LNG

Five US-loaded LNG cargoes have diverted from European or Egyptian destinations into the Pacific Basin in the four weeks through mid-May: the WilPride, SK Audace, Umm Al Houl, Adamastos and Sea Navigator. Four are signalling 'For Orders' and one (the Adamastos) is bound for Dahej, India, LNG Journal’s data shows.

Equinor said Europe could face a critical gas stock shortfall if disruption to shipping through the Strait of Hormuz lasts one to three months, as low inventories and distorted prices slow replacement flows. CEO Anders Opedal said Norway has “no spare oil and gas capacity,” as tighter market increase buying interest in Equinor’s own exports, notably LNG.

An LNG tanker loaded at ADNOC’s Das Island terminal has exited the Strait of Hormuz and is now on route to India, going ‘dark’ when transiting the critical waterway. The most likely buyer is Indian Oil Corp, the counterparty to ADNOC’s latest long-term supply agreement.

At least four LNG tankers have transited through the Strait of Hormuz in recent days, setting sail to Pakistan, India and China, after being held back for almost three months.

Long-term LNG charters — not spot cargoes — are buyers’ favourite, once again, as they provide greater protection against freight rate spikes and shipping disruptions. This trend could tighten global LNG carrier availability for years to come.

QatarEnergy, ExxonMobil and Egypt have agreed to assess commercializing Cyprus gas discoveries via Egypt’s existing LNG infrastructure. Supply from the Aphrodite discovery, estimated at 4.5 trillion tcf, will be routed to Egypt’s underutilized liquefaction plants at Idku and Damietta, with 12.2 mtpa capacity combined.

Turkey’s state-owned pipeline operator BOTAS and the Italian energy company Edison have agreed to work together on LNG trade and swap operations, while evaluating a new gas pipeline across the Mediterranean between Turkey and Italy.

Eni has secured about 2 million tonnes per annum (mtpa) of LNG from its South Hub and North Hub projects in Indonesia, supplied via the Bontang terminal in East Kalimantan. The additional supply will help Eni reach its target of more than 20 mtpa of contracted LNG supply by 2030.

Japanese utility Inpex has signed preliminary deals with BP and Shell Eastern Trading, as well as the Indonesian companies PLN Energi and Perusahaan Gas Negara, to offtake LNG from the 9.5 mtpa Abadi liquefaction project. The agreements take the project closer to a final investment decision (FID) in 2027.

Singapore has secured enough LNG from outside the Middle East to last through the end of this year, as state-owned buyer GasCo accelerated spot purchases to replace cargoes affected by disruptions around the Strait of Hormuz. Negotiations are underway long-term offtake from the US, Australia and Canada.