LNG

UK major Shell is said to be finalizing the acquisition of liquefied natural gas assets of Pavilion Energy, the natural gas company set up by Singapore’s wealth fund Temasek, to give the Asian island state energy security.

UK-based major Shell is completing a fourth-month maintenance turnaround of the “Prelude FLNG” production vessel that operates off the northwest coast of Australia and which has suffered shutdown over the last few years because of technical issues as well as industrial unrest among workers.

The FLNG vessel is moored 400 kilometres (250 miles) north of the town of Broome on Western Australia’s Kimberley coast and has 3.6 million tonnes per annum of production capacity.

Shell has attempted to tackle some long-term technical issues at the facility with maintenance and work that started in August 2023.

Demand window

“Prelude FLNG” will be coming back on stream to capture the winter demand surge in Japan, China, South Korea and Taiwan.

The LNG carrier “Symphonic Breeze” is expected at the “Prelude FLNG” production hull early in December.

Shipping data showed that the “Symphonic Breeze” departed from the Japanese port of Naoetsu on November 23 with the destination of the vessel with 145,500 cubic metres capacity given as the Shell export facility.

Prelude FLNG has suffered several outages since it started production in June 2019, including a fire that led to a full power loss in December 2021 and several other automatic shut-downs because of fire alarms going off.

“Prelude is a complex facility in a remote offshore location,” said Shell in a statement.

“This is its first major turnaround and we continue to work through the process methodically taking as much time as required to ensure safe execution of all activities,” said the London-headquartered company.

“During the turnaround, additional scopes of work were identified and a decision made to extend maintenance to complete these scopes ahead of restart,” Shell added.

Feed gas

For the Shell project, the Concerto gas field and the nearby Prelude field provide the feed gas for the LNG and the new Crux field is also being developed.

The “Prelude” joint venture is owned 67.5 percent by Shell and 17.5 percent by Inpex Corp. of Japan, operator of the Australian Ichthys project from where the carrier the “Symphonic Breeze” has lifted many cargoes for Japan.

The Inpex Ichthys plant is located at Bayden Point in the Northern Territory of Australia, close to the Darwin LNG plant operated by Santos.

The Santos facility is seeking to bring on stream more feed gas from the Barossa gas project.

A further 10 percent of “Prelude” is held by the South Korean LNG buyer Korea Gas Corp. and 5 percent by CPC Corp. of Taiwan.

The Royal Dutch Shell LNG carrier “Gemmata” with 138,100 cubic metres capacity was moored at the Elba Island LNG export plant near Savannah in the state of Georgia, the sixth US export plant to come on stream since 2016.

AET Inc., the petroleum logistics unit of Malaysian International Shipping Corp. with an operational fleet of 94 vessels, has signed a charter deal with Shell International Trading and Shipping Co. for the long-term charter of AET's two newbuild LNG dual-fuelled Aframax tankers.

Malta, the Mediterranean island nation and the smallest member of the European Union, has received a liquefied natural gas cargo from Spain at its floating storage unit in Marsaxlokk Bay to help complete its transformation into an LNG importer.

Nakilat Shipping Qatar Ltd, a wholly owned subsidiary of Qatar Gas Transport Co., has signed an agreement with Shell International Trading and Shipping to return management of Nakilat’s LNG fleet to Qatari hands.