In this issue

 

Gas Authority of India (GAIL), the state-run natural gas and transmission network operator and LNG importer, has signed a procurement agreement with global commodities trading company Gunvor based on a swap transaction linked to US and spot volumes. 

Australian liquefied natural gas exports and income have surged with the second of three LNG Trains at the Gorgon plant on Barrow Island in Western Australia being ramped up and shipments rising from coal-seam-gas-to-LNG plans in eastern Australia. 

Our Asia-Pacific editor

Japan said the average price of delivered spot liquefied natural gas cargoes in February 2017 jumped to their highest level in two years to reach $8.80 per million British thermal units, $1.90 per MMBtu higher than the $6.90 per MMBtu price logged in the same month a year ago. 

Tokyo Electric Power Co. and Chubu Electric Power, the two largest users and importers of LNG in Japan, are discussing the full integration of their thermal power operations as part of Japanese energy and power deregulation and as the nation this week marks the sixth anniversary of the Fukushima disaster on 11 March 2011 that changed the nation’s energy outlook. 

Our Asia Pacific editor

WorleyParsons, the Australian energy and engineering and construction company noted for working on the Singapore LNG import terminal and liquefaction plants in Western Australia, is the subject of takeover speculation after a Middle East group based in the United Arab Emirates acquired a substantial stake and said it could buy more shares. 

Our North America editor in New York

Exxon Mobil Corp. Chief Executive Darren Woods is expanding the energy major's capacity along the US Gulf Coast through planned investments of $20 billion over a 10-year period to take advantage of the American energy revolution, including the LNG export build-out. 

The Jordan Cove liquefied natural gas export venture and its affiliated 230-mile Pacific Connector transmission pipeline in the northwest state of Oregon are viewed as long-term projects for Calgary-based Veresen Inc., with first LNG cargoes unlikely before 2024. 

Clean Energy Fuels Corp., one of the main LNG fuel distributors in the US, said its sales of gas fuel during 2016 amounted to 329.0 million gallons, a rise of 6.6 percent compared with the previous year. 

Our Asia-Pacific editor

One of the most influential liquefied natural gas industry executives in recent years, Melody Meyer, the former head of Chevron Corp.’s operations in the Asia-Pacific region, has been appointed by privately held energy company Cairn India as a senior advisor. 

Amec Foster Wheeler, the UK-based energy and engineering company, said it won an owner’s engineer contract from the Chile LNG terminal company GNL Quintero for services related to an expansion. 

Our Europe editor

The UK Isle of Grain LNG import terminal, located on the Medway River 45 miles southeast of London and owned by National Grid, has welcomed its first cargoes from both the South American nation of Peru and the Dominican Republic in the Caribbean. 

CEO Kocher is planning to focus on three divisions including natural gas

Our Europe editor

Engie, the French energy, utility and LNG trading and importing company, narrowed its net losses to 415 million euros ($437M) for 2016, though it took a massive hit of over $4 billion for impairments in the power market and one-off items as it restructured in the commodities downturn. 

Our North America editor in New York

The US export projects being developed by Washington DC-based Venture Global LNG on the banks of the Mississippi River in Louisiana has begun its permit application process with the Federal energy Regulatory Commission. 

The Texas LNG Brownsville project said it formally selected Samsung Engineering of South Korea and KBR Inc. of the US to provide a detailed engineering report and estimates before a final investment decision is taken and an engineering, procurement and construction contract signed. 

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.