Page 7 - GLNG Week 23
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GLNG AmERiCAs GLNG
First cargo shipped from Tango FLNG
PERfoRmAnCE
ARGENTINA’S oating LNG (FLNG) vessel has been commissioned and accepted by Argentin- ian energy company YPF, Belgium’s Exmar said on June 6. Tango FLNG has o oaded its rst cargo, the company continued, in record time – the contract was signed in November 2018 and the unit accepted in Bahia Blanca in February 2019. Exmar attributed the speed of this process to its co-operation with YPF.
e rst cargo of around 25,000 cubic metres marks Argentina’s entry into the ranks of LNG exporters. Production came from the Vaca Muerta shale, with Argentina only the second country to export this resource – a er the US. Tango FLNG should be fully up to speed a er Argentina’s winter season ends.
“For Exmar, the successful performance test in Bahia Blanca con rms the technical capa- bilities of the Tango FLNG. Tango FLNG is the rst FLNG operating in the Americas and this historic milestone clearly proves Exmar’s front runner position for cost competitive and quick- to-market oating liquefaction solutions,” said the Belgian company’s CEo, Nicolas Saverys.
A guaranteed performance test was carried out on June 5, with Exmar using Black & Veatch’s PRICo technology. Tango FLNG would be moored at Bahia Blanca for the next 10 years, with
production expected to be around 500,000 tpy. PRICo uses a single-mixed refrigerant loop for liquefaction, Black & Veatch said, noting this provided a number of bene ts, including a com- pact footprint and scalability. e technology is also used in Cameroon, at Perenco’s FLNG ves- sel. Black & Veatch has also signed on to provide PRICo to the BP-led Tortue LNG project, o
Senegal and Mauritania.
According to Platts’ cFlow trade software,
the LNG was loaded onto the Fuji LNG carrier, with delivery likely to be the Caribbean or Latin America.
PLL opens tender for 10-year LNG supply
invEstmEnt
STATE-oWNEd Pakistan LNG Ltd (PLL) has reportedly invited international LNG traders to bid for a 10-year supply contract. Local daily e News quoted unnamed sources as saying this week that the supply contract, which would see cargoes delivered to PLL’s Port Qasim terminal on a delivered ex-ship basis, was for two 140,000 cubic metre LNG cargoes per month.
“Since we have a constant rather constantly increasing demand it is better to have a term con- tract,” a source at the petroleum ministry told the newspaper. “ e 10-year term is with an option of ve years walk-away, which e ectively makes it a ve-year arrangement. PLL used to make spot purchases so far, which is quite erratic.”
In January, PLL received 30 o ers from eight LNG suppliers from a tender for ve cargoes for delivery between March and April, with Gunvor understood to have been selected the winner.
Pakistan is understood to be paying 11.99% of Brent crude prices for LNG supplies from Italian major ENI, 11.62% of Brent for supplies from Swiss trader Gunvor and 13.37% of Brent for cargoes from Qatar.
“We expect this term arrangement to be
nalised somewhere in between 11% and 12%, and this slope would remain xed for the entire term,” e News quoted the ministry o cial as saying.
PLL’s CEo, Adnan Gilani, warned earlier this year that the country’s LNG demand could more than triple from nearly 7 million tonnes in 2018 to as much as 30 million tonnes by 2024.
PLL’s two oating storage and regasi cation units (FSRUs) have a combined handling capac- ity of about 9-10 million tonnes per year of LNG and are running at near full capacity. demand for LNG is rising in the face of stagnant domestic gas production, which edged down 1.51 tcf (42.48 bcm) in nancial year 2012-13 to 1.46 tcf (41.35 bcm) in 2017-18, energy ministry data show.
According to the country’s oil and Gas Regu- latory Authority (oGRA), the power sector con- sumed 43% of the country’s total available gas in nancial year 2016-17. Increasing residential gas connections has driven gas shortages, which is reducing power generation. According to one World Bank survey, 66.7% of local businesses perceive power shortages to be a great obstacle to business than corruption, crime or terrorism.
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Week 23 13•June•2019 w w w . N E W S B A S E . c o m P7
