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    Natural Gas Daily: January 5th, 2021

Summary

Daily digest of the latest natural gas news and LNG news by Natural Gas World.

by: NGW

Posted in:

Complimentary, Covid-19, Daily Digest

Natural Gas Daily: January 5th, 2021

TAP START SIGNALS COMPLETION OF SOUTHERN GAS CORRIDOR

UK major BP, the project leader of the consortium developing Azerbaijan's Shah Deniz gas field in the Caspian Sea, announced the start of commercial gas deliveries to Europe December 31. 

  • The 10bn m³/yr TransAdriatic Pipeline (TAP) linking Albania to southern Italy had been ready to flow gas since mid-November, depending on shipper nominations. But wholesale gas prices have since risen, along with global gas demand.

  • The capacity of the SGC may increase, depending on demand for gas. The project had been expected, before the glut of LNG export projects coming on line and the adoption of the European energy transition, to carry about 30bn m³/yr from central Asia to Turkey and Europe.

 

OZ SANTOS ANNOUNCES BAYU-UNDAN FID

Australia's Santos announced a final investment decision for the $235mn phase 3C infill drilling programme at the Bayu-Undan field in the Timor Sea, offshore Timor-Leste.

  • Sanction of the project comes less than seven months after Santos became the operator of the Bayu-Undan joint venture following completion of the acquisition of ConocoPhillips' northern Australia and Timor-Leste assets.

 

FULING SHALE FIELD'S OUTPUT UP 6% IN 2020

Chinese producer Sinopec produced 6.7bn m3 of gas from its Fuling shale gas field in 2020, up 6% year/year, the company said on January 4.  

  • Sinopec increased its estimate for proven reserves at the field by almost 192bn m3 in October.

 

MODI INAUGURATES MAJOR SOUTH INDIA PIPE

Indian prime minister Narendra Modi inaugurated the much delayed 450-km Kochi - Mangalore natural gas pipeline which traverses the southern states of Kerala and Karnataka.  

  • This comes as good news for Petronet LNG’s under-used Kochi LNG import terminal. The new pipeline will supply gas to the fertilizer, refinery and petrochemical sectors of Mangalore and other areas.  

 

INDONESIA'S GAS OUTPUT MISSES TARGET IN 2020

Indonesia produced 5,461mn ft3/day of natural gas in 2020, slightly below the target of 5,556mn ft3/d, the country’s upstream regulator SKKMigas said on January 4. Oil output was 706,000 barrel/d against the target of 705,000 b/d.  

  • The southeast Asian country completed 15 oil and gas projects last year against the target of 11.

 

UZBEKISTAN STARTS UREA PLANT

Uzbekistan's new, $985-mn ammonia and urea production complex is now operational, the government said. The new complex has capacity to produce 660,000 metric tons (mt)/yr of ammonia and 577,500 mt/yr of urea. Half the ammonia will be used to produce new urea and half to produce ammonium nitrate.  

  • When at full production capacity, the complex will expand Uzbekistan’s domestic chemical production by 9.5%, and export $58mn worth of additional products to Turkey, Ukraine and Georgia as well as Uzbekistan's neighbours in central Asia.