Angola LNG to Charter Out Tankers After Pipe Rupture

Posted by Joseph Keefe
Thursday, May 22, 2014

Angola's new liquefied natural gas (LNG) export project aims to charter out its entire tanker fleet for at least a couple of months after a major rupture on a flare line crippled output at the $10 billion plant last month.

The project partners led by U.S. oil major Chevron have approached shipbrokers to charter out all seven LNG carriers dedicated to Angola's liquefaction facility, three sources said.

One of the tankers has already been chartered to a shipper and is due to load a cargo in Nigeria soon.

"The other ships are currently being discussed ... some of the charters being discussed are at least until July or August," one of the sources said.

Another source said Angola LNG had expressed interest in locking in any charters that become available.

"But they have been very vague about how long they can charter out the ships," that source said.

Last month's rupture of a flare line at Angola LNG was the latest in a string of production setbacks since the plant started production in June 2013.

Operator Chevron has struggled with electrical fires, rig capsizes, pipelines leaks and operator errors at the site.

It remains uncertain for how long the plant will remain out of service as engineers take stock of the outstanding technical challenges before repairs can begin, sources at the site said.

SHIPPING RATES IMPACT


The unexpected addition of so much new shipping capacity is pressuring already weak rental rates, a senior shipping source said.

"The day rate on round-trip vessel charters has slipped below $60,000 and the Angolan vessels are contributing to that slide ... their presence in the market is delaying any hopes of a recovery," he said.

LNG shipping rates have been declining for months due to an oversupply of ships as well as a sharp reduction in Atlantic-Pacific trade flows because of weak demand in Asia.

Chevron has a 36.4 percent share in the Angolan plant, while Angolan state oil firm Sonangol has 22.8 percent. Other stakeholders include Total, BP and ENI.


By Oleg Vukmanovic

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

BIMCO Welcomes EU Decision on Migrants

BIMCO has stated today that it appreciates the new efforts by EU leaders to reduce increasing reliance on merchant shipping to rescue the growing numbers of

Long Beach, Los Angeles ports host forum to gather input

More than 100 cargo owners, trucking firm leaders, longshore labor, marine terminals and other goods movement industry representatives turned out Wednesday for

Arctic Nations to Fight Climate Change Despite Russia Tensions

The eight Arctic Council nations pledged on Friday to do more to combat climate change that is shrinking the vast frigid region, with countries trying to put

Contracts

Algoma Central Orders New Great Lakes Ships

Algoma Central Corporation announces $160 million investment in fleet expansion and fleet renewal   Algoma Central Corporation announced that it has acquired

Russia, France Close to Deal on Mistrals

Russia and France are close to reaching an agreement for Paris to cancel a frozen contract on the sale of Mistral helicopter carriers and reimburse Moscow, a Russian

Horizon's Hawaii Business Acquisition Cleared by DOJ

Horizon Lines, Inc. reported yesterday that, after a review by the Antitrust Division of the Department of Justice, Horizon's proposed sales transaction with The

Finance

Norwegian Car Carriers to Buy Two from Hyundai Samho

Oslo-listed Norwegian Car Carriers (NOCC) has signed a contract with Hyundai Samho Heavy Industries for the construction of two 6500 ceu Pure Car Truck Carrier (OCTCs).

Long Beach, Los Angeles ports host forum to gather input

More than 100 cargo owners, trucking firm leaders, longshore labor, marine terminals and other goods movement industry representatives turned out Wednesday for

Venezuela Probes ex-minister accused of corruption in Ferry Deals

A former minister in President Nicolas Maduro's government denied in an interview published on Friday accusations of corruption during the purchase of three

Energy

Goliat FPSO in Norway

The Goliat FPSO was successfully floated off the heavy-lift vessel, Dockwise Vanguard, in the fjord outside Hammerfest, says Eni Norge    The Goliat platform has arrived in Hammerfest,

Skangass Celebrates Topping Up

Nordic liquefied natural gas operator Skangass  has celebrated a topping out ceremony at its Pori LNG terminal. The company said it was making progress in the

Falklands' Oil Drilling at Isobel Deep Suspended

Oil explorers drilling in the waters north of the Falkland Islands have suspended work on the second well of their 2015 current six-well drilling campaign after a technical problem.

LNG

Skangass Celebrates Topping Up

Nordic liquefied natural gas operator Skangass  has celebrated a topping out ceremony at its Pori LNG terminal. The company said it was making progress in the

H-Energy to Build Floating LNG Terminal in West Bengal and Canada

Business Standard reported that real estate developer Hiranandani Group plans to set up a INR 2,400 crore floating LNG import terminal off Haldia, West Bengal

VT Halter Powers Ahead

If you drive just south of I-10 in Pascagoula, Miss., within 10 minutes you find yourself on the doorstep of VT Halter Marine, arguably one of the more diverse and active shipyards in the U.

Casualties

Two Rescued from Sinking Shrimp Boat

Two fishermen were rescued from their sinking shrimp boat by a U.S. Coast Guard aircrew Friday off the coast of Saint Simons Island near Brunswic, Georgia.   Watchstanders

Judge Orders Migrant Boat to Remain in Custody

An Italian judge on Friday ordered that the presumed captain of a migrant boat that sank with the loss of more than 700 lives should remain in custody after prosecutors

Grounding Kills 1, Injures 2 in Charleston Harbor

One person was killed and two people were injured when a boat ran aground on Shutes Folly off Charleston, South Carolina, late Thursday evening, the U.S. Coast Guard reported.

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Offshore Oil Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1588 sec (6 req/sec)