Page 8 - GLNG Week 27 2021

GLNG AMERICAS GLNG

EIA: US LNG exports to

overtake piped gas shipments

PERFORMANCE THE US’ exports of liquefied natural gas (LNG)
are set to overtake piped gas shipments for the
first time this year on the back of expanding
domestic production and new liquefaction
capacity coming on stream.
US LNG exports are expected to average
9.6bn cubic feet (271.81mn cubic metres) per
day this year and 10.2 bcf (288.86 mcm) per day
in 2022, the Energy Information Administration
(EIA) said in its Short-Term Energy Outlook
(STEO) for July, which was published on July 7.
Piped gas imports, meanwhile, are projected
to climb to an average 9 bcf (254.88 mcm) per
day in 2021 and 9.2 bcf (260.54 mcm) per day
in 2022, up from 7.9 bcf (223.73 mcm) per day
in 2020.
Despite the expansion of the pipeline grid to Most of this year’s forecast decline in gas con-
transport gas both to and within Mexico, the EIA sumption was attributed to lower demand from the
said LNG exports were set to take over thanks gas-fired power sector, with weaker demand expected
to the gradual recovery in global LNG demand, to continue as a result of rising feedstock prices.
high winter demand from Asian buyers and US exports of LNG have reached record highs
anticipated global regasification capacity expan- in recent months, with the EIA noting that sales
sions in both existing and new markets over the had averaged 10.3 bcf (291.7 bcm) per day from
next two years. March through to the end of May. Those levels,
Underpinning this rise in sales will be an it said, were supported by high spot LNG prices
anticipated 1.3% year-on-year rise in the coun- in Asia and Europe and continued recovery in
try’s dry natural gas production in 2021 to aver- global demand levels.
age 92.6 bcf (2.62bn cubic metres) per day. At the While the EIA said that exports in June were
same time, the administration said it expected estimated to have declined to 9 bcf per day, it said
consumption to contract by 1.1% this year from that this was likely the result of both planned and
the 83.3 bcf (2.36 bcm) per day of production unplanned outages at several of the country’s liq-
recorded in 2020. uefaction facilities.™

Pieridae Energy considering

“new direction” for Goldboro LNG

PROJECTS & PIERIDAE Energy (Canada) said last week that for the terminal was not economical.
COMPANIES it was considering several options for the Gold- The statement did not identify any specific
boro LNG export terminal in Nova Scotia after problems with the design for Goldboro LNG.
failing to decide whether to proceed with the However, it quoted Pieridae’s CEO Alfred Soren-
project by the deadline of June 30. son as saying that the project faced too many
The Canadian company had originally hoped obstacles to continue unless major changes
to take a final investment decision (FID) on the could be made.
$10bn export terminal project in 2020. Instead, “While Pieridae has made tremendous pro-
it opted to push the target date for FID back gress in advancing the Goldboro LNG project, as
to mid-2021, citing the challenges raised by of June 30, 2021, we have not been able to meet
the coronavirus (COVID-19) pandemic. But all of the key conditions necessary to make a
according to a company statement dated July final investment decision ... [It] became appar-
2, it could not achieve this milestone because it ent that cost pressures and time constraints due
determined that the current version of the design to COVID-19 have made building the current

P8 www. NEWSBASE .com Week 27 09•July•2021