In this issue

 

Free ReadChina’s switch from coal to gas – both to decarbonize its energy mix and tackle pollution under its Blue Sky policy – requires importing considerably more gas imports and investment…
Rising national gas production in Argentina and peak potential LNG export during the summer months is coinciding with strong winter demand from utilities in the northern part of China and…
European utilities are courted by more and more sellers marketing long-term LNG volumes from pre-FID LNG supply projects. To gain access to attractively-prices US LNG, however, European buyers need to…
Free ReadNear-curve gas prices at the Dutch Title Transfer Facility (TTF) have fallen as low as $3.86 per million British thermal units (mmBtu) in recent weeks, driving up demand for LNG…
Speculative orders for Floating Storage and Regas Units (FSRU) are on the rise as developers want to have the vessels ready for quick deployment once local regulators issue a permit…
GasLog has confirmed that one of its subsidiaries has signed a 10-year time charter with Sinolam LNG Terminal to provide a Floating Storage Unit (FSU) for a gas-fired power plant…
India’s energy giant Petronet has signed a $7.5 billion agreement with Tellurian to take a stake in Driftwood LNG and import 5 million tons of gas per year. If supplies…
Free ReadSouth Korea’s state-run KOGAS has agreed with BP to buy 1.58 million tons of US LNG starting 2025. The deal is worth an estimated $9.61 billion over 18 years and…
SeaFloat, Siemens-made power barges equipped with SGT-A65 gas turbines, will be installed at the Upper Bay of Brooklyn in New York City. Two SeaFloats, with a capacity of 300 MW…
Mitsui OSK Lines (MOL) and Dutch-based Karpower International BV, a subsidiary of Turkey’s Karadeniz Holdings, have signed an agreement to jointly carry out the first LNG-to-Powership project in Mozambique. Named…
Free ReadFreeport LNG, the latest US export plant to come on stream at Quintana Island in Texas, plans to launch its own LNG cargo sales windows with trading platform provider, Redwood…
Sempra-led Cameron LNG export plant is suffering some technical problems though said it was managing to stick to its cargo shipping schedule. The facility at Hackberry was rumored to have…
Cargoes of US LNG will head from Calcasieu Shipping Channel, near Lake Charles in Southwest Louisiana, all the way to Bac Lieu in Vietnam’s Mekong Delta. There, the European-led Delta…
MISC Berhad, the Malaysian shipping line with an LNG fleet of more than 30 vessels, has agreed with Nippon Yusen Kabushiki Kaisha (NYK) and Mitsubishi Corp to co-own two new-build…

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.