28 April 2024
Gas Matters Today | news roundup | w/c 21 Sep 2020
Publication date: 28 September 2020
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The IEA’s special report on carbon capture, utilisation and storage [2] made a valuable contribution to the debate, but seemed to gloss over major shortcomings that have consistently impeded financial support from governments and industry – despite so many ‘net zero’ emissions pledges still banking on rapid CCUS rollout.
Officials from Turkmenistan and Pakistan have met for further discussions on the Turkmenistan-Afghanistan-Pakistan-India pipeline [3], with Ashgabat reportedly offering to cut prices for Pakistani buyers to spur interest in a project first proposed some two decades ago.
A group of the world’s largest shipping insurance companies has warned they will refuse cover to vessels [4] working on the Russian Nord Stream 2 and Turk Stream gas pipeline projects, citing the risk of falling foul of US sanctions.
Israel and the United Arab Emirates have discussed linking their electricity grids and joint investment in the EastMed gas pipeline project [5] to export gas to Europe, after normalising diplomatic relations earlier this month.
Qatar is turning the screw on competitors and those seeking long-term contracts to underpin new liquefaction capacity by reducing the Brent oil-linked slope [6] on two new long-term supply deals, according to reports.
Mozambique – Total CEO Patrick Pouyanne has met with Mozambique president Filipe Nyusi to discuss the deteriorating security situation [7] in Cabo Delgado province, where the Total-led Mozambique LNG project is located.
China – China is considering increasing the pace of its energy transition as part of its upcoming 14th Five-Year Plan [8], by potentially bringing forward targets for the country’s rollout of renewables and further limiting consumption of coal.
China will adopt “more vigorous” climate policies to reach peak emissions before 2030 [9] and carbon neutrality by 2060, president Xi Jinping told world leaders last week at the UN General Assembly, while calling for a global “green revolution” to recover from Covid-19.
China’s gas imports surged [10] in August, with pipeline flows from Central Asia and Russia hitting a joint monthly record of 3.5 mt, while the country’s LNG imports hit 6 mt, the highest level since December.
Philippines – Shell is looking to sell its 45% stake in the offshore Malampaya field [11], the firm’s local unit has confirmed, and several local firms have revealed interest in buying it.
Brazil – LNG-to-power specialist Hygo Energy Transition, formerly Golar Power, has halted debut trading [12] under its USD 485 million IPO after Brazilian federal prosecutors searched premises linked to Hygo CEO Eduardo Antonello.
EU – Cyprus has taken a firm position against other EU members, vetoing proposed sanctions against Belarus [13] and refusing to endorse actions unless the bloc tackles Turkish threats to Cypriot sovereignty in the eastern Mediterranean.
Belgium / Netherlands / UK – UK-based chemicals firm Ineos concluded the largest- [14]ever wind energy supply deal [14] for heavy industry in Belgium with Engie, days after UK and Dutch TSOs National Grid and TenneT penned a cooperation agreement to connect North Sea offshore windfarms via 2 GW interconnectors.
Austria – OMV has agreed to sell its 51% stake in TSO Gas Connect Austria [15] to compatriot Verbund, in line with OMV’s strategy of exiting the regulated gas transport business.
France – Total is to invest more than USD 580 million to convert the Grandpuits oil refinery into a biofuels and bioplastics facility [16], with a view to ending crude production at the plant by Q1’21 and ending storage of petroleum products at the facility by late 2023.
Netherlands – The government has again cut output from Groningen [17], Europe’s former largest gas field, with operator NAM permitted to produce 8.1 Bcm for the year ending October 2021.
Norway – The government has unveiled plans to stump up two thirds of the funding to build three carbon capture projects [18], including a CCS project at Norcem’s cement factory in Brevik and the proposed Northern Lights CCS project by Equinor, Shell and Total.
Spain – Total has made its largest foray into renewables [19] to date, agreeing to bring its Spanish PV portfolio to more than 5 GW, while buying output under what is claimed to be the world’s “largest” corporate power purchase agreement.
UK – Tesla batteries in south-west England helped balance the UK power grid [20] for the first time this month, after taking advantage of new regulations designed to help distributed energy technologies compete in the balancing market.
The UK must lift restrictions on hydrogen blending [21] in the gas grid to kickstart demand for the clean-burning fuel and drive investment into scaling up H2 production, according to a report commissioned by British distribution network company Cadent.
United Arab Emirates – ADNOC has signed up compatriots Mubadala Investment and Emirates Nuclear Energy to partner on its In-Country Value programme [22], which has driven more than USD 12 billion back into the UAE economy since January 2018.
Canada / US – LNG specialist Cryopeak and Japanese trading firm Sumitomo are to develop LNG bunkering supply chains [23] for ferries, cruise ships and other vessels from ports in the Pacific north-west, with a view to capitalising on fast-paced growth in the sector.
India – Gas producers are calling for pricing reforms ahead of the government setting the price for the October-March period, with data showing LNG imports met the majority of Indian demand [24] for the first time in the 2019-20 financial year.