Early Japanese nuclear restarts to trim fuel demand
The scheduled return of two Japanese nuclear reactors a month earlier than previously planned has eased the winter demand outlook for coal and gas.
Japanese utility Kyushu plans to resume generation at its 890MW Sendai 1 and 2 reactors on 26 November and 26 December, respectively, which would be exactly one month sooner than previously scheduled, the company said today.
This will ease the southern region's reliance on coal and gas compared with previous expectations. The 890MW increase in availability for December and January is the equivalent of 226,000 t/month less NAR 6,000 kcal/kg coal burn at 42pc efficiency, or 73,000 t/month less LNG consumption at 60pc efficiency.
Coal and gas accounted for 30pc (2.1GW) and 11pc (760MW) shares of Kyushu's winter power generation in 2019-20, according to government data, which suggests coal may be hit hardest by the earlier restarts.
The utility consumed 3.8mn t of coal and 510,000t of LNG in the fourth quarter of 2019 and the first quarter of 2020, according to company figures.
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Australia’s Tamboran agrees NT gas sales deal
Australia’s Tamboran agrees NT gas sales deal
Sydney, 23 April (Argus) — Australian independent Tamboran Resources has signed a long-term gas sales agreement with the Northern Territory (NT) government for supplies from the Beetaloo joint venture's (BJV) proposed Shenandoah South pilot project. The binding deal for 40 TJ/d (1.07mn m³/d) on a take-or-pay basis from Shenandoah South in the onshore Beetaloo sub-basin of the NT equates to a total 131.4PJ (3.5bn m³) and begins in January-June 2026, running for nine years with an option to extend 6½ further years to 2042, Tamboran said on 23 April. This represent about two-thirds of the NT's present gas requirements and is conditional on the BJV entering a binding transportation agreement with pipeline operator APA for the planned 35km Sturt Plateau Pipeline , as well as reaching a final investment decision (FID) for Shenandoah South. Tamboran has a working interest of 47.5pc in Shenandoah South, which is aiming for a FID mid-year, following Canadian independent Falcon Oil and Gas' decision to reduce its participation from 22.5pc to 5pc in March to reduce its cost exposure to the project. BJV is operated by Tamboran, which holds a 50:50 interest in the Tamboran B2 joint venture with privately-held Daly Waters Energy controlled by US billionaire Bryan Sheffield. The BJV also holds a 10-year, 36.5 PJ offtake deal with Australian utility Origin Energy signed in 2022. The NT is dependent on gas-fired power generation. Continuing supply problems at Italian oil firm Eni's offshore Blacktip field has it currently sourcing gas from Australian independent Santos' depleting Bayu-Undan field in the Timor Sea and the onshore Mereenie joint venture . Tamboran is aiming in the long term to develop its proposed 6.6mn t/yr Northern Territory LNG project , for which it is aiming to complete initial engineering this year. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Colombia's electricity woes add to unrest against Petro
Colombia's electricity woes add to unrest against Petro
Bogota, 22 April (Argus) — Colombians took the streets of major cities and towns across the nation on Sunday to protest mainly against health, pension and labor changes, but potential power outages are also creating discontent. Authorities estimated that about 250,000 Colombians marched in widespread protests, sparked by changes in healthcare. Congress in April had rejected President Gustavo Petro's proposals in the sector, and the government the next day seized the two largest private-sector health insurers. Protesting healthcare workers say the government did this to implement changes through a back channel. "Regulatory noise and risk are likely to remain high amid announcements, proposals, and measures [that do not require congressional approval], aimed at changing the game's rules in strategic sectors," brokerage Credicorp Capital said. Colombians also protested being on the verge of electricity rationing like that in neighboring Ecuador as hydroelectric reservoirs remain at record-low levels. Several unions and other associations have long warned the Petro administration to take measures to offset the effects of the El Nino weather phenomenon. Electricity distributors last year called for allowing bills for energy purchased on the spot market to be deferred and for loosening price index rules, among other proposals. The national business council sent at least three letters to the president on the issue. At least nine separate letters calling for preparation to prevent blackouts were sent to the president and ministers. Several actions were only recently implemented . "There are no risk of electricity rationing in Colombia," former energy minister Irene Velez said in 2023. "We do not understand why some people are interested in generating panic." Government weather forecasts also overestimated rainfall expected for March, leading hydroelectric plants to use more water in the reservoirs than they otherwise would have, said director of the thermoelectric generation association (Andeg) Alejandro Castaneda. Reservoir levels stood at 29.5pc today, rising thanks to rains since 19 April, up from 28.75pc on 18 April. Electricity rationing is set to begin when reservoirs drop below 27pc, according to grid operator XM. By Diana Delgado Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Baltimore opens third temporary shipping channel
Baltimore opens third temporary shipping channel
New York, 22 April (Argus) — A third temporary shipping channel has opened at the Port of Baltimore to allow more vessel traffic around the collapsed Francis Scott Key Bridge. Located on the northeast side of the main channel, the new passage has a controlling depth of 20-ft, a 300-ft horizontal clearance, and a vertical clearance of 135-ft. When combined with two other temporary channels opened earlier this month the port should be able to handle "... approximately 15 percent of pre-collapse commercial activity," said David O'Connell, the federal on-scene coordinator. The main shipping channel of the Port of Baltimore — a key conduit for US vehicle imports and coal exports — is expected to be reopened by the end of May, the Maryland Port Administration said earlier this month. The bridge collapsed into the water late last month when the 116,851dwt container ship Dali lost power and crashed into one of its support columns. Salvage teams have been working ever since to remove debris from the water and containers from the ship in order to clear the main channel. By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Balticconnector gas pipe recommissioned after rupture
Balticconnector gas pipe recommissioned after rupture
London, 22 April (Argus) — The Finland-Estonia Balticconnector gas pipeline has been re-commissioned, with commercial flows starting at the beginning of today's gas day. There were renominations for 12.5GWh of flows towards Finland and 78.2GWh in the opposite direction for today as of early afternoon, suggesting net flows towards Estonia of around 66GWh. Finnish demand remains relatively low, while stocks at Finland's Inkoo LNG terminal need to be mostly depleted before the upcoming arrival of a new cargo on 26 April. The Balticconnector was taken off line on 8 October following a rupture caused by a dragging anchor . The system operators of Finland and Estonia said at the time that the pipeline could return in April at the earliest, meaning the initial timeline set out for repairs has been met. The recommissioning of the Balticconnector could allow Finnish prices to realign with those in the Baltic markets now that the two areas are connected again. During the Balticconnector's absence, Finland was entirely reliant on LNG deliveries to Inkoo, meaning prices were highly volatile and frequently held significantly above prices further south. Price differentials reached a peak of nearly €58/MWh ($62/MWh) in mid-January as a cold snap caused Finnish power-sector gas demand to soar while stocks at Inkoo were relatively low. That said, the basis between the two markets has narrowed significantly since mid-March, and the Finnish price has on several days held lower than in the Baltics ( see graph ). By Brendan A'Hearn Finnish vs Estonian-Latvian prices Oct 2023-present €/MWh Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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