LNG

In this issue

 

Britain is strong market for sellers looking to home excess gas supply this winter, National Grid said when announcing a record send-out of its Grain LNG import terminal. A robust…
Free ReadNextDecade Corp. envisages reaching financial close on the 27 mtpa Rio Grande liquefaction and export project in Texas in the third quarter of this year. The project remains subject to…
Steelhead LNG, developer of the near-shore export plant on Vancouver Island, is investigating the pipeline route to bring feed-gas from the Chetwynd area of northeast British Columbia to Sarita Bay.…
Houston-based Kinder Morgan has touted it will supply up to 40% of the gas volumes for future U.S. LNG and pipeline exports, and stays on schedule to start up its…
Free ReadDevelopment banks of Brazil and Germany, BNDES and KfW Ipex-Bank, have agreed a corporate financing deal worth R$1.76 billion ($471m) for an LNG-fuelled power project at the port of Açu,…
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 145 MW power…
The US Department of Energy (DOE) has eased reporting mandates for liquefied natural gas exporters that would keep track of the ultimate end-user of the natural gas shipped overseas. It…
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…

News Nudges

Chesapeake suspends dividends and hires debt advisors

Chesapeake Energy has slashed payment of dividends to zero. The Oklahoma-based oil and gas developer had started this year with $8.92 billion in debt but stressed the suspension of dividends does not imply it will default under any of the company's debt instruments. Whiting Petroleum became the first U.S. upstream company to file for bankruptcy on April 1. Others are not far off, notable Chesapeake Energy and Denbury Resources which are understood to have hired debt advisors. Chesapeake is struggling with a debt burden of nearly $9 billion, up 900 million from the previous year due to the acquisition of Wildhorse Resource Development. The risk of bankruptcies looms large among U.S. fracking companies which struggle with demand destruction as the coronavirus pandemic has brought major economies worldwide to a halt. Gradual relaxation of lockdowns and an agreement of OPEC+ to reduce oil production are hoped to lift prices starting from the second quarter.


Magnolia LNG faces financial crunch

The Australian-listed developer of the US Magnolia export plant in Louisiana with an agreement to supply cargoes to Vietnam said a takeover bid by a Singapore-based private company has been pushed back to mid-April, while its own temporary financing is not now forthcoming from a US equity and capital fund. “LNGL’s existing funding is sufficient to meet all of LNGL’s commitments until late April 2020, but LNGL needs to secure additional funding urgently to continue operating beyond then,” the company disclosed. LNG Ltd, which is also developing the Bear Head LNG project in the Canadian province of Nova Scotia, said the formal bid would now be lodged in several weeks at the Australian Securities and Investments Commission (ASIC) regulator and then dispatched to shareholders by late April 2020. “The delay from the indicative timeline in the Bid Implementation Agreement is principally due to challenges from and the unavailability of relevant personnel as a result of the global impact of COVID-19,” said LNGL. LNGL added that it would now issue its target’s statement as soon as practicable (and no later than 15 days) after the bidder’s statement from the unnamed Singapore entity, known only as LNG9 Pte Ltd, goes to shareholders.