LNG

The Gas Exporting Countries Forum (GECF), known as the OPEC of LNG and pipeline gas, is preparing for its 7th Summit meeting with members scheduled to start arriving at the end of February in the Algerian capital of Algiers.

The GECF, whose secretariat is based in Doha in Qatar, will attempt to put some context into the geopolitical and economic challenges facing LNG and pipeline natural gas producers.

Although the GECF counts Qatar among its members the other main LNG producers, Australia and the US, have never been members nor will they be sending observers.

The GECF meeting will have 19 countries in attendance who together represent over 70 percent of the world’s proven gas reserves, 43 percent of its marketed production, 52 percent of pipeline gas and 58 percent of LNG exports.

Algeria, which is a key supplier of LNG to Europe from its Skikda and Arzew liquefaction plants and with gas pipelines connected to Italy and Spain, said it would use the occasion to “build a consensus” between the producing states to preserve the interests of gas exporters.

Algiers Declaration

Meetings will start on February 29 and the actual summit will take place on March 2, after which the LNG nations will issue what will be known as the “Algiers Declaration”.

The meeting is expected to support emerging African LNG nations and existing producers in their fight to alleviate energy poverty, in particular through better access to financial resources for gas development as well as improved energy security.

GECF Secretary General, Mohamed Hamel, who is himself an Algerian outlined what is on the agenda for the 12 nations who are members and the other seven countries who will attend as observers.

“This summit presents an opportunity for leaders to engage in comprehensive discussions encompassing geopolitical, economic and policy developments, providing an avenue to delve into both the immediate and long-term prospects and challenges in the natural gas sector,” explained Secretary General Hamel.

“Moreover, the summit will reiterate the important role of our Forum in strengthening cooperation among member countries, advocating for natural gas as a pivotal element in achieving the UN’s sustainable development goals, ensuring stability in natural gas markets and addressing energy security, affordability, and sustainability,” he added.

Prior to the March 2 summit, a high-level working group will meet and an Extraordinary Ministerial Meeting will be held to “prepare essential documents” for the summit, including the Declaration.

The summit will be complemented by a series of side events such as the inauguration of the Headquarters in Algiers of the newly established GECF Gas Research Institute.

Global Gas Outlook

Additionally, the delegates will approve and issue the latest edition of the “Global Gas Outlook”, one of the GECF's flagship publications.

Finally, there will be a signing ceremony for Memoranda of Understanding with the African Energy Commission (AFREC) and the Economic Research Institute for ASEAN and East Asia (ERIA).

Preparations for the summit have been undertaken by the Algerian National Committee in collaboration with the GECF Secretariat and “all of the necessary resources have been mobilised to ensure ideal conditions for a successful and productive” summit.

“I am confident that this summit will go beyond discussions and collaborations, providing delegates the opportunity to immerse themselves in Algeria's distinctive culture and warm hospitality,” Hamel stated.

The 12 GECF members are Algeria, Bolivia, Equatorial Guinea, Egypt, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, United Arab Emirates and Venezuela.

There are also seven observer members: Angola, Azerbaijan, Iraq, Malaysia, Mauritania, Mozambique and Peru.

Jan 23 (LNGJ) - The UK is receiving a steady flow of LNG cargoes with two arriving over the next week and one already scheduled for February. The “BW Lilac” with 174,300 of capacity is due to discharge a US shipment at the South Hook terminal in Milford Haven on January 26, according to shipping data. The cargo was lifted on January 15 from the Cove Point export plant in Maryland.

   The vessel “SM Golden Eagle” with 174,000 cubic metres of capacity is due to arrive at the Dragon LNG terminal at Milford Haven on January 28 carrying a shipment from the Peruvian export plant at Pampa Melchorita. The shipment was loaded on December 24 at the Peruvian Pacific Coast plant. The “Gaslog Georgetown” carrier with 174,260 cubic metres of capacity is scheduled to arrive at the UK South Hook facility on February 1 with a shipment from the Calcasieu Pass plant in Louisiana lifted on January 19.

Nov 30 (LNGJ) - Two LNG cargoes are headed for the UK port of Milford Haven next week, one from Peru and another from the US Gulf Coast, as wholesale prices for January on the UK National Balancing Point gas market dipped to the equivalent of $13.655 per million British thermal units.

   The “Maran Gas Amphipolis” with 173,400 cubic metres capacity is scheduled to discharge a Peruvian shipment on December 5 at the Dragon import facility at Milford Haven, according to shipping data. The cargo was lifted on November 11 from Pampa Melchorita facility on the Pacific Coast. The “Methane Patricia Camilla” with 167,400 cubic metres capacity is due to unload a US cargo on December 7 at the Welsh port’s South Hook terminal. The cargo was lifted on November 23 from the Sabine Pass plant in Louisiana.

Italian oil and gas and LNG project engineering company Saipem, which has extensive global subsea and pipeline expertise, said it reached “new and important project” landmarks by contributing to the start of production of the Payara field, offshore the tiny nation of Guyana in the northeast corner of South America.

The start of production of the offshore oil field is the third project to which Saipem has contributed in the Stabroek Block

The field is operated by a consortium comprising US major ExxonMobil Corp, New York-based Hess Corp., currently being acquired by Chevron Corp., and the Chinese major China National Offshore Oil Corp.

Saipem contributed to the project development by providing engineering, procurement, construction and installation of the underwater facilities.

Saipem installed over 130 kilometres of thick rigid pipelines and risers in about 2,000 metres of water depth.

Guyana reserves

Guyana is among the leading oil and gas reserve holders in Latin America and will be a future large exporter of hydrocarbons along with Argentina, Brazil and Mexico as well as LNG producers Peru and Trinidad and Tobago.

The contract was fully released in 2020 by ExxonMobil Guyana and Saipem said its leading subsea assets such as “FDS2” and “Saipem Constellation” were deployed to carry out the project.

Furthermore, Saipem used its fabrication facility in Georgetown, Guyana, for the fabrication of 48 rigid jumpers, ensuring important local activity and jobs and enhancing sustainable investment in the country.

“Saipem has a consolidated presence in the country, having previously contributed to the development of the two phases of the Liza Project and to the start of the Yellowtail Project,” said the Milan-based company.

Guyana economic boost

The International Energy Agency noted that oil will be required for vehicle transport in the South American and Caribbean region well through 2050.

“Oil production has been rising in Brazil and Guyana, while it is in decline in Venezuela and Mexico,” said the IEA.

“Increased demand and prices for liquefied natural gas has also shone a spotlight on the important role played by LNG exporters such as Trinidad and Tobago and Peru in easing market tightness,” the Paris-based agency added.

Oil currently accounts for 86 percent of energy consumption today in the Latin American transport sector compared with 91 percent globally.

“The share of oil in road transport will decline below 80 percent by 2030 to around 40 percent by 2050,” said the IEA, forecasting that 60 percent of bus and other vehicle transport will come from the “growing use of electricity and bioenergy” vehicles.

“However, rising incomes also prompts an increase in the ownership of appliances and air conditioners, which are the main drivers of electricity consumption growth,” it added.

Oct 26 (LNGJ) - The first November LNG cargoes are heading for the UK and the Netherlands. The “Methane Patricia Camila” is scheduled to arrive on November 1 at the UK Dragon import terminal at the Welsh port of Milford Haven, according to shipping data. The vessel, which has 167,415 cubic metres of capacity, lifted the cargo on October 6 from the Pampa Melchorita plant in Peru.

   The “Woodside Rees Withers” with 173,400 cubic metres capacity is due to unload a US shipment on November 1 at the Dutch Gate terminal in Rotterdam. The cargo was lifted on October 19 from the Corpus Christi plant in Texas.

Oct 17 (LNGJ) - The UK is scheduled to receive an LNG delivery this weekend from Peru as values moderated slightly on the UK National Balancing Point gas market. Prices were at around the equivalent of $14.750 per million British thermal units while the North Asian spot LNG cargo price rose as the Japan-Korea Marker price moved to front-month December and was initailly quoted at $17.385 per MMBtu.

   The Hong Kong-flagged carrier “Pan Asia” with 174,000 cubic metres of capacity was scheduled to discharge a cargo on October 21 at the UK Dragon LNG terminal at the Port of Milford Haven. The cargo was lifted on September 17 from the Pacific port of Pampa Melchorita.

Oct 9 (LNGJ) - Two LNG cargoes are scheduled to arrive this week at the UK port of Milford Haven. The Q-Flex vessel “Al Sahla” with 211,840 cubic metres capacity is due to discharge a Qatari cargo on October 10 at the South Hook terminal. The carrier “Pan Asia” with 174,000 cubic metres of capacity is scheduled to arrive on October 13 at the Dragon terminal at the Welsh port with a cargo from the Peruvian export plant at Pampa Melchorita.

Oct 2 (LNGJ) – Cargoes from Algeria and Peru are heading for the UK in the days ahead. The “Berge Arzew” with 138,100 cubic metres of capacity is due to unload a cargo on October 3 at the Isle of Grain terminal on the Medway River in Kent, according to shipping data. The cargo was loaded on September 22 at Algeria’s Arzew export plant.

   The LNG carrier “Methane Julia Louise” with 167,400 cubic metres of capacity is scheduled to deliver a cargo on October 6 to the UK Dragon import terminal at the port of Milford Haven. The cargo was lifted on August 28 from the Pampa Melchorita plant on the Pacific Coast of Peru.

April 11 (LNGJ) - The LNG export plant on the Pacific Coast of Peru, the only such facility in the whole of South America, has delayed shipping any cargoes so far in April. PeruPetro, the national energy company, has not signalled any problems at the Pampa Melchorita facility and listed five cargoes exported in March, two to South Korea, one to the UK, one to Japan and one to China.

March 10 (LNGJ) - The UK port of Milford Haven is scheduled to receive two cargoes this week at the South Hook and Dragon LNG import terminals. The “Al-Samriya” with 258,100 cubic metres of capacity is scheduled to berth on April 13 at Milford Haven’s South Hook terminal after arriving from Ras Laffan in Qatar.

   The carrier “Myrina” with 173,000 cubic metres capacity is due to berth on April 14 at the Dragon terminal at the Welsh port with a shipment from the Pampa Melchorita export plant on the Pacific Coast of Peru. The cargo was lifted from the Peruvian plant on March 21.