Wave of New LNG Export Plants Threatens to Knock Gas Prices
A flood of liquefied natural gas (LNG) export projects due online worldwide in mid-decade will vie against lower-cost renewable energy and a revived nuclear power sector, which could rock gas prices and hurt some proposed projects, analysts say.Proposed and approved new LNG plants would boost LNG supply by 67% increase to 636 million tonnes per annum (mtpa) by 2030 from 2021 levels, potentially saturating the gas market."There's over a trillion dollars of natural gas infrastructure being built in the world today.
Statoil, Partners to Boost Capacity at Troll Field
Aker Solutions awarded contract to boost output capacity; Troll is Norway's largest gas field. Norway's Statoil and partners are working to increase the output capacity of Troll, the country's largest gas field, a move traders say would enable the firms to produce more flexibly and cover production shortages at other fields due to outages. The Troll field accounts for 40 percent of Norway's gas resources and is a crucial energy source for many European states. Operator Statoil has awarded a front-end engineering…
Poland Halts Yamal Pipeline Gas Deliveries
Poland's state gas pipeline operator Gaz-System said on Wednesday the country has stopped taking in gas deliveries via the Yamal pipeline due to poor quality of gas and currently plans to maintain limits on gas transit until June 23. "Due to the poor quality of the natural gas, Gaz-System cannot receive gas deliveries for the domestic transit system at the joint connection point (PWP) on the Yamal pipeline," Gaz-System said in a statement. "Limits on the transit capacity ... are planned to be maintained until June 23, 0600 (local Polish time)".
Snam Lifts Spending to Boost Profit
Italian gas company Snam expects to grow net profit by 4 percent each year over the next five years, boosted by cost savings and increased investment in its latest plan. Europe's biggest gas pipeline operator said it would spend five billion euros ($5.30 billion) in the period to 2021, nearly all to upgrade its domestic grid and improve connections with Europe, including the Trans Adriatic Pipeline bringing Azeri gas to Italy in 2020. Snam, which makes most of its revenue from gas transport, is looking to play a leading role in integrating Europe's grids and making Italy a European gas hub.
Czech Energy Group EPH Profit Drops Despite Higher Sales
Acquisitive Czech power group EPH, one of central Europe's biggest energy firms, saw its profit slip in the first half of the year despite increasing sales. EPH has been snapping up coal, gas and nuclear power assets in recent years, betting they will remain strong energy sources and pay off once electricity prices rise from lows. It bought Vattenfall's lignite plants in Germany this year and sold a 30 percent stake in its EP Infrastructure unit to a group of investors led by Macquarie Infrastructure and Real Assets.
Sempra-Techint Offer Best Bid on Odebrecht pipeline, Peru
A consortium formed by Sempra Energy and Techint Group offered the best bid to Odebrecht for acquiring its majority stake in a $5 billion natural gas pipeline project in Peru, a source with knowledge of the negotiations said Friday. Brazilian engineering group Odebrecht SA is ensnared in a corruption scandal in Brazil and is pulling out of Peru, including natural gas pipeline operator Gasoducto Sur Peruano GSP SA, to raise cash and repay debts. The source, who spoke on condition of anonymity, said that a proposal…
Czech Industry Minister Hopes to Save Poland Pipeline Project
The Czech government will talk with Poland in an effort to avoid scrapping a gas pipeline meant to connect the Czech system to a Polish LNG terminal and raise supply security, Czech Industry Minister Jan Mladek said on Thursday. The planned Stork II pipeline, backed by 62.7 million euros ($69.7 million) in European Union funding, came into question when a Czech daily reported on Thursday that the Polish side may delay or back off the project. "Some ideas that Stork is no longer such a priority emerged on the Polish side, but as I understand it, that is not the official position yet. It is an internal Polish debate," Mladek told Reuters.
Poland says Gazprom Supplies Back to Normal
Poland's gas pipeline operator Gaz-System said on Saturday gas flows from Russia's Gazprom via Ukraine dropped 20 percent between Thursday and Friday, but supplies were now back to normal. Gaz-System spokesman Tomasz Pietrasienski told Reuters the operator had not received any explanation from Gazprom, and that its Ukrainian counterpart Ukrtransgaz hadn't either. Gazprom was not immediately available for comment. "Because of low gas demand this time of the year, the possibility of reducing gas flows to storage and of using other supply routes…
Eustream, Gaz-System Prepare Open Season for Slovak-Polish Gas Link
Slovak gas pipeline operator Eustream and Polish group Gaz-System aim to launch an open season procedure for a planned link between the two countries in late July or the beginning of August, Eustream said on Thursday. The gas link is part of the European Union's push to diversify energy sources and routes, and it will allow Slovak firms access to a new LNG terminal in Poland. (Reporting by Robert Muller)
Czech Energy Group EPH to Float Stake in Infrastructure Unit
Czech energy company EPH is planning to sell a minority stake in its newly-created EP Infrastructure (EPIF) business on the stock market by the end of June, the company said on Tuesday. EPH has grown via acquisitions in recent years into one of central Europe's largest power companies and announced plans last year to hive off its infrastructure businesses with the intention of floating shares or selling a stake to an investor. EPIF will house EPH's assets in gas transmission, gas and power distribution, heating distribution and gas storage.
TransCanada to buy Columbia Pipeline Group
TransCanada Corp, the company behind the controversial Keystone XL oil pipeline project, said it had agreed to buy U.S. natural gas pipeline operator Columbia Pipeline Group Inc in a deal valued at $13 billion. TransCanada will offer $25.50 per share in cash for each Columbia Pipeline share, a 8.5 percent premium to the stock's Thursday close. Reporting by Swetha Gopinath
Pampa Energia Mulls Bond for Petrobras Unit
Argentine power company Pampa Energia could emerge soon with a bond deal to help fund the acquisition of assets from Brazilian oil company Petrobras, a Pampa official told IFR. Pampa won the right in last week to negotiate exclusively for up to 60 days to purchase a 67.2% stake in Petrobras Argentina, whose total market capitalization is around US$1.3bn. The company could finance the deal with a combination of cash of hand, proceeds from the sale of its stake in gas pipeline operator TGS and a bond sale, Pampa's head of investor relations Lida Wang said. "We are already doing all the preparation for a shelf filing," Wang said.
Investors Line Up for OMV's Gas Grid Gas Connect Austria
Gas Connect Austria, the pipeline unit of Austrian energy group OMV, has drawn interest from several parties ahead of an auction that could value the asset at up to 750 million euros ($845 million), three people familiar with the deal said. The sales process, which the sources said was organised by Citi, is expected to start in March and comes after OMV in October said interest for the up to 49 percent stake in the unit was "strong", adding it expected a deal this year. Parties expected to participate in the auction include a consortium of German insurer Allianz and Borealis Infrastructure, which is part of Canadian pension fund OMERS.
Snam Considers 20 pct Stake in TAP Pipeline
Italian gas infrastructure company Snam could take a stake of up to 20 percent in the project to build the Trans Adriatic Pipeline (TAP) that will carry gas from Azerbaijan to Europe, its chief executive said on Thursday. CEO Carlo Malacarne said that as gas buyers are signing binding, long-term ship-or-pay contracts for the Azeri gas, the transmission revenue is guaranteed, which opens the way for regulated infrastructure players like Snam to enter the project. "We are ready to evaluate buying up to 20 percent of the project," Malacarne told Reuters at the Paris World Gas Conference. percent) and Swiss company Axpo (5 percent).
Slovak Pipeline Says Demand High for Capacity to Ship Gas to Ukraine
Slovak gas pipeline operator Eustream has sold additional capacity in a pipeline carrying supplies to Ukraine through the end of 2016, bringing total capacity to 14.6 billion cubic metres per year, it said on Thursday. Eustream, which began so-called reverse flows from the west to Ukraine in September, also said demand was high for extra capacity in the pipeline. (Reporting by Michael Kahn,; Editing by Jan Lopatka)
Hungary PM, Reeling From Pipeline Set-back, Blames Brussels
Hungarian Prime Minister Viktor Orban accused Brussels on Friday of sabotaging the Russian-backed South Stream gas pipeline project, which was scrapped this week in a setback to his strategy of closer ties with the Kremlin. Orban has tried to secure supplies of energy and trade for Hungary by doing deals with Moscow, but that drew criticism from Western governments which say he should not be cosying up to Russia when it has sent troops into Ukraine. Moscow's decision to cancel South Stream - which would have shipped Russian gas under the Black Sea and then north through central Europe - is a loss of face for Orban…
Flows of Slovak Gas to Ukraine to Rise
Ukraine will import 40 million cubic metres of gas per day from Slovakia from Dec. 15, up from the current 31 million cubic metres, a spokesman for Ukraine's gas transport monopoly Ukrtransgaz said on Wednesday. The rise in Slovak flows was due to an upgrade in its gas facilities, the spokesman said. Slovak gas pipeline operator Eustream confirmed they would pump more gas to Ukraine, but gave no figure. Reporting by Pavel Polityuk
Eustream Says Ready to Begin Testing Gas Link to Hungary
Slovak gas pipeline operator Eustream said on Monday it was ready to begin testing a new Slovakia-Hungary link. The two countries' pipeline operators announced this month the start of the open season for capacity on the interconnector, with bids due Dec. 15. The gas link should start full operations on Jan. 1. (Reporting by Jason Hovet; editing by Jason Neely)
Eustream Offers Capacities to Test New Gas Pipeline Link
Slovak gas pipeline operator Eustream is offering capacities for a test period in December on a new link to Hungary aimed at helping to improve the region's ability to broaden supply sources, the pipeline operator said on Friday. Eustream said the test period would last from December 1 to December 31 and that along with the Hungarian pipeline operator it would offer capacities on an interruptible basis on the interconnector between the two countries. Eustream said the capacity toward Hungary was 56,600.00 MWh per day and from Hungary 22,600.00 MWh per day. (Reporting by Michael Kahn,; Editing by Jan Lopatka)
Slovak Gas Pipeline Offers More Capacity for Shipments to Ukraine
Slovak gas pipeline operator Eustream said on Tuesday it would offer additional capacity in its new link allowing shipments from the European Union to Ukraine, raising possible deliveries by about 17 percent. Eustream said it was launching "open season" bidding process for capacity of 4.5 million cubic metres per day, in addition to about 27 mcm -- which amounts to about 10 bcm per year -- available since the pipeline was opened in September. "Eustream provides additional pipeline capacity of 4.5 million cubic meters per day (46,800 MWh) in response to technical measures taken at the Ukrainian side," the company said in a statement.
