Page 12 - GLNG Week 02

GLNG
NEWS IN BRIEF
GLNG
and Sojitz through a joint venture known as Jawa Satu Power. Pertamina and Marubeni each hold 40% stakes in the joint venture, while Sojitz owns the remaining 20% interest.
The 170,000 cubic metre FSRU will be located 14 km offshore in the Cilamaya Sea, east of Jakarta, and will be connected to the power plant via a 21-km pipeline. Japanese shipping firm Mitsui OSK Lines (MOL) has agreed to be responsible for supervising, maintaining and operating the FSRU.
This is the first gas-to-power project in Asia whose components – the FSRU, power generation and gas facilities, among other infrastructure – are being developed in an integrated manner.
Jawa Satu Power has entered into a long- term power purchase agreement (PPA) to sell electricity to Indonesia’s state-owned utility, PLN, for a period of 25 years. The project is anticipated to cost around $1.8bn in total.
EUROPE
2019 – a good year for LNG as marine fuel
Unifeeder, the operator of the LNG retrofitted Wes Amelie and first adopter of LNG as marine fuel in the European container feeder segment, must be quite satisfied with the bunker costs of the vessel in 2019.
MV Wes Amelie, a 1.000 TEU container feeder vessel converted to LNG operation in 2017, is operated in one of Unifeeder’s widely ramified feeder network in the North and Baltic Sea and frequently calling Rotterdam as its main port. From Rotterdam the vessel is passing the Kiel Canal and serving several ports in the Baltic. After each round voyage, which takes between 12-13 days, the vessel receives an average of 130 tonnes of LNG. Since July last year LNG bunkering can be done ship-to-ship. So, on that particular service the vessel consumes an average of 10 tons per day and that consumption per day applies to the full year.
In 2019 the generated saving in bunker costs, LNG versus MGO, was approximately EUR2.750 per day, almost EUR1mn for the year. And that does not include the extra savings generated due to rebated harbour dues. This saving potential makes the vessel quite attractive and explains, why the vessel is in her third consecutive time charter year with Unifeeder.
It’s quite simple, the bigger the price
gap between LNG and low sulphur fuels
are and the higher the consumption is, the better is the saving. The price for LNG was, on average, on the lower side in 2019. And this flat price scenario obviously remains
in 2020. Today, January 12, “usually” a cold season in the northern hemisphere, the TTF is extremely low with EUR11,80 per mWh. Twelve days ago, the price gap in Rotterdam between a delivered ton of LNG and a ton of MGO was around EUR235,00, on an energy content basis the cost advantage was even approximately EUR315,00.
LNG Traders are expecting similar price developments in 2020. With this outlook
in combination to the tightened price development of low sulphur fuels under the sulphur cap year we might see promising price gaps between LNG and low sulphur fuels again in 2020.
WESSELS MARINE, January 14, 2020
Gastrade sets February
deadline for reserving
capacity at Greek terminal
Greece’s Gastrade has set February 24 as
the deadline for receiving binding bids for companies to reserve capacity at the LNG terminal it is building in the northern part of the country, near the city of Alexandroupolis.
The facility, which would be the country’s second LNG import terminal, will seek
to supply gas to southeast Europe via the Interconnector Greece-Bulgaria (IGB) pipeline that will cross Greece.
“This is the binding bidding phase for capacity reservations in the project.
Companies that have already expressed interest in the first phase of the market test are eligible to submit binding offers to Gastrade,” the company said in a press release on January 10. This comes after Gastrade received non- binding expressions of interest from 20 gas companies in 2019, representing up to 12.2 billion cubic metres per year of reserved regasification capacity.
The tender process for the terminal is also underway currently. The facility is anticipated to enter service in the third quarter of 2022.
Novatek reports preliminary
operating data for 12
months 2019
Novatek reported today preliminary operating data for the 12 months ended December
31, 2019. In 2019, Novatek’s hydrocarbon production totalled 590.1 million barrels of
oil equivalent (boe), including 74.70 billion cubic metres (bcm) of natural gas and 12,148 thousand tonnes of liquids (gas condensate and crude oil), resulting in an increase in total hydrocarbons produced by 41.0 million boe, or by 7.5% as compared with the twelve months 2018. Preliminary natural gas sales volumes, including volumes of LNG sold, aggregated 78.45 bcm, representing an increase of 8.8% as compared with the prior year period. Natural gas volumes sold in the Russian Federation in 2019 were 65.65 bcm, whereas LNG volumes sold on international markets amounted to 12.80 bcm.
The company processed 10,802 thousand tonnes of unstable gas condensate at the Purovsky Processing Plant, representing
a decrease of 2.0% as compared with the corresponding volumes processed in the prior reporting period. Novatek processed 6,902 thousand tonnes of stable gas condensate
at the Ust-Luga Complex, representing a marginal decrease of 0.7% in volumes processed at the facility in 2019.
Preliminary 2019 petroleum product sales volumes aggregated 6,981 thousand tonnes, including 4,511 thousand tonnes of naphtha, 1,068 thousand tonnes of jet fuel, and 1,402 thousand tonnes of fuel oil and gasoil. Novatek sold 4,834 thousand tonnes of crude oil and 1,739 thousand tonnes of stable gas condensate.
As at December 31, 2019, Novatek had 1.2 bcm of natural gas, including LNG, and 604 thousand tonnes of stable gas condensate and petroleum products in storage or transit and recognised as inventory.
NOVATEK, January 15, 2020
P12
w w w. N E W S B A S E . c o m
Week 02 16•January•2020