LNG

Venture Global has requested regulatory approval to feed natural gas into the final block of its Plaquemines LNG plant by Thursday. If FERC approves, LNG will soon be produced at all 36 trains of the 27.2 mtpa liquefaction terminal – more than a year before long-term offtakers were meant to receive their contracted cargoes.

Venture Global is advancing talks to ship more LNG cargoes from its Plaquemines terminal in Louisiana to Ukraine’s largest private energy company DTEK, as the war-torn country scrambles to secure energy this winter. Delivered gas could cost a premium to spot LNG imports into northern Europe.  

Risks abound that some US LNG export capacity will be shut in starting from 2029. If Asia cannot absorb the excess supply by adding import capacity through FSRUs, and there are successive mild winters, analysts reckon the global market will need US shut-ins to balance.

European Union energy ministers will endorse a full ban on Russian gas imports from January 1, 2028, an EU diplomat indicated. The ban would leave an estimated 15 bcm per year of Russian LNG needing replacement, with cargoes from Qatar, West Africa and especially from the United States poised to cover most of the shortfall.

The Shell-operated tanker ‘New Nature’ is heading for Italy, carrying 155,000 cubic meters of LNG from the Idku terminal in Egypt. The shipment reflects the Egyptian Petroleum Ministry’s quest to boost exploration in West Delta Deep Marine (WDDM) concession.

Effective October 14, fees for operators of LNG tankers built outside the US have fallen to $46 per ton, down from $150/ton proposed earlier. "This keeps US LNG competitive globally and gives domestic shipbuilders the time to rebuild long-term capacity,” commented Rob Jennings, vice president of natural gas markets at the American Petroleum Institute (API).

Eni seeks to launch its gas joint venture with Petronas in 2026 to develop gas fields in Malaysia and Indonesia with a view to becoming a regional LNG player. Petronas brings the Bintulu LNG complex and FLNG assets in Malaysia, while Eni seeks to channel upstream gas production into its JV partner’s expanding LNG supply chains.

Argentina’s state oil and gas company YPF and the Italian energy giant Eni have signed the final technical project description (FTPD) for a 12 mtpa phase of the integrated Argentina LNG project – the final step before financial close. The floating LNG terminal is designated to export gas from the vast Vaca Muerta shale.

ExxonMobil has been authorised to develop a $5.09 billion LNG terminal and adjacent gas-fuelled power plant in the Vietnamese port city of Hai Phong. The LNG import terminal is approved with a capacity of 6 mtpa, enough to fuel 2.25 GW of power generation capacity that is scheduled to start operations by 2026/27.

BP has secured an arbitration victory against Venture Global which was found in breach over its failure to deliver contracted cargoes from the Calcasieu Pass facility. Seeking over $1 billion in damages, BP stressed it will "vigorously defend" its position in subsequent proceedings.