Page 14 - AsianOil Week 14 2022

AsianOil NEWS IN BRIEF AsianOil

have had Western buyers shunning Russian LNG distributor and an existing substantial is obvious and sensible, given that we are both
crude. India is also looking to increase its stakeholder in Jade. The cooperation, inked fully committed to delivering an independent
imports of coking coal from Russia. on April 4, is to support Mongolia’s goal to cleaner energy supply.
Reportedly, Chinese oil refiners have increase the country’s energy independence “The TTCBM Project is moving along
already purchased cheap Russian crude, with and energy mix and meet climate change nicely, thanks to the recent finding of thick
several LNG shipments already purchased obligations. gas-bearing coal seams.” The team is working
by Chinese importers in the last few weeks, The following are terms and attachments hard to complete the last steps of our existing
according to unnamed traders, even as there is of the MoU: UBM will have a non-exclusive six well and technical projects, putting us on
no immediate need for LNG imports. option for gas delivery from Jade’s TTCBM target to book a first contingent resource.”
According to Bloomberg sources, instead Project’s initial production; Basjargal Bold, CEO of UB Metan LLC,
of participating directly in a Russian LNG The parties are attempting to reach an added: “We are quite pleased to have signed
sales tender, Chinese companies are looking agreement on a binding gas sales agreement the MoU with Jade, which formalises our
to use so-called “sleeves,” or firms to buy on that will include commercial terms on a long desire to take future gas output from the
their behalf, to mask their procurement. form offtake agreement (expected following TTCBM Project.” We think the Jade team
Reportedly smaller Chinese LNG buyers the outcome of the 2023 pilot production have the necessary capabilities to produce
are struggling to get credit guarantees from programme at TTCBM); Mongolia’s first commercial gas production
banks to purchase additional spot cargoes The MoU lays the groundwork for UBM from the highly sought-after TTCBM Project.
from Russia, with the top Chinese importers to become an integrated partner, which As Mongolia’s largest importer and distributor
benefiting from the pre-approved credit lines. might include the installation of essential of gas, a safe and reliable domestic source
infrastructure to facilitate on-site natural of natural gas located close to potential
gas (CNG) compression and delivery to consumers is a vital driver for the future
Jade signs MoU with Ulaanbaatar, adjacent towns, and mining sites. growth of our business at UB Metan LLC.
The TTCBM Initiative checks all of these
“This MoU establishes a structure and
Mongolia’s UB Metan visible pathway as we plan for commercial boxes, and we look forward to assisting Jade
alternatives for Jade’s TTCBM Project,” said
in ensuring that this project realises its full
Jade has signed a non-binding gas offtake Chris Jamieson, CEO of Jade. As Mongolia’s potential.”
memorandum of understanding (MoU) largest gas distributor and a key shareholder
with UB Metan LLC, Mongolia’s largest in Jade, a collaboration with UB Metan LLC

P14 www. NEWSBASE .com Week 14 08•April•2022