LNG

Norio Yamamoto, Hirofumi Takano, Toshiro Koiwa, and Akio Usami, Nippon Kaiji Kyokai (ClassNK).

Japan LNG carriers are now entering a new era of longer operational service lives.

While consideration is being given to designs and plans for the construction of new ships with design lives significantly longer than those of conventional ships, the industry also is seeking to keep the currently well-maintained existing fleet in extended service.

Hans Kristian Danielsen and Goran Andreassen

There have been big developments in offshore receiving terminal design, where many companies are hoping new technology can ameliorate the actual or perceived risks of a land-based location without introducing too many new dangers and challenges.

Until Excelerate Energy’s Floating Storage and Re-gasification Unit (FRSU) opened in the Gulf of Mexico, all LNG import terminals were land-based.

Nick Prowse, a partner in law firm Norton Rose LLP, presents the first of a two-part series on perfecting LNG joint venture contracts

The critical issues between National Oil Companies (NOCs) and international oil companies (IOCs) in joint venture LNG projects are value extraction, control, added value to the host country and incentives and investment protection for the foreign investors.

A round up of the latest company news and developments

Martin Josten and John Kennedy

The Kenai LNG plant, at latitude 60oN in Alaska, has been operating successfully since 1969, but until recently has been the only major baseload liquefaction plant in a cold or even temperate region.

Now the Snøhvit LNG plant has recently begun operations at 71oN in Norway, and another plant, Sakhalin II LNG, is very close to start-up at 47oN in Russia. What differentiates these plants from those operating further South?

Australia’s LNG exports have gradually expanded since the first shipments from the North West Shelf in 1989. The country is now on track, along with Nigeria, to be the world’s main LNG producer after Qatar.

The nation’s eventual output could almost quadruple to more than 50 million tonnes per annum by 2020 with the further expansion of the NWS and Darwin LNG projects and with around 10 other ventures under development or planned for the current 160 trillion cubic feet of gas discovered.

Neil Wragg and David Haynes, Advantica Group

What is the optimum LNG project design? The question usually has different answers depending on who you ask.
Engineers will want certain technical features such as maximum storage, certainty in design specifications and a narrow range of composition while commercial team members will see the value in flexibility and the ability to arbitrage.

LNG Journal, Europe Editor

European utility-based companies are taking an increasingly active role in the LNG business, with players from countries such as Germany, Spain and the Netherlands attempting to take stakes in liquefaction, shipping and import terminals.

Companies are emerging such as Germany’s RWE Gas Midstream to build a similar profile to the relatively experienced Spanish LNG asset holder, Spain’s Union Fenosa Gas.

Olga Vedernikova, LNG Shipping Solutions

Some 70 LNG carriers are constantly engaged in spot trading activities from the current fleet of more than 260 ships.

When the current order book of some 130 vessels brings the global fleet closer to 400 ships, the spot trading vessels will number more than 80 and the number of annual trades will be around 600 cargoes, according to some estimates.

A round up of the latest company news and developments