In this issue

 

Free ReadArgentina’s LNG export aspirations may soon be a reality as Exmar, the Belgian shipping firm, has entered a 10-year charter with YPF to deploy a floating LNG liquefaction vessel at…
Wednesday, 02 January 2019
Strong, sustained growth in U.S. gas production is putting downward pressure on Henry Hub spot and futures prices. Dry gas production increased to 83.3 Bcf/d in 2018, according to figures…
Tellurian, the US LNG developer founded by ex-Cheniere CEO Charif Souki, has sealed a preliminary deal with Vitol to supply 1.5 mtpa of LNG cargoes for 15 years. The accord…
Free ReadUS LNG exports could reach 60 mtpa by the end of 2019, making the Americans the world’s third-largest exporters. Both Cameron LNG in Louisiana and Freeport LNG in Texas are…
SeaFloat, a barge-mounted power plant based on SGT-800 gas turbine, will be provided by Siemens and the maritime arm of ST Engineering for Bermuda-based Seaboard Corp. The 450 MW power…
Boosting upstream investment, Chevron has set aside $3.6 billion for fracking in the Permian Basin out of a total $20 billion of capital spending in 2019. The decision comes as…
Wednesday, 02 January 2019
Free ReadAs the world’s top oil company, ExxonMobil does not need to worry about size when it comes to snapping up assets. The Texas-based oil giant is tipped as a potential…
Hit by a triple-whammy of weak cash flows, meager profits and slumping stock values, CEOs in the oil and gas industry are vary about continuing to invest in increasingly risky…
Despite the drop in rig count, the actual output of crude oil and natural gas keeps rising in the United States thanks to advances in technology and drilling techniques. Even…
Free ReadPromising new shale gas prospects of a “substantial size” have been identified by China National Administration of Coal Geology (CNACG) both in Hubei and in Guizhou Province. CNACG will now…
The worlds’ seven largest LNG buyers – CNOOC, CPC, JERA, KOGAS, PetroChina, Sinopec and Tokyo Gas – together make up over half of the global market. Wood Mackenzie research reveals…
Japan’s largest LNG importer JERA will also become the nation’s biggest power producer as of April 2019 when it will take control of TECPO and Chubu Electric’s domestic power business.…
Free ReadRegardless of the trade war between the United States and China, state-controlled Sinopec has reaffirmed plans to reserve 75% of the project's LNG production capacity. Sinopec wants to become the…
Royal Dutch Shell will keep investing in global gas projects as demand is anticipated to grow at a rate of 2% per year, twice the rate to worldwide energy demand.…

News Nudges

U.S. net gas exports double in H1-2019 and keep growing

Start-up of two liquefaction trains – Cameron LNG Train 1 and Corpus Christi LNG Train 2 –have pushed total U.S. net gas exports to 4.1 billion cubic feet per day (Bcf/d) in the first half of this year, more than double pre-year levels. Apart from LNG, pipeline gas is exported to Canada and Mexico. As of June, total U.S. LNG export capacity reached 5.4 Bcf/d across four facilities and nine liquefaction trains – a significant rise compared with 2.0 Bcf/d net exports in 2018. Net natural gas exports is forecast to continue rising through the end of 2019 as additional LNG export capacity comes online and pipeline infrastructure in Mexico is placed into service. In its Short-Term Energy Outlook (STEO), the U.S. Energy Information Administration (EIA) foresees net gas exports averaging 4.6 Bcf/d in 2019 and 7.2 Bcf/d in 2020. Cameron Train, the fourth U.S. LNG placed into service since February 2016, was followed by Freeport LNG Train 1 and the small-scale Elba Island LNG venture. Together, these three project are seen to nearly double U.S. LNG export capacity to 8.9 Bcf/d by the end of 2020. Although U.S. LNG exports have grown substantially, most U.S. natural gas trade is transported via pipeline across shared borders with Canada and Mexico. In the first half of 2019, net exports of natural gas by pipeline to Mexico grew by 5%, and net exports of natural gas by pipeline to Canada remained relatively flat. Exports to Canada surged when the second phase of both the Rover pipeline and the new NEXUS pipeline entered service, allowing gas flows from the Appalachian Basin to the St. Clair point of exit northeast of Detroit. Deliveries to Mexico grew following the start-up of the Texas-Tuxpan pipeline, transporting gas from the U.S. Permian Basin.