LNG developers take on more risk with shift in financing conventions, Fitch says
As competition among LNG export developers becomes intense in the expanding world LNG market, projects in the U.S., Russia and Qatar will lead the small group that makes it to construction through 2020, according to a recent report from Fitch Solutions Macro Research. Out of the many LNG export projects proposed globally, more than 10 have reasonable prospects of reaching a final investment decision in 2019 or 2020, according to an October report by the research affiliate of Fitch Ratings, updating a 10-year forecast to 2028.
Alaska LNG impacts exaggerated, developer says as environmental groups dig in
The Alaska-run company that is developing a massive LNG terminal to export North Slope natural gas argued that federal regulators "overstated" many of the potential environmental impacts. Alaska LNG, which would be capable of exporting 20 million tonnes per annum of LNG, would involve a proposed 800-mile, 42-inch-diameter gas pipeline from the North Slope supporting an LNG export terminal on the Kenai Peninsula in southern Alaska.
Cheniere seeks to boost LNG production at Sabine Pass, Corpus Christi terminals
Cheniere Energy Inc. wants federal approval to increase LNG production capacity at its two export terminals, with the company saying it can boost production by a total of about 0.7 Bcf/d of gas without needing to build any facilities beyond the ones already authorized. Cheniere sought to increase the authorized LNG production capacity at Sabine Pass LNG by about 152.9 Bcf per year to about 1,661.9 Bcf per year. For Corpus Christi LNG, Cheniere asked FERC to approve an increase of 108.16 Bcf per year, pushing the authorized capacity up to 875.16 Bcf per year.
Kinder Morgan, EIG's $2B LNG export project in Georgia begins commercial service
Kinder Morgan Inc. and EIG Global Energy Partners LLC's Elba Liquefaction Co. LLC project announced Oct. 4 the start of commercial service of the first of its 10 liquefaction units, meaning the facility is able to produce and export LNG. The fully developed Elba liquefaction facility will have a total capacity of roughly 2.5 million tonnes per annum of LNG or about 350,000 Mcf/d.
Record US gas production to keep winter prices down, industry group outlook says
As record gas production keeps pace with historic demand, market dynamics may put continued downward pressure on gas prices this winter, according to the Natural Gas Supply Association. "The forecast for warmer weather and abundant supply ... should enable U.S. natural gas to stay even more affordable and reliable this winter while satisfying growing demand for cleaner-burning electricity, manufacturing and heating, here and around the world," said Orlando Alvarez, NGSA Chairman and head of BP's North American gas marketing and trading business.
Report: Exxon eyes Rovuma LNG final investment decision in 2020
Exxon Mobil Corp. aims to make a final investment decision on the $30 billion Rovuma liquefied natural gas project in Cabo Delgado, Mozambique, by 2020, Reuters reported Oct. 8, citing remarks made by Exxon head of power and gas marketing Peter Clarke at an event in Mozambique. The project, which will use resources from the Rovuma Basin's Area 4 block, is composed of two natural gas production trains with a total capacity of 15.2 million tonnes per annum.
