Chevron Greenlights Gorgon LNG Expansion
Chevron Corp will proceed with the second stage of its giant Gorgon liquefied natural gas (LNG) export plant off the northwest coast of Western Australia, the company said on Saturday.Chevron and its joint venture partners plan to sink 11 new wells in the Gorgon and Jansz-Io fields and build offshore pipelines and subsea structures to pipe the gas to the nearby 15.6 million tonne a year LNG plant on Barrow Island.The $54 billion Gorgon project came on stream in March 2016 but suffered numerous unplanned shutdowns in its early stages.Chevron declined to put a cost on stage two of the project…
TechnipFMC Grabs BP FPSO Design Contract
UK-based TechnipFMC has been awarded a front-end engineering design (FEED) contract by BP for the floating production storage and offloading (FPSO) unit for the Tortue/Ahmeyim Field Development, a major LNG (liquefied natural gas) project located offshore on the maritime border of Mauritania and Senegal. The agreement between the two companies provides a mechanism to allow a transition of the contract to an Engineering, Procurement, Construction and Installation (EPCI) contract at a later stage.
ExxonMobil in Talks with Possible LNG Buyers
ExxonMobil Corp. has started marketing gas from its planned liquified natural gas project in to potential buyers. Discussions with buyers began this month, according to a representative from the company who told the South East Asia Australia Offshore Conference in . ExxonMobil is marketing the gas on behalf of project partners, which include Oil Search Ltd. (OSH.AU). Source: Dow Jones
Yamal LNG Project on Track, Says Russia's Sberbank
Russia's Yamal LNG liquefied natural gas project is on track and will be profitable even with low oil and gas prices, Sberbank Chief Executive German Gref said on Tuesday. "This is the most expensive project, (it) will completely change the gas economy of the country," he told President Vladimir Putin. (Reporting by Denis Dyomkin; writing by Vladimir Soldatkin)
5 Million Tons Per Year Expected from Angola’s LNG Project
The Angola LNG (liquid natural gas) project is expected to produce 5 million tons of gas per year, as of 2012, the country’s oil minister, Desidério Costa, said in Luanda recently. He added that Angola would gain from environmental conservation as well as from the sale of gas. Cited by Angolan news agency Angop, Costa said that Angolan government had prioritized the progressive reduction of the amount of gas burned off in oil activities, with the aim of using it entirely for domestic and industrial use by 2010. [Source: http://www.macauhub.com.]
BG to Invest $15B in Australian LNG Project
According to a report from Bloomberg, BG Group Plc, the U.K.’s third largest oil and gas producer, said it will invest $15b in the Curtis liquefied natural gas project in Australia over the next four years, its single biggest investment. The project in Queensland state, which is scheduled to start fuel shipments in 2014, is among more than a dozen proposed LNG developments in Australia seeking to tap Asian demand for cleaner-burning fuel to curb emissions. (Source: Bloomberg)
Woodside Natural Gas Announces MarAd Agreement
Woodside Natural Gas announced a commitment to U.S. staffing and flagging of its regasification ships for the proposed OceanWay natural gas project. This action was officially conveyed by Steve Larson, President of Woodside Natural Gas, to Sean Connaughton, Administrator of the U.S. Maritime Administration. OceanWay, a proposed project to provide an alternative source of much-needed natural gas to California, will be one of the cleanest, safest and most secure natural gas delivery systems in the world. OceanWay will use a ship and buoy system to deliver gas to California, unloading at two buoys more than 28 miles offshore, southwest of the Los Angeles Hyperion sewage treatment plant, and connecting into the existing gas network via undersea pipelines.
Technip Awarded Subsea Contract in Gulf of Mexico
Technip has been awarded a contract by Exxon Mobil Corporation for subsea equipment on the Hadrian South natural gas project in the Gulf of Mexico in approximately 7,500 feet (2,300 meters) of water. The project consists of a subsea tie-back to the planned Anadarko operated spar platform, Lucius(1). The contract covers project management, procurement and installation of two 7- mile-mile long flowlines(2) and associated jumpers, installation of a 9-mile umbilical(3), associated foundation and flying leads. Technip’s operating center, in Houston, Texas, will execute the contract. The flowlines will be welded at Technip’s spoolbase, located in Mobile, Alabama.
Funding Approved for China LNG Project
Newbridge Capital LLC, one of Asia's largest private equity funds, has signed an agreement to invest up to $200m in Xinjiang Guanghui's Liquefied Natural Gas project in China's northwestern Xinjiang region, an official with the Xinjiang Guanghui Group told XFN-Asia. Under the agreement, Newbridge Capital will initially invest $33.8m for a 24.99 pct stake in Xinjiang Guanghui LNG project and has the option to increase its share in the project to as much as 67 pct with an additional investment of $169m.
Hyundai Heavy May See Dry Spell End
According to an August 26 report from Bloomberg, Hyundai Heavy Industries Co. and its rivals may end an eight-month dry spell with a slew of new orders after Australia approved the $42b Gorgon liquefied natural gas project. (Source: Bloomberg)
Woodside Begins Construction of Pluto LNG Project
Woodside Petroleum has begun construction of the Pluto liquefied natural gas project. The first phase of the Pluto project will include a single liquefied natural gas (LNG) production train with forecast production of 4.3 million tons per annum (mtpa) (4.8 mtpa at 100% capacity) connected by a 180km, 36-inch offshore pipeline to a platform in 85 meters of water. Site preparation has been underway since January 2007, after Woodside received environmental and heritage approval to begin work on the project's storage tanks and export facility. Preparation work for the gas processing plant, where the production train will be located, has also started, according to Woodside.
TOTE Shifts Maritime Companies under Unified Brand
U.S. Jones Act carrier TOTE announced it has shifted operating companies Totem Ocean Trailer Express and Sea Star Line, respectively serving the Alaskan and Puerto Rican/Caribbean markets. Going forward, the companies will be known collectively as TOTE Maritime. Sea Star Line has delivered goods to Puerto Rico for more than 30 years with twice weekly reliable service that is responsible for goods traveling from the U.S. to the island, while Totem Ocean Trailer Express provides twice weekly service to Alaska and is celebrating its 40th anniversary this year.
Chevron Pulls Out of $5B LNG Project
Chevron has pulled out of a $5-billion liquefied natural gas project in Nigeria because the government wants to use its gas for a competing project. Chevron, ConocoPhillips and ENI each have a 17% interest in the $5 billion Brass LNG project, along with state-run Nigeria National Petroleum Corp (NNPC) with 49%. But the California-based company also has an interest in a competing LNG project, the $6-billion Olokola plant, which is being fast-tracked by the government of President Olusegun Obasanjo. Chevron had planned to bring offshore gas to the Brass project, and the remaining Brass LNG investors are now in talks with other potential shareholders and gas suppliers, including France's Total.
LNG Project Costs Rise 21%
Woodside Petroleum Ltd said costs for the planned phase five expansion of its North-West Gas liquefied natural gas project are estimated to have risen by 21 pct to 2.42 bln aud because of higher labor charges. The company, 34 % owned by the Royal Dutch Shell group, said the spike in costs is largely due to a sharp rise, internationally, in labor charges in the construction industry. Woodside operates the project and is a one sixth owner alongside Royal Dutch Shell. Already more than 14 bln aud has been spent on the LNG project's development over a 20-year period, making it a major LNG project by world standards. The fifth phase expansion includes the construction of an LNG processing facility with annual capacity of 4.2 mln metric tons of liquefied gas for export, largely to Asian markets.
Exxon Says Rising Costs Risk Derailing LNG Boom
A sharp surge in costs to develop liquefied natural gas projects risks halting a growth boom in the industry that has been driven by soaring demand, an Exxon Mobil Corp. an executive said. Exxon expects global demand for LNG to double by 2010 and quadruple by 2020 said the president of Exxon's LNG Market Development unit. But a surge in project costs could put the brakes on the bonanza for gas producers, he said. Still, advances in technology and the development of high-cost gas pipeline projects in the former Soviet Union and Russia mean that LNG may not always forever remain the more expensive option in delivering gas. Source: Reuters
Woodside to Start Work on Pluto LNG Project
Australia's Woodside Petroleum Ltd reported it has been given the green light to start work on its 12 billion Australian dollar Pluto liquefied natural gas project in northwestern Australia after the federal government gave environmental approval for the development, according to a report by Forbes. Woodside, which is 34 percent owned by Royal Dutch Shell, said this is the last of the key state and federal environmental and heritage approvals required for the project to proceed. Woodside has already signed 15-year sales agreements worth billions of dollars with Japan's Tokyo Gas and Kansai Electric, totaling up to 3.75 million tons of LNG a year. It expects to sell the remaining output through additional term contracts or spot sales. First delivery is expected in late 2010.
Gas Pipeline Fire Closes Intracoastal Waterway
The United States Coast Guard said it responded to a natural gas pipeline fire near Port O'Connor, Texas, on Tuesday evening.The agency was notified of the incident by vessel Jonathon King Boyd, which was on fire after hitting a gas pipeline while conducting dredging operations.The Intracoastal Waterway is closed to traffic from mile marker 468 to 474 to include the Matagorda Ship Channel from the jetties to 7 nautical miles (13 km) inside the bay.The impacted pipeline has been secured and the remaining gas is residual, the Coast Guard said.Reporting by Apeksha Nair
Feds OK LNG Terminal off La.
Petroleum producer McMoRan Exploration Co. has received final approval for a $1 b liquefied natural gas project off Louisiana's coast, including storage caverns in an offshore salt dome, the company announced Thursday. The go-ahead from MarAd was the last needed for the Main Pass Energy Hub, sources said. The record accompanying the decision was 46 pages long and outlines requirements that will be put into the license. The facility will handle imported natural gas that has been liquefied in order to take up less space and be more easily transported by tankers. In the LNG process, natural gas is chilled to -256 degrees Fahrenheit, turning it from a gas to a liquid, and moved into heavily insulated storage tanks.
Second Australia Floating LNG Project Planned
Exxon Mobil plans to develop a floating liquefied natural gas project to develop the Scarborough field off the coast of Western Australia. Exxon, whose partner in the field is Melbourne-based BHP Billiton Ltd. (BHP), expects to make a decision on whether to go ahead with the floating LNG venture in 2014 or 2015, with the project starting production in 2020 or 2021, reports Bloomberg. In Australia, Shell is developing the Prelude floating LNG vessel -- expected to be as long as the Empire State Building and weigh six times as much as the biggest aircraft carrier -- after costs for onshore LNG plants in the country surged. While Exxon’s floating LNG facility in the Carnarvon Basin off northwest Australia is expected to be about 495 meters (1,624 feet) long and 75 meters wide.
Freeport LNG Delays Start of Texas Export Terminal
Freeport LNG, a privately held U.S. liquefied natural gas company, said on Thursday it pushed back the projected start date for its $13 billion export terminal under construction in Texas by about nine months to around Sept. 1, 2019.Freeport LNG now expects the first liquefaction train to enter service around Sept. 1, 2019, with the second and third trains seen in service around Jan. 1 and May 1, 2020, respectively, said Zdenek Gerych, a spokesman at Freeport.Previously, the three…
China Equipments to Yamal LNG
The first shipment of a ‘core kit’ for Russia’s Yamal LNG project has set sail for northern Russia from the Chinese port of Qingdao. China's first batch of two air cooled condensing modules of LNG project are the biggest and heaviest kits being used for the project. They are set to arrive at the construction site in late June, says China Central Television. Yamal is a liquefied natural gas project located deep in the Russian Arctic. It is expected to start operating next year. 85 percent of the liquefied natural gas will be transported to the Asia Pacific market.
New Japanese-built LNG Carrier Named
A naming ceremony was held for a new liquefied natural gas (LNG) carrier, Diamond Gas Orchid, at Mitsubishi Heavy Industries Ltd.’s Nagasaki Shipyard.The newbuild, owned by Diamond LNG Shipping 1 Pte. Ltd., a 50/50 joint venture company between NYK and Mitsubishi Corporation (MC), will sail under a long-term time-charter contract with MC’s wholly owned subsidiary in Singapore, Diamond Gas International Pte. Ltd.After delivery on June 29, 2018, the ship will transport LNG from Louisiana in the U.S.
APLNG Ships First LNG Cargo from Australian Megaproject
The first cargo of liquefied natural gas has sailed from the mammoth Australia Pacific LNG (APLNG) facility in Queensland, following a delay of at least two weeks with another carrier waiting to be loaded. The startup of the APLNG project comes after a slight delay. APLNG had earlier announced that it expected the first cargo to be exported by the end of 2015. The shipment, carried on the 935-foot tanker Methane Spirit and bound for customers in Asia, is among the first in a wave…