May 2024
Trend of Natural Gas and LNG Prices
Short-term trend
Asia
- The assessed spot LNG price for near-month delivery to Northeast Asia, JKM, was an upward trend in May due to increased demand in Asia for the summer season and increased electricity demand for the heat wave in India. In the second half of this month, the price temporarily rose to USD 12s which had been mid-USD 10s in the beginning of the month. Supply uncertainties such as troubles at Gorgon PJ were supposed to be also one of the factors supporting the price.
- JOGMEC announced in its monthly report of spot LNG prices for delivery to Japan that the average price of spot LNG cargoes for delivery to Japan contracted in April 2024 and scheduled to be delivered from the month onward (contract-based price) was USD 9.6. The average price of spot LNG cargoes that were delivered in April 2024 (arrival-based price) was USD 9.6.
- Based on the preliminary figures from Japan's customs statistics of the Ministry of Finance, the country's average LNG import price was USD 11.29 per million Btu and JPY 88,727 per tonne in April 2024. The price was down by USD 1.1 from March mainly due to the fall of Japan’s average landed crude oil import price in January 2024. The average landed prices of LNG in Japan from the United States, the ASEAN region, the Middle East, and Russia in April were USD 10.08, USD 11.08, USD 10.79, and USD 12.35, respectively. Elsewhere in Northeast Asia, average import prices in April were USD 10.31 in China, USD 11.75 in Korea, and USD 8.89 in Chinese Taipei. Japan’s average landed crude oil import price (JCC: Japan crude cocktail) was USD 85.73 per barrel in April 2024. Japanese yen-denominated price stood at JPY 81,721 per kilolitre in April 2024.
- Japan imported 5.29 million tonnes of LNG in April 2024, 16.7% higher than the same month of 2023. China imported 6.22 million tonnes of LNG in April 2024, an increase of 31.5% from the same month of 2023. Korea imported 4.21 million tonnes of LNG in April 2024, 33.7% higher than the same month of 2023, Chinese Taipei imported 1.38 million tonnes, 18.4% lower than one year earlier.
United States
- The Henry Hub Natural Gas Futures price rose from low-USD 2s at the beginning of May. The price was USD 2.8 on 22 May due to the high level of amount of the feed gas to Freeport LNG as one of the backgrounds.
Europe
- The Dutch TTF Gas Futures price rose to USD 9.6 on 3 May on supply concerns due to unplanned maintenance at Norway's Dvalin gas field and equipment problems at Gorgon LNG, as well as a forecast of significant drop in wind power output. In the second half of May, the price rose to the low-USD 11s on the 23 May due to the upward trend was driven by high demand in the Asian region and supply risks, including maintenance of Norwegian gas production facilities and concerns over the possible shutdown of Russian pipeline gas by Austria-OMV.
Mid- to long-term trend
- The JKM price started to decline from January 2020, reaching an all-time low of USD 1.83 at the end of April 2020 due to increasing supply and slower growth of demand. After hovering in the USD 2s from May until July, it rose again from August 2020 due to supply disruptions at several production facilities to over USD 10 in December, reaching an all-time high of USD 32.5 in January 2021 because of the cold wave. JKM then fell sharply to the USD 5s towards the end of February, turning upwards in March and thereafter. Moving along with the also high European gas prices and briefly surpassing USD 56 in October, JKM remained in the middle of USD 30s in November, above USD 40 in December. In January and February 2022, JKM was in the USD 20s, temporarily surged to USD 85 in March due to fears of Russian pipeline gas supply disruptions, and then hovered around the USD 30s. Trading has been slow since April, with JKM falling from USD 36 to USD 22 in April and remaining in the low USD 20s during May and the first half of June. However, the price reached USD 40 in the second half of June and remained at the same level in July, and in August the price was generally USD 50s, temporarily exceeding USD 60 and USD 70, respectively. In September, JKM showed a downward trend as TTF declined, falling to the high USD 30s, and generally hovering in the high USD 20s during October and November. In December, the market was active during the year-end procurement season and JKM hovered around the USD 30s. In January 2023, trading resumed but was sluggish, with a downward trend from USD 20s, and a further decline to around USD 9s in May. In June 2023, JKM was hovering around USD 12s due to European gas prices fluctuations and other factors, but softened slightly in July to hover around USD 11s on the back of high inventories and low demand. In August, the possibility of a strike at major projects in Australia caused prices to move slightly higher, rising to USD 15 after the strike was implemented in September. In October, the price rose to USD 17 due to the outbreak of conflict in the Middle East and other factors, but in November, geopolitical risks eased somewhat, and the price generally hovered around USD 14s. In December, abundant supply and soft demand brought JKM down to USD 11, and the trend remained unchanged in January, generally at USD 9. In February, the downward trend was further spurred after the Luner New Year in the Northeast Asia region, falling below USD 8, but temporarily approached USD 10 in March, mainly due to short-term demand. In the middle of April, JKM rose to low-USD 11s due to escalating tensions in the Middle East. In the second half of April, JKM trended low-USD 10s due to easing geopolitical tensions. In the second half of May, the price trended in the range of high-USD 11s to low-USD 12s due to increased demand for the summer season.
- Japan's average LNG import price had been declining to USD 5s in August - October 2020, the lowest level since January 2005, due to the collapse of international crude oil prices from March 2020. Then, the average price rose to USD 7s in December 2020 as crude oil prices recovered. In response to strong crude oil price movements, the average price further went up to USD 9s in February 2021, after falling to the mid-USD 7s in March. It had then been on the constant rise for the following 18 months to the highest ever at USD 22.73 in September 2022, along with the rise of crude oil prices until June 2022. Japan's average LNG import price declined, following the decline of the oil prices from July 2022, and has remained in the USD 11s to 13s since April 2023.
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(source)
Henry Hub price: NYMEX Futures and Options, CME Group
TTF price: ICE Endex, Intercontinental Exchange
JKM: LNG Japan/Korea Marker© 2024 by S&P Global Platts, a division of S&P Global Inc.
JOGMEC spot LNG price: Monthly spot LNG prices for delivery to Japan, JOGMEC; by March 2021, the source is Spot LNG Prices Statistics, Ministry of Economy, Trade and Industry
Japan’s average LNG import price: Trade Statistics of Japan
EUA(EU ETS): ICE Endex, Intercontinental Exchange
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Trend of Natural Gas and LNG Inventories
Japan
- Japan's LNG inventories as of the end of January 2024 stood at 4.94 million tonnes, a decrease of 14.3% and 0.83 million tonnes from December, and a decrease of 5.9% from January 2023, higher than the past five-year average by 0.75 million tonnes.
- Japan's LNG inventories as of the end of February 2024 stood at 4.60 million tonnes, a decrease of 6.8% and 0.34 million tonnes from January, and a decrease of 14.3% from February 2023, higher than the past five-year average by 0.25 million tonnes.
- The LNG inventories for city-gas supply as of the end of February 2024 were 2.14 million tonnes, 6.8% lower than January and 14.2% lower than February 2023. LNG consumption for city-gas in February 2024 was 3.01 million tonnes, which increased by 0.5% year-on-year. City-gas companies received 2.86 million tonnes of LNG in February 2024, decreasing year-on-year by 9.6%.
- The LNG inventories for power generation as of the end of January 2024 were 2.65 million tonnes, decreasing by 15.3% from December and 9.3% lower than January 2023. LNG consumption for power generation in January 2024 was 3.72 million tonnes, decreasing by 1.0% from January 2023. Power generation companies received 3.77 million tonnes of LNG, decreasing year-on-year by 13.7%.
- The LNG inventories for power generation as of the end of February 2024 were 2.47 million tonnes, decreasing by 6.9% from January and 14.4% lower than February 2023. LNG consumption for power generation in February 2024 was 3.39 million tonnes, increasing by 0.7% from February 2023. Power generation companies received 3.75 million tonnes of LNG, decreasing year-on-year by 1.3%.
- According to the "LNG Inventory for Power Generation" released by the Ministry of Economy, Trade and Industry (METI) on 22 May 2024, major power utilities’ LNG inventories were 2.26 million tonnes as of 19 May. This is lower by 0.15 million tonnes than the end of May 2023 and 0.15 million tonnes above the average of the end of May of the past five years.
Compiled based on data from Gas Business and Thermal Power Generation Statistics, Ministry of Economy, Trade and Industry.As the inventory data is available for the period only after January 2008, the five-year average is applicable only after January 2013.
United States
- As of 17 May 2024, working gas in underground natural gas storage in the United States was 2.71 Tcf, 11.8% increase from the previous month, according to the U.S. Energy Information Administration (EIA). Gas inventories were 16.1% higher than those at the same time in 2023 and were 608.8 Bcf higher than the past five-year average.
Compiled based on data from the U.S. Energy Information Administration (EIA)
Europe
- As of 25 May 2024, the stored volume of natural gas in European underground storage facilities operated by the Aggregated Gas Storage Inventory (AGSI +) EU member companies was 775.7 TWh (about 51.31 million tonnes LNG equivalent). The volume was higher than that of one year ago by 2.0% or 15.5 TWh (about 1.02 million tonnes LNG equivalent). The inventories represented 68.5% of the capacity, which was higher than 67.1% on the same day in 2023 and higher than the five-year average of 55.4%. The inventories in Germany, Italy and the Netherlands (which have relatively large storage capacities among the member countries) were 72.1%, 72.9% and 62.0% of their respective capacities.
Compiled based on data from Gas Infrastructure Europe, Aggregated Gas Storage Inventory (AGSI). As the inventory data is available for the period only after January 2011, the five-year average is applicable only after January 2016.
- As of 25 May 2024, the stored volume of LNG in European LNG terminals reported by Aggregated LNG Storage Inventory (ALSI) member operators was 4.42 million cubic meters, 11.3% down from the previous month. The inventories were lower than the same day in 2023 by 0.2% and by 9.2% below the five-year average for the same day. The inventories represented 51.4% of the capacity, which was lower than 56.1% on the same day in 2023.
Compiled based on data from Gas Infrastructure Europe, Aggregated LNG Storage Inventory(ALSI). As the inventory data is available for the period only after January 2012, the five-year average is applicable only after January 2017.
Latest Developments in Major Natural Gas and LNG Projects
Highlights
- In the Middle East, Qatar, Abu Dhabi and Oman are making progress in engineering, marketing, and maritime transportation arrangements related to LNG production projects. Qatar is developing a fleet of 122 LNG carriers, including 18 QC-Max class vessels, the world's largest. Abu Dhabi's ADNOC is investing in new LNG projects in the United States and Mozambique, in addition to developing another new LNG project in Abu Dhabi.
Asia and Oceania
- Vietnam's PV Gas said on 30 April 2024 that it had received the third LNG cargo at its Thị Vải LNG terminal. The company further said that it might take an LNG cargo every 20 days after taking two deliveries in April with the dry season underway from March to June cutting hydro-electricity sources. PV GAS announced on 16 May 2024 that it had received the 4th LNG cargo.
- AG&P LNG said on 8 May 2024 the Cái Mép LNG terminal project cooperated by Hải Linh Company and Atlantic, Gulf and Pacific LNG (AG&P) had entered a commissioning phase and was expected to operate in September.
- Malaysia's PETRONAS said on 14 May 2024 that Malaysia LNG Group of Companies experienced a power loss at around 11:30 p.m. on 10 May 2024, at the PETRONAS LNG Complex (PLC) in Bintulu. PETRONAS said that the cause of the power loss had been identified.
- TotalEnergies announced on 22 April 2024 that it had signed an agreement with Sapura Upstream Assets Sdn Bhd (SUA) to acquire its 50% interest in Malaysian independent gas producer SapuraOMV Upstream Sdn. Closing is expected in the second half of 2024. This agreement follows a first agreement signed with OMV on 31 January 2024, for the acquisition of its 50% interest in SapuraOMV. TotalEnergies would own 100% of SapuraOMV. SapuraOMV's main assets are its 40% operated interest in block SK408 and 30% operated interest in block SK310, both located offshore Sarawak in Malaysia.
- GAIL (India) Limited announced on 16 May 2024 a 14-year Time Charter Party with Cool Company Ltd (CoolCo) for a newbuild LNG carrier. The time charter will commence in early 2025 and GAIL will have an option to extend the charter by two years. GAIL has four LNG carriers in its fleet.
- According to Australia's Santos 2024 First Quarter Report on 18 April, the Barossa Gas Project is 70.6% complete and the Darwin LNG life extension project is 39% complete. The Bayu-Undan field continues producing gas being delivered into the Australian domestic market.
- Australia's Woodside Energy said on 19 April 2024 that the Scarborough Energy Project was 62% complete, excludes the Pluto Train 1 modifications project, at the end of the first quarter 2024 and targeting first LNG cargo in 2026.
- The Australian Government released on 9 May 2024 the Future Gas Strategy that establishes the role gas will play in the transition to net zero by 2050, securing affordable gas. The Strategy is centred on six principles including: Gas must remain affordable for Australian users throughout the transition to net zero; New sources of gas supply are needed to meet demand during the economy-wide transition; Reliable gas supply will gradually and inevitably support a shift towards higher-value and non-substitutable gas uses. Households will continue to have a choice over how their energy needs are met; and Australia is, and will remain, a reliable trading partner for energy, including LNG and low emission gases.
- Australia Pacific LNG (APLNG) announced on 21 May 2024 that it had signed gas sale agreements for a total of 5.75 petajoules with three customers, including Ampol Refineries and Mount Isa Mines. According to the announcement, the agreements bring APLNG's total contributions to the East Coast Market in CY 2024 to 158 PJ (3 million tonnes equivalent).
North America
- The National Petroleum Council (NPC) on 23 April 2024 approved two reports that provide recommendations to help the United States advance its climate goals and align regulatory, policy, and technology development for a lower carbon future. The reports, titled "Charting the Course: Reducing Greenhouse Gas (GHG) Emissions from the U.S. Natural Gas Supply Chain" and "Harnessing Hydrogen: A Key Element of the U.S. Energy Future," were created at the request of the Energy Secretary. Key highlights of the first one include: Abundant, affordable natural gas is the largest source of primary energy production in the United States and will continue to play a crucial role in the nation's energy and economic security. The United States can meaningfully reduce NGSC GHG emissions through five critical, interconnected elements: Industry and operator actions; Societal and community engagement; Effective regulation and durable policy; Innovative monitoring, measuring, reporting, and verification of emissions data; and Market incentives.
- According to a notice posted on the Federal Register on 19 April 2024, DOE gives notice of receipt of an application, filed by Sabine Pass Liquefaction, LLC and Sabine Pass Liquefaction Stage V, LLC on 1 March 2024, and supplemented on 21 March 2024. Sabine Pass Stage 5 requests long-term authorization to export LNG in a volume equivalent to approximately 899.46 billion cubic feet (Bcf) per year (Bcf/yr) of natural gas from the proposed Sabine Pass Stage 5 Expansion Project (Trains 7 - 8) (Stage 5 Project) to non-FTA countries. Sabine Pass Stage 5 states that the proposed Stage 5 Project will include two new natural gas liquefaction trains (Trains 7 and 8), a boil-off gas re-liquefaction unit, two full-containment LNG storage tanks and supporting infrastructure. Sabine Pass Stage 5 requests the authorization for a term commencing on the earlier of the date of first export or seven (7) years from the date of issuance of the requested authorization and extending through the later of 31 December 2050, or a 20-year term.
- FERC staff notified on 16 May 2024 revised schedule for the completion of the environmental assessment (EA) for the Corpus Christi Liquefaction (CCL) Midscale Trains 8 & 9 Project. The first notice of schedule, issued on 3 November 2023, identified 15 March 2024 as the EA issuance date. However, staff identified additional information needs in response to CCL's full impact air dispersion analysis for criteria air pollutants filed on 5 March 2024, which resulted in a schedule delay for the issuance of the EA. The revised date is 21 June 2024, after CCL provided additional information. The new 90-day Federal Authorization Decision Deadline is 19 September 2024.
- Train 2 at the Freeport LNG plant tripped due to an issue with the compressor systemin the morning on 16 May 2024, according to a filing with TCEQ (Texas Commission on Environmental Quality). The incident resulted in venting to the liquefaction flare system. After resolution of the cause of the trip, the plant operators managed the cooldown and restart of the train 13 hours after the incident.
- Sempra said on 7 May 2024 during its Q1 2024 Earnings Call, that while the DOE pause had received a lot of press, the company remained confident in its ability to deliver projects that offer long-term, secure, and cleaner energy to customers. The referenced pause does not impact the company's confidence in the overall competitive positioning of its projects and the company is strategically utilizing this time to steadily advance opportunities. The company believes the permitting pause is temporary and that permits will be issued in the future. The pause only really impacts Port Arthur Phase 2.
- DOE has given notice of receipt of an application, filed on 22 April 2024, by Venture Global Plaquemines LNG, LLC, requesting blanket authorization to export LNG that has been previously imported into the United States from foreign sources in an amount up to the equivalent of 6 billion cubic feet of natural gas for a period of two years beginning 22 July 2024. "Plaquemines LNG currently expects that it will begin producing LNG in mid-2024," Plaquemines LNG said in the filing. The company may receive up to three LNG carrier cargoes, according to the filing. It expects that all of its LNG imports will occur in 2024, as part of its start-up cool-down operations.
- FERC Chairman said in a letter to U.S. House members of 17 May 2024 that Commission staff sent an Environmental Information Request to Venture Global on 26 March 2024, seeking a demonstration that air pollution from the CP2 LNG Project would not exceed the new standard established by EPA (Environmental Protection Agency). Venture Global has responded to the request. According to the letter, "Later, Commission staff learned that Venture Global told Louisiana's air quality agency in March 2023, but never told the Commission, that Venture Global's CP1 LNG Project will emit more air pollution than first reported. The emissions from the CP1 LNG Project will add to the cumulative impact of emissions from the CP2 LNG Project." Commission staff sent an Environmental Information Request to Venture Global on 15 May 2024, seeking an updated cumulative impact analysis using the revised emission rates. Venture Global has responded to this request. Commission staff are reviewing Venture Global's responses, which will be incorporated into the Commission's final decision on Venture Global's proposal, according to the latest letter.
- EPC provider Zachry Holdings, Inc. (ZHI) announced on 21 May 2024 that ZHI had initiated a voluntary court-supervised Chapter 11 process that should provide ZHI with time and flexibility to resolve issues related to the Golden Pass LNG (GPX) export project. ZHI said that it had maintained its "high standards of excellence and gone above and beyond to accommodate the schedule and demands of GPX and its shareholders, QatarEnergy and ExxonMobil." As the project's lead contractor, ZHI had "navigated significant challenges and disruptions stemming first from the COVID-19 pandemic and, more recently, international geopolitical issues. These unforeseen disruptions have resulted in significant financial strain while meeting targets and keeping the project appropriately staffed." According to the announcement, the process provides ZHI "mechanisms to initiate a structured exit from the GPX project."
- Abu Dhabi's ADNOC announced on 20 May 2024 the acquisition of a 11.7% stake in Phase 1 (Trains 1 - 3) of NextDecade Corporation's Rio Grande LNG (RGLNG) export project in Texas, United States. ADNOC and NextDecade announced a 20-year LNG offtake agreement from RGLNG Train 4. The Phase 1 RGLNG equity stake has been acquired through an investment vehicle of Global Infrastructure Partners (GIP). ADNOC acquired a portion of GIP's existing equity interest in Phase 1. The acquisition marks ADNOC's first strategic investment in the United States. The offtake agreement is for 1.9 million tonnes per year on an FOB basis at a price indexed to Henry Hub, subject to an FID.
- Glenfarne Energy Transition LLC announced on 23 April 2024 that Texas LNG Brownsville LLC had signed a second HOA with EQT Corporation for natural gas liquefaction services for an additional 1.5 million tonnes per year of LNG over 20 years. This transaction expands Texas LNG's total HOA volume with EQT to 2 million tonnes per year. Texas LNG plans to commence commercial operations in 2028.
- Delfin LNG, LLC's (Delfin) request to MARAD (Maritime Administration) to issue Delfin a license to own, construct, and operate a deepwater port off the coast of Louisiana under the Record of Decision (ROD) issued on 13 March 2017 was declined on 22 April 2024, as widespread changes had been made to the project, including to the project ownership, design, financing, and operations, since the 2017 ROD.
- Gulfstream LNG Development LLC, an onshore greenfield LNG export project under development in Plaquemines Parish, Louisiana, received on 16 May 2024 FERC approval to begin the pre-filing permitting process for Gulfstream’s proposed 4 million tonne per year modular export plant. The plant is expected to include two gas processing trains, three electric-drive liquefaction trains each with an average base LNG production capacity of about 1.4 million tonnes per year, one 200,000 m3 LNG storage tank and tank protection system, two marine loading berths (one capable of receiving smaller barges and vessels, and one for servicing larger ocean-going LNG carriers), and an on-site gas-fired power generation plant.
- Pembina Pipeline Corporation said on 16 May 2024 that Cedar LNG expected an FID in June 2024.
- New Fortress Energy (NFE) said on 8 May 2024 in its 1Q 2024 results announcements that the company had completed the construction of its first FLNG unit, with first LNG expected in May and first full cargo expected in June.
- DOE acknowledged on 16 May 2024 an application filed by Gato Negro Permitium Uno, S. de R.L. de C.V. (Gato) which requested long-term authorization to export natural gas via pipeline to Mexico in a volume up to approximately 236 billion cubic feet (Bcf) per year (Bcf/yr) (0.647 Bcf per day), and to re-export approximately 203 Bcf/yr (0.556 Bcf per day) as LNG to FTA (Free Trade Agreement) countries for 20 years commencing in September 2027. Gato seeks to re-export the LNG by vessel from its proposed liquefaction project, the Gato Negro Manzanillo plant in the State of Colima, Mexico. The project would include up to four liquefaction trains capable of producing up to approximately 4 million tonnes per year of LNG.
European and surrounding regions
- The European Council adopted on 21 May 2024 a regulation and a directive establishing common internal market rules for renewable and natural gases and hydrogen and reforming the existing EU gas legislation. The directive stipulates that long-term contracts for fossil gas will no longer be concluded as of 2049. The regulation includes languages ensuring that Member States should be able to limit deliveries from the Russian Federation and Belarus.
- Alongside its new five-year financial framework, electric power and natural gas infrastructure company National Grid announced on 23 May 2024 its intention to sell the Grain LNG terminal in the United Kingdom.
- Dragon LNG, a receiving terminal for LNG in South-West Wales, announced on 16 May 2024 that it had launched an Expression of Interest (EOI) process for its 9 bcm per year capacity, available from September 2029. As one of three LNG terminals in the United Kingdom, Dragon has been operational since 2009. The facility can accommodate vessels up to 217,500 m3 and has two storage tanks with a combined capacity of 320,000 m3. With the ability to send out up to 298 GWh/d (or 25.6 mcm/d) natural gas, Dragon LNG commissioned its reliquefaction plant in 2018. The EOI will run until 1 July 2024 and interested parties are invited to express interest in acquiring long-term terminal capacity. Dragon plans to conduct a capacity auction in Winter 2024/25.
- Netherlands' energy infrastructure company VTTI announced on 8 May 2024 an agreement with Ancala to acquire its 50% shareholding of Dragon LNG Group Limited, the owner of the Dragon LNG import terminal in the United Kingdom. Dragon Energy Limited, a subsidiary of Dragon LNG Group Limited, has also developed a solar farm at the facility and is developing additional renewable power projects at the site.
- Mitsui O.S.K. Lines, Ltd. (MOL) announced on 25 April 2024 that it had signed a long-term Time Charter Party (TCP) Agreement for an FSRU for a project in project in Gdańsk with the Polish Gas Transmission System Operator, GAZ-SYSTEM S.A. The FSRU will be constructed by HD Hyundai Heavy Industries shipyard in Korea and is expected to be completed in 2027, and thereafter will be managed by the MOL group.
- Türkiye's BOTAŞ announced on 9 May 2024 an LNG purchase agreement with ExxonMobil to receive up to 2.5 million tonnes per year of LNG for 10 years.
Other regions
- Abu Dhabi's ADNOC announced on 8 May 2024 a 15-year HoA with Germany's EnBW Energie Baden-Württemberg AG (EnBW) for 0.6 million metric tonnes per year of LNG. The LNG will primarily be sourced from ADNOC's Ruwais LNG project. ADNOC claims that the Ruwais LNG plant is set to be the first LNG export facility in the Middle East and Africa region to run on clean power and will leverage the latest technologies and artificial intelligence (AI) tools to minimize emissions and drive efficiency. The agreement marks the third long-term LNG supply agreement from the project. The deliveries are expected to start in 2028, upon commencement of commercial operations. The project consists of two 4.8 million tonne per year LNG liquefaction trains.
- QatarEnergy announced on 29 April 2024 that it had signed an agreement with China State Shipbuilding Corporation (CSSC) for the construction of 18 QC-Max size LNG vessels. The new vessels, with a capacity of 271,000 cubic meters each, will be constructed at China's Hudong-Zhonghua Shipyard. 12 conventional-size LNG vessels are under construction at the yard, and that delivery of the first such vessels is expected by the third quarter of 2024. Eight of the 18 QC-Max size LNG vessels will be delivered in 2028 and 2029, while the other ten will be delivered in 2030 and 2031.
- QatarEnergy announced on 29 April 2024 that the company had signed long-term time charter party (TCP) agreements with three ship owners for the operation of nine new LNG vessels as part of the QC-Max part of its LNG fleet expansion program. The long-term TCP agreements cater for the operation of the vessels by affiliates of China Merchants Group, Shandong Marine Group, and China LNG Shipping (Holdings) Limited. QatarEnergy announced on 8 May a long-term agreement with Qatar Gas Transport Company Limited (Nakilat). Nakilat will own and operate nine QC-Max class LNG vessels. QatarEnergy's fleet expansion program has included shipbuilding contracts and time charter agreements for 104 conventional LNG vessels and 18 QC-Max class LNG vessels, for a total of 122 ultra-modern vessels, with the first new ship expected to be delivered by the end of the third quarter of 2024.
- Oman LNG announced on 19 April 2024 an SPA with BOTAŞ Petroleum Pipeline Corporation for 1 million tonnes per year of LNG for 10 years from 2025 on a DES basis.
- Oman LNG announced on 22 April 2024 an SPA with TotalEnergies for 0.8 million tonnes per year of LNG for 10 years from 2025.
- TotalEnergies and OQ, the Oman National Oil Company, announced on 22 April 2024 an FID of the Marsa LNG project (TotalEnergies (80%) and OQ (20%)) of 1 million-tonne-per-year capacity to be built in the port of Sohar. The LNG production is expected to start by first quarter 2028 and is primarily intended to serve the marine fuel market (LNG bunkering) in the Gulf. The LNG plant will be 100% electrically driven and supplied with solar power. The main Engineering, Procurement and Construction contracts have been awarded to Technip Energies for the LNG plant and to CB&I for the 165,000 m3 LNG tank.
- Höegh LNG Holdings Ltd. announced on 2 May 2024 an agreement between Höegh LNG, Australian Industrial Energy Pty Ltd (AIE) and Egyptian Natural Gas Holding Company (EGAS) for the deployment of the FSRU Hoegh Galleon. The FSRU will be located in Ain Sokhna, Egypt for a likely period of 19 - 20 months, after which it is expected to be deployed to AIE's LNG terminal under construction at Port Kembla, Australia. Höegh LNG and AIE announced a 15-year FSRU charter agreement for Hoegh Galleon in June 2022. The agreement with EGAS is for an interim period of June 2024 to February 2026.
- Kosmos Energy said on 7 May 2024 during its 1Q 2024 Results presentation that the Greater Tortue Ahmeyim LNG project was making progress, including completion of four production wells, handover of the Hub Terminal, the FLNG vessel's arrival on location offshore Mauritania/Senegal during the first quarter, progress of the subsea installation and connection, and expected hookup and commissioning of the FPSO, with first gas expected in the third quarter and first LNG expected in the fourth quarter of 2024.
- According to TotalEnergies SE Q1 2024 Earnings Call on 26 April 2024, regarding the Mozambique LNG project, all the contractors are realigned to execute the project without need to re-tender nor redesign.
- According to ExxonMobil Q1 2024 Earnings Call on 26 April 2024, the choice between onshore and offshore LNG development in Mozambique depends on the returns that can be generated with respect to investment opportunities and how competitive those supply points are.
- Air Products announced on 6 May 2024 that its dual mixed refrigerant LNG Process technology (AP-DMR™) and equipment, deployed at the Coral South FLNG plant in Mozambique, had passed its performance test achieving LNG production above 3.4 million tonnes per year.
- Abu Dhabi's ADNOC announced on 22 May 2024 the acquisition of Galp's 10% interest in the Area 4 concession of the Rovuma basin in Mozambique. The acquisition will entitle ADNOC to a share of the LNG production from the concession, which has a combined production capacity exceeding 25 million tonnes per year, according to the announcement. The concession includes the operational Coral South FLNG facility, the planned Coral North FLNG development and the planned Rovuma LNG onshore facilities. The 18-million-tonne-per-year Rovuma Onshore LNG development includes a modular, electric-drive design.
- Türkiye's Karpowership announced on 7 May 2024 an MoI (Memorandum of Intent) with Brazil's Petrobras to combine their respective expertise in the natural gas and power sectors.
- Black & Veatch announced on 8 May 2024 that it had completed a feasibility study for the planned Andes Energy Terminal, LNG regasification terminal and power plant near the port city of Buenaventura on Columbia's Pacific coast.
- EIG's MidOcean Energy announced on 23 April 2024 the completion of its previously announced agreement to acquire SK Earthon's 20% interest in Peru LNG. PLNG's assets comprise a natural gas liquefaction plant with 4.45 million tonne per year processing capacity, a 408 km-long pipeline, two 130,000 m3 storage tanks, a 1.4 km-long marine terminal and a truck loading facility.
(Note: bcm: billion cubic metre, CCS: Carbon Capture and Storage, DES: delivered ex-ship, DOE: U.S. Department of Energy, EPC: Engineering, Procurement and Construction, EPCI: Engineering, Procurement, Construction and Installation, EPCm: Engineering, Procurement and Construction management, FEED: Front-End Engineering Design, FERC: U.S. Federal Energy Regulatory Commission, FID: Final Invest Decision, FLNG: Floating Liquified Natural Gas, FOB: free-on-board, FSRU: Floating Storage and Regasification Unit, FSU: Floating Storage Unit, HOA: Heads of Agreement, MOU: Memorandum of Understanding, SPA: Sale and Purchase Agreement)
Supprted by the Institute of Energy Economics Japan (IEEJ)
添付ファイル
- Japan Trend of LNG Inventory data(28.6KB) (May 25, 2024 update)
- US Trend of Natural Gas Inventory data(60.5KB) (May 25, 2024 update)
- Europe Trend of Natural Gas Inventory data(429.6KB) (May 25, 2024 update)
- Europe Trend of LNG Inventory data(255.8KB) (May 25, 2024 update)