asian LNG strategy

Japanese LNG and energy engineering company JGC Holdings Corp. has renamed its subsidiary in Singapore JGC Asia Pacific Pte Ltd as a regional headquarters for five countries as the company pursues contract wins in LNG receiving terminals, gas-fired thermal power and other projects, including renewables. “The Singapore company will take on the new role of Asia-Pacific regional headquarters and serve as a base for project execution in Singapore and nearby countries, supporting activities in the Philippines, Indonesia, Vietnam and Malaysia,” said JGC.