China Aims to Boost Natural Gas Production
Following several years of natural gas consumption outpacing local production growth, China is introducing incentives to spur several forms of domestic production in hopes of reducing its reliance on imports.China’s natural gas imports, both by pipeline and as liquefied natural gas (LNG), accounted for nearly half (45%) of China’s natural gas supply in 2018, an increase from 15% in 2010, according to the U.S. Energy Information Administration (EIA).Recently, Chinese natural gas production has grown largely because of increased development in low-permeability formations in the form of tight gas…
CPIH, Equinor Team Up on Offshore Wind
Chinese power giant China Power International Holding (CPIH) and Norwegian energy firm Equinor have inked a memorandum of understanding (MoU) to cooperate on offshore wind projects off China and Europe.“China is rapidly increasing its use of renewables and natural gas. The country is set to become the world’s biggest offshore wind market by 2030. As an offshore wind major, Equinor is excited to collaborate with CPIH to develop offshore wind” says executive vice president New Energy Solutions, Pål Eitrheim.“CPIH…
Novatek Closes in on Arctic LNG 2
Russian natural gas producer Novatek said it had completed the sale of stakes in its Arctic LNG-2 project to two Chinese companies and a consortium of two Japanese companies.The second largest natural gas producer in Russia announced the closing of the sale of participation interests in Arctic LNG 2 Project to wholly owned subsidiary of China National Petroleum Corporation (CNPC), wholly owned subsidiary of CNOOC Ltd. (CNOOC), and the consortium of Mitsui & Co and Japan Oil, Gas and Metals National Corporation…
Mitsui, JOGMEC join Arctic LNG-2
Japanese trading house Mitsui & Co and state-owned Japan Oil, Gas and Metals National Corporation (JOGMEC) have signed a sales and purchase agreement with Russia’s Novatek for a 10% participation interest in the Arctic LNG 2 project.The share will be acquired through the Dutch Company, Japan Arctic LNG B.V., in which Mitsui has invested jointly with JOGMEC. The equity ratio of JOGMEC and Mitsui will be set at 75 percent and 25 percent respectively.The project will develop natural gas and liquefaction facilities…
Novatek Pact with Chinese Duo on Arctic LNG 2
Russia's second largest natural gas producer, Novatek has signed share purchase agreements with two Chinese oil giants for the sale of participation interest in the Arctic LNG 2 project.Novatek announced that it has signed the Share Purchase Agreement with China National Offshore Oil Corporation (CNOOC) in relation to the sale of a 10% participation interest in the Arctic LNG 2 project.The Agreement will close in the nearest future subject to approval by regulatory authorities of the Russian Federation and…
Natural Gas Consumption Up 10% in China
According to the preliminary estimate, the consumption of natural gas in China exceeded 27 million cubic meters in 2018, registering a YOY increase of more than 10%, said a report.The growing Chinese economy and stricter environmental protection policies drive the growth of natural gas consumption in China. In 2018, the Chinese government introduced several environmental protection policies to further prevent and control atmospheric pollution and replace coal with natural gas in key areas, which pushed up natural gas consumption in China.The market survey by ResearchAndMarkets shows that in 2018…
Novatek Sell 20% Stake in Arctic LNG 2 to China
Russian gas producer Novatek said on that it had signed agreements with two Chinese companies to sell a combined 20 percent stake in its new liquefied natural gas project, Arctic LNG 2.Under the agreement, the Chinese firms -CNOOC and CNODC - will become shareholders in the Arctic LNG project with 10 percent each. Novatek gave no financial details in a statement announcing the agreements.According to a press release, Novatek has signed a binding agreement to enter the Arctic LNG 2 project with China National Oil and Gas Exploration and Development Company Ltd (CNODC)…
Consortium Bags Commitments for Rovuma LNG Project
Area 4 co-venture participants -ExxonMobil, Eni, China National Petroleum Corporation (CNPC), Empresa Nacional de Hidrocarbonetos, Kogas and Galp - have secured liquefied natural gas (LNG) offtake commitments from affiliated buyer entities of the partnersA press release from ExxonMobil hailed this as a key milestone enabling the participants to rapidly move toward a final investment decision in 2019 on the first phase of the Rovuma LNG projectThose commitments are subject to the conclusion of fully-termed agreements…
Rovuma LNG Moves Toward FID in 2019
Partners in the Rovuma liquefied natural gas (LNG) project in Mozambique say they are moving “rapidly” toward a final investment decision (FID) for the first phase of the project in 2019 after securing LNG offtake commitments from buyers.The project will produce, liquefy and market natural gas from the Mamba fields located in the Area 4 block in the Rovuma Basin offshore Mozambique. Area 4 participants are ExxonMobil, Eni, China National Petroleum Corporation (CNPC), Empresa Nacional de Hidrocarbonetos, Kogas and Galp.In July 2018…
Russian Oil Firm Signs Initial Exploration Deal with South Sudan
Russia's Zarubezhneft has signed a memorandum of understanding with South Sudan to explore four oil blocks, South Sudan's petroleum minister said on Tuesday.The company was awaiting more information on the blocks from the Petroleum Ministry before starting exploration, Petroleum Minister Ezekiel Lol Gatkuoth told Reuters.Other foreign firms active in South Sudan's oil industry include China National Petroleum Corporation (CNPC), Malaysia's Petronas and India's Oil and Natural Gas Corporation (ONGC Videsh).The minister said the country's oil production had risen to 135,000 barrels per day (bpd) from 130,000 bpd in August.He said
Big Oil Pledges to Slash Potent Greenhouse Gas Emission
A group of the world's top oil and gas companies pledged on Monday to slash emissions of a potent greenhouse gas by a fifth by 2025 in an effort to battle climate change.The Oil and Gas Climate Initiative (OGCI), which U.S. giants Exxon Mobil and Chevron joined recently, committed to cutting methane emissions to an intensity of 0.25 percent of the group's total fossil fuel production, it said in a statement.Such a reduction would equate to 350,000 tonnes of methane annually. It compares with a baseline intensity of 0.32 percent in 2017…
Ice-Breaking LNG Carrier Vladimir Rusanov First Call at PetroChina LNG Jiangsu Terminal
Mitsui O.S.K. Lines (MOL) announced that the Ice-Breaking LNG Carrier "Vladimir Rusanov", which is jointly owned by MOL and China COSCO Shipping Corporation Limited for the Yamal LNG project, made its first call at PetroChina LNG Jiangsu Terminal in China on 17 July.A ceremony celebrating this milestone was held on 19 July.At the end of March 2018, the vessel started transportation services for LNG produced by the Yamal LNG plant at Sabetta port in Russia. For its latest voyage, the vessel departed from Sabetta port on 25 June…
Exxon Expands Mozambique LNG Project to Cut Costs
Exxon Mobil will expand its Rovuma liquefied natural gas (LNG) project in Mozambique by half to cut production costs as the partners prepare to book the plant's supply and formally tap lenders in September, the company told Reuters.The U.S. oil giant took charge of the East African LNG project's onshore operations following a $2.8 billion deal with Italy's Eni last year, adding to its suite of projects in Qatar, Papua New Guinea, Russia and the United States.It now aims to build the world's biggest liquefaction units…
Exxon's Rosneft JV LNG Project Proceeds - Despite Sanctions
Exxon Mobil is pushing ahead with efforts to develop its $15 billion Far East Liquefied Natural Gas (LNG) project with Russia's Rosneft despite being forced to exit some joint ventures due to Western sanctions. Two months ago Exxon invited companies including China National Petroleum Corporation's engineering arm to bid for construction contracts by October, sources with knowledge of the matter said. A final investment decision is due in 2019, they said. The project is being jointly developed with Rosneft…
Port Corpus Christi to benefit from LNG partnership with China
Port Corpus Christi officials are confident that the agreement signed between Cheniere Energy of Houston and China National Petroleum Corporation (CNPC) will bring increased traffic to the port, according to the San Antonio Business Journal. Officials from Cheniere accompanies President Trump on his tour to China and signed a Memorandum of Understanding with the Chinese company. CNPC is the largest gas and oil supplier and producer in China and is also one of the largest providers of oilfied services. The company also has interests in petroleum production…
Eni Inks Cooperation Deal with CNPC
Eni signed a cooperation agreement with China National Petroleum Corporation (CNPC) on Wednesday in a move that could give the Italian oil major greater access to the Chinese market. Eni said in a statement it had agreed to work with state-owned CNPC in the fields of exploration and production, liquefied natural gas (LNG), trading and refining-petrochemicals. The deal will cover operations in China and abroad, it said, without giving further details. "It could allow Eni to tap Chinese resources while allowing CNPC to use Eni skills to develop its assets round the world…
Oil Edges Up as U.S. Stocks Fall
U.S. crude oil inventories drop 9.2 mln barrels - API. Oil prices edged up on Wednesday, lifted by declining U.S. crude inventories, although markets were still restrained by excess supply. Market focus was turning to the release of official U.S. Energy Information Administration data later on Wednesday for a further update on inventories. Brent crude futures were at $51.14 per barrel at 1010 GMT, up 34 cents, or 0.66 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $47.82 a barrel, up 27 cents, or 0.56 percent. U.S. crude inventories fell by 9.2 million barrels in the week to Aug.
South Sudan Rebels Free Three Oil Workers
South Sudanese rebels said on Thursday they had freed three oil workers from Pakistan and India that their fighters had seized earlier this month. The three were released on the orders of the rebels' leader, former vice president Riek Machar, his SPLA-IO group said. The Pakistani national worked for DAR, a consortium including China National Petroleum Corporation (CNPC), China's Sinopec and Malaysia's Petronas, in Upper Nile state. The two Indians working for South Sudan's petroleum ministry were kidnapped in northeast Maiwut county.
South Sudan Rebels Seize Oil Workers, Demand Firm's Exit
South Sudanese rebels said on Monday they had kidnapped four oil workers including a Pakistani national, in a bid to force their Chinese and Malaysian consortium to leave the country. The fighters loyal to former vice president Riek Machar said they had seized the four working for DAR Petroleum Operating Company from Upper Nile State on Saturday - the second group of oil workers abducted this month. There was no immediate comment from DAR, a consortium including China National Petroleum Corporation (CNPC), China's Sinopec and Malaysia's Petronas.
China's Thirst for Crude continues, Although More Slowly: Russell
There is little doubt China's crude oil imports enjoyed a robust 2016, hitting a record high. The question is how long the party can continue? Customs data released on Jan. 13 showed Chinese imports of crude reached 36.38 million tonnes in December, or 8.57 million barrels per day (bpd), the most in a month and well above the previous mark of 8.04 million bpd set in September. For the year crude imports were 13.6 percent higher at about 7.6 million bpd. In volume terms this represents a gain of about 912,000 bpd, showing that China is still by a large margin the major driver of global growth in crude oil demand.
