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    Natural Gas Daily: October 1st, 2020

Summary

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

by: NGW

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Complimentary, Covid-19, Daily Digest, Top Stories

Natural Gas Daily: October 1st, 2020

Total to Double LNG Business by 2030

France's Total plans to double LNG sales over the next decade, its CEO Patrick Pouyanne said on September 30, framing the move as part of its transition towards net-zero emissions by 2050.

  • The major has shares in three liquefaction projects due on stream in 2023-24 where final investment decisions have been taken: the Novatek-operated Arctic LNG-2, Mozambique LNG and a seventh train at Nigeria LNG.
  • Total has predicted that oil demand will peak at 2030, while consumption of gas will continue rising until 2040 at the least.

 

Chinese Gas Demand Rises 4% in August

China’s natural gas consumption in August was 25.62bn m3, up 3.9% yr/yr, National Development and Reform Commission (NDRC) said on September 29.

  • China’s LNG imports during August stood at 5.96mn metric tons, up 16.3% yr/yr, customs department data published September 23 showed. Month on month, imports were up 18.5%.

 

Mitsubishi Power to Build Thai CCGT

Mitsubishi Power has signed a full turnkey contract for the engineering, procurement and construction (EPC) of a 1.4 GW power plant with Hin Kong Power Company in Thailand, it said on September 30 in a statement.

  • Despite Covid-19, emerging Asia remains a bright spot for LNG demand growth.

 

India Cuts Domestic Gas Price by 25%

India has slashed the regulated wholesale price of locally produced natural gas by around 25% with effect from October 1, the Indian oil ministry's Petroleum Planning and Analysis Cell (PPAC) said on September 30 in a statement.

  • India’s domestic gas production has been stagnant in recent years and low prices have played a key role in that.
  • To meet the demand shortfall, the south Asian nation imports LNG from producers such as Qatar, Russia, Australia and the US. India’s import dependency has consistently remained around 50%.

 

Engie Welcomes Improved Suez Bid

French water and waste utility Veolia has improved its offer to buy a 29.9% stake in smaller peer Suez from French gas and power group Engie and has agreed to extend its validity period, the companies said on September 30.

  • Veolia offered to pay €15.5/share or €2.9bn ($3.5bn) in cash for the asset in late August but Engie rejected that offer. But Engie said on September 30 it welcomed Veolia's second, improved offer of €18/share.
  • Engie announced in late July it was looking to double its divestment target to €8bn.

 

FueLNG Names Singapore's 1st LNG Bunker Vessel

FueLNG, a joint venture between Keppel Offshore & Marine and Shell, said it has named Singapore’s first LNG bunkering vessel, FueLNG Bellina.

  • On the back of the expected growth in its own LNG demand, ship bunkering and small-scale LNG, Singapore hopes to recreate the same success with LNG that it has had as an oil trading and shipping centre.