Page 12 - LatAmOil Week 40

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Work on Nord Stream 2, which will carry up projects with a combined capacity of up to 108.5
to 55bn cubic metres per year of Russian gas to GW, the first of which is anticipated to enter ser-
northern Germany, was halted in December vice by 2023.
2019 after the US imposed sanctions on the The ExxonMobil project would begin gener-
project. This forced Swiss contractor Allseas to ating power by 2026-27, with an initial capacity
abandon pipelaying, leaving just 6% of Nord of 2.25 GW that would be expanded to 4.5 GW
Stream 2’s offshore section uncompleted. by 2029-30. The Vietnamese government said
The Russian authorities have said they will earlier this year that LNG for the project could
use their own pipelaying ships to finish the job, be imported from the US.
although they have not identified specific vessels. Indeed, ExxonMobil is currently building the
Cherskiy’s departure from Mukran comes Golden Pass LNG terminal on the US Gulf Coast
after the Danish Energy Agency (DEA) on Octo- in partnership with Qatar Petroleum (QP).
ber 1 issued a permit to the Gazprom-owned The developer of the other project that was
Nord Stream 2 company to operate the pipeline. approved last week has not been identified. The
The DEA awarded a construction permit around Haiphong committee said, however, that the
a year ago, after a lengthy delay. project would have a capacity of 1.6 GW, and that
Russian oil and condensate production its first phase would be operational from 2025.
was up 0.6% month on month in September at The entire project is then due to be in service A growing
9.93mn barrels per day (bpd), preliminary data from 2028. number of Asian
from the country’s energy ministry shows. Rus-
sia’s compliance with its OPEC+ quota is difficult If you’d like to read more about the key events shap- countries are
to determine, as that quota only covers oil, but ing the global LNG sector then please click here for
the ministry does not provide a breakdown for NewsBase’s GLNG Monitor . building new LNG
crude and condensate.
Between August and year-end, though, Rus- Latin America: Golar stumbles in Brazil import capacity
sia is required to produce no more than 8.993mn Bermuda-registered Golar Power is already a in order to meet
bpd of oil. Gas extraction was up 7.9% m/m in player in Brazil’s LNG sector, and it has been
September, and condensate flow typically rises trying to expand its footprint in that country by rising demand for
and falls depending on output levels. bidding for the right to operate an underutilised
LNG import terminal in Bahia State. natural gas
If you’d like to read more about the key events shaping But the company’s ambitions appear to have
the former Soviet Union’s oil and gas sector then please been thwarted by reports of CEO Eduardo
click here for NewsBase’s FSU Monitor. Antonello’s involvement in bribery charges.
Petrobras, the national oil company (NOC) of
LNG: Haiphong project approved Brazil, has declined to accept Golar’s offer to
Authorities representing the Vietnamese port lease the Bahia LNG terminal, citing concerns
city of Haiphong have approved an LNG import about excessive risk.
terminal that has been proposed by ExxonMobil This move raises questions about Petrobras’
to serve as part of a $5.1bn gas-to-power project. plans for the facility, as Golar has been the only
On the same day, the Haiphong People’s Com- company to submit a binding offer for the lease
mittee also gave the green light to another LNG- contract. The NOC has revealed that Compass
to-power project that is estimated to carry a price Gas e Energia, a local firm, declined to bid.
tag of $1.9bn. In other news, Brazilian officials are reported
The approvals come as a growing number of to be in talks with Argentina on a gas import
Asian countries are building new LNG import deal. The two sides are discussing proposals for
capacity in order to meet rising demand for nat- the construction of a $1.2bn pipeline that would
ural gas and lessen their dependence on more pump gas from unconventional fields in Argen-
polluting fuel such as coal. Indeed, the Institute tina’s Vaca Muerta formation to southern Brazil.
of Energy of Vietnam is in the process of draft- Elsewhere in South America, ExxonMobil is
ing a new master power development plan. It has pushing forward with work at the Stabroek block
compiled a list of 22 potential LNG-to-power offshore Guyana.

P12 www. NEWSBASE .com Week 40 08•October•2020