LNG news

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Australia Australia Sparrows Group secures contract with Chevron Australia

Sparrows Group (Sparrows) has secured a contract with Chevron Australia for work on the Gorgon and Wheatstone natural gas facilities. Sparrows will support the safety and reliability of Chevron’s onshore and offshore lifting operations by providing inspection and maintenance services for cranes and lifting equipment.

The significant award, which marks Sparrows first large contract in the Pilbara region of Western Australia, will see the company hire local personnel including lifting engineers, mechanical and electrical technicians, rope access, inspectors, and crane supervisors. Sparrows will manage the routine inspection, maintenance, and recertification of a variety of crane types located at both facilities, including offshore pedestal, fixed plant, bridge, gantry, and monorail cranes. In addition, lifting and rigging equipment for operations will be supplied, inspected, and maintained by Sparrows and delivered in accordance with Chevron’s safety requirements.

The Chevron-operated Wheatstone and Gorgon facilities are two of Australia’s largest resource developments and are among the world’s largest natural gas projects.

Stewart Mitchell, CEO at Sparrows, said: “The upkeep of maintenance and inspection is paramount on production facilities like these to ensure the safety of critical lifting operations. Australia is a key region for us, and it has huge potential given the importance of LNG as an energy transition fuel. Currently we are working on several LNG facilities across Australia, and we aim to expand the delivery of our specialist maintenance, repair, inspection, and NDT services to our customers here.”

Vietnam Vietnam Stena and Delta Offshore Energy announce FEED agreement

Stena Power & LNG Solutions has announced it has been awarded a contract by Delta Offshore Energy (DOE) to provide front-end engineering design (FEED) for usage of Stena’s jettyless LNG transfer and regasification solutions.

DOE will employ Stena’s Jettyless Floating Terminal (JFT) and Self-installing Regas Platform (SRP) to assist in providing energy to the 3200 MW power plant project to be located at Bac Lieu province in the Mekong Delta, Vietnam.

A Technology License Agreement was previously reached in August 2020 for DOE to utilise Stena’s proprietary jettyless technology.

Svein Hellesmark, Chief Technology Officer, Stena Power & LNG Solutions, said: “The FEED agreement is a pivotal milestone in our service provision to DOE for this important, large scale energy infrastructure project in Vietnam. Our jettyless LNG-topower technology has been created to meet demand for more flexible LNG import and export terminals, such as is required for the hugely exciting Bac Lieu LNG to Power Project.”

Bobby Quintos, Managing Director of DOE added: “The JFT and the SRP are key components of our LNG-to-power solution for Bac Lieu. They allow us to position the LNG receiving terminal offshore, and thereby to minimise the project’s impact on land and on the coastline of Bac Lieu. This is a benefit of great value to the province because the coast sustains shrimp farms, mangroves, and salt beds, all of which are important to the regional economy and environment.”

The JFT and SRP will be located approximately 40 km off the Vietnam shoreline. The FEED will include detailed model testing to ensure optimum performance with the environmental conditions in the Mekong Delta.

China China GTT receives order for membrane full containment LNG storage tanks

GTT has received an order from its partner China Huanqiu Contracting & Engineering Co. Ltd (HQC) for the design of four very large membrane full containment LNG storage tanks. This order is part of the new co-operation agreement related to the Tianjin Nangang LNG terminal, signed in March 2021 between BGG and GTT. It completes the order for two similar tanks signed in June 2020 with HQC.

GTT will design the tanks of all the four latest generation membrane storage tanks related to the Phase II of the project. Each tank will offer a net capacity of 220 000 m3 and will be fitted with GST® technology, developed by GTT. The tanks will be delivered in 3Q23 in the Tianjin south port Industrial Zone.

LNGNEWS

Canada Canada Woodside to exit Kitimat LNG

Woodside has decided to exit its 50% non-operated participating interest in the proposed Kitimat LNG (KLNG) development, located in British Columbia, Canada.

The exit will include the divestment or wind-up and restoration of assets, leases, and agreements covering the 480 km Pacific Trail Pipeline route and the site for the proposed LNG facility at Bish Cove. Woodside will retain a position in the Liard Basin upstream gas resource.

Woodside will work with Kitimat Joint Venture participant and operator Chevron Canada to protect value during the exit. Chevron announced its plan to divest its 50% interest in KLNG in December 2019.

The costs associated with the decision to exit KLNG are expected to impact 2021 net profit after tax (NPAT) by approximately US$40 - US$60 million. These costs will be excluded from underlying NPAT for the purposes of calculating the dividend.

Woodside Acting CEO Meg O’Neill said exiting KLNG will allow Woodside to focus on the successful delivery of higher value opportunities in Australia and Senegal.

“Following Chevron’s decision to exit KLNG and subsequent decision in March 2021 to cease funding further feasibility work, Woodside undertook a comprehensive review of our options for the project and our wider development portfolio.

“The Kitimat LNG proposal was designed to develop a new source of LNG to supply Asian markets in the latter part of this decade. However, we have decided to prioritise the allocation of capital to opportunities that will deliver nearer-term shareholder value.

“Woodside is focused on working towards the targeted Final Investment Decision for the Scarborough LNG development in Western Australia in the second half of 2021 and the continued successful execution of our Sangomar oil project offshore Senegal.

“Retaining an upstream position in the prolific Liard Basin provides Woodside a low-cost option to investigate potential future natural gas, ammonia, and hydrogen opportunities in British Columbia,” O’Neill said.

India India Total to supply LNG to ArcelorMittal Nippon Steel

Total and ArcelorMittal Nippon Steel (AMNS) have signed an agreement for the supply of up to 500 000 tpy of LNG until 2026.

The LNG will be sourced from Total’s global portfolio and offloaded either in the Dahej or the Hazira LNG Terminal, on the West Coast of India. AMNS will use the LNG to run its steel and power plants located in Hazira, Gujarat state, India.

“We are pleased to partner with AMNS and to supply the growing industrial LNG demand in India, a country that aims to more than double the share of natural gas in its energy mix by 2030 compared to today,” said Thomas Maurisse, Senior Vice President LNG at Total. “The supply of LNG will contribute to the reduction of AMNS’s carbon emissions, in line with Total’s ambition to offer its customers energy products that emit less CO2 and to support them in their own low-carbon strategies.”

This agreement strengthens Total’s relationship with AMNS and contributes to the decarbonisation of India’s steel industry, which still relies heavily on coal.

Total is the world’s second largest privately owned LNG player, with a global portfolio of nearly 50 million tpy by 2025 and a global market share of around 10%.

THE LNG THE LNG ROUNDUP ROUNDUP

KBR to support Nigerian FLNG project IDB Invest to fi nance Invenergy and

BW LNG project in El Salvador Gas and Heat SpA signs contract with

Astilleros Armon Gijon shipyard

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LNGNEWS

Nigeria Nigeria JGC awarded pre-FEED contract for FLNG in Nigeria

JGC Holdings Corporation has announced that JGC Corporation, which operates the overseas engineering, procurement, and construction (EPC) business of the JGC Group, has been awarded the pre-front end engineering and design (pre-FEED) contract for a floating LNG (FLNG) facility project in the Federal Republic of Nigeria as planned by UTM Offshore Ltd, a local private company engaged primarily in crude oil sales and construction equipment leasing, and the Nigerian National Petroleum Corp.

This project calls for the pre-FEED of a FLNG facility with a production capacity of 1 200 000 tpy using gas from the Yoho gas field owned by ExxonMobil and the Nigerian National Petroleum Corp. After the completion of the pre-FEED, then FEED and EPC phases are planned. This will be the first FLNG facility in Nigeria and is a milestone project.

There are numerous undeveloped small scale offshore oil and gas fields not only in Nigeria but also in other African countries, with various projects planned including FLNG plants. JGC Corporation is currently executing the EPC of two FLNG facilities: for PETRONAS in Malaysia, and for Coral FLNG SA in Mozambique. Through the awarded project, the company aims to expand its business into the African region, which is expected to grow in the future, and contribute to the further development of industry and infrastructure.

Australia Australia INPEX forms partnership with FEnEx CRC

Japanese energy company INPEX has signed an agreement with the Future Energy Exports Co-operative Research Centre (FEnEx CRC) – the newest industry partner to join the world class research and development of new technologies that will lower the cost and carbon emissions of energy production in Australia.

The partnership with FEnEx CRC involves research funding of AUS$1.5 million, supporting studies on efficiency of LNG production value chains, digital technologies, and new hydrogen energy and export to market.

INPEX President Director Australia Hitoshi Okawa said he was pleased to partner with FEnEx CRC to undertake studies to research and develop innovative solutions for producing clean and sustainable energy in Australia with important benefits for energy importers, including Japan.

“As a proud member of the Australian business community for more than 30 years and the operator of Ichthys LNG, INPEX is pleased to support high value research and development to lower our carbon footprint, consistent with the Paris Agreement,” said Mr Okawa.

FEnEx CRC research is supported by a grant from the Commonwealth Department of Industry, Science, Energy and Resources through the Co-operative Research Centres programme. The CRC will champion industry-led research, education and training to strengthen the sustainability of the LNG sector and develop a complementary hydrogen export industry in Australia.

23 - 25 August 2021

Canada Gas & LNG Exhibition & Conference 2021

Vancouver, Canada

www.canadagaslng.com

04 - 06 October 2021

ILTA

Houston, USA

https://ilta2021.ilta.org 13 - 16 September 2021

Gastech Exhibition & Conference 2021

Singapore

www.gastechevent.com

15 - 18 November 2021

ADIPEC

Abu Dhabi, UAE

www.adipec.com 21 - 23 September 2021

Global Energy Show

Alberta, Canada

www.globalenergyshow.com

30 November - 01 December 2021

21st World LNG Summit & Awards Evening

Rome, Italy