In this issue

 

Our Asia editor

Indian LNG imports declined for a second month with government figures showing shipments in the current fiscal year had cost US$400 million more than in 2016 as volumes were received from nations such as Australia, Nigeria and Qatar.

Japanese liquefied natural gas imports declined amid a more than 20 percent jump in thermal coal shipments to replace LNG for power generation in Japan as LNG costs in June showed a surge of 44 percent compared with a year ago on similar volumes.

Our North America editor in New York

ConocoPhillips intends to fully shut down its small-scale liquefaction and export plant located in Nikiski on the Kenai Peninsula because of low global LNG prices and the US major’s lack of progress in finding a suitable buyer for the plant. 

Dutch-German companies are proposing building a multi-service LNG terminal, including truck-loading 

Our Europe editor

Dutch Gate LNG terminal owners, the utility Gasunie and global storage company Vopak, plan to develop Germany’s first LNG import terminal at Brunsbuettel on the Elbe River near the port city of Hamburg.

Our Europe editor

The future of Algeria as an LNG exporter and the recent winter supply tightness experienced by three European LNG importers, France, Italy and Greece, led the International Energy Agency in its annual natural gas report to analyse the two issues.

The US will take the lead on global natural gas supply as the shale revolution gets a second wind and the world’s largest producer increases output and LNG exports over the next five years, accounting for almost 40 percent of global gas output growth, the International Energy Agency said.

Our Asia-Pacific editor

The Port of Singapore said three other ports in Asia, Europe and North America had joined it and seven other organisations in the international LNG bunkering port group formed to underpin the drive for the uptake of LNG as a marine fuel.

European classification society DNV GL has conducted a study of future liquefied natural gas use in the Iberian Peninsula and concludes that one of the main obstacles to the accelerated uptake of LNG is the uncertainty regarding future market volumes.

French energy major Total has signed an agreement with Brittany Ferries to supply LNG bunkering fuel to the port of Ouistreham in northwest France and for the first LNG-powered French cruise ferry that will provide regular services to Portsmouth in England from 2019.

Our North America editor in New York

The US Rio Grande LNG project development company in Texas run by former Royal Dutch Shell senior executive Kathleen Eisbrenner called NextDecade is expected to be listed on the US-based Nasdaq global stock exchange before the end of July.

Eagle LNG Partners has filed an application to export liquefied natural gas from a second production and storage facility currently under construction at a site in West Jacksonville in Florida.

Our Middle East editor

Lebanon plans to award exploration and production licences in five offshore blocks in the East Mediterranean by November 15 this year in the Middle East country’s first attempt at establishing a domestic oil and gas industry to secure resource revenue and future infrastructure for LNG and gas-fired power.

Our Asia-Pacific editor

Japanese government figures show that the average delivered price of spot liquefied natural gas arriving in Japan in June was $5.60 per million British thermal units, a rise of $1.10 per MMBtu versus the $4.50 per MMbtu price registered in June 2016.

Paris-based energy consultants Cedigaz said natural gas growth in absolute terms would outstrip that of all other energy sources and the strong expansion of LNG supply and the abundance of both conventional and unconventional resources would help gas to expand its role in the energy mix to the detriment of coal and oil.

News Nudges

Texas waterway to upgrade

The Corpus Christi Ship Channel on the Texas Gulf Coast, which could become an important LNG shipping destination for the second wave of US exports, is planning a $327 million upgrade. The project will be run by the Port of Corpus Christi Authority Commission and the US Army Corps of Engineers and will involve the deepening and widening of the Channel. The project plans to widen the Channel to 530 feet, with additional barge shelves, to allow for two-way vessel and barge traffic. The Channel will also be deepened to 54 feet (Mean Lower Low Water) to allow for the safe passage of deep-draft vessels.


Cheniere to raise $1.5bln

Cheniere Energy, operator of the Sabine Pass export plant in Louisiana and the developer of more liquefaction Trains, has increased its offering of Senior Notes, a first-call form of debt security, from $1 billion to $1.5Bln. The notes will bear interest at a rate of 5.25 percent per annum and will mature in October 2025. The closing of the debt offering is expected on September 18. Cheniere said it intended to use the net proceeds to pay down a portion of some of its outstanding term loans.


Two cargoes for Mexico

The 141,000 cubic metres capacity “LNG Adamawa” will unload a shipment on September 28 at the Mexican Altamira import terminal on the Gulf of Mexico coast from the Nigerian LNG plant on Bonny Island. The 145,700 cubic metres capacity carrier “Tangguh Jaya” carrier is scheduled to deliver an Indonesian cargo on October 5 to the Costa Azul terminal, owned by US utility Sempra Energy, and located on the Pacific Coast of Mexico, near the town of Ensenada.