Page 7 - GLNG Week 20 2022
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GLNG                                               ASIA                                               GLNG


       Venture Global announces offtake




       agreements with ExxonMobil, Petronas




        PROJECTS         US-BASED Venture Global LNG announced  facility began last year and it is expected to
                         this week that it had struck separate sale and pur-  be operational in 2024. An FID has not been
                         chase agreements (SPAs) with ExxonMobil LNG  announced yet, but Venture Global had said in
                         Asia Pacific and Malaysia’s Petronas.  March that it was coming “soon”. A Wood Mac-
                           Under the terms of two long-term deals with  kenzie analyst, Ben Chu, was cited by Reuters as
                         ExxonMobil, the super-major will purchase  saying the company had reached FID on Calca-
                         1mn tonnes per year of LNG from the proposed  sieu Pass when it had roughly the same share of
                         Plaquemines LNG export terminal and another  volumes contracted.
                         1mn tpy from the planned CP2 LNG project. No   The CP2 LNG terminal is expected to begin
                         pricing terms were disclosed, but S&P Global  construction adjacent to Calcasieu Pass in 2023,
                         reported this week, citing a Venture Global  with full commercial operations targeted for
                         spokesperson, that each of the SPAs has a dura-  mid-2026. Venture Global noted this week that
                         tion of 20 years. Both facilities will be located in  the SPA with ExxonMobil was the second supply
                         Louisiana, where Venture Global brought its first  deal for CP2.
                         terminal, Calcasieu Pass LNG, online earlier this   It is worth noting that ExxonMobil is also
                         year.                                partnering with QatarEnergy to construct the
                           The day after it announced the SPAs with  Golden Pass LNG export plant in Texas, which
                         ExxonMobil, Venture Global also said that it had  will begin operations in 2024 and have an esti-
                         struck a 20-year SPA with Petronas. Under that  mated capacity of 18mn tpy.
                         deal, Petronas will buy 1mn tpy of LNG from the   The latest deals come as spot prices in end-
                         Plaquemines facility. Venture Global noted that  user markets are twice as high as they were a year
                         with this deal, 16mn tpy of Plaquemines’ 20mn  ago, leading to a surge in commercial activity
                         tpy capacity was covered by 20-year SPAs.  relating to current and proposed US LNG export
                           Both Plaquemines and CP2 would replicate  facilities. Europe is racing to wean itself off Rus-
                         the modular design of Calcasieu Pass, which  sian gas and – as evidenced by Venture Global’s
                         began production just 29 months after reaching  latest SPAs – Asian buyers are also trying to lock
                         a financial investment decision (FID). However,  in long-term supplies to shield themselves from
                         both would be on a larger scale, with a capacity of  increased competition and future market vola-
                         20mn tpy at each terminal, compared with 10mn  tility. Under these circumstances, the prospects
                         tpy at Calcasieu Pass.               for several planned US liquefaction projects have
                           Early construction on the Plaquemines  improved considerably.™



       ‘World’s first’ modular LNG FSRU to be



       deployed in Senegal







        PROJECTS         KARMOL, a joint venture owned by Turkish   The M-FSRU will replace Senegal’s existing
                         power producer Karadeniz Energy Group and  floating power plant, which used oil. Its replace-
                         Japanese transport company Mitsui OSK Lines,  ment with an LNG unit is a significant step
                         has announced that the “world’s first” liquefied  for the country’s ambition to be a leader in the
                         natural gas (LNG) floating storage and regasifi-  energy transition.
                         cation unit (FSRU) is now ready for deployment   “This is a big moment for KARMOL and
                         in Senegal.                          for Africa. With the successful completion of
                           GAS Entec, a Korean company, converted a  the M-FSRU, Senegal will be the first country
                         125,000 cubic metre LNG carrier into a modular  in West Africa to transition to clean gas energy,
                         FSRU (M-FSRU), and will now be deployed as a  replacing high emission fuels with LNG,” stated
                         gas-to-power vessel for Senegal.     Gokhan Kocak, board member of KARMOL.
                           The converted carrier will connect to Kar-  KARMOL was founded in 2019 with the goal
                         powership’s 236-MW floating power plant, the  of becoming the world’s most reliable and prefer-
                         MV Karadeniz Powership Ayşegül Sultan, in  able LNG-to-power solution provider. ™
                         Port Dakar.



       Week 20   20•May•2022                    www. NEWSBASE .com                                              P7
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