In this issue

 

Fears spread that a global recession is looming if China fails to contain the spread of the Coronavius. Demand for oil, LNG and pipeline gas are impacted as millions of…
Rampant US gas supply has been outpacing demand growth for the past year, slashing prices in Europe and Asia. Some US exporters are considering shutting in production as record low…
The Chinese government has approved Beijing Gas’ plans to build a 5 mtpa LNG import terminal near Tianjin City by 2022 to help boost regional gas imports. The economically thriving…
China’s hunger for gas surpasses initial estimates, hence Gazprom is evaluating a second interconnector in the Far East. With the launch of the landmark ‘Power of Siberia’ pipeline, Gazprom’s focus…
For new gas pipelines, timing is everything. This especially applies to the new 38 Bcm/y ‘Power of Siberia (PoS)’ link that will elevate China to become Gazprom’s second largest export…
China’s Blue Sky Policy envisages boosting the share of natural gas in the energy mix from currently 7.5 percent to 15 percent by 2030 which requires substantial investment in LNG…
Keen to maximize China’s domestic oil and gas production and streamline imports, the government in Beijing’s is taking steps to bundle all onshore trunk pipelines owned by PetroChina, Sinopec Group…
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News Nudges

Spot charter rates up

Shipping charter rates for LNG carriers in the spot market increased over the past week by a further $20,000 per day. Rates were quoted at an average of between $100,000 per day and $110,000 per day West of Suez. The same levels of spot rates were also talked about for the East of Suez charter market for vessels of between 155,000-165,000 cubic metres capacity, according to various brokers.


‘Carbon neutral’ LNG

French energy major Total said it delivered its first shipment of “carbon neutral” liquefied natural gas with the recipient being the China National Offshore Oil Corp. The loading operation was carried out at the Ichthys liquefaction plant near Darwin in Northern Australia, and where Total is a shareholder in the plant run by Japan’s Inpex Corp. Total said the shipment was delivered on September 29 to the Dapeng terminal in the southern Chinese province of Guangdong. Royal Dutch Shell delivered the first such LNG cargoes with offsets against nature programmes like forestry.


UK-China LNG deal

Centrica, the UK utility and LNG market participant, has agreed to sell LNG to China under a long-term contract. The binding 15-year Sales and Purchase Agreement is for 500,000 tonnes per annum of supplies to the Shenergy Group. Deliveries are expected to start in 2024.