Novatek Pact with Chinese Duo on Arctic LNG 2
Russia's second largest natural gas producer, Novatek has signed share purchase agreements with two Chinese oil giants for the sale of participation interest in the Arctic LNG 2 project.Novatek announced that it has signed the Share Purchase Agreement with China National Offshore Oil Corporation (CNOOC) in relation to the sale of a 10% participation interest in the Arctic LNG 2 project.The Agreement will close in the nearest future subject to approval by regulatory authorities…
Natural Gas Consumption Up 10% in China
According to the preliminary estimate, the consumption of natural gas in China exceeded 27 million cubic meters in 2018, registering a YOY increase of more than 10%, said a report.The growing Chinese economy and stricter environmental protection policies drive the growth of natural gas consumption in China. In 2018, the Chinese government introduced several environmental protection policies to further prevent and control atmospheric pollution and replace coal with natural gas in key areas…
Guangzhou Launches World's First Icebreaking LNG Tanker
The world's first liquid natural gas (LNG) carrier tanker was named 'Boris Sokolov' and delivered by Guangzhou Shipyard International in Guangzhou City.According to Chinese state media, the Arctic condensate tanker carrier designed to traverse the world's icy northern polar region.With a load capacity of 44,550 tons, the vessel, which is built for for Dynacom of Greece, can sail in the Arctic region without icebreaker-piloting, it said. The vessel is mainly used for transporting condensate oil for the Yamal LNG project in northwest Siberia…
Novatek Ships First LNG Cargo To China Via Arctic
Novatek Gas and Power Asia, wholly owned subsidiary of Russia’s largest independent natural gas producer Novatek, shipped a cargo of liquefied natural gas (LNG) produced from the Yamal LNG project to China National Offshore Oil Corporation (CNOOC).The LNG cargo was delivered to Fujian LNG Terminal in China via the Northern Sea Route (NSR) by an Arc7 ice-class LNG carrier in 20 days, completing the NSR part of the journey in 7.5 days.A release from the natural gas producers quoted Leonid Mikhelson…
Hoegh Backs Out of Chile LNG Project but Buoyant on Market
Hoegh LNG said on Thursday it had let agreements lapse in Chile that tied one of its floating liquefied natural gas (LNG) import vessels to a project there because approvals for the initiative were likely to be delayed again.The Norwegian company was due to provide a floating storage and regasification unit (FSRU) to GNL Penco for 20 years under a 2015 deal, with an original start date of the second quarter of 2018, but regulatory permits were slow in coming.Hoegh said it had been "made aware that the planned approval process for the GNL Penco FSRU project is likely to be further delayed…
China Surpasses US as Largest Crude Oil Importer
China took the crown as the world’s largest crude oil importer in 2017, according to U.S. Energy Information Administration press release. China imported 8.4 million barrels per day, and the United States imported 7.9 million barrels per day. China had become the world’s largest net importer (imports minus exports) of total petroleum and other liquid fuels in 2013. New refinery capacity and strategic inventory stockpiling combined with declining domestic oil production were the major factors contributing to the recent increase in China’s crude oil imports.
Wood Group Wins Subsea Contract Supporting CNOOC
UK-based energy services company Wood Group has been awarded a new contract by the China National Offshore Oil Corporation (CNOOC) to support the Lingshui 17-2 gas development in the Qiongdongnan basin of the South China Sea. Subsea and flow assurance services will be provided under the contract, which is effective immediately and will be supported by Wood Group’s offices in Perth, Australia and London. An independent review for the development’s subsea production system design and a special study and design for its gas export pipeline will be delivered.
Asia Tankers-VLCC Rates to Rebound on Firm Cargo Volumes
CNOOC VLCC deal "draws line in the sand" for tanker owners; 25-30 MidEast fixtures still to be released up to mid-November. Freight rates for very large crude carriers (VLCCs), which plunged to a three-week low, are set to recover next week as owners hold out for higher rates on expectations of firm cargo volumes from the Middle East, ship brokers said on Friday. "Owners, especially those with modern vessels are now holding out as they view the market is definitely going to firm up," said a Singapore-based supertanker broker.
Philippines' Offshore Oil Still in Doubt
The Philippines, eager to resume development of vital oil and gas reserves off its coast, will likely need to reach an accord with a Chinese government infuriated by last week's ruling that granted Manila a big victory in the South China Sea. The Philippines relies overwhelmingly on imports to fuel its fast-growing economy. That reliance will grow further in a few years when the main source of domestic natural gas runs out, so the clock is ticking for it to develop offshore fields that China shows no sign of loosening its grip on. Beijing has refused to recognise the ruling by the Permanent Court of Arbitration that granted the Philippines sovereign rights to access offshore oil and gas fields, including the Reed Bank, a shallow tablemount some 85 nautical miles off its coast.
Primeline Turns Against CNOOC
Primeline Energy Holdings Inc. announces that it has sent a letter to China National Offshore Oil Corporation (CNOOC) and CNOOC China Limited (CCL) (together CNOOC Group) giving formal notice of its intention to commence arbitration proceedings against CNOOC Group under the provisions of the Petroleum Contract for Block 25/34. The CNOOC Arbitration relates to Primeline’s continuing disputes with CNOOC Group with regard to the development, production and sales of gas from the LS36-1 Gas Field (LS36-1).
China Pull Online Rig Location after Vietnam Complaint
Chinese maritime officials on Friday removed an online notice giving the location of a $1-billion deepwater oil rig in the South China Sea two days after issuing it, following a warning from Vietnam about drilling in disputed waters. Vietnam closely tracks the movement of the oil rig, which in mid-2014 caused the worst diplomatic rift between the neighbours in decades, when China parked it for 10 weeks in waters Vietnam considers its own. Annual trade between the communist neighbours exceeds $60 billion but anti-China sentiment is strong in Vietnam, where people are embittered over what many see as a history of Chinese bullying and territorial infringements in the South China Sea.
China: Rig Not Drilling in Disputed Waters
In mid-2014, rig caused worst breakdown in ties in decades. China's Foreign Ministry said on Wednesday that a $1-billion deepwater oil rig was not drilling in disputed territory in the South China Sea, in response to a warning from Vietnam against such activity. Vietnam closely tracks the movement of the oil rig, which in mid-2014 caused the worst diplomatic breakdown between the neighbours in decades, when China parked it for 10 weeks in waters Vietnam considers its own. This week Vietnam said Beijing had steered the rig, the Haiyang Shiyou 981, into a stretch where jurisdiction is unclear. "According to what is understood, China's Haiyang Shiyou 981 drilling platform is operating in Chinese-controlled waters that are completely undisputed…
China LNG Contracts for GDF Suez
GDF sign significant agreements with Chinese partners for an LNG carrier charter, gas storage and regasification facilities. An agreement with the China National Offshore Oil Corporation (CNOOC) schedules the sub-chartering of the GDF SUEZ Cape Ann LNG carrier from October 2013 for a period of up to five years and a FSRU will be permanently moored in Tianjin and will become the first floating LNG import terminal in China. This delivery follows the signing in 2011 of a cooperation agreement on LNG floating storage and regasification units between GDF SUEZ and CNOOC. (Tianjin is located around hundred kilometers from Beijing and the FSRU will support this region’s growth). The technical service agreement signed with China National Petroleum Corp.
BP & CNOOC Sign 20-yr LNG Deal
BP and the China National Offshore Oil Corporation (CNOOC) today announced a heads of agreement for the supply of up to 1.5 million tonnes of liquefied natural gas (LNG) per year over 20 years starting in 2019. The agreement was signed in London by BP Executive Vice President, Dev Sanyal and CNOOC Chairman, Wang Yilin, in the presence of UK Prime Minister David Cameron and Chinese Premier, Li Keqiang. Bob Dudley, BP Group Chief Executive said: “This is a significant deal for BP and China but it also marks a step up in global connectivity in the gas market.
Teekay LNG Acquires Interests in Four LNG Newbuildings
Teekay LNG Partners L.P. announced that it has acquired from BG Group ownership interests in four 174,000 cubic meter Tri-Fuel Diesel Electric (TFDE) liquefied natural gas (LNG) carrier newbuildings, which will be constructed by Hudong-Zhonghua Shipbuilding (Group) Co., Ltd. in China. The vessels, which are scheduled to deliver between September 2017 and January 2019, will each operate under 20-year time-charter contracts, plus extension options, with Methane Services Limited, a wholly-owned subsidiary of BG.
CNOOC, BP Sign Production Sharing Contract
CNOOC Limited said that its parent company, China National Offshore Oil Corporation (CNOOC) has signed production sharing contract (PSC) with BP for deepwater Block 54/11 in Pearl River Mouth Basin in the South China Sea. Block 54/11 is located in Pearl River Mouth Basin in the east part of the South China Sea. It covers a total area of 4,586 square kilometers with water depths of 370- 2,300 meters. According to the terms of the contract, all expenditures incurred during the exploration period will be borne by BP. CNOOC has the right to participate in up to 51% working interest in any commercial discoveries in the block. CNOOC will act as the Operator in the Block.
Roc Oil Starts Drilling on Block 09/05 & FARM-OUT OF 40%
Roc Oil (Bohai) Company, a wholly owned subsidiary of Roc Oil Company Limited (ASX:ROC), as operator of Block 09/05, Bohai Bay, Offshore China advises that drilling has commenced on the first exploration well QK11-1-1. Drilling from CPOE Rig 33 commenced at 11:00 China Standard Time on 14 August 2014. Total depth planned for this well is ~4,000 metres TVD (~4,500 metres measured depth). The 335 square kilometres block is located approximately 15 kilometres north of ROC’s existing Zhao Dong production and appraisal blocks in water depths of 5-15 metres.
CNOOC Acquires Asia's 1st LNG Powered Tug
China National Offshore Oil Corporation (CNOOC) has taken delivery of Asia’s first tugboat Hai Yang Shi You 525, designed to operate solely on liquefied natural gas as ship’s fuel. Hai Yang Shi You 525, the first of two tugs built by the Zhenjiang shipyard for CNOOC, features a propulsion package based on twin Rolls-Royce Bergen C26:33L9PG engines and a pair of highly reliable Rolls-Royce US 205 CP azimuth thrusters to ensure the tugs have rapid manoeuvring and strong bollard pull capabilities. A successful sea trial has proven an extra gain for both ship speed and bollard pull.
Chinese Firms in Winning Libra Field Bid, Offshore Brazil
The Chinese firms, China National Offshore Oil Corporation ( CNOOC) and China National Petroleum Corporation (CNPC), have a 10 percent stake each, with Shell and Total taking 20 percent each, and Petrobras the remaining 40 percent share. The Libra block is located in Santos Basin ultra deep waters in the pre-salt polygon and is considered a prospect of high potential. The total extension of the area is 1,547.76 km2 and was discovered by well 2-ANP-0002ARJS, drilled in 2010. Under the rules of the auction, Petrobras had to participate in any consortium with at least a 30-percent stake, and to operate the field. The rules also called for the Brazilian government to receive a minimum 41.65 percent of the field's output…
Uganda to Auction Oil Blocks
Uganda will auction new oil exploration acreage by December and compensate land owners at the site of a planned crude oil refinery, a government official said on Friday. Investor interest in Uganda's hydrocarbons potential has been growing since the east African country discovered commercial crude reserves in 2006, now estimated by government geologists at 6.5 billion barrels. Last month, the energy ministry issued a tender for a consultant to help prepare and package seismic and other data for the exploration fields that will be up for auction.
China Offshore Inert Gas Orders for Norway's WTS
Wilhelmsen Technical Solutions (WTS) say they have secured multiple orders to supply Maritime Protection Inert Gas Generator (IGG) systems for installation on vessels under construction for operations offshore China. The Maritime Protection systems will be installed on three FPSOs for oil major China National Offshore Oil Corporation (CNOOC). Two identical systems, comprising a deck house module with electric power, fuel and sea water supply/discharge, will be supplied for two FPSOs which will operate in the Bohai oil field in northern China.
LM Handling Installs FPSO
LM Handling, an Acteon company, has provided handling expertise and equipment to support Acteon sister company, InterMoor, in the successful mooring installation of a floating production, storage and offloading (FPSO) unit for the China National Offshore Oil Corporation (CNOOC) operated Enping 24-2 oilfield in the South China Sea. With LM Handling’s lifting and handling expertise and equipment, a 12-pile anchor mooring system, consisting of three clusters of four mooring lines, was installed.
ABB Wins Contract from Chinese Shipyard
ABB announced that it will deliver advanced electrical propulsion systems for four LNG carriers under construction by Hudong-Zhonghua Shipbuilding (Group) Co., Ltd. The LNG vessels are a joint venture between China National Offshore Oil Corporation (CNOOC), China LNG Shipping (Holdings) Limited (CLNG) and Teekay, and will operate under 20-year time-charter contracts with Methane Services Limited, a wholly-owned subsidiary of BG. LNG carriers are highly sophisticated in terms of technology and are specially designed to transport LNG at a low temperature of minus 162 degrees Celsius.