Natural Gas Daily: September 4th, 2020
US LNG pipeline receipts rose 30% in August compared with July and averaged 4.3bn ft³/d before Hurricane Laura made landfall August 27, according to the US Energy Information Administration in its weekly report September 3.
- The surge coincided with rising demand in Asia. Two LNG export terminals – Sabine Pass and Cameron, which were in the direct path of the hurricane – have shut down operations.
Polish gas company PGNiG and the country's top oil refiner PKN Orlen have signed a letter of intent on developing a gas-fired power station and a network for biogas production, they said on September 3.
- The pair aim to draft binding co-operation agreements on the projects by October 30, although the two hope to become one national company some time in early 2022.
- PKN Orlen has reached a preliminary deal to acquire PGNiG as part of government plans to merge the country's biggest energy groups.
Anglo-Australian multinational BHP will use LNG-powered vessels to transport iron ore from Western Australia to China, it said.
- BHP's chief commercial officer Vandita Pant said the LNG-fuelled vessels would produce 30% less CO2 emissions per voyage versus conventional vessels along the Western Australia to China route.
Hungary's state-owned power company MVM, through its local subsidiary MFGK Croatia, has signed a six-year contract with Anglo-Dutch Shell to buy LNG that will be regasified at the Krk import terminal.
- The 2.6bn m3/yr Krk terminal is due on stream in 2021, and is expected to serve as a source of supply for a number of countries in southeast Europe.
Europe's storage inventory levels continue to rise as the flow of cheap gas needs a home, and relatively strong renewable output has reduced gas demand for power generation in some big markets such as the UK.
- According to analysis by Cornwall Insight, since July, there has been a gradual rise in energy demand back up towards 2019 levels.
The Canada Energy Regulator (CER) said September 3 it had recommended the federal cabinet approve TC Energy’s North Corridor expansion plan on its Nova Gas Transmission Limited (NGTL) system in Alberta.
- Cabinet now has 90 days to accept or reject the CER’s recommendations, unless it extends the deadline, as it did for the CER’s earlier approval of the NGTL 2021 expansion project, citing Covid-19 circumstances.