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GLNG AfRiCA GLNG
New Fortress signs MoU for Angola facility
invEstmEnt
NEW Fortress Energy has signed a memoran- dum of understanding (MoU) with Angola on the provision of a regasi cation terminal. e facility will provide gas to the West African state for power generation. e US-listed company said in a statement on June 5 that the deal was signed with the Angolan Ministry of Mineral Resources and Petroleum, Ministry of Energy and Water and Ministry of Finance. Angolan President Joao Lourenco also approved the MoU.
New Fortress will fund, build and operate an import and regas terminal. It will also work with the petroleum ministry to explore domestic gas resources and a liquefaction facility, the state- ment said.
“This partnership will provide cleaner, a ordable natural gas to Angola, creating sig- ni cant economic and environmental bene ts,” said New Fortress’ CEo, Wes Edens. Reducing fuel costs, through this shi to gas, “will encour- age further investment and directly benefit Angolans”.
Angolan Minister of Mineral Resources and Petroleum diamantino Azevedo said the deal was the rst step to the country becoming a “gas economy”.
While the MoU is interesting, the statement
from New Fortress noted it was non-binding and that any de nitive agreement may di er from this document. e company, in its IPo ling earlier this year, declared an interest in opportu- nities in Africa. New Fortress has had a number of successes in providing oating storage regasi- cation units (FSRUs) in the Caribbean and has plans for a facility in Ireland.
As of May 15, when the company posted its first quarter results, New Fortress said it had 14 projects under development, with costs of around US$356 million. Plans in Jamaica, Puerto Rico and Mexico were expected to be up and running in the next 12 months, it said.
Angola is an LNG exporter, using associated gas as feedstock for the plant, coming from the country’s o shore oil elds. For instance, the sec- ond oating production storage and o oading (FPSo) unit on the Kaombo project started up in April, with gas from that vessel piped onshore to the plant in Soyo.
despite the country’s resource riches, only 35% of its people have access to electricity, according to the International Energy Agency (IEA) in 2016. A gas- red power plant was com- pleted in Soyo in 2017, with gas supplied via a pipeline from the Angola LNG facility.™
AmERiCAs
PGNiG lines up extra US supplies
PERfoRmAnCE
PoLANd’S PGNiG has agreed to buy another 1.5 million tpy of LNG from the US. e Pol- ish company announced on June 12 a deal with VentureGlobalforsupplyfromthePlaquemines LNG terminal.
e deal comes on top of a previous agree- ment on the facility, taking total shipments from the plant to PGNiG to 2.5 million tpy. deliveries are due to begin when Plaquemines LNG begins, expected in 2023. PGNiG also has another 1 mil- lion tpy agreement with Venture Global, from its Calcasieu Pass LNG scheme, taking the total to 3.5 million tpy.
Attending the signing of the deal was US Secretary of Energy Rick Perry and Polish Sec- retary of State for Strategic Energy Infrastructure Piotr Naimski. e deal was signed in the White House, during Polish President Andrzej duda’s visit to the US.
Perry, in the statement, was reported as saying the deal demonstrated a “shared commitment to energy security and an understanding that true energy security is achieved through energy diversity”. e o cial also noted the launch of the US-Poland Strategic Energy dialogue.
PGNiG’s president, Piotr Wozniak, noted
the increase in the company’s portfolio after 2022, when the current contract with Russia’s Gazprom expires. “Thanks to good relations withourAmericanpartnersande ectivenego- tiations, we have achieved a highly competitive LNGsupplyfromthePlaqueminesterminal,”he said. Another PGNiG o cial, Maciej Wozniak, said US LNG was “becoming more competitive, which is con rmed by consecutive quarters of increased imports by Europe”.
Site construction on Calcasieu Pass LNG began in March, with rst LNG due in 2022. Plaquemines LNG received its final environ- mental impact statement (EIS) in May.
PGNiG has made much of LNG as an alter- native to Russian pipeline supplies. LNG is being used in a variety of ways. For instance, in May, the company began supplying LNG to a bus company in Warsaw. PGNiG’s Swinoujscie import terminal allows LNG to be distributed by truck. Most of this gas goes to local grids.
Historically, the company has relied on Qatar for LNG supplies, with the Middle Eastern state providing 84% of its demand, according to gures from January, while the US accounts for 3%.™
Us dEAls:
pGNiG signed a deal for 2 million tpy of supplies fromsempraenergy’s port Arthur lNG project in December 2018, with supplies likely to start
in 2023. that year, the polish company also signed a short-term deal with cheniere marketing for 520,000 tonnes, from 2019 to 2022, rising to 29 million tonnes from 2023 to 2042.
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w w w . N E W S B A S E . c o m Week 23 13•June•2019