East African LNG and pipeline natural gas production are on an upward path in the future as resources in both Mozambique and Tanzania have been reserved by both governments for exports as well as enabling the development of domestic gas sectors.
Australia’s liquefied natural gas exports are forecast to increase from 75 million tonnes in 2018-2019 to 81MT in 2020-2021, as the last two projects in Australia’s recent wave of LNG investment ramp up output and China increases its actual demand and the US trade dispute sees the Chinese favouring Australia for volume replacement.
Given that the shale revolution has made the United States not only the world’s top producer of oil and gas but also a major exporter of LNG, the US approach to energy policy making has shifted from a scarcity mindset that emphasised energy security to one that is attempting to maximise the benefits of energy abundance.
The United States will remain the world’s largest natural gas producer throughout the period through 2050, reaching 43 trillion cubic feet per annum, a nearly 50 percent increase with US shale-gas resources continuing to expand in the Appalachian region and in formations in and around Texas.
Argentine state-backed energy company YPF sold the country’s first LNG shipment from a floating liquefaction facility, “Tango FLNG”, and this was quickly followed by its submission to the government of a request to promote development of an onshore LNG liquefaction plant.
As the conversation on alternative fuels continues to unfold ClassNK is focusing on updating the rules that will ensure fast-emerging industry requirements meet safety imperatives, as well as the longer term research needed to reconcile vessel operations with shipping’s lower-carbon future.
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Nov 12 (LNGJ) - JGC Corp., the Japanese LNG engineering and construction company, has given updates on its most prominent contracts for LNG Canada with Fluor Corp. of the US and for Mozambique LNG, also with Fluor and TechnipFMC. “Engineering and procurement are proceeding on schedule and the fabrication of modules has commenced,” said JGC of the Canadian joint venture led by Royal Dutch Shell and located near Kitimat on the Pacific Coast of British Columbia. “Preparation of the construction site is proceeding according to plan,” added JGC.
The Japanese company also reported progress on the Mozambique Rovuma LNG joint venture for the Area 4 resources offshore the southeast African nation. JGC said the main clients for the Mozambique contract are ExxonMobil, Eni of Italy and China National Petroleum Corp. “The final investment decision for the lump-sum contract is expected during 2020 with production to begin in 2025,” said JGC. “Strict risk profiling is reflected in the contract and we have made arrangements with dependable experienced sub-contractors in the Middle East and Africa,” stated JGC.
Nov 11 (LNGJ) - Italian energy engineering company Saipem and South Korea’s Daewoo Engineering and Construction Co. have signed a strategic agreement for cooperation on targeted worldwide opportunities with specific emphasis on the LNG sector.
Daewoo in joint venture with Saipem have already been nominated as preferred bidders for the engineering, procurement and contract for the Nigeria LNG Train 7. Saipem and Daweoo said the strategic alliance will enhance and capitalize on synergies and establish a key player capable of delivering in the global LNG construction sector.
“This strategic agreement with Daewoo will leverage our distinctive competencies in high-end projects, particularly in LNG, and our proven operational experience to support the corporate goals of our customers around the world,” said Maurizio Coratella, Chief Operating Officer of the Saipem Onshore Engineering Division.
Nov 7 (LNGJ) - South Korean conglomerate HDC Group is planning a joint venture with Hanwha Energy Corp. for a natural gas-fired power plant in the southeast coastal city of Tongyeong and using LNG imports. HDC plans to build and operate the 1,000-megawatt gas-fired plant and would also construct a 200,000 cubic metres capacity LNG storage tank.
Under the deal, Hanwha will supply LNG for the plant and both parties would develop the project jointly with 1.4 trillion Korean won ($1.2 billion) of investment. HDC was awarded a government licence in 2013 to operate in the power sector. The group said the construction of the plant is expected to start in 2021 with commercial operations from 2024.
Nov 6 (LNGJ) - Epik Co, a South Korea-based liquefied natural gas project company, said it had appointed Australia and New Zealand Banking Group (ANZ) to serve as its financial adviser for the Port of Newcastle GasDock LNG import terminal venture in New South Wales.
ANZ will provide debt and equity services for Epik’s project involving the deployment of a Korean-built floating storage and regasification unit and onshore infrastructure. A final investment decision is expected in mid-2020. The Korean regasification project is the second proposed for the state of New South Wales with another venture planned for Port Kembla, south of Sydney, and supported by Japanese companies.
Nov 4 (LNG) - US Secretary of Commerce Wilbur Ross is leading a US Trade Mission to the Indo-Pacific Business Forum in Bangkok, Thailand, and subsequently to Indonesia and Vietnam from November 3-8. “This mission supports President Donald J. Trump’s goals of accelerating US commercial activity in the region, supporting job-creating export opportunities for American companies, as well as meeting the region’s needs for economic growth and development,” said Ross.
Leading LNG, energy and engineering companies are in the US delegation. These include industry participants such as Bechtel Inc., AES Corp., Cheniere Energy, Magnolia LNG (Louisiana), Tellurian Inc. and Honeywell International.
Oct 30 (LNGJ) - Russian natural gas company Novatek reported a 7.9 percent rise in nine-month revenues of 641.8 billion rubles ($10.5Bln) and a 14 percent jump in gross earnings to 338.3Bln rubles ($5.30Bln) compared with the 2018 period. “This was largely due to an increase in LNG sales volumes and our domestic average natural gas sales price, which was offset by a decrease in hydrocarbons sales prices on international markets,” said Novatek.
Profit attributable to shareholders in the third quarter rose eight-fold to 370.0Bln rubles ($5.79Bln) from 45.90Bln rubles ($775 million) and in the nine months period was up seven-fold to 820.9Bln rubles ($12.85Bln). “Our profit was significantly impacted by the recognition of a net gain on disposal of a 10 percent and a 30 percent participation interests in the Arctic LNG 2 project in March and July 2019, respectively. Taken together these amounted to 675.0Bln rubles ($10.56Bln),” said Novatek.
Excluding the effect from the disposals of stakes in subsidiaries and joint ventures, as well as foreign exchange differences, Novatek’s normalized profit in the third quarter totaled 48.5 billion rubles ($759M) and 178.6Bln rubles ($2.7Bln) in the nine-month period.
Oct 30 (LNGJ) - MODEC Inc. of Japan said it signed a contract with ConocoPhillips (Australia) to provide a Floating Production Storage and Offloading (FPSO) vessel for the Barossa field, offshore northwest Australia that will supply the Darwin LNG plant. The Barossa FPSO is intended to produce gas and condensate from subsea wells supply Darwin via a gas pipeline.
The Barossa FPSO is MODEC's largest Gas FPSO to date and will be able to export over 600 million standard cubic feet of gas per day as well as store up to 650,000 barrels of condensate for export. “It has been designed to withstand a 100-year cyclone event at a water depth of 260 metres and will be located some 300 kilometers northwest of Darwin,” said the company. The FPSO hull will be constructed in China at Dalian Shipbuilding Industry Co. (DSIC) in the northeast Liaoning Province.
Oct 28 (LNG) - Japanese energy company Inpex Corp., a stakeholder in various LNG export projects such as the Ichthys venture at Bladin Point near Darwin and Prelude FLNG offshore northwest Australia, said it was introducing a shareholder benefit programme and would also be starting facility tours for shareholders, the first one being to an LNG import terminal in Japan.
Owners of 400 shares to 800 shares would be eligible for up to 3,000 yen ($27.50) put on a pre-paid Japanese Quo card that can be used at restaurants, convenience stores, gas stations, book stores and hotels. Owners of 800 shares or more would be eligible for up to 5,000 yen on the Quo card.
As regards the first facility tour, Inpex said this would be to the Naoetsu LNG Terminal in the city of Joetsu in Nigata Prefecture, as well as other sites in May 2020. “Shareholders will be selected by lot from among those holding at least 100 shares in Inpex as of December 31 each year and who apply to attend the tours,” said the company.
Oct 25 (LNGJ) - Eni, the Italian energy company with stakes in projects such as Mozambique LNG, reported a 35 percent drop in third-quarter adjusted operating profit to 2.159 billion euros ($2.380Bln) from 3.304Bln euros in the same three months a year ago due to a weakened trading environment. The company said its quarterly worldwide natural gas sales fell 4 percent to 16.85 billion cubic metres from 17.47 Bcm in 2018. Eni’s quarterly LNG sales were unchanged at 1.85 million tonnes, though fell by 6 percent to 5.47MT in the first nine months of 2019.
Eni’s natural gas sales in Italy fell 5 percent to 8.72 Bcm in the third quarter and amounted to 29.18 Bcm in the nine months period, mainly due to lower sales to wholesalers and hubs, partly offset by higher sales to the power and industrial sectors. Sales in other European natural gas markets amounted to 5.09 Bcm, in line with the 2018 quarter. Nine-month European natural gas sales fell 11 percent to 16.94 Bcm from 19.14 Bcm in 2018.
Oct 22 (LNGJ) - Teekay LNG, the fleet owner and operator of several Ice-class carriers serving the Yamal plant in Russia, has seen the vessels unblocked and is no longer caught up in a controversy over US sanctions imposed against units of Chinese shipping line COSCO for allegedly shipping Iranian oil.
Under the US sanctions on Iran over its nuclear policies, the US Department of the Treasury’s Office of Foreign Assets Control included COSCO Shipping into the Iran-related Specially Designated Nationals (SDN) list, as well as Teekay LNG Partners. Teekay LNG, through its affiliates and joint ventures, owns four Arc7 LNG tankers conducting shipping services for the Yamal export plant.
Russian natural gas company Novatek, operator of the Yamal plant, issued a statement saying Yamal LNG had received notification from TC LNG Shipping, the joint venture owning the Arc7 ice-class tankers, that the venture was no longer considered “blocked” under the US sanctions rules.
Oct 22 (LNGJ) - JERA Co. Inc., the largest Japanese LNG buyer and thermal power plants owner, said it signed an accord with Vietnam Electricity for cooperation in the LNG value chain. Under the deal, JERA and the Vietnam power company would discuss opportunities for mutual collaboration.
“Specific areas for discussion include joint procurement of LNG, joint development of LNG receiving terminal projects, cooperation in introducing LNG to EVN power plants and collaboration on shipping optimization,” they said.
Together with its subsidiaries, Vietnam Electricity owns around 60 percent of the country's power generation capacity and supports its economic development. “JERA believes that strengthening its relationship with the leading energy company in Vietnam, a country which is expected to see increased demand for LNG, will greatly contribute to expanding business opportunities for both,” said the Japanese company.
Oct 21 (LNGJ) - Qatar Gas Transport Co., also known as Nakilat, posted nine-month results showing a 10.5 percent rise in net profits of 728 million Qatari riyals ($200M) versus 659M riyals during the same period of 2018.
“Nakilat’s positive financial performance can be primarily attributed to better operational performance in managing its LNG and liquefied petroleum gas vessels,” said the company. It also realized higher revenues on additional income from the acquisition of two additional LNG carriers and one floating storage regasification unit (FSRU) in 2018, as well as higher LPG shipping rates worldwide.
“Nakilat’s strong financial performance bears testament to the company’s ongoing emphasis and continuous improvements to remain competitive within the global energy transportation market, sustaining healthy cashflow and generating steady returns for our shareholders, said Nakilat Chief Executive Abdullah Fadhalah Al Sulaiti.
Oct 21 (LNGJ) - LNG producer Petronas said it was starting an LNG truck-loading business to supply off-grid customers in Peninsular Malaysia. The truck-loading was scheduled to begin in the second half of 2020 at the Pengerang regasification terminal in Johor with four loading lanes. The Pengrang terminal has 5 million tonnes per annum of capacity and Petronas also operates a regas facility at Sungai Udang Island in Malacca with capacity to handle around 3.8 MTPA.
Petronas produces LNG at its Bintulu plant and FLNG facilities and the truck-loading is aimed at broadening the small-scale market in Malaysia. “Petronas will take pride in offering alternative access to natural gas as the fuel of choice through its new LNG trucking business,” said the company.
Oct 18 (LNGJ) - Baker Hughes, a GE energy services and equipment company, has formally changed its name to Baker Hughes Company. It will now be known as Baker Hughes and on October 18 its Class A common stock will begin trading on the New York Stock Exchange under the symbol “BKR”.
“Baker Hughes is uniquely positioned as an energy technology company with a diverse portfolio that spans the entire energy value chain,” said a statement, “The company’s new name and brand better reflect its current and intended principal business operations and diversified portfolio,” it added.
BHGE was formed in mid-2017 through the merger of Houston-based energy services firm Baker Hughes Inc. and London-based LNG plant equipment maker GE Oil & Gas. BHGE and GE have been moving towards a separation for more than a year after announcing their split in June 2018.
Oct 17 (LNGJ) - The White House has nominated James P. Danly, of Tennessee, to be a member of the US Federal Energy Regulatory Commission, the regulator of LNG export plants and other oil and gas infrastructure. Danly would replace the late Kevin J. McIntyre who died in January 2019 before completing his five-term to June 2023.
Danly is a lawyer by profession who has served as General Counsel of the FERC and before that as a member of an energy regulation and litigation law firm. He was a managing director of the Institute for the Study of War and is a former US Army officer who served two tours in Iraq, receiving a Bronze Star and Purple Heart.
Oct 17 (LNGJ) - Tohoku Electric Power, the Japanese utility based in the east coast city of Sendai, has signed an 18-year agreement to receive 200,000 tonnes of LNG per annum from the Sempra Energy-operated Cameron export plant at Hackberry in Louisiana linked to the Henry Hub benchmark price.
The cargoes would be delivered to Tohoku from the start of 2022 with shipping included in the price under an agreement between the utility and Diamond Gas International, a subsidiary of Cameron project stakeholder Mitsubishi Corp. of Japan. Tohoku noted that the contract did not include any “destination restrictions”, allowing the utility to change the destination of the LNG and resell it to third parties in cooperation with Diamond Gas.
Oct 17 (LNGJ) - BHP, the giant Australian energy and commodities company, said in a quarterly update that all its major projects under development were on track with the Ruby oil and gas project in LNG-producer Trinidad and Tobago given government approval in September. The company also gave details of Australian natural gas plans.
“The Australian Bass Strait West Barracouta project is tracking to plan and is expected to achieve first production in the 2021 calendar year,” said BHP of the natural gas project offshore the state of Victoria. BHP noted that Victoria’s Minerva gas field reached end-of-field in September and production ceased at the Minerva Gas Plant. BHP agreed to sell its 90 percent interest in the Minerva Gas Plant to the Casino Henry joint venture after the cessation of gas processing from the Minerva field.
Oct 15 (LNGJ) - TechnipFMC, the Franco-US LNG and energy engineering company, said it was awarded a significant contract by PetroVietnam Gas for the engineering, procurement and construction of the Nam Con Son Phase 2 pipeline across the Nam Con Son and Cuu Long basins in the southeast Asian nation. Vietnam is pursuing natural gas pipeline projects as well as planning several LNG import ventures.
TechnipFMC said the scope of the contract covers engineering and installation of 118 kilometres of rigid pipeline as well as the fabrication of subsea structures to tie back the existing Nam Con Son gas pipeline to the Long Hai Landfall Station. “This pipeline collects and transports gas from several reserves to help meet the demand in Southeast Vietnam, and we look forward to collaborating with PetroVietnam Gas on this project,” said Arnaud Piéton, President of Subsea at TechnipFMC.
Oct 11 9LNGJ) - Polish import terminal operator Polskie LNG said it signed a contract with Germany-based equipment company Selas-Linde to deliver vaporisers for the expansion of the Swinoujscie facility on the Baltic Coast. The Swinoujscie terminal expansion will increase capacity to 7.5 million tonnes per annum of LNG from the current 5 MTPA. Plans for a floating storage regasification unit (FSRU) being deployed at the Baltic port of Gdansk are also being advanced.
“LNG is an important element of the strategy of diversification of sources of natural gas imports to Poland,” said Piotr Naimski of the Polish Government’s Strategic Energy Infrastructure department. The LNG expansions will be complemented by another project called Baltic Pipe to supply Norwegian pipeline natural gas to Poland.
Oct 11 (LNGJ) - The US Northwest Gas Association is holding a Web discussion on October 24 (put back from October 17) featuring Jon Switalski of Californians for Balanced Energy Solutions. This is a recently launched coalition of natural gas users in California.
The aim of the event is to educate Californians on the benefits of natural gas and renewable natural gas in their state. The Northwest Gas Association’s mission is to advance the safe, dependable and responsible use of natural gas as a cornerstone of the region’s energy, environmental and economic foundation.
Pacific Gas and Electric, the utility for 16 million customers in northern and central California, last week declared a public safety power shut-off amid wildfire risk, shutting off power to nearly 800,000 customers in three waves and affecting 34 counties.
Oct 10 (LNGJ) - Oil Search, the Papua New Guinea-based energy and LNG company, said efforts were now focused on the P’nyang Gas Agreement, with discussions between the PNG government and ExxonMobil, the operator of P’nyang, now taking place to clear the way for a doubling of LNG production to almost 20 million tonnes per annum
“Finalization of the P’nyang Gas Agreement and the passing of associated Papua LNG legislative changes are pre-requisites for launching the front-end engineering and design phase of the proposed three-Train LNG development,” said Oil Search. The Australian Securities Exchange-listed company is a shareholder in the P’nyang gas resources and gave the update to investors during a UK road show.
Oct 9 (LNGJ) - Petronas, the Malaysian state-backed energy company and LNG supplier, said it signed a Sale and Purchase Agreement (SPA) with Korea Midland Power, the South Korean electricity generating company. The accord is for 240,000 tonnes per annum of LNG for an initial term of five years.
Korea Midland is based in Boryeong, the port on the Yellow Sea coast where the nation’s newest of its six LNG import terminals is located. Boryeong has been in operation since 2017 and is owned by independent energy utilities rather than state-run Korea Gas Corp.
Oct 8 (LNG) - Senior executives from leading LNG, oil and product tanker shipping companies will discuss the trends, developments and outlook of the global commodities and shipping markets at the Annual New York Maritime Forum scheduled for October 15 at The Metropolitan Club in New York City.
Executives from 34 shipping and maritime companies will attend the event held in cooperation with the New York Stock Exchange, the Nasdaq global exchange, New York City Economic Development Corp. and the Port Authority of New York and New Jersey.
The LNG panel will comprise Harald Gurvin, Chief Financial Officer of Flex LNG, Andy Orekar, Chief Executive of GasLog Partners and Kenneth Hvid, President and CEO of Teekay Corp. The luncheon will be addressed by several keynote speakers, including Meg Gentle, CEO of US Gulf Coast LNG developer Tellurian Inc.
Oct 7 (LNGJ) - Nauticor, the German LNG supplier and a subsidiary of the Linde Group, said it conducted its first ship-to-ship LNG bunkering operation in a German port at the Elbehafen, part of the Brunsbuttel Ports zone where the country's first import terminal will be sited.
Nauticor said the trailing suction hopper dredger (TSHD) “Scheldt River” received the LNG fuel from the bunker supply vessel “Kairos”, owned by Babcock Schulte Energy and operated on behalf of Nauticor. The dredger “Scheldt River” received 300 cubic metres of LNG as the vessel continues to conduct maintenance dredging works on the Lower Elbe River.
Oct 4 (LNGJ) - French maritime LNG tanks technology firm GTT said it received two orders from the South Korean shipyards Samsung Heavy Industries and Hyundai Samho Heavy Industries for designs for two LNG carriers of 174,000 cubic metres capacity.
The Korean-built vessels will be fitted with the Mark III Flex membrane containment system. One carrier will be built at Samsung on behalf of Japanese shipowner NYK Line and will be delivered during the third quarter of 2021. GTT said the second vessel being constructed at Hyundai has been ordered by an Asian owner who wishes not to be named at this stage. The delivery date is the end of 2021.
Oct 2 (LNGJ) - Novatek said that 15 LNG cargos from the Yamal plant in northern Siberia were shipped eastwards to the Asia-Pacific market directly from Sabetta port via the Northern Sea Route during the third quarter 2019. “The eastward shipments represented about 25 percent of all LNG sent out from the Yamal plant during the quarter,” added Novatek.
A current fleet of 13 Arc7 ice-class tankers along with lower ice-class designated carriers transports cargoes from the Yamal facility to customers. Novatek said that another two Arc7 ice-class carriers are expected to be in operation by the end of 2019. “The increase of LNG delivered eastbound via the NSR confirms the commercial priority of the Asia-Pacific region as a strategic direction for future deliveries of Novatek LNG,” noted Lev Feodosyev, deputy chairman of the Novatek board.
Oct 1 (LNG) - Avenir LNG, a small-scale joint venture comprising Norwegian firms Stolt-Nielsen, Hoegh LNG and Golar LNG, said that Malaysian energy company Petronas has chartered Avenir’s first carrier of 7,500 cubic metres capacity. “The vessel will provide bunkering to LNG-fuelled vessels across Malaysia in addition to transport services for small-scale terminals in the region,” said Avenir.
Avenir received cooperation in the charter from Malaysian shipping line MISC Berhad, the main shipping partner of Petronas. “Avenir and MISC will form a joint venture company to manage the commercial operations of the LNG carrier whereas ship management services will be provided by Eaglestar Shipmanagement, a wholly-owned subsidiary of MISC,” said a statement.
Sept 27 (LNGJ) - The Kitimat LNG export project in the Canadian province of British Columbia, led by US major Chevron Corp., will be the subject of Open House meetings soon and a period of public comment on amendments to the venture. The meetings are being organized by the BC Environmental Assessment Office and will take place in the towns of Kitimat and Terrace. “A 30-day public comment period on the amendments will start on October 7, 2019 and end on November 6, 2019,” said the regulator.
The Kitimat LNG project is being developed at Bish Cove by Chevron and Woodside of Australia and each has a 50 percent stake as well as the support of the Haisla First Nation. Chevron in July 2019 had a project amendment request accepted by the regulators for a redesigned project and an increase in export capacity to 18 million tonnes per annum and an initial three processing Trains instead of two. Feed-gas for the Kitimat liquefaction plant will come from the large upstream shale-gas resources in 322,000 net acres owned by the project in the Horn River and Liard Basins of northeast BC.
Sept 26 (LNGJ) - Papua New Guinea said at the annual LNG Producer-Consumer Conference in Tokyo that the nation was hoping for a good deal from ExxonMobil for the P’nyang Gas Agreement, one of the two feed-gas ventures that will underpin the PNG LNG expansion to take output to almost 20 million tonnes per annum from around 9 MTPA currently.
A consortium led by French major Total and called Papua LNG, holders of the Elk-Antelope gas field licence, have already agreed to improved terms for the government. The P’nyang field licence, controlled by PNG LNG plant opertor ExxonMobil, also includes Australian-listed companies Oil Search and Santos and has yet to agree terms. PNG Petroleum Minister Kerenga Kua said in Tokyo that formal talks on the P’nyang Gas Agreement have yet to begin and the government was waiting for Exxon to put forward firm proposals for the $13 billion expansion.
Sept 25 (LNGJ) - Japanese shipping company Mitsui OSK Lines said it attended a naming ceremony at Hudong-Zhonghua Shipbuilding in China for a newbuild liquefied natural gas carrier jointly ordered with China Cosco Shipping Corp. to serve the Yamal LNG plant in Russia. MOL said that the 174,000 cubic metres capacity vessel was named “LNG Dubhe” after a star in the constellation Ursa Major and is the first of four newbuilds ordered in 2017 for the Yamal LNG project.
MOL and its partners also delivered three ice-breaking LNG carriers to the Russian project between 2018 and early 2019, which are currently engaged in cargo transportation in the Northern Sea Route. “For the time being, ‘LNG Dubue’ will be engaged in the transport of the LNG from trans-shipment terminals in Europe or a location where ship-to-ship transfer operations are carried out,” added MOL.
Sept 24 (LNGJ) - Japan's Economy, Trade and Industry Minister Isshu Sugawara will announce at the annual LNG Producer-Consumer Conference that the nation’s leading companies and agencies plan to invest $10 billion to encourage broader use of LNG around the world.
The Japanese government’s eighth conference in the series will be held on September 26 in Tokyo, jointly hosted by the Asia Pacific Energy Research Centre. The conference was first held in 2012 and the 2019 event will be attended by more than 1,000 representatives of governments, international energy organizations and companies involved in the LNG industry. It will be held at the Convention Center of the Grand Prince Hotel New Takanawa at Minato-ku in Tokyo.
Sept 20 (LNGJ) - Pakistan is planning the construction of five liquefied natural gas import terminals by groups including energy majors Exxon Mobil Corp. and Royal Dutch Shell as well as commodities firm Trafigura. Pakistan currently has two floating facilities at Port Qasim, east of Karachi.
The expansion plan echoes a declaration made at the Gastech 2019 conference in Houston, which has just ended, by the Pakistani government’s Nadeem Babar, a special assistant to Prime Minister Imran Khan. “In Pakistan, four years ago we had no LNG, we now have access to 10 million tonnes a year and will have 20 MTPA by 2025 and more by 2030,” said Babar.
According to the government, the developers will be required to submit technical and financial details by early November 2019 as well as a $2 million concession fee. Another $8M will be required to be paid on the signing of an implementation agreements.
Sept 19 (LNGJ) - The Santos-operated Gladstone LNG export project in the Australian state of Queensland said it had completed the A$750 million (US$510M) Roma East feed-gas project with the coal-seam gas compression facility officially handed over to its operations team. The Roma East project involved bringing 480 CSG wells online, including drilling about 430 new wells and connecting existing appraisal wells.
“First gas from the Roma East field flowed in February 2019 and with commissioning now safely completed, the plant is fully operational,” said Santos. The project also includes about 420 kilometres of water, gas gathering and other pipelines, additional gas compression, 670 kilometres of power lines, 25 kilometres of fibre optic cables and a new water-handling facility for irrigation.
Sept 18 (LNGJ) - Royal Boskalis Westminster of the Netherlands said its Smit Lamnalco joint venture was awarded “a substantial 10-year contract with additional extension options” to provide integrated marine services to the first Mozambique LNG project, the Coral floating production venture being developed by Eni of Italy and partners offshore the southeast African nation.
“This marks the first terminal services contract award for the Mozambique offshore LNG developments,” said Boskalis. The contract value for the Smit Lamnalco unit amounts to around $200 million and services will start in early 2022. The Boskalis company would deploy three new 95-ton bollard pull tugs to provide escort, berthing and unberthing services to LNG carriers at the FLNG facility.
Coral FLNG is a consortium comprising Eni, ExxonMobil, China National Petroleum Corp., Korea Gas Corp., Galp Energia of Portugal and the Mozambican State Hydrocarbon Company (ENH).
Sept 17 (LNGJ) - Sembcorp Marine of Singapore said its wholly-owned and operated Brazilian subsidiary, Estaleiro Jurong Aracruz (EJA), has crossed a significant operational milestone with the completion of its first floating production, storage and offloading (FPSO) project. The P-68, a newbuild FPSO vessel, has left the Brazilian shipyard and will be deployed to the ultra-deepwater Berbigao and Sururu fields in Brazil’s Santos Basin.
Sembcorp. said the vessel was constructed for Tupi BV, a consortium comprising Brazil’s Petrobras, France’s Total, Shell and Galp-Sinopec Brazil Services. EJA’s P-68 work scope includes fabricating six modules, pipe-racks and a flare, and integrating them on the vessel.
Sept 12 (LNGJ) - French LNG storage tanks technology company Gaztransport & Technigaz (GTT) said it received two separate orders from the South Korean shipyard Hyundai Heavy Industries on behalf of two Greek shipping lines, Tsakos Energy Navigation and Capital Gas Carriers.
Both vessels will have storage capacity of 174,000 cubic metres. “GTT will design the tanks of the vessels, which will be fitted with the Mark III Flex membrane containment system,” said the Paris-based company. “The delivery of the ships is planned during the fourth quarter of 2021,” added GTT.
Sept 11 (LNGJ) - OLT Offshore LNG Toscana’s terminal offshore the west coast of Italy will work at 100 percent of its capacity with 41 slots being used for the Gas Year 2019-2020 with the total allocated capacity amounting to 6.3 million cubic metres. “This confirms the effectiveness of the new allocation capacity mechanism via auctions introduced in 2018, which makes the regasification sector more flexible and in line with market demands, both for the spot market and the long-term and medium-term ones,” said OLT Offshore.
The “FSRU Toscana” offshore the port of Livorno will also be increasing the small-scale services available once modifications are completed. Small-scale commercial activities are expected to begin in 2021, allowing slots for small carriers to deliver LNG into storage under construction at regional ports for services such as the provision of trucking fuel and bunkering.
Sept 10 (LNGJ) - Wison Heavy Industry Co. of Nantong in China has signed an agreement with Japan Marine United Corp. (JMU) which allows the Chinese company’s subsidiary Wison Offshore & Marine to manufacture and market JMU’s self-supporting, prismatic-shape IMO type B (SPB) LNG tank containment system.
“Together, we will provide a customized, cost-saving solution for LNG storage,” said the companies. “This SPB technology owned by JMU is well known for its LNG storage reliability and robustness since its development by IHI Corp (Japan) in the 1980s,” they added.
Sept 5 (LNGJ) - Japanese utility Saibu Gas Co., operator of the Hibiki terminal with Kyushu Electric, and a second facility in Nagasaki, has signed a heads of agreement on supplies with Novatek of Russia. “The creation of our joint venture with Saibu Gas allows us to increase the marketing flexibility of natural gas supplies and create additional opportunities for LNG sales in this important gas consuming region,” said Novatek.
Saibu and Novatek said they planned to establish a joint venture focused on marketing LNG and natural gas to end-users and to develop bunkering activities as well as constructing and operating a new LNG storage tank at the Hibiki terminal where there are currently just two tanks.
Sept 4 (LNGJ) - Monaco-based LNG shipping company GasLog said it signed a 10-year time charter with the China-led power project company Sinolam for the provision of an LNG floating storage unit (FSU) for a joint LNG import terminal and related gas-fired power project being developed at Colón on the Caribbean coast of Panama.
The time charter is expected to be fulfilled through the conversion of the “GasLog Singapore”, a 155,000 cubic metres capacity vessel with tri-fuel diesel-electric propulsion and built in 2010. “The required modifications are such that, as well as being FSU-ready, the vessel will still be able to trade as an LNG carrier following the conversion works,” explained GasLog.
Sept 3 (LNGJ) - Cheniere Energy said it had achieved substantial completion of Train 2 of the Corpus Christi liquefaction plant in Texas. “Commissioning is complete and Cheniere’s EPC partner Bechtel Oil, Gas and Chemicals has turned over care, custody and control of Train 2 to Cheniere,” said the Houston-based company.
“Cheniere, its subsidiaries and Bechtel have now declared substantial completion on seven liquefaction trains at the Corpus Christi liquefaction project and the Sabine Pass liquefaction project ahead of each train’s guaranteed completion date and within project budgets,” said Cheniere.
“Under sale and purchase agreements with Electricité de France, Iberdrola and Naturgy Energy Group of Spain, Pertamina of Indonesia and Woodside of Australia, the date of first commercial delivery is expected to occur in May 2020, upon which the term of each of these SPAs commences,” explained Cheniere.
Sept 2 (LNGJ) - HaiSea Marine, a joint venture between the Haisla First Nation and Seaspan, the Canadian maritime services company said it signed a contract with the Royal Dutch Shell-led LNG Canada project to design, build, and operate escort tugs and harbour tugs required for the export facility in Kitimat in British Columbia.
Seaspan said that the value of the contract award was around C$500 million (US$376M) over 12 years and would result in employment for around 70 mariners and six onshore staff, plus other roles for employees of the partner organizations. During operations, LNG carriers will require harbor tugs to provide berthing and unberthing assistance in Kitimat.
“Our agreement with Seaspan ensures our members will have access to employment, training, and procurement opportunities on the contract with LNG Canada,” said Crystal Smith, Chief Councillor of the Haisla Nation.
August 29 - A consortium led by China Petroleum Pipeline Engineering Corporation (CPPEC) has been chosen as the preferred bidder for the construction of an LNG terminal at Vassiliko Port in Cyprus.
The consortium, comprising Wilhelmsen Ship Management, Aktor, Metron and Hudong-Zhonghua Shipbuilding, is to build the LNG import terminal, which will include an FSRU, a mooring jetty, jetty and onshore pipelines, as well as additional ancillary facilities.
Flex LNG took delivery of the newbuilding 173,400 cu m LNGC ‘Flex Courageous’ from Daewoo Shipbuilding & Marine engineering on 27th August.
This is the sixth vessel to join the fleet. Another five newbuildings are due to join the fleet in 2020 and another two in 2021.
She is powered by a 2-stroke MEGI and fitted with a partial reliquefaction system (PRS) and claims to have an industry low boil-off rate of 0.0075%.
She has left South Korea for the Pacific Basin and following this voyage, she will be available fir employment opportunities during the fourth quarter of this year. Flex LNG said that she “will be well positioned for the winter market.”
Pakistan LNG Ltd (PLL) has replaced its most senior manager with immediate effect.
Shalid Yousef has taken up the role of Managing Director and CEO, replacing Adnan Gilani.
No reason was given for the change. PLL said in a statement; "Adnan Gilani will no longer be associated with PLL. We wish him well."
Aug 27 (LNGJ) - The 261,700 cubic metres capacity carrier “Al Ghuwairiya” is scheduled to unload a shipment on September 2 at the UK South Hook terminal at Milford Haven in Wales from the Ras Laffan plant in Qatar, according to port authorities. The delivery was headed for the UK as the National Balancing Point benchmark natural gas price was at the equivalent of $3.40 per million British thermal units, while one of the main continental European prices, the Dutch Title Transfer Facility (TTF), was higher at the equivalent of around $3.45 per MMBtu.
Kuwait has issued tenders to construct facilities to store LNG and convert it to gas at its Al-Ahmadi oil refinery.
According to local Kuwaiti newspaper reports, the state-owned Kuwait National Petroleum Company (KNPC) issued the tender for “the LNG storage and conversion services contract” at Al-Ahmadi, which is undergoing expansion within the country’s multi-billion-dollar clean fuel project.
Bidding for the project will close on 6th October and bidders must submit all documents specified by KNPC, the Arabic language daily Alseyassah said.
The US Federal Energy Regulatory Commission (FERC) issued a notice stating that public meetings on the environmental impact of the proposed Alaska LNG Project will be held in Utqiagvik and Trapper Creek (9th September); Nuiqsut and Houston (10th September); Healy and Nikiski (11th September) and Fairbanks and Anchorage (12th September).
Aug 1 (LNGJ) - Fleet owner Teekay LNG said it was looking forward to second-half revenues from Bahrain LNG import operations in the Gulf from its stake in the project and its 20-charter agreement for the 173,000 cubic metres capacity “Bahrain Spirit” floating storage unit (FSU).
Bahrain's first LNG terminal is near the existing breakwater at the Khalifa Bin Salman Port. It includes the FSU provided by Teekay and a regasification platform. The project is owned by four companies, including the Gulf state’s National Oil & Gas Authority, Teekay, South Korea’s Samsung C&T and the Gulf Investment Corp.
Mark Kremin, Teekay Gas Group President and Chief Executive, said he expected financial results for the second half of 2019 to improve with new charters, the delivery of another three 50 percent-owned newbuilds for the Yamal LNG project in Russia and the start-up of the Bahrain LNG regasification terminal.