Page 10 - GLNG Week 28

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nEWs in bRiEf
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Platts launches eWindow
S&P Global Platts, the leading independent provider of information and benchmark prices for the commodities and energy markets, and Intercontinental Exchange, Inc. (ICE), a leading operator of global exchanges and clearing houses and provider of data
and listings services, extend their technology partnership to bring the Platts Editorial window (ewindow)® communication tool to the LNG trading community. e partnership delivers a best-in-class solution for the fast growing LNG market that leverages the two rms’ market leading capabilities across commodity pricing and technology.
ewindow is an online data-entry and communications tool that allows market participants in the Platts Markets On
Close (MOC) price assessment process to communicate bids, o ers and transactions directly to Platts editors and the marketplace simultaneously. Its grid-like screen o ers
an easy, at-a-glance view and allows market participants to instantly respond to the bids and o ers submitted.
ewindow is already widely adopted
to power the MOC process for key oil benchmarks and now will be accessible
for Platts LNG price assessments, such as Platts JKMTM, the benchmark price for LNG delivered into Northeast Asia.
ICE is the broadest range of natural gas benchmarks, hosting UK NBP, TTF natural gas, Henry Hub and JKM LNG (Platts), allowing market participants to hedge their price risk via futures and options for the major gas hubs globally.
ICE JKM LNG (Platts) futures and options contracts are increasingly being used as
the benchmark contract for LNG in Asia
and continue to break new trading records
as one of the fastest growing natural gas benchmarks and the most liquid Asian natural gas benchmark. ICE JKM LNG (Platts) hit
a record 44,394 lots for futures and options combined in June and reached a new open interest record of 52,080 lots, at the end of June. As LNG markets continue to liberalize and new types of price agreements emerge between buyers and sellers of LNG, a range of hedging products are critical to allow
the market to hedge risk and manage price exposure.
Platts, july 11, 2019
amERiCas
FortisBC secures first
export contract for Tilbury
LNG facility
FortisBC announced today that it has
entered into its rst term supply agreement
to produce lique ed natural gas (LNG)
for Top Speed Energy Corp. to export to China. is term supply agreement is an unprecedented development in Canada’s LNG export industry and was made possible by the completion of the Tilbury LNG expansion project in Delta, B.C. earlier this year.
e two-year agreement will see
53,000 tonnes of LNG a year or about 60 ISO containers (standard-sized shipping containers) a week shipped from Tilbury to China by the summer of 2021. e volume of LNG to be exported is equivalent to the
volume necessary to heat more than 30,000 average B.C. households for a year.
“ is is the rst agreement of its kind that will see Canadian LNG shipped regularly to China,” said FortisBC vice-president of market development and external relations, Douglas Stout. “ ere is strong demand for Canadian LNG in China and this is an exciting time to be working in the industry here in B.C.”
In 2017, FortisBC became the rst company in Canada to supply LNG for export to China. Since then FortisBC has been supplying LNG to customers for export to China on a spot basis. with the expansion project adding LNG production capacity
of 250,000 tonnes per year and additional storage capacity of 46,000 cubic metres, Tilbury is leading Canada’s export industry into uncharted territory.
Tilbury’s new expansion facility is designed to be one of the cleanest LNG facilities in
the world. is agreement would reduce between 90,000 and 180,000 tonnes of GHG emissions annually, according to a lifecycle greenhouse gas (GHG) emissions tool developed speci cally for Tilbury. is is the GHG emissions equivalent of removing every passenger-sized diesel truck in B.C. LNG plays an important role for Canada both as an attainable way to reduce GHG emissions, and as an economic opportunity.
foRtisbC, july 16, 2019
Total, Tellurian finalise
Driftwood equity
investment
Tellurian announced today that it has entered into de nitive agreements with
Total Delaware, Inc. (Total) and Total Gas
& Power North America, Inc. (Total Gas & Power), subsidiaries of Total S.A., for Total Gas & Power to purchase one million tonnes per annum (mtpa) of lique ed natural gas (LNG) from the Dri wood LNG terminal (Dri wood) and for Total to invest $500 million in Dri wood Holdings LP. In addition, Tellurian and Total Gas & Power entered into a de nitive sales and purchase agreement for an additional 1.5 mtpa of LNG from Tellurian’s LNG o ake volumes from Dri wood. e SPA is for the purchase of LNG free on board at a price based on the Platts Japan Korea Marker. e de nitive agreements are consistent with the terms contemplated by the Heads of Agreement announced on April 3, 2019, and are subject to certain closing conditions, including the nal investment decision (FID) to construct Dri wood.
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Week 28 17•July•2019