Page 10 - EurOil Week 25 2022

EurOil PIPELINES & TRANSPORT EurOil

LNG capacity due to be ready in Estonia

by end of November

ESTONIA ESTONIA will have the capacity to import Liq- grid distributor Elering said that guarantees of
uefied Natural Gas (LNG) via a floating terminal being ready by November could not be given at
Other Baltic states moored off the Port of Paldiski by November, this point, telling AK that: “We cannot guaran-
are working on similar ERR.ee, an Estonian news website, reported on tee that we will be ready by November. Taking
projects. June 17. into account the situation globally, one where
The under-construction terminal is similar to there is a shortage of building materials, supply
one in use in Klaipeda, Lithuania, and is being chain problems and other issues, we will, how-
installed in order to completely decouple from ever, do everything in our powers to be ready by
Russian natural gas imports. It will also have the November.”
capacity to supply Finland with LNG. Another guarantee Heinla was this time
Timo Tatar, undersecretary at the Ministry of able to give concerned the supply of gas to
Economic Affairs, told media AK that: “We are Finland.
on schedule for the end of November. By the end He said: “This is the kind of pipeline through
of November, the LNG infrastructure, the quay which the entire Finnish gas supply is guaran-
itself and that located on the quay, will be ready teed. And we will also connect the shipping con-
to receive LNG from the ship.” nection to this pipeline.”
The vessel itself would be replenished by LNG The Balticonnector pipeline linking Estonia
brought in on other ships. and Finland opened in December 2019.
“The Finns have signed a lease agreement Estonia’s annual natural gas consumption
for the vessel, and now an agreement on the stands at around 5TWh, which the terminal will
details of when exactly the ship will come here is be able to satisfy in addition to serving Finland.
needed,” Tatar went on. The state will also be holding 1TWh natural gas
Nonetheless, head of connections at state in reserve. ™

Cheniere signs LNG supply agreement

with Equinor

NORWAY THE US’ leading LNG producer, Cheniere supplier. Already, Equinor is the second largest
Energy, said on June 9 that its subsidiary supplier of natural gas in Europe, trailing only
Equinor is building up Cheniere Marketing had signed an LNG sales Russia’s Gazprom.
its LNG portfolio. and purchase agreement (SPA) with Norway’s Since sanctions were imposed on Russia over
Equinor. its invasion of Ukraine, US LNG firms have
Under the terms of the SPA, Cheniere will been exporting record volumes to the European
sell about 1.75mn tonnes per year (tpy) of LNG Union. As a result, the US is predicted to be the
to Equinor on a free-on-board (FOB) basis world’s largest LNG exporter this year.
over a 15-year period. Deliveries will begin in Data from Refinitiv Eikon show that the US
the second half of 2026 and will be ramped up exported 7.29mn tonnes of LNG in May, mark-
to reach the full 1.75mn tpy by the second half ing the second highest monthly total on record.
of 2027. Higher sales to Europe and South America were
Cheniere noted that half of the volume, or largely responsible for the increase.
about 0.9mn tpy, was dependent on it making May’s total represented an expansion from
a final investment decision (FID) on its Stage III 6.93mn tonnes in April and also a 12% rise year
expansion at the Corpus Christi LNG export ter- on year. The US’ highest ever monthly LNG
minal in Texas. exports amounted to 7.67mn tonnes, which it
For Equinor, the deal allows the firm to achieved in March.
gain access to additional gas supplies in a tight Houston-headquartered Cheniere leads
commodity market where demand for LNG is the US’ liquefaction capacity with a combined
soaring. The company said the SPA would help 45mn tpy in operation across its Corpus Christi
it grow its ambitions to become a global gas and Sabine Pass export terminals. ™

P10 www. NEWSBASE .com Week 25 23•June•2022