LNG news

LNGNEWS

China LNG SPA for Venture Global LNG and CNOOC Gas & Power

Venture Global LNG and CNOOC Gas & Power Group Co., Ltd, a wholly owned subsidiary of China National Offshore Oil Corporation (CNOOC), have announced the execution of a 20-year Sales and Purchase Agreement (SPA). This marks the first LNG supply agreement signed by a US exporter with CNOOC, China’s largest importer of LNG. Under the deal, Venture Global will supply 2 million tpy of LNG on a free on board (FOB) basis from its Plaquemines LNG export facility, in Plaquemines Parish, Louisiana, US. In addition, CNOOC Gas & Power will purchase 1.5 million t of LNG from Venture Global’s Calcasieu Pass LNG facility for a shorter duration.

“Venture Global is pleased to announce the expansion of our footprint in Asia through two new deals to supply the Chinese market with clean, low-cost US LNG,” said Mike Sabel, CEO of Venture Global LNG. “China is critical to global climate efforts, and LNG supplied by Venture Global will serve as an important addition to their low carbon energy mix for decades.”

“As China’s largest LNG importer, CNOOC is committed deeply not only to the mission of securing China’s gas supply, but also to the climate goals of building a carbon-neutral China by 2060,” said Shi Chenggang, Chairman of CNOOC Gas & Power. “By signing the SPAs with Venture Global, CNOOC will be able to further improve its ability to meet China’s increasing gas demand, whilst providing solid support for China’s energy transition pathway to build a more beautiful China.”

Mauritania NFE and Mauritania sign MoU

New Fortress Energy Inc. (NFE) has announced the execution of a Memorandum of Understanding (MoU) with the Islamic Republic of Mauritania for the development of an Energy Hub, including natural gas, power, LNG, and blue ammonia, utilising existing offshore gas reserves off the coast of Mauritania.

Under the MoU, NFE will deploy its Fast LNG liquefaction technology to produce LNG in the Atlantic coastal basin offshore Mauritania for local gas and power markets as well as international exports. NFE will supply natural gas to both the existing 180 MW Somolec Power Plant and a new 120 MW combined cycle power plant that will be developed.

“The production of LNG from these fields with our Fast LNG liquefiers will help accelerate the global transition to cleaner fuels,” said Wes Edens, Chairman and CEO of NFE. “Supply of natural gas and modern power infrastructure will also help bring more affordable, reliable, and cleaner power to support industrial development and sustainable economic growth in Mauritania and, at the same time, unlock the country’s potential to be a top exporter of clean LNG and blue ammonia.”

NFE’s Fast LNG liquefaction design pairs the latest advancements in modular, midsize, liquefaction technology with jack up rigs or similar floating infrastructure to enable a much lower cost and faster deployment schedule than today’s floating liquefaction vessels. NFE is in advanced discussions for the deployment of this technology in several other markets around the world, including offshore US.

The natural gas production and power infrastructure in Mauritania will support industrial development and reduce emissions and pollution by providing a cleaner, affordable, and reliable alternative to oil-based fuels.

UK Avenir and Shell enter into time charter agreement

Avenir LNG Ltd has announced that it has entered into a time charter party (TCP) with Shell NA LNG, LLC for the Avenir Achievement, a new-build 20 000 m3 LNG bunkering supply vessel which will be delivered to Avenir in 2Q22. The time charter to Shell is expected to begin in 1Q23 for a period of three years with an option to extend up to five years.

This charter (including options) increases Avenir’s overall vessel charter revenues backlog to US$81.0 million as of 1 December 2021. The vessel will be equipped with boil-off gas (BOG) reliquefaction and simultaneous operations (SIMOPs) capabilities, making the vessel one of the world’s largest, most efficient and versatile LNG bunker supply vessels.

Commenting on the deal, Peter Mackey, CEO of Avenir LNG Ltd, said “We are delighted to have executed this agreement with Shell for the Avenir Achievement and to play an important role in expanding Shell’s LNG bunkering capabilities. This deal marks another major achievement in Avenir’s development as we fix the last vessel in our current new-building programme. We are thrilled to welcome a world-class organisation like Shell as the latest customer for Avenir LNG.”

LNGNEWS

France Wärtsilä to supply technologies for LNGfuelled container ships

Wärtsilä has been selected to supply a broad scope of solutions for new LNG-fuelled container ships ordered by CMA CGM. This latest series comprises 12 container vessels to be built in China. Six 13 000 TEU container vessels are being built at the Hudong-Zhonghua Shipbuilding (Group) Co. Ltd, with the other six 15 000 TEU container vessels under construction at the Jiangnan Shipyard (Group) Co. Ltd. The valuable orders were placed in 3Q21 and 4Q21.

The Wärtsilä equipment is scheduled for delivery to the yards commencing in 2022, and the first of the 12 vessels is expected to be launched in 3Q23. Wärtsilä was earlier contracted to supply a similar scope for nine 23 000 TEU CMA CGM vessels which have been delivered and five 15 000 TEU whereof two vessels are delivered, and three vessels are under construction now.

By contracting these ships to operate with LNG fuel rather than conventional marine diesel fuels, CMA CGM is emphasising its support for efforts to decarbonise maritime operations. LNG eliminates almost all air pollutants such as sulfur oxides, nitrogen oxide, and particulates, and achieves a first step toward decarbonisation. The dual-fuel gas engines on the vessels are already compatible with renewable energies such as biomethane, synthetic methane, and e-methane. "At CMA CGM we are committed to promoting sustainability in all our operations. We are happy to work with Wärtsilä as they have a similar decarbonisation target and a very broad scope of solutions to offer. The choice of dual-fuel gas vessels powered by LNG for our new ships is part of our commitment to build a zero-carbon future,” said Xavier Leclercq, Vice-President of CMA SHIPS.

The selected Wärtsilä solutions are all designed to deliver high efficiency and environmental sustainability. For each vessel they include five Wärtsilä 34DF dual-fuel auxiliary engines, 60 engines in total, delivered from the joint venture in China, Wärtsilä’s Nacos Platinum integrated control system, propulsion control system, STC-13 series Sewage Treatment Plants, and Fuel Gas Supply System fitted with Wärtsilä’s Operational Performance Improvement and Monitoring (Operim) system. This utilises the latest digital technology to provide data in real-time to allow the system to operate at optimal efficiency at all times, and in all weather and sea conditions.

Malaysia PETRONAS delivers Hiroshima Gas' first carbon neutral LNG cargo

Malaysia LNG Sdn Bhd, a subsidiary of PETRONAS, has successfully delivered a carbon neutral LNG cargo to Hiroshima Gas Co., Ltd, a continuity of PETRONAS’ commitment towards becoming a sustainable solutions partner to its customers.

PETRONAS Vice President of LNG Marketing & Trading, Shamsairi Ibrahim said, “We are proud to grow our 16-year relationship by being Hiroshima Gas’ chosen partner for their first carbon neutral LNG cargo. Providing cleaner energy solutions through carbon offsets will not only positively impact the LNG industry but will also create sustainable value for businesses, societies, and the world at large.”

Hiroshima Gas Senior Executive Officer, Kazunori Tamura said, “Our business as a city gas supplier is seeing an increasing need to offer carbon neutral city gas to our end-buyers. PETRONAS’ ability to provide such solution is certainly essential to ensure we are on track in our sustainability goals. We are pleased to have collaborated with PETRONAS for our first carbon neutral LNG cargo.”

PETRONAS’ partnership with its long-term customers in carbon neutral LNG solution demonstrates its commitment as a responsible LNG provider to advance a common sustainability agenda.

THE LNG ROUNDUP

X GlobalData: Natural gas production growth in Appalachia X HSHI wins order for multiple vessels X Adriatic LNG closes its first open season

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LNGNEWS

China Pavilion Energy to supply small scale LNG to Hangjiaxin

Pavilion Energy Trading & Supply Pte. Ltd and Zhejiang Hangjiaxin Clean Energy Co., Ltd have signed a term deal for the supply of small scale LNG from Singapore. Under the agreement, up to 0.5 million tpy of LNG will be delivered to Hangjiaxin from 2023.

LNG from Pavilion Energy’s portfolio of natural gas and LNG will be delivered to the 1 million tpy Jiaxing LNG Terminal in Zhejiang, China. The Jiaxing LNG Terminal will be operated by Hangjiaxin, a joint venture between city gas distributors Jiaxing Gas, the largest pipeline natural gas operator in Jiaxing, and Hangzhou Gas, the largest natural gas distributor in Zhejiang province.

“Pavilion Energy is very pleased to strengthen our partnership with Hangjiaxin with the supply of LNG from our portfolio of diverse global sources” said Mr Alan Heng, Interim Group CEO of Pavilion Energy, “Supplying small scale LNG reinforces our commitment to enhance Singapore’s position as a regional LNG hub and support growing demand for small scale LNG in Asia.”

Mr Sun Lianqing, CEO of Hangjiaxin Clean Energy said, “Hangjiaxin is pleased to enter this sale and purchase agreement with Pavilion Energy. The execution of this agreement will provide Hangjiaxin’s own terminal, the Jiaxing LNG Terminal, with stable LNG resources, offer Hangjiaxin’s end users with more clean energy options in the long run, and contribute to Hangjiaxin’s dedication to the reduction of carbon dioxide emissions and achievement of carbon neutrality. ”

Aruba WEB and Eagle LNG enter into clean LNG supply agreement

Eagle LNG Partners LLC, a US company based in Houston, Texas and Jacksonville, Florida, has completed a long-term supply contract to establish an LNG receiving and regasification terminal in Aruba with WEB Aruba, the local power and water utility. The project confirms Aruba’s growing importance as a regional hub and creates new economic pillars.

The Aruba LNG Terminal will serve as WEB’s LNG receiving and regasification terminal for its Balashi power plant. The terminal will be located at Refineria di Aruba, an existing industrial location, in San Nicolas, Aruba, where LNG from Eagle LNG will be received, stored, and regasified with natural gas delivered to the WEB power plant. Using LNG for power generation takes advantage of WEB’s existing investment in dual-fuel engines improving environmental performance and stabilising fuel rates at historically low prices, while enabling the introduction of more intermittent renewable electricity generation on the island.

The infrastructure investment is approximately US$100 million in Aruba and will create up to 100 local jobs during construction as well as highly-skilled operating jobs with specialised training in critical capabilities required as the world transitions to a net-zero carbon future. The project will introduce low-cost, stable energy to the island and enhance its environmental credentials.

By moving to LNG from heavy fuel oil or diesel, there will be a significant reduction in harmful emissions: 30% in CO2, 75% NOx, 90% particulates, and 99% SOx.

08 - 10 March 2022

StocExpo

Rotterdam, the Netherlands

www.stocexpo.com

10 - 12 May 2022

Canada Gas & LNG Exhibition & Conference

Vancouver, Canada

www.canadagaslng.com 21 - 23 March 2022

European Gas Conference

Vienna, Austria

www.energycouncil.com/event-events/ european-gas-conference

23 - 27 May 2022

World Gas Conference 2022

Daegu, South Korea

www.wgc2022.org 28 - 29 March 2022

8th International LNG Congress

Dusseldorf, Germany

www.lngcongress.com

06 - 10 June 2022 Posidonia 2022

Athens, Greece

www.posidonia-events.com