October 2019 export figures show Europe continued to absorb US LNG
Exports of U.S. LNG cargoes to Europe remained strong in October 2019 as LNG producers continued to rely on the region to play a key role in balancing the global LNG market. The combined Europe and Central Asia region, which includes Turkey, was the destination for about 42% of the 177.8 Bcf of LNG volumes exported from the U.S. in October 2019, according to the most recent figures from the U.S. Department of Energy.
Updated greenhouse gas emissions study supports LNG exports, US DOE says
An update to a DOE study of greenhouse gas emissions associated with U.S. LNG exports still supports shipping natural gas to world markets. The DOE has used the study to help determine whether granting licenses for LNG export activity is in the public interest. The DOE approved a series of such applications in 2019 under an administration that has promoted LNG exports as beneficial to the environment and to the U.S. economy.
Analysts: Oil, LNG exports to China have to skyrocket for trade goals to be hit
Initial estimates by energy and trade analysts indicate that energy exports to China would have to grow exponentially if U.S. export sales are to hit the target of $200 billion by 2021, announced in December as phase one of a new trade deal between the U.S. and China. Most U.S. LNG exports are contracted through long-term agreements with a diverse set of customers all over the world, making the prospect of routing all U.S. shipments to China unlikely.
Calif. regulators fear Ariz. pipe project could harm constrained SoCalGas market
California regulators filed a protest notice against North Baja Pipeline LLC, a TC Energy Corp. project that would add compression in La Paz County, Ariz., to send gas to an LNG export terminal planned for Mexico's Pacific Coast. According to North Baja's application, the project comes as LNG import demand has diminished, and north-to-south flows now predominate.
TC Energy delays plan to return workers to disputed Coastal GasLink site
TC Energy will delay restarting construction on a section of its C$6.6 billion Coastal Gaslink Pipeline Ltd. project pending negotiations with First Nations groups that issued an eviction notice to workers at the site. The company said Jan. 7 that it wrote a letter to a hereditary chief of the Wet'suwet'en First Nation requesting a meeting to discuss the circumstances that led to the termination of an access agreement with a subgroup of the Wet'suwet'en and the subsequent eviction order.
Russia gas strategy prioritizes LNG with a more modest role for Gazprom
The natural gas policies of Russian President Vladimir Putin have suggested that the country will increasingly focus on competing for world LNG market share, especially in Asian markets, and that the energy giant PJSC Gazprom will play a smaller role in Russia's gas strategy, a leading expert on Russian energy said Jan. 8. "As far as Putin is concerned, LNG is the future," Thane Gustafson, a senior director at IHS Markit and professor at Georgetown University, said. "He is pushing it as Russia's top gas priority, even if that means shutting out Gazprom in the process."
LNG exports creating 'real opportunity' for Gulf Coast gas storage, exec says
The amount of LNG being delivered to the Gulf Coast for export could allow natural gas storage companies in the region to develop their own market storage model, the president of storage and fuels for Southern Co. Gas said Jan. 7. "LNG and petrochemical development in the Gulf Coast has created huge new markets with critical balancing needs," Tim Hermann said.