Japan’s Mol adds to LNG fleet for Jera

  • Spanish Market: Freight, Natural gas
  • 22/05/24

Japanese shipping firm Mitsui OSK Lines (Mol) is to launch a new LNG carrier in 2026, the seventh vessel to be supplied under an unspecified time charter agreement with the country's largest power producer by capacity Jera.

The 174,000m³ membrane-type vessel is being built by South Korean shipbuilder Samsung Heavy Industries at its Geoje shipyard. It will be installed with a dual-fuel engine that can run on low-sulphur fuel oil or boil-off gas stored in the ship's cargo tank, Mol said.

LNG is dominant in Jera's power portfolio, with its gas-fired output accounting for 75pc of its power generation in the April 2023-March 2024 fiscal year. The company consumed around 23mn t of LNG during 2023-24, which accounted for 35pc of Japan's LNG imports of 64.9mn t.

Jera is planning to maintain its LNG handling volumes at no less than 35mn t/yr until 2035-36, so to ensure power security in Japan through more flexible operations. It is also looking to further promote LNG along with renewable electricity in Asian countries, while helping to reduce their dependence on coal- and oil-fired power generation.


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24/06/24

Industria mexicana se enfrenta a un peso más débil

Industria mexicana se enfrenta a un peso más débil

Mexico City, 24 June (Argus) — La depreciación del peso mexicano después de las elecciones ha afectado al comercio e inversión en energía, con un dólar estadounidense más caro elevando el precio de las importaciones de combustible y gas natural. El peso perdió aproximadamente 11pc de su valor frente al dólar estadounidense a medida que los mercados reaccionaron a la abrumadora victoria electoral del partido en el poder Morena en las elecciones del 2 de junio. El tipo de cambio saltó de Ps16.65/$1 solo una semana antes de la votación a un pico de Ps18.99/$1 en los días siguientes. Desde entonces, la tasa se ha estabilizado en Ps18.30-Ps18.50/$1 en los últimos días. "El nuevo umbral para el tipo de cambio probablemente será de Ps18 por dólar", afirmó Gabriela Soni, directora de inversiones de UBS Asesores México. Añadió que, aunque el movimiento ha sido abrupto, "creemos que está justificado dada la aprobación esperada de las reformas constitucionales que tienen el potencial de erosionar el sistema de división de poderes y afectar a las decisiones de inversión en el país." Soni se refirió a la consolidación histórica del poder político asegurado por Morena y los partidos aliados en las elecciones que les entregó no solo la presidencia, como se esperaba, sino el control de 27 de las 32 gubernaturas estatales, y solo a unos pocos escaños en el senado de obtener mayorías calificadas en ambas cámaras del congreso. Con los resultados, el camino está muy claro para que el presidente Andrés Manuel López Obrador apruebe las controvertidas reformas judiciales durante su último mes en el poder en septiembre. Esto podría significar la eliminación de las reformas energéticas promercado aprobadas en 2014, la disolución de los reguladores del sector energético de México y el endurecimiento de la visión estatista de López Obrador de un sector energético dominado por la empresa estatal de petróleo y gas Pemex y la empresa de electricidad CFE. El tipo de cambio podría bajar aún más en los próximos meses si la economía se mantiene estable, dijo Pedro López, director adjunto de análisis económico de Banco BASE, un banco especializado mexicano que apoya a las empresas internacionales con operaciones en el país. Dicho esto, el tipo de cambio frente al dólar estadounidense "continuará estando sometido a presiones más elevadas estos meses hasta las elecciones presidenciales de EE. UU. en noviembre", dijo López. López dijo que el mercado debería tener una imagen más clara de México para finales de año, después de las elecciones estadounidenses y con mayor claridad después de la próxima sesión legislativa mexicana. Añadió que las presiones inflacionistas derivadas del aumento del tipo de cambio probablemente llevarían al banco central a mantener la tasa de interés de referencia en 11pc, manteniendo tasas de interés altas en México. Estas, a su vez, atraen a los inversionistas globales de nuevo al peso bajo la dinámica actual de tasas, suponiendo que no haya perturbaciones adicionales. Balance de energía Dado que México es un importador neto de energía desde 2015, "una depreciación del peso mexicano tiende a empeorar el balance del petróleo", afirmó Soni. "Sin embargo, México es un exportador neto en sectores no energéticos, especialmente en la fabricación, y la balanza comercial se beneficiaría en estos sectores." Y aunque el tipo de cambio puede ayudar a México a ganar más dinero por las exportaciones de petróleo, "tenemos que recordar que son cada vez menos", dijo Víctor Herrera, jefe de estudios económicos del Instituto Mexicano de Ejecutivos Financieros (IMEF). Pemex está redirigiendo el petróleo hacia sus refinerías, bajo el mandato del presidente para aumentar la producción nacional de combustible. Como resultado, las exportaciones de petróleo crudo mexicano cayeron 31pc año con año en abril a 618,000 b/d. A pesar de los esfuerzos, los productos refinados importados de EE. UU. siguen representando aproximadamente 72pc de su consumo nacional de gasolina, diésel, gas natural y turbosina, según los datos de la secretaria de energía. Se necesitará tiempo para saber qué beneficios, si los hubiera, aportan las ventas de petroleo de Pemex al extranjero, que se traducen en pesos adicionales, afirmó Herrera. Mientras tanto, añadió: "pagaremos dólares más caros para importar gasolina." Por James Young Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

MVP start-up shows permitting troubles in US


24/06/24
24/06/24

MVP start-up shows permitting troubles in US

Washington, 24 June (Argus) — The start-up of the Mountain Valley Pipeline (MVP) after a delay of over five years highlights the difficulty the US gas industry faces in building greenfield pipelines under current permitting rules — which are unlikely to change any time soon. The 500km natural gas pipeline began commercial operations on 14 June, at a $7.85bn price tag that was more than double the cost expected when the project was first proposed in 2015. The 2bn ft³/d (20bn m³/yr) pipeline will move shale gas from a mountainous region in West Virginia to demand centres in Virginia, with the possibility for future expansions. MVP is expected to run at just 35-40pc of its nameplate capacity until downstream bottlenecks are removed, according to analyst groups RBN Energy and East Daley Analytics. The pipeline offers the promise of eventually easing price pressure in markets in southeastern US and increasing Appalachian gas output that would otherwise remain constrained. The pipeline — soon to change ownership once US independent EQT closes its $5.5bn all-stock acquisition of operator Equitrans Midstream — is the sole survivor of a round of eastern US pipeline cancellations in 2020-21 caused by permitting issues. MVP was also delayed by permitting lawsuits that forced construction crews to repeatedly halt work, adding billions of dollars to project costs as inflation increased the price of both labour and materials. Construction on the project resumed last year only after extraordinary intervention from the US Congress, which approved all remaining pipeline permits as part of an unrelated law that raised the limit on federal debt. The permitting obstacles for pipelines in the eastern US show no signs of fading, despite smaller changes to speed permitting negotiated through legislation last year. Retiring US senator Joe Manchin, a Democrat from West Virginia, is circulating a comprehensive permitting package he says would fast-track the approval process for pipelines and renewable energy projects. Gas groups say any meaningful permitting bill will have to revise the judicial process and limit the ability of states such as New York to continue using water permits to veto new pipelines. In exchange, renewable energy projects could follow a faster permitting schedule for electricity transmission. But that is a deal many progressive Democrats are reluctant to take, particularly as they face the prospect that former president Donald Trump will win in US presidential elections in November. Far-right Republicans are hesitant to give President Joe Biden a permitting win when they believe they can get a better deal if Trump is elected. But without legislative changes industry officials expect permitting delays to continue whoever is in the White House. "This is not a left or right thing," EQT chief executive Toby Rice says. Sticky red tape Trump's campaign says if he is elected he will speed up approval of gas pipelines serving the Appalachian basin by removing "all red tape". But his regulatory changes when in office failed to make a material difference in permitting timelines, and he repeatedly failed to broker a legislative deal to hasten permitting. Gas industry officials say they want to expedite permitting regardless of the election results, and believe momentum could occur when voters start feeling the effects of delays. "The motivation for pipeline reform I think will increase when the American consumers believe that their energy needs are impacted by the lack of infrastructure," Iowa-based Berkshire Hathaway Energy's gas transmission president, Paul Ruppert, says. The difficulty and time required to permit large greenfield pipelines in the eastern US has led developers to focus on adding capacity to existing pipelines or pursuing shorter expansions instead. By Chris Knight Mountain Valley and its peers Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Yemen’s Houthis hit another bulk cargo carrier: Update


24/06/24
24/06/24

Yemen’s Houthis hit another bulk cargo carrier: Update

Adds Houthi spokesperson comments Singapore, 24 June (Argus) — Yemen-based Houthi militants have struck a Greek-owned and operated bulk cargo carrier in a suspected uncrewed aerial system attack on 23 June, said US Central Command (Centcom) today. This marked the Houthi's fourth attack on the Liberian-flagged Transworld Navigator , which reported moderate ship damage but has continued under way. The vessel most recently docked in Malaysia and was headed to Egypt, according to Centcom. The incident happened near Yemen's Al Hudaydah, according to the UK Maritime Trade Operations (UKMTO). The Transworld Navigator is currently in ballast and last discharged about 133,000t of thermal coal in China in late May, according to global trade analytics platform Kpler. The UKMTO later on 23 June received a separate report of a distress call from a vessel near Yemen's Nishtun. The merchant vessel "suffered flooding that cannot be contained", which forced the crew to abandon the ship, said UKMTO. The Houthis took responsibility for the attacks on the two vessels. The Transworld Navigator had been targeted in the Red Sea using "an uncrewed surface boat" which led to a direct hit against the ship, Houthi spokesperson Yahya Saree said on 23 June. The Stolt Sequoia , which Houthis identified as an oil product tanker, was attacked in the Indian Ocean with a number of cruise missiles. The ships belonged to companies that "violated the ban on entering the ports of occupied Palestine", Saree said in a televised speech. The Stolt Sequoia was expected to arrive in Belgium on 9 July to discharge about 36,000t of base oils, according to Kpler. The Iran-backed Houthis began attacking ships in the Red Sea six weeks after the Israel-Hamas war broke out last year in what they claim is an act of solidarity with Palestinians in Gaza. They have stepped up their attacks in recent days, prompting countermeasures by US and UK military forces deployed in the area. The Red Sea is one of the world's most important shipping lanes, serving as a vital trade link between Europe and Asia. The recent spate of attacks prompted the International Chamber of Shipping to last week call for urgent action to stop the Houthis' "unlawful attacks" on commercial shipping in the Red Sea. This came after the sinking of a second bulk carrier , the Greek-owned and operated Tutor , since November last year. Oil prices were mostly steady despite escalating tensions in the Red Sea. The Ice front-month August Brent contract was at $85.15/bl at 03:43 GMT, down by 0.06pc from the previous settlement. The front-month July WTI crude contract was at $80.66/bl, down by 0.09pc. By Tng Yong Li and Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Western Australia’s Strike plans gas-fired power plant


24/06/24
24/06/24

Western Australia’s Strike plans gas-fired power plant

Sydney, 24 June (Argus) — Australian independent Strike Energy plans to build and operate an 85MW peaking gas-fired power plant that could come on line by October 2026 near its South Erregulla operations in Western Australia (WA). Strike applied to the Australia Energy Market Operator (Aemo) for capacity credits and network access to develop the power plant. It is targeting a final investment decision in November this year subject to Aemo's decision. Gas supplies of around 1.3 PJ/yr (34.7mn m³/yr) would come from Strike's South Erregulla reserves . The power plant would be on land owned by Strike 280km north of Perth and around 15km of existing power transmission lines within the South West Interconnected System, the electricity network that covers Perth and the southwest region of WA. The WA system will need around 3.9GW of new flexible gas-fired power capacity by 2042 to firm increasing renewable generation as the state exits coal-fired power generation, the state government said last year. It plans to close the two remaining state-owned coal-fired power plants by 2030 , while the private-sector Bluewaters coal-fired power plant is expected to retire by 2030-31, according to Aemo. Aemo has identified a supply shortfall of 391MW emerging in 2027-28 because of a progressive coal-fired power phase-out and increasing electricity demand. The shortfall could reach as high as 2.88GW by 2033-34, highlighting the need for continued capacity investment particularly from 2027 onwards, Aemo said in its latest electricity statement of opportunities for WA's Wholesale Electricity Market, which is not connected to east Australia's National Electricity Market. Strike estimates total annual revenues of A$40mn-50mn ($26.6mn-33.2mn) for the gas-fired peaking plant over the first five years of operation, of which almost 40pc would come from payments under WA's capacity credit scheme. The plant would operate for over 25 years, with investment costs currently estimated between A$120mn-160mn. By Juan Weik Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Yemen’s Houthis hit another bulk cargo carrier: Centcom


24/06/24
24/06/24

Yemen’s Houthis hit another bulk cargo carrier: Centcom

Singapore, 24 June (Argus) — Yemen-based Houthi militants have struck a Greek-owned and operated bulk cargo carrier in a suspected uncrewed aerial system attack on 23 June, said US Central Command (Centcom) today. This marked the Houthi's fourth attack on the Liberian-flagged Transworld Navigator , which reported moderate ship damage but has continued under way. The vessel most recently docked in Malaysia and was headed to Egypt, according to Centcom. The incident happened near Yemen's Al Hudaydah, according to the UK Maritime Trade Operations (UKMTO). The Transworld Navigator is currently in ballast and last discharged about 133,000t of thermal coal in China in late May, according to global trade analytics platform Kpler. The UKMTO later on 23 June received a separate report of a distress call from a vessel near Yemen's Nishtun. The merchant vessel "suffered flooding that cannot be contained", which forced the crew to abandon the ship, said UKMTO. The Houthis took responsibility for the attacks on the two vessels and identified the second vessel as oil product tanker Stolt Sequoia , which Houthis attacked with missiles, according to Yemen's state-run Saba news agency. The tanker was expected to arrive in Belgium on 9 July to discharge about 36,000t of base oils, according to Kpler. The recent spate of attacks prompted the International Chamber of Shipping to last week call for urgent action to stop the Houthis' "unlawful attacks" on commercial shipping in the Red Sea. This came after the sinking of a second bulk carrier , the Greek-owned and operated Tutor , since November last year. Oil prices were mostly steady despite escalating tensions in the Red Sea. The Ice front-month August Brent contract was at $85.15/bl at 03:43 GMT, down by 0.06pc from the previous settlement. The front-month July WTI crude contract was at $80.66/bl, down by 0.09pc. By Tng Yong Li Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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