In this issue

 

Former Royal Dutch Shell LNG executive Kathleen Eisbrenner and her US-based NextDecade LNG project development company and the firm Flex LNG, controlled by Norwegian shipping tycoon John Fredriksen, have signed a cooperation agreement aimed at marketing floating import terminals as well as US LNG volumes to customers.

Our Europe editor

Centrica, the UK energy and utility company, has signed another Japanese LNG agreement, this time a firmer purchase and cooperation accord with Jera Co. Inc., a joint venture between the largest Japanese utilities, Tokyo Electric Power and Chubu Electric.

Skangas, the Nordic liquefied natural gas supplier and facility operator, has signed an agreement to sell volumes to the Finnish chemicals company Kemira Oy.

Qatari liquefied natural gas producer RasGas Co. has proposed that India concentrates on building up its LNG supplies and infrastructure as the leading edge of a clean energy policy.

Fluxys Belgium, the operator of the Zeebrugge import and regasification terminal on the Channel coast, has successfully received a full-sized vessel at its second jetty as part of operational testing for the new facility.

Our Middle East editor

Italian energy company Eni has agreed to sell a 30 percent stake in Egypt’s East Mediterranean offshore Shourouk block containing its world-class Zohr natural gas field that is expected to impact the regional LNG market when it comes on stream in late 2017.

Japan said the average price of liquefied natural gas spot cargoes contracted in November for delivery to the country was $7 per million British thermal units, a rise of $0.90 per MMBtu from the previous month but lower than a year ago.

Delek Group of Israel and Noble Energy of the US said they had taken a final investment decision to proceed with the Leviathan natural gas project offshore the Israeli coast in the East Mediterranean that will come on stream in 2019 and cut the LNG requirements for neighbour Jordan.

Our Asia-Pacific editor

Santos, the stakeholder in three Asia-Pacific LNG export joint ventures, said it planned to raise A$1.5 billion (US$1.12Bln) in a placement and share purchase plan after becoming the second Australian company to announce a break-up involving LNG assets to continue to weather the global slump in energy markets and reduce debt.

Australian SeaRoad Shipping is preparing to put into service the country’s first roll-on-roll-off ferry with LNG propulsion to operate between Devonport on the island of Tasmania to the city of Melbourne on the Australian mainland.

Gulf state takes action to meet rising global market competition

Our Middle East editor

Qatar, the world’s largest liquefied natural gas producer, said it would merge its two production companies, Qatargas and RasGas Co Ltd, and consolidate all activities under the Qatargas banner.

National Grid, the UK transmission network operator and liquefied natural gas terminal owner, has signed an agreement to sell 61 percent of its British pipelines business for around $10.6 billion to a consortium led by the infrastructure unit of Australian bank Macquarie and other investors, including the state of Qatar.

Qatar, the world’s largest liquefied natural gas exporter, has hosted a business forum for German companies in the capital Doha and participants noted the signing of an LNG supply contract earlier in 2016 with Essen-based RWE Group, even though Germany has yet to reveal plans for an import terminal. 

Our Asia-Pacific editor

Jera Co. Inc., the Japanese joint venture company formed by the nation’s two largest utilities, Tokyo Electric Power and Chubu Electric, said it had made its first LNG cargo purchase from the US Lower 48 states in the form of a shipment from Cheniere Energy’s Sabine Pass facility on the Gulf Coast.

News Nudges

Chiyoda names new CEO

Chiyoda Corp. of Japan, one of the world’s leading LNG engineering and construction companies, has overhauled its senior management after the losses and poor performance prompted by its Emas Chiyoda subsea business acquisition. Senior Executive Vice President Masaji Santo has been named as President and Chief Executive and Katsuo Nagasaka, who is currently a director and Senior Vice President, has been named executive Chairman. Senior Vice President Hirotsugu Hayashi has been appointed as the new Chief Financial Officer.


Qatargas adds to Poland deal

Qatargas has concluded a side deal alongside an existing sales agreement with Polish Oil and Gas Co. Under the additional accord, Qatargas will increase the volume of LNG currently supplied to Poland to 2 million tonnes per annum. The new agreement will come into effect in January 2018 and will run until June 2034. The LNG will be supplied from the Qatargas Train 3, a joint venture between Qatar Petroleum, ConocoPhillips, and Mitsui & Co. of Japan. The cargoes will be delivered on board Q-Flex LNG vessels to the Swinoujscie import terminal on the Baltic coast of Poland.


US LNG ship approval

The American Bureau of Shipping, the US classification society, has granted Approval in Principle for the Seatransporter-DF, a dual-fuel design concept developed by Algoship Designers Ltd. of Nassau in the Bahamas. The design has the capability to accommodate multiple engine types as well as Type-C or membrane containment systems for LNG fuels.