#lng

  • Amid an Export Boom, the U.S. Is Still Importing #Natural_Gas - Bloomberg
    https://www.bloomberg.com/news/articles/2018-12-27/amid-an-export-boom-the-u-s-is-still-importing-natural-gas

    The U.S. may be exporting natural gas at a record clip, but that hasn’t stopped it from accepting new imports. A tanker with fuel from Nigeria has berthed at the Cove Point import terminal in Maryland, while a second ship with Russian gas is idling outside Boston Harbor.

    Pipeline constraints, depleted stockpiles and a 98-year-old law barring foreign ships from moving goods between U.S. ports is opening the way for liquefied natural gas to be shipped from overseas with prices expected to spike as the East Coast winter sets in.

    The two tankers are carrying about 6 billion cubic feet of #LNG, enough to power 150,000 homes for a year. At one point Thursday, the ship carrying Nigerian fuel to Cove Point passed another tanker in the Chesapeake Bay filled with U.S. gas that was headed abroad.

    It is ironic,’” said John Kilduff, a partner at Again Capital LLC in New York. But the “super cheap gas” produced in the nation’s shale fields “is trapped down west of the Mississippi unable to serve its own market,” he said by phone. “The gas is where the people aren’t.

    bout the money. The companies shipping the gas into Maryland — BP Plc and Royal Dutch Shell Plc — will likely have it stored until freezing East Coast temperatures push prices higher as local suppliers struggle to meet demand, according to Trevor Sikorski, head of natural gas, coal and carbon with the London-based industry consultant Energy Aspects Ltd. in a note to clients on Wednesday.

    Meanwhile, the gas being exported out will likely fetch higher prices right now in Europe and Asia. Dominion Energy Inc., which owns the Cove Point terminal, didn’t respond to emailed and telephone requests seeking comment.

    Other factors are at play as well. For instance, American providers can’t just ship LNG from shale fields in the south because the giant ships that transport the super-chilled fuel sail under foreign flags. Under the 1920 #Jones_Act, that means none can legally transport LNG to the Northeast from existing export terminals in Louisiana and Texas.

    At the same time, even the vast pipeline network feeding the region can quickly develop bottlenecks at a time when stockpiles are sitting at their lowest levels for this time of year since 2002. While production is soaring, strong demand from more and more U.S. power plants using the fuel, along with new export terminals, soaks up much of that new supply.

    There’s still some logistics and pipelines that need to be built to match out to where the demand is,” Kilduff said.

    #GNL

  • Gas tanker attacked near key shipping lane off #Yemen | Reuters
    http://www.reuters.com/article/us-yemen-shipping-attack-idUSKCN12Q1UQ

    Unknown assailants attacked a gas tanker off the coast of Yemen close to the Bab al-Mandab waterway in the latest flare up in an area through which much of the world’s oil passes, shipping and security officials said on Wednesday.

    The incident, the first attack on a commercial ship since July, followed missile attacks in recent weeks on military craft, including U.S. navy vessels, which were launched from Yemen that had already raised risks for merchant shipping.

    Shipping group Teekay said its #LNG (liquefied natural gas) tanker Galicia Spirit “experienced a suspected piracy attack whilst off the coast of Yemen” on Oct. 25.

    No third parties managed to board the vessel during the incident and all crew members are safe and have been accounted for,” Teekay said in a statement.

    As a precaution, the vessel had a Djibouti warship in attendance when heading away from the area. She has now left the high risk area without any further issues,” it added without further details.

    Maritime security sources said the incident occurred near #Perim_Island, which is about 14 km from the southern Yemeni coast and the site of a lighthouse for ships passing through the Bab al-Mandab.

    British maritime security firm MAST said a small vessel had approached the tanker and fired a rocket propelled grenade (RPG).

    MAST understands that the vessel had no armed security team on board, and that the vessel sustained small arms fire as well as the RPG,” it said. “It is unclear whether this is a terrorist attack or piracy.”

    #Bab_el_Mandeb