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Monday, March 19, 2018

Southern Liquefaction Company News

Export of US LNG: Company to be Formed

Shell US Gas & Power & Kinder Morgen subsidiary Southern Liquefaction Company to exploit LNG export opportunities. The two companies have announced their intent to form a limited liability company to develop a natural gas liquefaction plant in two phases at Southern LNG's existing Elba Island LNG Terminal, near Savannah, Ga. Subject to various corporate and regulatory approvals, Shell and Kinder Morgan affiliates have agreed to modify EPB’s Elba Express Pipeline and Elba Island LNG Terminal to physically transport natural gas to the terminal and to load the liquefied natural gas (LNG) onto ships for export. “Kinder Morgan is delighted to be working with Shell at Elba Island on this project…

Exxon Mobil buys LNG to Chill Papua New Guinea Project

File Image: A typical LNG Carrier at Sea (CREDIT: QGTC)

ExxonMobil Corp has bought a liquefied natural gas (LNG) cargo to keep its Papua New Guinea plant cold after a powerful earthquake triggered a production halt last month, several trade sources said on Monday. The cool-down cargo could be a first step toward restarting LNG production at the facility ahead of schedule or it may simply be needed to maintain operational readiness, traders said. Stopping the liquefaction process which condenses gas into a liquid at minus 162 degrees Celsius causes LNG plants to warm up…

MSC Improves Cargo Transit Between Seville and the Atlantic

Photo:  Mediterranean Shipping Company

MSC Mediterranean Shipping Company, a global leader in transportation and logistics, is pleased to announce the launch of a new freight rail service between Seville, Spain, and the Atlantic, beginning 4 April 2018. The service is expected to run daily between Seville’s inland maritime port – Puerto de Sevilla – and the major coastal port hub of Sines, Portugal, with a capacity of more than 100 TEU (twenty-foot equivalent unit) per return journey. Shippers will have the possibility to obtain customs clearance for cargo at Seville’s inland maritime port…

ACP Signs Pact with Lake Charles Port

The signing of the ACP / Port of Lake Charles cooperation agreement(image: courtesy ACP)

Agreement meant to capitalize Canal expansion while attracting new LNG customers. The Panama Canal Authority (ACP) signed a cooperation agreement with the Port of Lake Charles in Louisiana earlier this week, which aims to attract new customers from the liquefied natural gas (LNG) industry; a strategy that builds upon the advantages that the expanded Canal will offer. Currently, LNG vessels cannot transit through the waterway due to their beam dimensions, which are too wide to fit the existing locks.

Panama Canal Inks Deal with Lake Charles Port

Agreement aims to capitalize on the advantages the Canal Expansion will offer, attracting new customers from the LNG industry

The Panama Canal Authority (ACP) signed a cooperation agreement with the Port of Lake Charles in Louisiana earlier this week, which aims to attract new customers from the liquefied natural gas (LNG) industry; a strategy that builds upon the advantages that the expanded Canal will offer. Currently, LNG vessels cannot transit through the waterway due to their beam dimensions, which are too wide to fit the existing locks. The agreement will promote cooperation in marketing activities…

First LNG from Cheniere US to GAIL India

Photo: GAIL

Cheniere Energy and GAIL (India) today marked the commencement of their 20-year Sale and Purchase Agreement (SPA) to supply U.S.-sourced liquefied natural gas to India from Cheniere’s Sabine Pass liquefaction facility in Louisiana, with one of GAIL’s first shipments departing from the facility. The ship will set sail after today’s ceremony to mark the occasion at Sabine Pass in the presence of Cheniere President and CEO Jack Fusco and GAIL Chairman and Managing Director Mr. B.C. Tripathi, who were joined by Consul General Dr. Anupam Ray, as well as representatives from Cheniere and GAIL.

Peru Resumes LNG Exports after Pipeline Rupture

(File photo: Peru LNG)

Peru has exported its first shipment of liquefied natural gas (LNG) in three weeks after a pipeline rupture in the jungle disrupted production, the state energy agency Perupetro said on Tuesday. The ship Barcelona Knutsen departed Peru for South Korea on Monday with 170,999 cubic meters (6,038,772 cubic feet) of fuel from the Pampa Melchorita plant, which is operated by the consortium Peru LNG, Perupetro said in a report. U.S.-based Hunt Oil has a 40 percent stake in Peru LNG. Royal Dutch Shell Plc, Japan's Marubeni Corp and other companies have smaller stakes in the consortium.

Golar Orders Second FLNGV Conversion

Black & Veatch has again been called upon to combine its PRICO LNG technology and global engineering, procurement and construction (EPC) capabilities with the services of Keppel Shipyard Limited. Together, they will convert a 125,000-cubic-meter Golar LNG carrier, the Gimi, into a Floating Liquefaction Vessel (FLNGV). Black & Veatch will provide its PRICO technology as well as perform detailed engineering and process design, specify and procure topside equipment and provide commissioning support for the FLNGV topsides and liquefaction process. This is the company's second agreement of this nature with Keppel Shipyard and Golar LNG. In July 2014, the company announced an EPC contract to convert the Hilli.

Shell suspends work on Canadian gas for transport facility

Royal Dutch Shell has suspended development of a liquefaction unit at Canada's Jumping Pound facility, which was to be used to develop the emerging gas for transport market. Gas liquefaction is increasingly being produced for use in transportation of large road vehicles, in trains, and as a shipping fuel. "We believe LNG (liquefied natural gas) in transport is a considerable opportunity for Shell, but it is an emerging market and we must have a balanced approach to its development, (so) we have suspended development of the liquefaction unit at the Jumping Pound facility," a Shell spokseman said on Friday. Shell is the major owner of the Jumping Pound complex in southern Alberta…

Wison and Black & Veatch to Jointly Pursue Offshore LNG Projects

Shanghai-based Wison Offshore & Marine Ltd., a subsidiary of the Wison Group, announced the signing of a Memorandum of Understanding with Black & Veatch to jointly pursue barge-based natural gas liquefaction facility projects on an exclusive basis. Under the agreement, Wison will hold responsibility for barge design and engineering, overall project management, construction, delivery and financing of the integrated facility. Black & Veatch will provide the basic and detailed LNG plant designs…

DNV GL Releases Cargo Liquefaction Guidelines

Photo: DNV GL

DNV GL has published a guideline for the design and operation of vessels with bulk cargo that may liquefy. The guideline aims to raise the awareness of the risks of liquefaction and describes mitigating actions to reduce these risks. Many common bulk cargoes, such as iron ore fines, nickel ore and various mineral concentrates, have the potential to transform into an almost fluid state, threatening the stability of the vessel. “Cargo liquefaction is probably now the most significant factor in lives lost at sea for bulk carriers…

Kongsberg Develops Simulator for LNG Plant

Kongsberg Maritime's D-SPICE simulation tool has been used to develop and implement a sophisticated Operator Training Simulator for the gas treatment and liquefaction plant at National Grid Transco's (NGT) Glenmavis storage and peak shaving LNG plant in Scotland. Delivered in February 2007, the D-SPICE based Operator Training Simulator features a dynamic simulation model that covers the Selexol gas pre-treatment plant as well as the liquefaction plant, which is based on the Black and Veatch PRICO LNG liquefaction process. The inherent flexibility of the D-SPICE system enables it to be used at all stages of a plant's development including concept…

Spanish Yard to Build Snøhvit Barge

The Spanish shipyard group Izar Construcciones Naval is to build the barge which will carry the process equipment for the Snøhvit project's gas liquefaction plant at Melkøya in the north of Norway.The operator Statoil and its partners in the Snøhvit license signed contract with the yard on June 28. The will be built at Izar's yard in Ferrol, Spain. Following completion in August 2003, the barge will be towed to an outfitting yard where about 24,000 tonnes of process equipment for the gas liquefaction plant will be installed on its deck. The gas liquefaction plant will convert natural gas from the Snøhvit field into liquefied natural gas (LNG). Snøhvit will start production in 2006. About 70 cargos of LNG per year will be shipped out from Melkøya. Source: Statoil

Sempra Energy Plans Port Arthur LNG project

Image: Cameron LNG (Sempra LNG)

Sempra Energy’s subsidiary, Port Arthur LNG, has requested that the US Federal Energy Regulatory Commission (FERC) initiate the pre-filing review for the company’s proposed liquefaction and export facility in Port Arthur, Texas. The San Diego-based energy company has asked the federal government to start reviewing the plans for its proposed LNG project on a portion of the company’s existing 2,900 acres in Port Arthur. Sempra officials are in talks with local leaders, and all permits are expected to be in by spring 2015, but no groundbreaking date has been set.

JX Nippon Acquires 10% Stake in Petronas LNG

Petronas Floating LNG. Photo: Petroliam Nasional Bhd

Malaysia's Petroliam Nasional Bhd (Petronas) and Japanese oil company JX Nippon Oil & Energy (JX NOE) have signed an agreement for the sale and purchase of equity in Petronas LNG 9 Sdn Bhd (PL9SB), say local media. Under the agreement, JX NOE will acquire a 10% stake in PL9SB, a wholly-owned subsidiary of Petronas, owns the ninth LNG liquefaction train within the Petronas LNG Complex in Bintulu, Sarawak, Malaysia. The unit is developing and will run the ninth liquefaction train at the Petronas LNG complex in Bintulu, Sarawak.

Cheniere to Sell LNG from Corpus Christi to Portugal


Cheniere Energy, Inc announced today that its subsidiary, Corpus Christi Liquefaction, LLC  has entered into a liquefied natural gas ("LNG") sale and purchase agreement ("SPA") with EDP Energias de Portugal S.A. ("EDP") under which EDP has agreed to purchase approximately 0.77 million tonnes per annum ("mtpa") of LNG upon the commencement of operations of Train 3 of the LNG export facility being developed near Corpus Christi, Texas (the "Corpus Christi Liquefaction Project").

NuBlu: LNG Fueling Station in the GOM

NuBlu Energy has begun the construction of a natural gas liquefaction plant in Port Allen, LA, strategically located along the Mississippi River. NuBlu’s facility will support the region’s high-horsepower fueling applications such as rail, marine, long haul transportation, power generation, gas interruption, asphalt and other energy markets. The facility is slated to be operational and producing high-quality liquefied natural gas (LNG) in the second quarter of 2017. Total planned capacity of the facility is 90,000 gallons per day with an initial start-up capacity of 30,000 GPD. “This project represents the inauguration of a new direction for the LNG energy market.

Construction Set to Start on Jacksonville LNG Facility

JAX LNG said it has executed the remaining engineering and procurement contracts required to begin construction of a new liquefied natural gas (LNG) liquefaction and storage facility at Dames Point near the Port of Jacksonville. The JAX LNG liquefaction facility is expected to be operational in the fourth quarter of 2017. Once completed, it will be outfitted with a 2 million-gallon storage tank with the capacity to produce in excess of 120,000 gallons of LNG per day. JAX LNG’s Jacksonville plant will be North America’s first small-scale coastal LNG facility and will include marine distribution capabilities utilizing North America’s first LNG bunker barge, Clean Jacksonville. “The LNG industry is seeing a steady growth in demand,” said Tim Hermann, president of Pivotal LNG.

Exmar, Excelerate Alliance for FLSO Solution

Exmar announced the formation of an alliance to advance its efforts in the development of floating liquefaction solutions. Exmar has formalized a relationship with its long-time LNG partner, Excelerate, and with Black & Veatch, a provider of natural gas processing and liquefaction technology. “This partnership forms a basis for the development of the first floating liquefaction, storage and offloading solution in the world" said Nicolas Saverys, Chief Executive Officer of Exmar NV. The FLSO combines the liquefaction process, storage tanks, loading systems, and other LNG-related infrastructure into a single floating unit. Exmar is a diversified and independent shipping group serving the international gas and oil industry…

LNG: Did the Greeks Get it Wrong?

Graph: Alibra

In December 2013, Alibra’s market report front page read: “When in shipping, do as the Greeks do.” At that time, Alibra was referring to the fact that 31% of the LNG carrier orderbook had been ordered by Greek owners. Billions of dollars in CAPEX were being pumped into natural gas exploration, as well as building infrastructure such as liquefaction and export terminals, especially in the US. Some 180 LNG carriers were ordered between January 2011 to December 2014 – many of them speculatively. Of these vessels, 52 were ordered by Greek companies (29%).

Texas LNG Makes Strides on US LNG Export Project

Image courtesy of Texas LNG

Texas LNG LLC says it has as filed an application to the United States Department of Energy (DOE) seeking authorization to export up to 2 MTA (million tonnes per annum) of Liquefied Natural Gas (LNG) to FTA (Free Trade Agreement) and non-FTA markets following the execution of its exclusive lease option agreement with the Port of Brownsville in South Texas, USA. The company explains it will employ a toll processing business model whereby the LNG customer will pay Texas LNG a fee…

FGS Plans to Build, Operate LNG Facility

Floridian Natural Gas Storage Company (FGS) has filed an application with the Federal Energy Regulatory Commission to build and operate a liquefied natural gas (LNG) storage facility in Martin County, Fla. The facility would be located on approximately 145 acres at the site of the former Florida Steel manufacturing facility about two miles (3 km) north of Indiantown. The project would include the initial construction of one nominal 190,000 cubic meter (6.7 MMcf) LNG storage tank, liquefaction systems, vaporization systems and two parallel pipelines, one to receive gas and one to send out gas, both approximately four miles (6.4 km) in length…

LNG Sabine Pass Terminal Contract Signed

Sabine Pass Terminal: Image credit Cheniere Partners

Cheniere Energy Partners' subsidiary Sabine Pass Liquefaction signs a LNG sale and purchase agreement with Total Gas & Power North America. Cheniere Partners owns 100 percent of the Sabine Pass LNG terminal located on the Sabine Pass Channel in western Cameron Parish, Louisiana. The Sabine Pass LNG terminal has regasification and send-out capacity of 4.0 billion cubic feet per day (Bcf/d) and storage capacity of 16.9 billion cubic feet equivalent (Bcfe). Under the terms of the agreement Total has agreed to purchase 91…

Maritime Reporter Magazine Cover Mar 2018 - Annual World Yearbook

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