Page 10 - DMEA Week 28 2021

DMEA SUPPLY DMEA

QP strikes yet more LNG supply deals

MIDDLE EAST STATE-OWNED Qatar Petroleum (QP) struck The deals are the latest in a string of supply
two more long-term supply deals over the past agreements announced by QP in recent months
week. as the company works to bolster its dominance
On July 7, the company said it had entered of the global LNG export market and expand liq-
into a 15-year LNG sale and purchase agree- uefaction capacity.
ment (SPA) with Taiwan’s CPC for the supply The Qatari company also announced a
of 1.25mn tonnes per year of LNG. This was fol- 10-year deal with Royal Dutch Shell to supply
lowed by a 20-year SPA with Korea Gas (Kogas) 1mn tpy of LNG to China at the end of June, and
for the supply of 2mn tpy of LNG, announced a separate supply agreement with China’s Sino-
on July 12. pec covering 2mn tpy over a 10-year period in
Deliveries under the SPA with CPC are sched- March, among others.
uled to begin in January 2022, while the deal with According to BP’s ‘Statistical Review of World
Kogas will see supplies starting in January 2025. Energy 2021’, which was released last week, Qatar
QP noted in separate statements that CPC has exported 106.1bn cubic metres of LNG last year.
received more than 63mn tonnes of LNG from This makes the country the second-largest LNG
Qatar to date since trade between the two coun- exporter of 2020, narrowly losing out to Aus-
tries began in 2006, while South Korea had taken tralia, which exported 106.2 bcm over the year.
delivery of nearly 185mn tonnes of Qatari LNG. However, QP’s North Field East project will
This equates to more than 2,500 LNG cargoes raise Qatar’s liquefaction capacity from 77mn tpy
sent from Qatar to South Korea since 1999. to 110mn tpy, cementing the country’s position
Qatar currently supplies Kogas with more as the global LNG leader.
than 9mn tpy of LNG through long-term agree- Meanwhile, Australia is expected to struggle
ments, and is the largest seller of the super- to maintain feedstock gas supplies to its liquefac-
chilled fuel to South Korea. tion terminals as the decade progresses.™

Turkey reverses ban on PE

based recycled plastic imports

MIDDLE EAST THE Turkish government has reversed its ban by banning these imports has won out over the
on 391510 polyethylene-based (PE-based) recy- environmental considerations.”
cled plastic imports, REB Market Intelligence Results of a Greenpeace investigation released
reported on July 12, citing Turkey’s Official in May revealed British waste that was exported
Gazette. to Turkey for recycling was in fact dumped on
The permission to import the plastics beaches and roadsides or was burnt.
is immediate. However, imports of Turk- The UK has exported more plastic waste
ish-specific HS code 3915.90.11.90.00 and to Turkey than any other country since China
3915.90.80.00.19 reportedly remain banned. banned imports in 2018. UK exports to the
The trade publication noted: “When Turkey country increased from 12,000 tonnes in 2016
banned import of most plastics in May, it came to 209,642 tonnes in 2020, about 30% of the UK’s
as a huge surprise to the recycling industry, and plastic waste exports.
caused a great deal of difficulty for recyclers both MRW reported ahead of the ban on almost
in Turkey and those abroad that relied on this all plastic waste imports to Turkey that the move
crucial market. would leave UK exporters scrambling to find
“At that time, Turkey’s Ministry of Environ- alternative outlets.
ment was driving the legislation that banned Simon Ellin, CEO of the Recycling Associ-
these imports even though it was the Ministry ation, was quoted as saying: “It basically bans
of Trade that executed the legislation. But it imports of anything that includes ethylene, so
seems that Turkey’s Ministry of Trade has had apart from PVC [polyvinyl chloride] and PP
a change of mind and has reversed the ban on [polypropylene] that is pretty much everything
391510 recycled plastic imports. This suggests we export. Little goes to south-east Asia now
that attempts by the Turkish plastics recyclers and I have no idea where the waste that has been
to show the economic damage being caused going to Turkey will go now.”™

P10 www. NEWSBASE .com Week 28 15•July•2021