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Posts Tagged ‘LNG’

The world’s largest-ever vessel is all set to go in 2018

In 2018, the 488-meter long facility called Prelude, will begin its job of extracting and processing gas at sea.

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Displacing as much water as five aircraft carriers is just one eye-popping statistic that attempts to explain the sheer size of the world’s largest vessel.

Construction on Shell‘s huge floating liquefied natural gas (FLNG) structure began in 2012 and was finished in July by Samsung’s Heavy Industries in South Korea, before being towed to Australia.

Now the floating facility sits at its first location, Shell’s Prelude gas field, around 125 miles north off the Western Australian coast. read more

Kuwait Signs LNG Import Deal With Shell, Has `Pressing’ Gas Need

Kuwait Petroleum Corp. signed a 15-year liquefied natural gas import deal with Royal Dutch Shell Plc to help the oil exporting nation meet growing domestic energy demand.

The sales purchasing agreement with Shell International Trading Middle East Ltd. will start in 2020, the companies said Sunday in an emailed statement. Shell has supplied Kuwait with the super-cooled fuel since 2010 and declined to say how much gas is covered under the new contract. While KPC is working to boost local natural gas production, Kuwait has a “pressing requirement” to secure natural gas supplies in the meantime, they said. read more

Eni Acquires Shell Stake in Australian Gas Field

By Marc Bisbal Arias Dow Jones Newswires

Eni SpA (ENI.MI) said Thursday that it has acquired the 32.5% stake in an Australian gas field owned by Royal Dutch Shell PLC (RDSA.LN)’s subsidiary Shell Australia Proprietary Ltd.

Terms of the deal were not disclosed.

The Evans Shoal field is located around 300 kilometers northwest of Darwin, where the Darwin liquefied natural gas plant is operating. The field is estimated to have at least 8 trillion cubic feet of raw gas in place, Eni said. The acquisition doubles Eni’s stake in the field to 65%.

The Italian company also said that it has become the operator of the retention lease NT/RL7 located in the north Bonaparte Basin, offshore Northern Australia. read more

From PortNews: December 15, 2017

On 14 December 2017, joint delegation of Gazprom and Shell visited Commercial Sea Port of Ust-Luga, JSC to discuss cooperation under Baltic LNG project, says the press center of CSPU.

An LNG plant able to produce 10 mln t per year for export shipments by sea-going ships is to be built at the port of Ust-Luga, north of CSPU.

Representatives of the delegation (17 members) visited Yug-2 terminal and discussed a number of issues related to transshipment of oversized equipment intended for the LNG plant. read more

U.S. LNG exports reach a tipping point

Steve Hill, executive vice president of Shell Energy, discusses Shell’s growth in the liquefied natural gas industry aboard Dynagas’ Lena River LNG carrier as its docked at Cheniere Energy’s Sabine Pass LNG

SABINE PASS, La. – In 2011, Cheniere Energy was a little-known company with big ambitions when it signed an $8 billion contract that would transform the United States into an exporter of liquefied natural gas after decades of relying on foreign suppliers. read more

Integrated Gas To Drive Royal Dutch Shell’s Value Going Forward

Great Speculations: Trefis Team: DEC 7, 2017 @ 04:22 PM

With the growing inclination towards the use of cleaner and environment-friendly sources of energy, natural gas has emerged as a preferred choice of fuel worldwide. However, due to the challenges related to the transportation and storage of gas, the demand for liquefied natural gas (LNG) has grown faster than the demand for natural gas over the last decade. As a result, natural gas producers, particularly in the U.S., have been expanding their LNG operations to capitalize on the booming demand for the commodity. Royal Dutch Shell (NYSE:RDS.A) is one such integrated energy company that has been increasing its presence in the gas markets. In this note, we discuss how Shell’s integrated gas business will drive value for the company over in the long term. read more

Shell to take first LNG shipments from new U.S. Cove Point plant

Reuters Staff: DECEMBER 6, 2017 / 12:27 PM

LONDON, Dec 6 (Reuters) – Royal Dutch Shell will take the initial cargoes of liquefied natural gas (LNG) shipped from Dominion Energy’s new Cove Point export facility in Maryland after providing the plant’s feed gas supply, Dominion Energy said on Tuesday.

So-called commissioning cargoes during the ramp-up phase of an LNG export plant can vary in quality and teething problems can prompt delays.

Dominion said it began introducing feed gas supply into the plant on Tuesday. The gas is sourced from Shell North America, it said. read more

Shell Strikes Deal for Australian Gas — WSJ

By Robb M. Stewart Dow Jones Newswires

MELBOURNE, Australia — Royal Dutch Shell PLC (RDSA) has moved finally to unleash a massive natural-gas resource buried in coal deposits in eastern Australia in a development that will see fuel flow to its majority owned liquefied natural gas venture on the country’s tropical coast.

The energy giant and various partners have agreed to a 27-year sales deal covering 5 trillion cubic feet of gas that will anchor the staged development of the Arrow fields in Queensland. read more

Arrow Energy signs major Shell gas supply deal

Cole Latimer: DECEMBER 1, 2017

Arrow Energy has signed a 27-year deal to annually supply more than four times the forecast east coast domestic gas shortfall to Shell’s Queensland Curtis Liquefied Natural Gas (QCLNG) project.

The agreement, which begins first gas production in 2021, will provide an extra 240 petajoules a year of gas from Queensland’s Surat Basin, or close to 6500 petajoules over the life of the contract, to the state’s market.

Arrow and its joint owners, Shell and PetroChina, will now discuss the expansion of its Surat Basin project, with a final decision expected in 2018. read more

Shell, PetroChina jv paves way towards big gas development in Australia

Reuters Staff: December 1, 2017

MELBOURNE (Reuters) – Royal Dutch Shell (RDSa.L) and PetroChina (601857.SS) have taken a big step towards a long awaited gas development in Australia, signing a 27-year deal to supply Shell’s Queensland Curtis Liquefied Natural Gas (QCLNG) project.

The deal would bring to market about 5 trillion cubic feet of gas held by Shell and PetroChina’s Arrow Energy in the state of Queensland, Arrow said.

Arrow’s Surat Basin gas is among the biggest undeveloped resources in eastern Australia but the project has been stuck on the drawing board since getting state and federal approvals in 2013 due to high costs and weak gas prices. read more

Shell damps down Prelude LNG expectations

by Angela Macdonald-Smith: Nov 29, 2017

Royal Dutch Shell has sewn doubt in the market about an early 2018 start-up of the oil major’s innovative Prelude floating LNG project off the coast of north-west Australia, with chief executive Ben van Beurden signalling that the project will only start contributing noticeably to cash flow in 2019.

While the ramp-up of the $US54 billion (71 billion) Gorgon LNG project in Western Australia was named by Mr van Beurden as among projects named to help grow cash flows next year, Prelude was included in the later batch. read more

China LNG imports set to hit record in Nov, push up prices

With Royal Dutch Shell’s Prelude floating LNG project in Western Australia and Ichthys, a massive project led by Japan’s Inpex in the north of Australia, about to be completed, Australia’s export capacity could hit 85 million tonnes next year, topping that of current leader Qatar.

* China monthly LNG imports set to breach 4 mln T for first time

* That comes as millions of households switch to gas from coal 

* Domestic China LNG prices hit record

* Asian spot LNG prices at 3-year high of almost $10/mmBtu

* Rising Australia exports should ensure mkt remains well supplied

By Henning Gloystein

SINGAPORE, Nov 29 (Reuters) – China’s imports of liquefied natural gas (LNG) are set to hit record levels in November, with demand due to peak over the cold winter months as millions of households shift from burning coal for heating to using gas, driving up prices for the fuel. read more

Woodside Falls Most in Year After Shell to Sell Stake

Shares falls as much as 3.5% in early Australia trading

Allan Gray Australia says it boosts stake in the LNG producer

Woodside Petroleum Ltd. fell the most in a year after Europe’s biggest oil company, Royal Dutch Shell Plc, said it would offloaded its entire holding in the Australian liquefied natural gas producer for $2.7 billion.

Woodside shares fell as much as 3.5 percent in intraday trading on Tuesday to A$31.10 ($23.74), and changed hands at A$31.19 at 11:51 a.m. in Sydney. Shell said it would sell an 8.5 percent stake in Woodside at A$31.10 a share, a 3.5 percent discount to Woodside’s closing price on Monday. The Anglo-Dutch company then expanded that sale overnight to exit its remaining 4.8 percent holding. read more

Why Energy Giants Will Continue to Dominate LNG Market

Trade in the $90 billion market for the superchilled gas is poised to double by 2040: Photographer: Tomohiro Ohsumi/Bloomberg 

Total SA’s billion-dollar deal to buy liquefied natural gas assets from Engie SA shows how much size matters in the industry. 

After Royal Dutch Shell Plc’s takeover of BG Group Plc last year, industry consultant Wood Mackenzie Ltd. says the latest accord is evidence that the biggest energy companies with access to large volumes of diverse supplies will continue to dominate, even as commodity traders from Glencore Plc to Trafigura Group Pte are expanding.  read more

Shell’s LNG Bunker Barge Will Fuel Giant Cruise Ships

By MarEx 2017-11-08 19:53:39

Shell has reached an agreement with Carnival Corporation to provide bunkers for two new LNG-fueled cruise ships, which will be the first of their kind in North America and the largest of any kind in Carnival’s fleet.

The new partnership will provide a major customer for Shell USA’s LNG Bunker Barge, a Jones Act ATB unit that will be operated by Harvey Gulf under charter to Shell. The first-of-its kind vessel will refuel Carnival’s vessels at ports in the U.S. Southeast. Shell is replicating this strategy in Europe, where it has chartered a small LNG bunkering vessel from Victrol that will be based in Rotterdam. read more

Shell expands marine LNG bunkering network with U.S.-based LNG barge

HOUSTON, Nov. 7, 2017 /PRNewswire/ — Shell Trading (US) Company announced today it has finalized a long-term charter agreement with Q-LNG Transport, LLC for an LNG bunker barge with the capacity to carry 4,000 cubic meters of LNG fuel.  As the first of its kind to be based in the United States, the ocean-going LNG bunker barge will supply LNG to marine customers along the southern East Coast of the U.S. and support growing cruise line demand for LNG marine fuel.

“This investment in LNG as a marine fuel for the US will provide the shipping industry with a fuel that helps meet tougher emissions regulations from 2020,” said Maarten Wetselaar, Integrated Gas and New Energies Director at Shell. “Our commitment in the Americas builds on Shell’s existing LNG bunkering activities in Singapore and Europe, as well as recently announced plans in the Middle East and gives us the ability to deliver LNG as a marine fuel to customers around the world.” read more

Shell Prelude FLNG named as FieldComm Group 2017 Plant of the Year

06 November 2017

The Shell Prelude Floating Liquefied Natural Gas (FLNG) plant/ship of Royal Dutch Shell, which will be located in the Timor Sea off the North West coast of Australia, has been named as the FieldComm Group 2017 Plant of the Year.

This annual award is presented by FieldComm Group to recognise the people, companies and plant sites around the globe that are using the advanced capabilities of FOUNDATION FieldbusHART and WirelessHART technology in real-time applications for improved operations, maintenance, and asset productivity. This is the second award presented to a Shell facility, with the first being awarded in 2011 to Shell Scotford in Alberta, Canada.

Having recently completed the journey to its final destination, 200-km off the Australian mainland, it will be connected to Deepwater gas wells and is scheduled to begin regular operations in 2018. The 488m x 71m vessel’s 14 production facilities, rising eight stories above the deck will extract and process around 3.6 million tonnes per year of liquefied natural gas (LNG) during its 25-year lifespan. “FieldComm Group technologies are used in every phase of the Shell Prelude FLNG project and form the backbone of the intelligent predictive maintenance system,” said Kyle Dickson, control and automation engineer for Shell Prelude FLNG. “The use of device templates is delivering conformity and quality assurance throughout the commissioning process. This has enabled a small team to achieve impressive loop check rates while maintaining high levels of quality assurance. Once commissioned, equipment and unit modules will use the diagnostics and alerts provided by both HART and FOUNDATION Fieldbus technologies to great effect, specifically avoiding numerous plant trips and enabling unprecedented levels of remote support and deep-level diagnostics.” Rong Gul, senior automation engineer and subject matter expert (SME) for smart instrumentation and instrument asset management with Shell Global Solutions, reports that Prelude’s process applications employ more than 8,000 FOUNDATION Fieldbus devices, including 2,500 valve positioners, located on all control and monitoring devices, and connected only to the DCS; more than 4,500 HART devices connected to the DCS and PLCs via HART multiplexers, and used predominantly on devices connected to safety instrumented systems (SIS) and fire and gas (F&G) systems. WirelessHART is used on some specific applications. Use of the advanced diagnostics and rationalised device alerts has enabled predictive and targeted maintenance execution. Prelude is dependent on having a fully realised remote monitoring group of engineers advising on device issues. Commonly it has been possible to identify issues, specifically pertaining to control valves before a fault escalates and results in a plant upset or outage. While still in a start-up phase, Prelude is operating vast amounts of utility and marine systems, and the benefits of an intelligent instrument management system are already being realised.

At the peak of its recent commissioning efforts Prelude’s staff was performing more than 500 loop checks per week, and checking multiple streams of complex functions. The vessel’s utilities plant was also running 24/7, which made maintenance challenging. Thanks to using templates for its parameters, Prelude’s staff and contractors achieved total time-savings of 80% for device commissioning and loop checking across all devices using device templates; time savings for the valve positioner loop check procedure was more than 80% for the full loop test; tested all device types during the FAT (Factory Acceptance Test) in less than three days, compared to previous test using traditional methods, which took more than two days to test just three device types; and human error during FAT was quickly identified allowing for fast correction. read more

The World’s Hidden Gas Giant

The world’s biggest new gas giant has been hiding in plain sight.

Despite some of the world’s largest reserves of natural gas, PetroChina Co. is still predominantly viewed through the lens of crude oil. That’s overdue a change.

Oil production in the nine months through September fell 5.2 percent while natural gas climbed 4.5 percent, the Beijing-based company said Monday. Based on those numbers, third-quarter oil production of 224.3 million barrels represented less than 60 percent of the total when set against natural gas output of about 152.1 million barrels of oil equivalent. read more

Gas producers pumping up demand

  • The Wall Street Journal

After spending hundreds of billions of dollars to transform themselves into global natural gas giants, some of the world’s biggest energy companies face a new challenge: generating more demand as supplies threaten to balloon and prices languish.

Companies including Royal Dutch Shell, Total and Cheniere Energy are trying to establish new markets for liquefied natural gas, a super-chilled version of the fuel that can be shipped around the world. Producers are promoting the use of LNG for industrial trucking and shipping. Companies also say they are considering building the power plants and infrastructure necessary to provide gas and electricity in developing markets such as South Africa and Vietnam. read more

Shell divests its interest in Comgas for a headline of US$380 million

HOUSTON, Oct. 10, 2017 /PRNewswire/ — Shell Gas BV, Shell Brazil Holding BV and Integral Investments BV (“Shell”) today announce they have signed an agreement with Cosan Ltd. to execute an existing Put Option Agreement, which allows Shell to sell all of its 16.8% interest in Companhia de Gas de São Paulo (“Comgás”) to Cosan Ltd. Under the agreement, Shell will exchange its ~21.8 million common shares in Comgás for Cosan S.A. Indústria e Comércio (“Cosan SA”) shares plus cash. read more

Shell chief punctures myths surrounding gas exporters

 Business columnist, Melbourne: 10 Oct 2017

Shell Australia’s new chair, Zoe Yujnovich, has injected what for some will be an uncomfortable dose of reality into what has been a generally misleading debate about the role that the three big Queensland export LNG plants have played in the east coast energy crisis.

In an address to the national energy summit yesterday, Ms Yujnovich took issue with the widely accepted narrative that exports from the three plants off Gladstone have created a shortage of gas on the east coast and driven a spectacular surge in gas prices for households and manufacturers. read more

Chevron starts LNG output at Australia’s Wheatstone, first cargo expected in weeks

OCTOBER 9, 2017

* Wheatstone had been due to start shipping in mid-2017

* First cargo expected in “coming weeks”

* Wheatstone LNG will produce 8.9 million tpy at full capacity (Adds trader, Woodside comments, chart, factbox in related content section)

By Sonali Paul

MELBOURNE, Oct 9 (Reuters) – Chevron Corp said on Monday it has started producing liquefied natural gas (LNG) at its Wheatstone project in Australia, slightly later than expected, and plans to ship its first cargo soon. read more

Gazprom and Shell confirm their interest in implementation of Baltic LNG project

2017 October 5 15:37

Gazprom and Shell have confirmed their interest in implementation of the Baltic LNG project, IAA PortNews correspondent cites Aleksandr Medvedev, Deputy Chairman of the Board, Gazprom, and Maarten Wetselaar, Integrated Gas and New Energies Director, Shell, as saying at the 7th St. Petersburg International Gas Forum (SPIGF-2017).

“Baltic LNG project will develop and we are participating in it financially”, said Maarten Wetselaar.

According to Shell, global LNG demand is 265 mln t per year and its growth prospects are good, particularly due to the markets of China, India and other Asian countries. read more

Australia closing in on Qatar as world’s top LNG exporter

* Australia LNG exports tipped to rise to 74 mt in 2018-19

* Australia’s share of Japan, Korea LNG imports seen growing

* Iron ore price forecast raised to $64 for 2017

SYDNEY, Oct 6 (Reuters) – Australia expects to increase exports of liquefied natural gas (LNG) by 16 percent from mid-2018 as $180 billion in new projects hit their stride, nearly catching up with Qatar, the world’s top supplier.

Rising LNG exports coupled with higher prices for steel-making commodities and thermal coal should see Australia’s overall resource and energy export earnings increase 2 percent in the year to end-June 2018, to a record A$211 billion ($165 billion), the Department of Industry, Innovation and Science said on Friday. read more

400+ workers shut down LNG site, company warns for smoky flaring

5th Oct 2017 4:30 AM | Updated: 9:50 AM

by : 5th Oct 2017 4:30 AM

THEY say where there’s smoke there’s fire, but gas giant Shell is hopeful that won’t be the case when more than 400 workers don the orange and silver for QCLNG’s first shutdown.

The shut down work starts this Friday and is expected to cause increased flaring from the Curtis Island gas exporting site.

Shell wants a major change to its environmental conditions to allow for more smoky flaring, but the application is yet to be approved. read more

Shell’s Floating LNG Endeavor Is About To Begin

 Oct. 2, 2017 5:45 AM ET

Summary

  • Shell’s floating liquefied natural gas project, the Prelude FLNG venture, will come online within a year.
  • Cash flow generation expected to begin in 2018, two years later than initially planned.
  • Going over the details of Royal Dutch Shell’s Prelude FLNG development.

Royal Dutch Shell plc (NYSE:RDS.A) (NYSE:RDS.B) is getting closer and closer to finally completing its Prelude FLNG project off the northwestern coast of Australia. FLNG stands for floating liquefied natural gas, a marine vessel that can commercialize gas finds that are too small to justify building a new onshore LNG facility to develop. Let’s dig in.

FLNG overview

The purpose of turning gaseous methane into liquid form is that LNG takes up 1/600th of the space as a liquid, making exports economically viable. By cooling the natural gas down to negative 260oF, Shell can economically supply gas to consumers all over the world. The real genius of FLNG vessels is the ability to fit a processing plant on a ship in a fraction of the space that conventional processing facilities take up, along with Shell’s Dual Mixed Refrigerant unit that can cool the gas down. read more

Corrib flaring ‘frightening’

Corrib flaring ‘frightening’

CLOSE ENCOUNTER RIGHT: A still of the flare from a video by Rossport resident, Mary Corduff.

By Áine Ryan: 26 Sept 2017

COMPANIES selling ‘potentially dangerous energy products’ are obliged ‘to ensure that there is no risk to the customer’. That was according to Minister Michael Ring in the aftermath of news breaking last Thursday night about the fact that odourless gas from the Corrib refinery had entered the network for Galway and Mayo. The crisis, which involved a 36-hour flaring operation at the Bellanaboy refinery in order to push the odourless gas back out of the network, has since been resolved as two State inquiries continue into the potentially dangerous situation. read more

Australia Backs Down From Limiting Gas Exports

By Robb M. Stewart and Rob Taylor Features Dow Jones Newswires

MELBOURNE, Australia–Australia’s conservative government held back from imposing curbs on exports of liquefied natural gas after producers including Royal Dutch Shell PLC (RDSA.LN) agreed to put more gas into the domestic market to ease energy shortages on the east coast.

The decision, which followed a meeting between Prime Minister Malcolm Turnbull and energy companies, came just days after an Australian regulator warned that gas shortages in 2018 could be three times worse than previously thought. Experts had warned that the curbs risked damaging the country’s standing as a destination for investment, while having a limited impact on local gas supply and prices. read more

GAS WARNING Irish homeowners urged to switch off gas supply after ‘odourless gas enters the system’

21st September 2017, GAS Networks Ireland are urging customers in Mayo and Galway to turn off their gas supplies after odourless gas entered the system from the Corrib Gas terminal.

Natural gas customers in Galway city, Headford, Castlebar, Tuam Ballinrobe, Claremorris, Westport, Ballina and Crossmolina are being told to turn the supply at the meter box off until further notice.

Gas is an odourless substance until a smell is added so it is noticeable.

If a gas leak was now to occur, homeowners would not be able to smell it.

It was processed at the Ballanaboy terminal in Mayo however the odourless gas managed to enter the network, Shell EP confirmed.

In a statement issued by Gas Networks Ireland, the company confirmed a ‘quantity of odourless gas’ entered the network. read more

Kitimat patiently waits for its gas boom as global LNG markets head towards balance

GEOFFREY MORGAN, FINANCIAL POST 21 Sept 2017

CALGARY – Despite multiple liquefied natural gas project cancellations recently on Canada’s West Coast in recent weeks, the mayor of Kitimat, B.C. is still confident at least one will be built in his town – and even some of the more pessimistic analysts are beginning to agree.

“We’re still extremely positive,” Kitimat mayor Phil Germuth said of the prospects for two LNG projects proposed in and around his northern B.C. town. He said preliminary site work is underway at both Chevron Corp.’s Kitimat LNG project and the Shell Canada Ltd.-led LNG Canada project. read more

Will Shell’s Gas Gamble Pay Off?

By Cyril Widdershoven – Sep 16, 2017, 6:00 PM CDT

Supermajor Royal Dutch Shell has decided to divest its Iraqi oil assets in a move to focus on its future in natural gas.

The industry giant is seemingly breaking from its oil heritage to head full speed into the “Golden Age of Gas.” Shell’s decision to leave Iraq’s upstream oil assets is not without risk, however, as the market for natural gas is even more oversupplied than it is for crude oil.

Reuters reported the move first, based on a letter from the Iraqi ministry of oil, followed by a confirmation from Shell. The Dutch heavyweight indicated to the press that its oil asset divestment in Iraq is in line with its strategy to focus more on natural gas and downstream activities. read more

Shell Retail Looks to the Future With Car Charging, Clean Fuels

A Mirai hydrogen fuel powered automobile, manufactured by Toyota Motor Corp., sits on the forecourt at Royal Dutch Shell Plc’s first U.K. hydrogen refueling station in Cobham, U.K., on Wednesday, Feb. 22, 2017. Shell, crafting a strategy to wean itself off oil, is expanding its operations in the refueling market for hydrogen cars. Photographer: Chris Ratcliffe/Bloomberg Rakteem Katakey, Javier Blas: BloombergSeptember 11, 2017

Royal Dutch Shell Plc wants 20 percent of income from its retail forecourts to come from vehicles that don’t burn diesel or gasoline, as the company anticipates an accelerating transition to clean energy over the coming decade. 

Shell set up its first hydrogen refueling station in the U.K. earlier this year and will install its first electric car charging point later this month, said John Abbott, the top executive of its downstream business, which includes refining, marketing, retail, trading and chemicals. By 2025, he expects these new operations supplying cleaner fuels, including natural gas, to make up a fifth of retail earnings. read more

Shell Expects Australia Gas Shortage to Trigger Export Restriction

The world’s second-biggest liquefied natural gas exporting nation will probably curb shipments next year to avoid a domestic shortfall of the fuel, according to the Australian head of Royal Dutch Shell Plc.

The Australian Energy Market Operator will probably declare a shortage for eastern states in the next two to four weeks, Shell Australia Chairwoman Zoe Yujnovich said at a Bloomberg event Wednesday in Sydney. That would trigger the country’s domestic gas security mechanism, a policy announced in June that could limit LNG exports from plants that draw more gas from local markets than they supply. read more

Shell Invests to Boost Global Gas Demand

Europe’s biggest energy company is investing in projects to boost global gas demand and aims to continue feeding the market it’s nurturing with new liquefied natural gas export plants.

Royal Dutch Shell Plc is supporting the development of gas use in heavy transport such as shipping and is also helping smaller and less credit worthy customers begin importing LNG, Maarten Wetselaar, the company’s director of integrated gas and new energies, said at an event at Bloomberg’s Sydney office Wednesday. As new LNG customers enter the market, that will open a window for Shell and others to develop new low-cost export plants. read more

End to Shell’s involvement in the most controversial infrastructure project in Ireland’s history

Protest event in Ireland during “Shell to Sea” campaign

Joe Brennan: 4 Sept 2017: Extracts from article: “Vayu warns of volatile prices for winter gas”

Ireland imports much of its gas needs through the UK, even though the Corrib field off the Mayo coast, which started production in late 2015, has the potential to meet up to 60 per cent of the country’s gas needs and is expected to supply fuel for up to 20 years.

“We are anticipating considerable energy price volatility this winter, which could be worrying for businesses as this is the time when their energy usage is at its highest,” said Keith Donnelly, an energy analyst with Vayu, noting that winter gas prices have risen by 8 per cent in the past six weeks. read more

Shell to Mull Buying Israeli, Cyprus Gas for Egypt Plant

Royal Dutch Shell Plc is seeking creative solutions to bring gas from Israel and Cyprus to market, a step that could help turn the Mediterranean region into a major gas-producing hub.

Shell is in talks to buy natural gas from Israel’s Leviathan field, combine it with output from Cyprus’s Aphrodite field, in which it owns a 35 percent stake, and pump it to a liquefied natural gas plant in Egypt, according to people with knowledge of the matter. Talks are at an early stage and some of Aphrodite’s gas could be sold locally, said the people, who asked not to be named because the discussions are private. read more

Can Western oil giants break the Gulf impasse?

HIROFUMI MATSUO, Nikkei senior staff writer

TOKYO — One after another, the top executives of Western oil majors have been stepping into the great Persian Gulf rift.

It has been more than two months since Saudi Arabia and other Arab states severed diplomatic ties with Qatar, and there are no signs of a thaw. But soon after the decision was made, a oil bosses began heading to Doha, the Qatari capital.

On June 14, just nine days after Qatar’s neighbors closed off their airspace and closed the sole land border, Royal Dutch Shell CEO Ben van Beurden met with Qatari Emir Sheikh Tamim bin Hamad al-Thani. Exxon Mobil CEO Darren Woods followed on June 24. Total CEO Patrick Pouyanne took his turn on July 11. read more

Shell Prepares For A Different Energy Reality

: 14 August 2017

Summary

  • This summer has seen the governments of several of the world’s major economies propose to eliminate internal combustion engine vehicles over the next 10-30 years.
  • At the same time, Royal Dutch Shell announced several major clean energy investments over the summer in anticipation of a drop-off in petroleum demand.
  • This article looks at how Shell’s clean energy investments fit into its energy profile forecasts compared to its peers.

This summer has been filled with the sort of headlines that can give strategic planners in the petroleum & gas sector heartburn. One-upping Germany’s earlier non-binding pledge to ban new internal combustion engine [ICE] vehicles by 2030, the government of France’s new centrist president Emmanuel Macron announced in early July that the country will end sales of ICE vehicles by 2040. This move, which is part of that country’s efforts to comply with its greenhouse gas emission reduction target under 2015’s Paris Climate Agreement, would eliminate gasoline- and diesel-only engines and is aimed at reducing the country’s air pollution as it is at mitigating climate change. Britain intends to do the same by 2050. Even China and India, which have long been posited as important future sources of petroleum demand, are moving to electrify their vehicle fleets: China recently announced that it wants 25% of the country’s vehicles to be “alternative fuel” by 2025, while India is drafting plans to electrify all of its vehicles by 2030. read more

Australia’s $180 bln LNG megaproject boom enters final stretch

Australia’s $180 bln LNG megaproject boom enters final stretch

* Shell, Inpex race to tap gas in adjacent fields

* Ichthys LNG targets first output by March 2018

* Prelude FLNG seen starting between April and July

* Australia on course to 88 mln T/yr LNG export capacity

By Sonali Paul

MELBOURNE, Aug 14 (Reuters) – The last massive component of Australia’s $180 billion liquefied natural gas construction boom arrived on Monday, stepping up a race between Anglo-Dutch giant Shell and Japan’s Inpex to start chilling gas for export in 2018.

Company reputations are at stake, as well as first access to overlapping gas fields and Australia leapfrogging Qatar as the world’s largest exporter of LNG.

The Ichthys Venturer, a floating production, storage and offloading facility, travelled 5,600 km (3,500 miles) from a South Korean shipyard and will be moored 220 km off Western Australia to handle condensate from the Ichthys field. read more

Shell Set To Play A Major Role In The Global Gas Market

Zoltan Ban: Aug. 3, 2017 6:55 PM ET

Summary

– Shell profits down compared with the previous quarter, which is in part a reflection of the lower oil prices.

– While the shorter-term results were affected by the falling oil price, the long term strategy of becoming a leading and dominant player in LNG remains intact.

– Global energy trends continue to suggest that LNG is a good long-term bet, given economic as well as environmental considerations.

While Shell (RDS.A) did report a second quarter net operating profit of $1.55 billion compared with $3.5 billion in the previous quarter, it should be noted that when looking at the different sectors, it is the downstream segment which has been helping it stay above water this year. The upstream segment seems to be struggling within the context of the current oil & gas price environment, same as we can expect the global oil & gas industry to do overall. read more

Russian pipeline projects likely to go ahead despite sanctions, analysts say

Aug. 3, 2017 11:49 AM ET|By: , SA News Editor

New U.S. sanctions will make it harder and more expensive for Russia to build the Nord Stream 2 and TurkStream gas export pipelines to Europe, but analysts say the two Gazprom-led (OTCPK:OGZPY) projects are unlikely to be stopped.

But the sanctions bill, which had the overwhelming support of the U.S. Congress before it was signed by Pres. Trump, throws into doubt the €4.75B pledged by European companies including Royal Dutch Shell (RDS.A, RDS.B), Engie (OTCPK:ENGIY) and OMV (OTCPK:OMVJF) to help fund Nord Stream 2 and could threaten other projects. read more

LNG possibility lives on, even after death of Pacific NorthWest LNG

And two other large global energy players with regulatory approval from the B.C. and Canadian governments say they are trying to position themselves to be ready to make a decision on building their own billions-of-dollars of mega-projects in northwest B.C. to coincide with increased demand they forecast could kick in by the middle of next decade. Those projects are LNG Canada led by Royal Dutch Shell plc and Kitimat LNG, a 50-50 venture of Chevron and Australian-based Woodside Energy. read more

Shell backs gas export limits

: Resources reporter, Melbourne: 28 July 2017

Royal Dutch Shell chief executive Ben van Beurden has said he is very supportive of Malcolm Turnbull’s moves to impose export restrictions to increase domestic supply on the east coast, where Shell runs the Queensland Curtis LNG project.

But the oil major has revealed there have been some unspecified operational problems at QCLNG, which exports coal-seam gas from Gladstone.

Speaking on a second-quarter earnings call in London last night, Mr Van Beurden backed the Prime Minister’s intervention in the markets, which gives the government the power to restrict exports from any LNG project that is not a “net contributor” to domestic markets. read more

Shell Still Thinks Canadian LNG Project Could Be a Go

By Natalie Obiko Pearson:   

Royal Dutch Shell Plc said it hasn’t written off its Canadian liquefied natural gas project in Kitimat, British Columbia, yet as a global supply glut killed off a competing project earlier this week.

LNG Canada, which is also backed by Mitsubishi Corp., PetroChina Co. and Korea Gas Corp., is still weighing an investment decision that’s expected by early 2019, Shell’s Chief Executive Officer Ben Van Beurden said on a conference call Thursday.

“We need to get the timing properly right — we think we can,” he said. “If we look at an investment decision in the next 18 months or so, this is going to be a project that could start producing right at the moment when the spot market, the short-term market is getting very tight again.” read more

Shell sees oil demand peaking by late 2020s as electric car sales grow

By Ron Bousso and Karolin Schaps

LONDON, July 27 (Reuters) – The world’s oil consumption could peak as early as the end of the next decade as electric vehicles become more popular, Royal Dutch Shell Chief Executive Ben van Beurden said on Thursday.

The prospect of a decline in oil consumption after more than a century of growth as the world switches to burning cleaner fuels is gathering pace. On Wednesday Britain announced plans to ban diesel and gasoline vehicles by 2040, following a similar move by France. read more

Malaysia’s Petronas scraps $11.4-billion LNG project in B.C.

CALGARY and OTTAWA — The Globe and Mail

Published

Last updated

Malaysia’s Petronas has cancelled plans for an $11.4-billion liquefied natural gas terminal on the B.C. coast, a major blow to Canada’s efforts to become a global LNG supplier.

The move to scrap the Pacific NorthWest LNG plant, which had been slated for Lelu Island near Prince Rupert, comes after five years of study, a period in which LNG prices fell as other countries such as Australia and the United States started up multibillion-dollar facilities. read more

Shell’s Prelude FLNG vessel reaches gas field site in Australian waters

EBR Staff WriterPublished 25 July 2017

Royal Dutch Shell’s Australian subsidiary has confirmed the arrival of the Prelude floating liquefied natural gas (FLNG) facility in Australian waters from South Korea.

The 488m-long FLNG facility began its journey from the Samsung Heavy Industries (SHI) shipyard in Geoje to Australia in late June to reach the offshore Prelude gas field, located about 475km north-north east of Broome in Western Australia.

According to Shell Australia, the floating facility will extract and liquefy gas from the Prelude gas field prior to its export to the company’s customers around the world. read more

Chinese appetite for LNG increasing

By Daniel J. Graeber: July 24, 2017

July 24 (UPI) — The Chinese appetite for liquefied natural gas increased more than 30 percent from last year, according to the latest government data.

The Chinese General Administration of Customs reported LNG imports to China increased dramatically as the country looks to rely less on coal for its energy needs. First half demand was up 38.3 percent from last year.

“The growth rate is higher than the 21.2 percent increase registered in the same period last year, partly encouraged by the lowering policy barriers for LNG from the United States to enter the Chinese market,” the official Xinhua News Agency reported. read more

Shell’s textbook lesson on how to lose $1bn on a Mayo gas gusher

Don’t make the mistakes that Shell made in the early days in term of how it approached the concerns of the local community.

Richard Curran: 

The State could be a big loser from Shell’s heavy financial hit on the Corrib gas field. If tax losses racked up by Shell are carried over to the new owners, it will reduce the corporation tax receipts on what will be a profitable venture for some shareholders in the years ahead.

So how did Shell manage to lose nearly $1bn (€870m) on the enormous commercial gas find off the west coast? One easy but rather simplistic explanation is that the protests not only delayed the project but ended up costing Shell a fortune. But $1bn? Hardly. read more

Critics argue for Groningen shutdown at Dutch court hearing

Jul. 13, 2017 2:59 PM ET|By: , SA News Editor

Angry Dutch residents living near the huge Groningen gas field told a hearing today at the Netherlands’ highest court that production should be totally stopped, accusing oil companies of causing minor earthquakes and the government of lying.

The Council of State is holding two days of hearings to consider appeals against a government plan to cut production at the field by an additional 10% starting Oct. 1.

Gas production company NAM, a joint venture between Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM), has accepted responsibility for damage caused by the quakes, for which it is paying more than €1B. read more

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