VTTI to Control Italy's Biggest LNG Terminal, Snam to Get 30%
Energy storage group VTTI will get a 70% stake in Italy's biggest liquefied natural gas (LNG) terminal, with grid operator Snam owning the rest, the Milan-listed group said on Wednesday, announcing a deal to be finalised by year-end.Snam, which is controlled by the Italian government, said in a statement it had exercised its pre-emption right to increase its stake in the infrastructure dubbed Adriatic LNG to 30% from 7.3%.The move comes after ExxonMobil and QatarEnergy last week agreed to sell their stakes in the terminal to a consortium led by Dutch group VTTI.
Rhine River Levels in Germany Back to Normal after Rain
Heavy rain has raised water levels on the river Rhine in Germany to levels allowing cargo vessels to sail fully loaded, data from German inland waterways agency WSA said on Wednesday.Data from the WSA’s website Pegelonline showed that the last shallow sectors of the river around Cologne had now reached levels generally permitting full vessel loads.Dry weather in June meant the river became too shallow for vessels to sail fully loaded and ship operators imposed surcharges on freight rates to compensate for vessels sailing partly empty, increasing costs for cargo owners.
Rain Raises Rhine River Levels in Germany; North Still Too Shallow
Heavy rain has raised water levels on the Rhine in Germany, but the river is still too shallow in central northern areas for cargo vessels to sail fully loaded, commodity traders said on Wednesday.The river is a major western European shipping route for commodities including grains, minerals, coal and oil products. Dry weather in June meant it became too shallow for vessels to sail fully loaded and operators imposed surcharges on freight rates to compensate for ships sailing partly empty…
Four Bidders Vie For Stake in Exxon LNG Terminal Offshore Italy - Sources
Four international groups are competing to buy Exxon Mobil Corp's majority stake in a liquefied natural gas (LNG) terminal offshore Italy, two sources familiar with the matter said. The deal could value the entire LNG terminal at around 800 million euros ($881 million), the sources said. Exxon said in March it was considering selling its majority stake in Adriatic LNG, Italy's main regasification terminal, as part of a wider strategy to divest non-core assets. The U.S. group is being advised by Rothschild & Co. on the process.
Oil Spills and Near Misses: More Ghost Tankers Ship Sanctioned Fuel
An oil tanker runs aground off eastern China, leaking fuel into the water. Another is caught in a collision near Cuba. A third is seized in Spain for drifting out of control.These vessels were part of a "shadow" fleet of tankers carrying oil last year from countries hit by Western sanctions, according to a Reuters analysis of ship tracking and accident data and interviews with more than a dozen industry specialists.Hundreds of extra ships have joined this opaque parallel trade…
US LNG Producers Poised to Leapfrog Rivals with Three New Projects
At least three proposed U.S. liquefied natural gas (LNG) export plants have likely found enough customers to receive financial approvals this year, according to Reuters calculations, developments that would make the country the world's largest LNG exporter for years to come.After a dearth of plant approvals last decade, developers have secured dozens of long-term contracts to finance new multibillion-dollar LNG plants. The pace of approvals has accelerated as Europe has shifted…
LNG Ships Play Waiting Game Off Spain's Coast as Higher Prices Eyed
Several ships carrying liquefied natural gas (LNG) anchored off Spain's Bay of Cadiz are likely to stay there until late November in anticipation of a rise in European gas prices, industry sources said.Dozens of ships have been circling off the Iberian coast and in the Mediterranean sea for weeks, unable to secure slots to unload their LNG cargoes as plants that convert the superchilled fuel back to gas are operating at maximum capacity.The high volume of LNG in floating storage exposes Europe's lack of "regasification" capacity just as the continent stocks up for a winter of substantially less Russian pipeline gas.But industry sources say some of the waiting ships are part of a trading strategy from their respective companies…
Singapore's New Trade Data Sharing Platform Aims to Stem Fraud
A Singapore trade data sharing platform backed by banks, commodity houses and state firms has signed up 70 participants as part of the city-state's attempts to bolster confidence after a spate of commodity trade finance frauds in recent years.The Singapore Trade Data Exchange (SGTraDex), whose founders include banks DBS and Standard Chartered, commodity trader Trafigura and the local tech regulator, Infocomm Media Development Authority, was launched on Wednesday after plans were announced last year."We're trying to replicate what's happening in the physical world…
Tellurian to Sell LNG to Gunvor, Delays Louisiana Project Start
U.S. liquefied natural gas (LNG) developer Tellurian Inc said on Thursday it signed a 10-year agreement with commodity trader Gunvor Group for 3 million tonnes per annum (MTPA) of LNG.Tellurian shares soared around 24% on the news to their highest since February.In addition, Tellurian released a presentation that said its proposed Driftwood export plant in Louisiana was positioned for first quarter 2022 commerciality.Analysts at Cowen & Co said in a note that meant Tellurian pushed…
Asian Gas Prices, LNG Shipping Costs Soar on Freezing Temperatures
Freezing temperatures across Asia and Europe are driving liquefied natural gas (LNG) prices to record highs and pushing up the cost of shipping the fuel globally as buyers grapple with tight inventories and a shortage of tankers.Demand for super-cooled natural gas has surged in recent years as buyers, particularly China and India, move away from dirtier coal-polluting power plants. Prices had remained relatively low until late 2019, when unexpected cold weather and bottlenecked shipments caused prices to surge.Spot Asian LNG prices are up more than 1…
Mercuria Teams Up with Envysion for Project Investment
Trading house Mercuria and Singapore-based asset manager Envysion Wealth Management have agreed to co-invest in mining and energy projects, as default-hit banks tighten their purse strings and leave commodities firms seeking other funding.The deal, signed on Wednesday, will see Mercuria present potential projects for investment to Envysion, founded and led by former Julius Baer banker Veronica Shim. Envysion will then decide whether to participate via a fund with a start-up amount…
Glencore Extends Charter for 'Bulk Shanghai' Bulk Carrier
Mining giant and commodity trader Glencore has via its subsidiary ST Shipping extended the charter for the 2020 Bulkers' 'Bulk Shanghai' bulk carriers.2020 Bulkers said Friday that the charter would be extended for a period of 6-8 months from October 4, 2020. According to the 2020 Bulkers, the vessel will from October 4, 2020, earn a fixed rate of $18,000 per day, gross, as well as a share of the fuel savings generated from the scrubber fitted on the vessel.According to AIS data…
Gunvor to Charter Flex LNG Newbuild
Commodity trader Gunvor Group will charter a liquefied natural gas (LNG) carrier from shipping firm Flex LNG for up to 10 years, the two companies said on Monday.Geneva-based Gunvor, which has said it wants to take a lead in energy transition by investing in cleaner natural gas, last year became the biggest trader in the burgeoning LNG market.The initial contract is for five years, with options to extend to 10, the firms said. The vessel, with capacity to transport 173,400 cubic meters of LNG, is under construction at Korean yard Daewoo Shipbuilding & Marine Engineering."We look forward to taking delivery of one of the most technologically advanced LNG vessels in the world to serve our long term portfolio…
Koch Extend Charters for Two 2020 Bulkers
Norway-based shipowner 2020 Bulkers announced that the time charters of two of its vessels with the global commodity trader Koch Supply and TradingUnder the new deal, the dry bulk shipping company vessels Bulk Santiago and Bulk Seoul will continue working for Koch for another 11-13 months at an index linked rate reflecting a significant premium to the Baltic 5TC index.The time charters also include a sharing of the economic benefit from the scrubbers from January 1st, 2020, with the majority of the benefit accruing to 2020 Bulkers.As part of the agreement, the index linked time charters will commence on December 25th, 2020, for Bulk Santiago and January 1st…
Korean H-Line Sign LNG Carrier TC with Vitol
Dutch energy and commodities group Vitol and South Korea's H-Line Shipping have executed a 10-year time-charter agreement for a newbuild, latest generation LNG carrier.The commodity trader said that the 174,000m3 vessel with XDF propulsion is to be built at Korea’s Hyundai Samho Heavy Industries (HSHI) and is due for delivery in late 2021.Vitol also holds extension options and the ability to exercise additional LNG carriers to support its further growth in the LNG industry through this partnership with H-line.Pablo Galante Escobar, Vitol’s head of LNG said: “We are very excited to have concluded this contract with H-Line, a top class Korean shipowner, which represents Vitol’s second long-term charter of a modern 174,000 m3 LNG carrier.
Trafigura Sends More Asian Gasoline to Americas
Commodity trader Trafigura is shipping this month a second newly built crude tanker with Asian gasoline onboard to South America amid strong demand in the West, four industry sources who closely monitor petrol trade flows said on Thursday.Although it is not uncommon for traders to use a brand new crude tanker of 150,000 deadweight tonnage (dwt) to ship clean fuels such as diesel, it is rare to use them for gasoline because of the sheer size."South America likely needs gasoline more than gasoil now.
India's Ennore Terminal Gets Qatari LNG
Qatargas, the world’s largest LNG producer, supplied a commissioning cargo for India’s Ennore LNG receiving terminal, near the southern Indian city of Chennai.The commissioning LNG cargo was delivered onboard the vessel ‘Golar Snow’ on 25th February 2019 by the Swiss commodity trader, Gunvor, to the state-owned Indian Oil Corporation Limited (IOCL), which owns and operates the five million tonnes per annum (MTPA) terminal. Qatargas sold the cargo Free On Board (FOB) basis to Gunvor.Ennore will be India’s fifth operational LNG terminal and the first LNG terminal on the East Coast of India. Once fully commissioned, Ennore will provide regasified LNG to anchor customers…
Trafigura Leases 35 Crude Oil and Product Tankers
Commodity trader Trafigura had leased 35 newly built crude oil and oil product tankers from an undisclosed Asian financial partner with the vessels expected to be delivered late this week and all through 2019, the company said."Until 2020, the vessels will run on regular fuel, and from then onwards, whenever allowed (some ports do not allow usage of open loop scrubber), they will burn high sulphur fuel oil, which is possible due to the scrubber onboard each vessel," a company spokesman told Reuters on Friday.The tankers…
Trafigura Strikes 3-year LNG Deal from U.S. Project
Commodity trader Trafigura on Tuesday said it agreed to buy 0.5 million tonnes of liquefied natural gas (LNG) annually over three years from the Freeport LNG export plant in the United States. Deliveries from Freeport LNG Marketing will begin in 2020 from its facility on Quintana Island near Freeport, Texas, Trafigura said. The deal builds on Trafigura's 15-year, 1 million tonne per annum agreement with Cheniere Energy for supply from its Sabine Pass plant in Louisiana, which was announced in January. Reporting by Oleg Vukmanovic
Noble Group Sells Kamsarmax Dry Bulker to Aeolian Spirit Shipping
The commodity trader Noble Group has entered into an agreement with Aeolian Spirit Shipping, a Cyprus company, to dispose a vessel registered in Hong Kong for a consideration of US$23.79 million. Noble said in a press annoucement that its indirect wholly-owned subsidiary, Core Forte, had on June 15 entered into a memorandum of agreement with Aeolian Spirit Shipping and Transmed Shipping for the proposed sale of a Kamsarmax dry bulk carrier vessel. The Vessel “Ocean Forte" is registered under the flag of Hong Kong. It was built in 2015 and has a capacity of 81,616 dwt. The Vessel is employed to service external customers as well as Noble Group’s internal freight requirements. It is included in Noble Group’s Metals, Minerals and Ores segment for reporting purposes.
Noble Group To Sell Ship For $24 Million
Struggling commodity trader Noble Group Ltd said it would sell to Bianca Corp a Kamsarmax dry bulk carrier for $24 million in cash. The Hong Kong registered ship has a capacity of 81,499 deadweight tons. Built in 2015, the vessel, Ocean Integrity, is employed to service external customers as well as Noble Group's internal freight requirements. "The consideration for the Proposed Disposal shall be US$24 million payable on completion of the Proposed Disposal and will be satisfied in cash. The Consideration was arrived at after arm’s length negotiations between NGL and the Buyer, on a “willing buyer willing seller” basis, and taking into account, inter alia, the valuation of the Vessel and the Vessel’s specifications and age," said a statement from the company.
Noble Group deals to sell four ships fall apart
The commodity trader Noble Group says proposed agreements to sell four dry bulk carrier vessels fell through after the buyers failed to get approval from their boards, reports Strait Times. The disposal of the freight vessels for gross proceeds of about USD 95 million had been approved by Noble shareholders at a special general meeting on Jan 25. The crisis-wracked company estimates it would have received about USD 30mln in net proceeds if the vessels had been sold. The proposed disposal of the vessels is a part of the Noble’s debt reduction plans. According to a statement from the company, the vessels are still available for sale and the company has started discussions with interested third parties.
Noble Group: Sale of Four Bulkers Falls Through
Crisis-wracked commodity trader Noble Group said on Friday said proposed agreements to sell four dry bulk carrier vessels have fallen through after the buyers failed to get approval from their boards for the deals by Thursday. Noble estimated it would have received net proceeds of about $30 million if the vessels had been sold, after repayment of mortgages associated with the ships and other costs. "Noble Group wishes to update that the vessels are, in the current market, profit generating and cash flow positive," it said in a statement. The vessels were still available for sale and the company has started discussions with interested third parties, it added. The proposed disposal of the vessels is a part of the company's debt reduction plans.
