Page 10 - GLNG Week 17

GLNG ASIA GLNG
six LNG cargoes – totalling 370,000 tonnes – from the spot market for arrival this year. Chansin said PTT’s four LNG shipments cost an average US$3 per mmBtu ($82.98 per 1,000 cubic metres) and that the first shipment had already arrived at Map Ta Phut.
Sontijirawong told The Bangkok Post that lower-cost gas could help the government save on power generation subsidies, which could amount to THB70bn ($2.16bn) this year. Gas accounts for 60% of the country’s power generation.
“We are looking at whatever we can do to trim down generation costs because the relief meas- ures for power bills come at a high cost,” Sonti- jirawong said, adding that spot LNG prices had become cheaper than Gulf of Thailand gas.
An unnamed industry source told the paper that, depending upon spot prices, this volume of imports could save THB4bn ($123.5mn) in power generation costs.
The minister, however, said he needed to speak to other policymakers before either com- pany increased their imports.
PTT granted EGAT access to 1.5mn tonnes per year (tpy) of capacity at the Map Ta Phut ter- minal, in Rayong Province, in 2019. This was the first phase of the country’s liberalisation of the
gas import market, which has been dominated by PTT since it opened the terminal in 2011.
EGAT has received the first of its two ship- ments of 65,000 tonnes, with the second report- edly en route to Map Ta Phut facility. The utility said last year that the first was due to arrive in December 2019, with the second to follow in April 2020. PTT, meanwhile, is also understood to have received the first of four cargoes, with the remaining shipments to land between May and June.
The paper’s unnamed source said the Energy Regulatory Commission (ERC) believes Thai- land can import 660,000 tonnes of spot LNG without affecting other contracted supplies.™
AUSTRALASIA
Australian regulator approves Ichthys LNG subsea work
PROJECTS & COMPANIES
AUSTRALIA’S National Offshore Petroleum Safety and Environmental Management Author- ity (NOPSEMA) has approved Inpex’s plan for subsea modifications related to the Ichthys LNG project.
Under Japan-based Inpex’s plan, which was submitted for regulatory approval last month, new infrastructure will be built to connect roughly 15 new wells in the offshore Browse Basin to the liquefaction terminal. The subsea production system will be expanded through the addition of a new gathering system, as well as infrastructure to connect the new wells to the existing gathering system.
The scope of works approved includes the installation, mechanical completion, pre-com- missioning and commissioning of umbilicals, risers and flowlines (URF), as well as the connec- tion of this infrastructure to the project’s existing subsea and offshore facilities.
The new infrastructure will be installed in petroleum production licence WA-50-L, which is located roughly 230 km north-west of the
Kimberley coastline, over a period of five years. Work is anticipated to begin in the first quarter of 2021, though the timing could be affected by approvals, vessel availability, operational effi- ciencies and weather conditions.
There may also be delays to the project timeline, after Inpex said last month that it was reviewing its investment plans in order to min- imise the impact of the oil price collapse and coronavirus (COVID-19) pandemic. The com- pany has not yet provided further details on how it will proceed with its investment plans. A hand- ful of other companies that operate LNG export terminals in Australia have announced delays to final investment decisions (FIDs) on expansion phases at their projects, however.
Ichthys LNG currently has the capacity to produce 8.9mn tonnes per year (tpy) of LNG from two liquefaction trains, as well as 100,000 barrels per day (bpd) of condensate and 1.65mn tpy of liquefied petroleum gas (LPG).
Roughly 70% of the LNG produced at the facility is set to be sold to Japanese customers.™
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w w w . N E W S B A S E . c o m Week 17 30•April•2020