Korea Gas Corp News

Australia will not put curbs on gas exports after reaching a deal with its three east coast producers of liquefied natural gas (LNG) to avert a forecast supply crunch, Resources Minister Madeleine King said on Thursday.The government threatened the export curbs in August, worrying Asian buyers and LNG investors, following a warning by the competition watchdog that the east coast market faced a shortfall of 57 petajoules of gas in 2023.The pact unveiled on Thursday provides for Queensland Curtis LNG…

Unions at Shell Plc's Prelude floating liquefied natural gas (FLNG) site off Australia have extended industrial action to Sept. 1 over a long-running pay dispute, the company said on Thursday. Shell shut down the 3.6-million-tonne-a-year site in July and told customers it would be unable to supply LNG cargoes for the duration of work stoppages approved by Australia's Fair Work Commission, or Protected Industrial Action (PIA). "We can confirm it's been renewed until Sept. 1," a Shell spokesperson said of the protected industrial action. The work stoppages began on June 10 and no cargoes have been shipped from the site in about five weeks, worsening a global LNG supply crunch amid the Ukraine conflict.

Shell Plc said on Wednesday liquefied natural gas (LNG) shipments from its Prelude floating facility off northwest Australia would be disrupted for at least two weeks due to work bans by unions fighting for better pay.Loading disruption at the 3.6-million-tonnes-a-year facility adds to tightness in a global LNG market just as Europe scrambles to secure cargoes to make up for lost Russian gas supply. One of the largest U.S. LNG plants, Freeport LNG is also undergoing an extended outage."We have issued a notice to customers that cargoes will be impacted until at least mid-July due to the industrial action," a Shell spokesperson said in an emailed comment.The last cargo left Prelude on June 26 on the ship Oceanic Breeze…

Shell Plc said on Monday it has resumed shipping liquefied natural gas (LNG) from its Prelude floating LNG facility off northwest Australia after a four-month shutdown due to a major power failure.A cargo completed loading and left the site on Sunday night, a Shell spokesperson said, declining to disclose the destination."Our focus at Prelude remains on the long-term and delivering safe, sustained and reliable performance into the future," Shell said in a statement.The 3.6 million-tonnes-a-year Prelude FLNG facility lost power on Dec.

Royal Dutch Shell said on Thursday its Prelude floating liquefied natural gas (FLNG) project off Australia, off line since early February, is working on restarting operations but would not resume full production this year. The troubled Prelude FLNG platform was shut down following an electrical trip and Shell has faced a number of issues over the past few months in trying to restart full production and now does not expect to ship any LNG before next year.Full production is not expected to resume before year-end. Prelude is a multi-decade project, and our focus is on delivering sustained performance over the long term,” Shell said in a statement.The company hopes to resume shipping LNG from Prelude in the first quarter of 2021…

A 'Q-Flex' LNG tanker, the world's second-largest class of liquefied natural gas carriers, is set to pass through the Panama Canal for the first time, the canal's CEO said, expanding the Americas to Asia trade route for the fast-growing commodity.The 'Al Safliyah', which can carry about 210,000 cubic metres of LNG, is on its way to Panama from the North Pacific after discharging a cargo from Qatar into Korea Gas Corp's (KOGAS) Tongyeong terminal on April 21, shipping data in Refinitiv Eikon showed."This is the first Q-Flex to transit the Panama Canal…

Royal Dutch Shell said on Wednesday it has begun output at its Prelude floating liquefied natural gas (FLNG) facility in Australia, the world's largest floating production structure and the last of a wave of eight LNG projects built in the country over the last decade.Though the project started up later and cost more than originally estimated, it is expected to further cement Australia's lead as the world's biggest LNG exporter, after the country took the crown in November.In a statement…

Royal Dutch Shell expects production at its Prelude floating liquefied natural gas (LNG) unit to start at the end of the year, a spokeswoman told Reuters on Tuesday."We continue to progress Prelude towards operations, with safety and quality being our main focus ... We expect to see production around the end of the year," she told Reuters in an emailed statement.Prelude - which will process natural gas produced offshore northern Australia and export it as LNG - is expected to have an annual LNG production capacity of 3.6 million tonnes.

South Korean imports of liquefied natural gas are set to ease from record levels racked up in the first-half of the year, with appetite for the fuel from utilities seen fading as a raft of nuclear power stations come back online.The country's imports of the commodity jumped nearly 16 percent year-on-year to a record 22.7 million tonnes in the first six months of 2018, according to customs data in mid-July, boosted by demand from power firms as around half the nation's 24 nuclear…

The chief executive officer of Woodside Petroleum Ltd said on Tuesday that Australia's biggest independent oil and natural gas company will soon decide whether to continue to invest in Sempra Energy's Port Arthur liquefied natural gas (LNG) export project in Texas. "We've got to make some decisions pretty soon about our continued pursuit (of Port Arthur) with Sempra," said Coleman, noting that Woodside has been paying part of the project's development costs. "What we've been doing is just paying our way (with Port Arthur), and whether that is going to give us an adequate return, I would say today that is very challenged," Coleman said.

The volume of gas flowing into the facility dropped from about 3.2 billion cubic feet per day on Wednesday to 2.8 bcfd on Thursday and a projected 1.5 bcfd on Friday, Reuters data showed. One bcfd is enough gas to fuel about five million U.S. homes. The plant had been operating near full capacity with about 3.2 bcfd of gas flowing in since mid-January when freezing water during a brutal cold snap forced the company to briefly reduce operations. Officials at Cheniere would not comment on the latest reduction. Earlier this week, the company said its operations were not affected following an order on Feb. 8 from federal regulators to shut two cracked storage tanks that leaked the super-cold fuel.

Korea Line Corporation (KLC) has secured a KRW 1.27 trillion (USD 1.1 billion) contract to transport liquefied natural gas (LNG) for its compatriot Korea Gas Corporation (KOGAS).   Yonhap reported that under the deal with Korea Gas Corp. (KOGAS), Korea Line will transport LNG through May 30, 2037, the company said in a regulatory filing.   Other details of the contract were not revealed. In 2013, Korea Line was taken over by SM Group, a midsized shipping group.   Korea Line currently operates some 30 vessels, hauling goods, such as iron, ore, crude oil and cars, and its financial status drastically improved after being taken over by SM Group.

KOGAS to receive first LNG cargo from Cheniere in July; this marks start of 20-year supply contract. Korea Gas Corp (KOGAS) will early next month receive its first liquefied natural gas (LNG) cargo under a long-term supply deal with U.S. exporter Cheniere Energy, two sources at the South Korean company said on Friday. The 74,000-tonne LNG cargo was loaded from Cheniere's Sabine Pass export terminal in Louisiana and is scheduled to arrive at the port of Tongyeong, South Korea on July 2, one of the sources said. Both sources declined to be identified. The 20-year supply deal, under which KOGAS will receive 2.8 million tonnes of the supercooled fuel per year from Cheniere, had long been expected to kick in this year, but its exact start time was not known in markets.

A spat brewing between Qatar, the world's No.1 producer of liquefied natural gas (LNG), and its biggest customers in Japan underscores rising tensions between buyers and sellers of the super-chilled fuel as a supply glut unbalances the market. Importers of LNG having been pushing for greater benefits amid the surplus, signing new, cheaper contracts that give them more flexible terms, while exporters try to preserve long-term supply deals written in their favour during tighter markets. Worried some buyers are becoming too bold in their push for an advantage, Qatar Petroleum warned customers in Japan - by far the biggest LNG importer - not to press too hard in long-term supply talks, because it could result in Japanese companies being squeezed out of Qatari gas projects.

South Korea’s Samsung Heavy Industries (SHI) has won a $100 million order to build two liquefied natural gas (LNG) carriers for Korea Line, reports Yohnap. Korea Gas Corp. (KOGAS) has chartered Korea Line to transport LNG from Tongyeong, South Gyeongsang Province (mainland) to Jeju Island for 20 years. Under the deal with Korea Line, SHI will build the ships by December 2019, the company said. One of the two vessels would have LNG bunkering capability. The ships, which can carry up to 7,500 cubic meters of LNG each, will be deployed to transport LNG between local ports, it added. The shipyard would be building expertise in the home-grown containment system, small-scale LNG carriers and LNG bunkering vessels through the order, it said.

Australia's conservative government unveiled a radical plan on Thursday to restrict exports of liquefied natural gas (LNG) at times when domestic shortages push up local prices, aiming to ease soaring energy costs for local manufacturers. The plan would allow Australia's resources minister to impose controls on LNG exports on advice from the market operator and regulator, as the government seeks to cap domestic gas prices, which have become a political hot potato. "It's not a threat. This will be export controls.

Asian spot LNG prices jumped this week, buoyed by hopes Korea Gas Corp's new tender would match past buying sprees and by emerging demand from China and Japan. Spot prices for June delivery rose to $5.70 per million British thermal units (mmBtu), a 20 cent jump over last week, but traders cited sharply divergent views on pricing, saying the disagreements contributed to market inertia. Still, Korea Gas Corp's Thursday tender for June and July supply - set to close on April 26 - immediately stirred up bullish offers, rescuing an otherwise muted trading week.

Korea Gas Corp has launched a tender seeking to buy liquefied natural gas (LNG) cargoes for delivery in June and July, trade sources said on Thursday. The scope of the company's demand is unclear as each supplier has a limit on the number of cargoes it is allowed to offer, but the firm has not spelled out an upper limit for deliveries, trade sources said. (Reporting by Oleg Vukmanovic)

South Korea stepped up a push on Friday to encourage its oil and gas companies to invest in U.S. shale gas projects, amid expectations that more opportunities will arise under a Trump administration. Asia's fourth-largest economy is the world's second-largest buyer of liquefied natural gas (LNG) after Japan, importing about 30 million tonnes a year through state-run Korea Gas Corp (KOGAS). In a meeting with the heads of Korean gas companies, energy minister Joo Hyung-hwan stressed the need to strengthen bilateral cooperation in the gas sector, with the first Korean imports of U.S. shale gas due to start next year, according to the ministry statement.

Royal Dutch Shell PLC has officially shelved its plans to build the Prince Rupert LNG project, which had been planned for Ridley Island in British Columbia. However, it  is still considering the potential of its other West Coast LNG option. Shell acquired the Prince Rupert LNG as part of a portfolio of projects in its takeover of natural gas giant BG Group last year. Shell said it decided to discontinue the project after reviewing how it stacked up against its existing options, but  it continues to actively move forward on the proposed Kitimat, B.C.-based LNG Canada project with its partners. “Acquired as part of the Shell and BG Group combination in 2016…

The world's biggest liquefied natural gas (LNG) buyers are clubbing together to secure more flexible supply contracts in a move that further shifts power to buyers rather than producers. Japan, China and South Korea are the world's biggest LNG importers, accounting for about 55 percent of global purchases, according to data from energy consultancy Wood Mackenzie. The countries' biggest respective buyers are joining together to extract concessions from producers that would give them supply flexibility such as having the right to re-sell imports to third parties…

Korea Gas Corp has launched a tender to buy up to four liquefied natural gas (LNG) cargoes for delivery across the November-February winter period, as it seeks to replenish reserves, traders said. As strong air conditioning demand this summer and earthquake-related reactor outages helped drain gas stockpiles, the company has had to top up reserves by turning to long-term supplier Qatar and also via spot purchases, traders have said. The bidding deadline is Oct. 21 and the tender is valid until Oct. 27, one trader added. Resurgent demand from South Korea partly caused a dry spell in Qatari LNG deliveries to Britain during the past month.

Asian spot liquefied natural gas (LNG) prices rose this week as strong expected demand from South Korea added to appetite from India and Taiwan, while supply from the United States was slow to return from maintenance. The price of LNG for December delivery was $6.95 per million British thermal units (mmBtu), up around 15 cents from a week earlier. Attention was on a tender by Korea Gas Corp which has by all accounts exceeded its initial scope and drawn bids by 25 companies offering to supply around 50 cargoes in total - even though it only advertised demand for four shipments. In reality, though, Korea Gas Corp is expected to purchase up to 15 or more cargoes to cover strong winter needs as nuclear outages and low LNG stocks prompt a buying spree.