LNG

Due to the parlous state of the charter market, several steam powered LNGCs are expected to be recycled earlier than expected, Drewry Maritime Research said in a report.

Venture Global plans to expand its Louisiana Plaquemines LNG project.

The Trump administration has extended permit deadlines on two US LNG export projects.

First, on 5th March, the US Department of Energy (DoE) approved a request from Golden Pass LNG, co-owned by QatarEnergy LNG and ExxonMobil, to extend the deadline required for it to come online to 30th November, 2029. from 30th November, 2026.

“Exporting US LNG supports American jobs, bolsters our national security and strengthens America’s position as a world energy leader,” Secretary Wright said in a statement.

“President Trump has pledged to restore energy dominance for the American people, and I am proud to help deliver on that agenda with today’s permit extension,” he said.

The approvals came after President Trump lifted a moratorium put in place by the Biden administration on the approval of new permits to sell LNG abroad.

Other companies awaiting DoE approval for export projects include Venture Global and Energy Transfer.

Companies need the permits in order to sell to buyers in Europe and China to secure the finance needed to build multi-billion dollar LNG projects that take years to come online.

Delfin gets nod

The second approval was for an LNG export permit extension to Delfin LNG for its planned project offshore Louisiana.

This was announced by Secretary Wright in his opening remarks at CERAWeek in Houston yesterday.

“While the previous administration pursued a strategy of energy subtraction, I am proud to be working with President Trump to advance a strategy of energy addition – embracing all forms of energy that are affordable, reliable and secure,” Secretary Wright said.

“The positive energy and renewed enthusiasm for US leadership in energy exports from our allies and trading partners here at CERAWeek is palpable, and I am thrilled to sign this order to help another US LNG project advance,” he said.

This was the fourth LNG-related approval from the DoE since President Trump took office and follows an export approval to Commonwealth LNG on 14th February, an order on rehearing removing barriers for the use of LNG as bunkering fuel announced on 28th February, and the Golden Pass extension mentioned above.

“With this decision, I am pleased to see DoE help this project progress after the regulatory setbacks it faced during the Biden administration,” said Tala Goudarzi, Principal Deputy Assistant Secretary of the Office of Fossil Energy and Carbon Management.

Delfin, majority-owned by Fairwood Peninsula, Talisman Global Alternative Master, and Talisman Global Capital Master, is seeking to reach a final investment decision (FID) later this year and begin construction of its offshore floating liquefied natural gas vessel (FLNGV).

Yesterday’s order extends the commencement date for Delfin’s export authorisation for up to 1.8 bill cu ft per day of LNG to non-free trade agreement countries to 1st June, 2029. 

LNGPH, the integrated Philippine LNG power facility involving South Premiere Power Corp (SPPC) and Excellent Energy Resources, (EERI), has signed an LNG sale and purchase agreement (SPA) with Vitol Asia.

Over the past week or so, several LNG buyers have issued tenders for more cargoes.

China’s National Pipeline Network Group (PipeChina) has launched its annual bidding process for LNG terminal slot access.

The company is offering both annual and medium to long term service slots across 10 terminals, according to a social media post last week.

This initiative aims to foster market competition and secure energy supplies, to align with China’s strategy of liberalising energy infrastructure and ensuring fair third party access, the company said.

PipeChina operates eight LNG receiving terminals - Dalian, Tianjin, Zhangzhou, Yuedong, Shenzhen, Hainan, Beihai and Fangchenggang, plus Longkou and Diefubei, which are under construction.

The eight terminals will accept bids for annual service slots from April this year to March, 2026, as well as medium to long term bids, ranging from three to 20 years, also starting in April this year, the company said.

Longkou and Diefubei will only offer pre-sale slots starting in July and October, 2025, respectively.

In addition, PipeChina is offering bonded LNG storage access at Dalian, Tianjin and Hainan.

According to the company, Dalian has a 160,000 cu m bonded tank, Tianjin has a 220,000 cu m bonded tank, while Hainan has two 160,000 cu m tanks.

The bonded storage facilities enable transhipments for re-export or for domestic distribution,which effectively lowers import costs.

Applicants have between 4th and 17th March to submit their bids, after which the bids will be reviewed between 18th and 19th March and the results will be announced by 21st March.

The successful applicants must sign terminal user agreements by 31st March, PipeChina added.

Preference will be given to those applicants who have upstream LNG procurement channels and downstream end users, as well as those applying for medium to long term slots. 

Polish energy company, ORLEN has signed an LNG co-operation agreement with Ukraine’s Naftogaz.

Dynagas LNG Partners has reported 2024 net income and earnings per common unit (basic and diluted) of $51.6 mill and $1.05, respectively. 

Stolt-Nielsen’s purchase agreement to acquire all the shares of Avenir LNG, owned by Golar LNG and Aequitas, has been completed.

Indonesia has started replacing diesel with LNG in dozens of power plants.

This move is set to boost demand for natural gas at one of the world’s top LNG exporting countries.

Following a decade of delays, Indonesia finally launched a $1.5 bill project to distribute LNG on a small scale to power dozens of plants that currently run on diesel, Reuters reported.

PLN EPI, a fuel procurement and transportation operator for Indonesia’s largest power company, PLN, is leading the project.

Last year, Japan’s JERA signed a collaboration agreement with PLN EPI to co-operate in LNG procurement, optimisation, and the development and operation of LNG receiving terminals in anticipation of growing Indonesian demand.

By utilising JERA’s LNG expertise, the Japanese major and PLN EPI will establish an LNG value chain for the power segment in Indonesia, the companies said.

The project will need more LNG supply in the future, and could lead to Indonesia turning to imports later this decade, according to estimates reported by Reuters.

“We are obliged to provide the LNG ... And we are keen on securing more domestic LNG for the project,” Rakhmad Dewanto, PLN EPI Director of Fuels and Gas, told Reuters.

Earlier, Indonesia reportedly asked its buyers to accept delays to LNG cargo exports this year, as the country looked to meet rising domestic energy and gas demand.

Indonesia has one major LNG project planned for later this decade - Abadi LNG.

Japan’s oil and gas producer Inpex owns 65% of Abadi and plans a final investment decision (FID) for the $20 bill Abadi project by 2027.

Abadi LNG has suffered years of delays as design concepts were changed and then reorganised after UK major Shell withdrew from the project nearly two years ago.

The project has received interest from potential buyers to purchase gas from the facility in volumes exceeding the facility’s design capacity, according to Inpex.