Page 15 - GLNG Week 27

GLNG NEWS IN BRIEF GLNG

enter service, utilisation of those plants has
collapsed from 85%-90% in 2019 to just 32%
so far this month as buyers cancel dozens of
cargoes.
Analysts at Simmons Energy, energy
specialists at U.S. investment bank Piper
Sandler, projected U.S. LNG utilisation will
hover between 60%-70% over the next several
years.
So far this month, only five vessels
picked up cargoes from the six U.S. LNG
export plants - two from Cheniere Energy
further expands Golar Power’s participation in said. Inc’s Sabine Pass in Louisiana, two from
the LNG chain. It is also a first step toward the The upgrade to the LNG plant is planned Cameron LNG’s plant in Louisiana and one
development of new domestic LNG sources in to begin within two years and it will include from Dominion Energy Inc’s Cove Point in
the Brazilian market. The combination of our a new storage tank and a marine jetty. The Maryland, according to Refinitiv.
strategically located import and regasification company says they don’t plan to expand No ships have visited Cheniere’s Corpus
terminals and extensive distribution network any further although the Richmond report Christi plant in Texas since June 29, Freeport
via the partnership with BR Distribuidora is states they are pursuing an environmental LNG in Texas since June 27 or Kinder Morgan
expected to place us in a unique position to assessment to access offshore markets by 2028. Inc’s Elba Island plant in Georgia since
reliably serve customers throughout Brazil. The report raises concerns about the January.
The economics of this business are solid and proposed volumes of LNG – this expansion The number of vessels carrying US LNG
represent a unique showcase for what could would allow for a capacity of 163,000 cubic peaked at 74 in January, according to federal
be replicated worldwide. With increasing metres of LNG, an increase of more than 50 data. But Refinitiv data said the number of
focus on CO2 emissions and carbon taxes, per cent from its current capacity. vessels carrying US LNG fell to 50 in May and
the opportunity to produce and distribute Bio Ian Finke, LNG operations director with a 16-month low of 31 in June.
Methane from landfills has the potential to be FortisBC, said the plan is to have one vessel
a significant global growth market in the years come to the jetty every five days, and the size
to come.” is limited to 100,000 cubic metres of LNG –
GOLAR POWER, July 06 2020 export ships usually carry 200,000 to 240,000
cubic metres of LNG, he added.
Latam gas demand drop
AMERICAS

Richmond Council voices AMERICAS weighs on LNG imports from
US
opposition to Canada’s Coronavirus demand A sharp drop in Latin American gas demand
Tilbury LNG expansion destruction cuts US LNG amid the coronavirus crisis this year reduced
imports of US LNG but paved the way for
Richmond city council in British Columbia exports to over 20-month supplies from alternative sources, Reuters
is taking a stand against the expansion of the reported.
Tilbury LNG plant, which is located across the low Latin American LNG imports this year
Fraser River in Delta. have dropped to 6.7mn tonnes, down almost
They voted 8-1 to send a clear message to Natural gas flows to US LNG export plants 38% from a year ago, with the region slashing
senior levels of government that the expansion plunged in July after falling to a 20-month low supplies from the United States by 30% to
isn’t welcome in their backyard, citing risks in June as coronavirus lockdowns cut global 2.9mn tonnes, Refinitiv data showed.
to the Fraser River, wildlife and air – a list of demand for the fuel. No Latin American country made the
concerns were compiled by Richmond city Before the pandemic slashed energy top 10 destinations for U.S. LNG in 2020. In
staff about the proposed expansion. demand, US producers counted on LNG previous years, countries from the region were
Harold Steves asked staff to add concerns exports to keep growing fast as an outlet for among top importers of U.S. cargoes.
around breaches at the plant – either by their record gas output, Reuters reported. “A strong drop in LNG imports into South
“terrorists” or “crackpots” – who might cause But after soaring 68% in 2019 and 53% in America this year is caused by the coronavirus
a large-scale explosion that could have an 2018, US LNG exports were only expected to and high hydro production that have reduced
impact on Richmond. rise about 7% in 2020. demand in power and transport sectors,” said
Kelly Greene noted the project is double Gas pipeline flows to US LNG export Ieda Gomes, senior visiting research fellow at
the size of Woodfibre LNG in Squamish, and plants dropped to an average of 3.1 bcf per the Oxford Institute for Energy Studies.
that the Society of International Gas Tanker day so far in July from a 20-month low of 4.1 Despite the drop, the United States has
and Terminal Operators recommends a bcf per day in June and a record high of 8.7 remained the biggest LNG supplier to Latin
3,500-metre hazard zone around the shipping bcf per day in February, according to Refinitiv America, followed by Trinidad, which has
route and terminal. data. exported 2.16mn tonnes this year, a 40% drop
“This is the wrong project for here,” she With U.S. LNG capacity rising as new units year-on-year.

Week 27 10•July•2020 www. NEWSBASE .com P15