Cyprus has been racking up a string of giant gas discoveries, notably ExxonMobil’s Glaucus and Eni’s Calypso find. In total Wood Mackenzie estimates 11 trillion cubic feet (Tcf) of recoverable gas resource was recently discovered in Cypriot waters but analysts question whether all discoveries can be commercialized. Building a pipeline to Egypt, or an FLNG plant off Cyprus, are the most viable options.
BP, one of the world's seven oil and gas supermajors, is understood to have agreed to pay around $10 billion to the private firm of the Romanian businessman Frank Timis after having purchased his stake in a gas field off the coast of Senegal for $250 million in 2017. BBC reporters uncovered this suspicious deal, but both BP and Mr. Timis deny any wrong doing.
Siemens has won a contract from an U.S. shale gas producer to supply three electric-drive centrifugal Dresser-Rand DATUM compression trains for two 250 million standard cubic feet per day (mmscf/d) cryogenic gas plants in the Delaware Basin, part of the greater Permian Basin in West Texas. The equipment will be commissioned in the latter part of 2020.
MAN Energy Solutions has won the "Africa Europe Award 2019" for its efforts in promoting German-African economic relations and establishing a sustainable and efficient local power supply on the continent. By 2050, Africa will be home to 25% of the world's population, hence sustainable power supply is vital to reach global climate goals.
Bruno Le Maire, the French finance minister, has pledged he would fight to save jobs at GE Power sites throughout the country. The minister’s comments come in reaction to GE's announcement it is seeking ways to lay off more than 1,044 employees at its Belfort manufacturing plant in eastern France, near the border with Switzerland.
Blackstone affiliate Zarou Ltd as well as Edra Power Holdings of Malaysia have both expressed interest to purchase three Siemens-build combined-cycle gas power stations in Egypt with a total capacity of 14.4 GW. A sale of the plants would ease the debt burden of state-run Egyptian Electricity Holding Company (EEHC), which owns and operates the three CCGTs.
Despite significant progress in energy access, the world is falling short of meeting the global energy targets set in the United Nations Sustainable Development Goals (SDG) for 2030. The global electrification rate is now just over 89%, but the International Energy Agency (IEA) warns there is still a “dramatic lack of access to reliable, modern and sustainable energy in certain parts of the world, especially in sub-Saharan Africa.”
Spreads for arbitrage trading are narrowing between the Dutch TTF and the US Henry Hub as well as the TTF and the Japan Korea Marker (JKM), so Energy Aspects warns "any further tightening could close the arb windows and lock-in US supply.” The coal-to-gas switching level is seen at $3.70/mmbtu, or €11.1/MWh – below the breakeven to ship cargoes from the US to Europe at current freight rates.
Con Edison, the largest utility in the New York City area, has imposed a moratorium on new natural gas connections in most of Westchester County, claiming it it cannot guarantee uninterrupted service to new connections. Despite rising shale gas production in the Northeast, the rise in demand and infrastructure bottlenecks in the NYC area is now jeopardizing supply security.
Infigen Energy, an Australian listed renewable energy developer, has surprised market observers by announcing it will buy a 159 MW gas peaking power plant in New South Wales. The utility claims the Smithfield gas peaking plant will serve as a backstop, and allow it to invest in “up to 400 MW more cheap renewables.”
Japanese LNG imports notched up 0.3% in April, after dropping for five straight months over slowing demand for thermal energy as the restart of nuclear reactors progresses and coal outcompetes regasified LNG on price. Nine of Japan's 54 nuclear power stations were re-started last month, although only seven are currently operating.
Indian imports of LNG increased 9.75% in April, spurred by a drop in the costs of shipment and tepid demand from the power sector. Demand is bound to rise further if the Government will allow power plants running on regasified liquefied natural gas (RLNG) to sell electricity into the higher-priced spot market.
Russia’s Federal Agency for Mineral Resources has approved Gazprom’s latest gas discoveries on the Yamal Peninsular, the Dinkov and Nyarmeyskoye fields, containing over 500 Bcm of proven reserves combined. The finds underpin Gazprom’s plans to produce up 360 Bcm/y from its 32 fields in the region, with most of the volume designated for export through the Nord Stream pipeline.
Singapore’s big three banks – DBS Group Holdings (DBS), United Overseas Bank (UOB) and the Oversea-Chinese Banking Corporation (OCBC) have each announced they are ceasing financing for new coal-fired power plants. With this move, the banks accelerate the region’s fuel switch to natural gas. Echoing an initially largely European phenomenon, the latest Asian financial exodus highlights growing regional concerns with stranded coal power asset and air pollution.