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NorthAmOil PROJECTS & COMPANIES NorthAmOil
Cheniere signs LNG supply
agreement with Equinor
US-EUROPE 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
Cheniere Marketing had signed an LNG sales Russia’s Gazprom.
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 a May’s total represented an expansion from
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 on year. The US’ highest ever monthly LNG
terminal 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 the
commodity market where demand for LNG is US’ liquefaction capacity with a combined 45mn
soaring. The company said the SPA would help tpy in operation across its Corpus Christi and
it grow its ambitions to become a global gas Sabine Pass export terminals.
Danos to support PDC, Petrofac on
Gulf decommissioning project
GULF OF MEXICO OILFIELD services provider Danos said on June Danos said this week it would provide support
14 that it had been selected by the Promethean with several of the service lines, including pro-
Decommissioning Co. (PDC) and Petrofac to duction workforce, fabrication, construction,
support their work decommissioning several instrumentation and electrical.
facilities in shallow-water fields in the US Gulf PDC is the operator of the project and
of Mexico. intends to take an integrated, technology-driven
The project began as a joint venture in May approach. Petrofac will provide the project with
between PDC and Petrofac to decommission its decommissioning programme management
the South Pass 60, South Pass 6 and East Breaks systems, tools and processes. The company,
165 fields in the Gulf. In total, the legacy off- which has been active in Texas for more than
shore fields and assets include 10 platforms, 40 years, has plugged and abandoned over 600
196 wells and 32 pipeline segments. The pro- wells and decommissioned more than 100
ject is estimated by the US Bureau of Safety and facilities.
Environmental Enforcement (BSEE) to have a In Danos’ announcement that it was joining
decommissioning cost of about $200mn over a the project, PDC’s president, Aditya Singh, men-
multi-year campaign. tioned that the partners would aim to meet the
The firms will work together to provide “highest” environmental, social and governance
decommissioning operations and said they (ESG) standards with their work. This includes
would use state-of-the art digital software to minimising the greenhouse gas (GHG) emis-
deliver the project with comprehensive dash- sions intensity and environmental footprint of
boards and delivery assurance. the operations involved.
Danos’ participation had previously been Singh previously said in May that the pro-
mentioned when the joint venture was formed ject represented its new outsourced Decom-
in May, but now the company has provided missioning Operator service being offered to
more details on what its contribution will entail. the industry.
P8 www. NEWSBASE .com Week 24 16•June•2022
