Q4 2023 Activities and Opportunities

  • Russia’s biggest LNG producer began production at its Arctic LNG 2 project - despite U.S. sanctions - in a move that could provide some relief to the tight global market for the fuel. The first train of the Novatek PJSC-led Arctic LNG 2 project “has actually started operating", Russia’s Deputy Prime Minister Alexander Novak said in an interview with state-run Rossiya 24 TV channel. (Rigzone, 28 December 2023).

  • Abu Dhabi National Oil Co. (ADNOC) has signed a preliminary agreement to supply a Singapore LNG distributor at least one million tons per annum for 15 years. Most of the LNG for ENN LNG Pte Ltd would come from the yet-to-be-constructed Ruwais LNG production project in Abu Dhabi, state owned ADNOC said in a recent press release, noting this is the first long-term heads of agreement for the project. (Rigzone, 26 December 2023).

  • Equinor has agreed to supply Germany’s state-owned integrated midstream energy company SEFE GmbH (Securing Energy for Europe) with 10 billion cum/year (bcmy) of natural gas from the Norwegian continental shelf beginning Jan. 1, 2024, until 2034, the equivalent of one-third of German industrial demand. The agreement includes an option for an additional 5 years, at terms reflecting market prices, the operator said in a release Dec. 19. The five-year option is for 29 bcm over the period. (Oil & Gas Journal, 20 December 2023).

  • Mexico Pacific Ltd has agreed to supply 1.3 million tonnes/year (tpy) of LNG, equivalent to about 18 cargoes/year, to Woodside for 20 years. With the agreement, Woodside adds a new source of LNG into its trading portfolio, complementing Woodside’s produced LNG supply, and allowing greater scale and portfolio flexibility, Woodside’s chief executive officer Meg O’Neill said in a December 56 release. (Oil & Gas Journal, 6 December 2023).

  • The US Energy Information Administration (EIA) expects North America’s LNG export capacity to more than double to 24.3 Bcfd by end-2027 from its current 11.4 Bcfd. (Oil & Gas Journal, 14 November 2023).

  • Excelerate Energy inc. has signed a sale and purchase agreement Bangladesh Oil, Gas and Mineral Corporation (Petrobangla) to supply LNG for 15 years beginning in January 2026. Excelerate will deliver 0.85 million metric tons of LNG per annum in 2026 and 2027, and 1 million metric tons per annum thereafter. (Rigzone, 10 November 2023).

  • QatarEnergy has signed another 27-year off-take deal with China Petrochemical Corp. (Sinopec) for 3 million metric tons per annum of LNG from the two North Field expansion projects. (Rigzone, 7 November 2023).

  • TotalEnergies has signed an amendment to extend its partnership with Oman LNG, an Omani liquefied natural gas (LNG) joint venture in which the company holds a 5.54 per cent stake. Located on the northeast coast of Oman, the Oman LNG liquefaction complex comprises two liquefaction trains, each with a capacity of 3.8 million tonnes of LNG per year (Mtpa). (Petroleum Australia, 6 November 2024)

  • Chesapeake Energy Marketing LLC has entered into a heads of agreement with Vito Inc. to supply up to 1 million metric tons of LNG per annum with the purchase price indexed to the Japan Korea Marker for 15 years, beginning in 2028. (Rigzone, 2 November 2023).

  • Cheniere Energy’s 20-year sale and purchase agreement with China’s Foran Energy is the first contract expected to support a second train at the Cheniere’s Sabine Pass expansion project. Under the agreement, Foran agreed to purchase approximately 0.9 million tonnes per annum of LNG for 20 years from Cheniere Marketing. (Hart Energy, 2 November 2023).

  • Eni has signed a three-year deal with Merakes LNG to boost Eni’s LNG portfolio with a further 0.8 million cubic metres (28.2 Bcf). (Rigzone, 31 October 2023).

  • ADNOC Gas plc has closed a multiyear LNG supply agreement valued at $500-700 million, with Japan’s JERA Global Markets, a trading subsidiary of JERA Co., Inc. (Rigzone, 19 October 2023).

  • Global demand for LNG is likely to prove stronger than expected and the current pipeline of projects won’t be enough to keep up, according to Kenichi Hori, president of Mitsui & Co., one of Japan’s top LNG traders. (Rigzone, 17 October 2023).

  • Affiliates of QatarEnergy and TotalEnergies SE have signed two long-term LNG sale and purchase agreements for the supply of up to 3.5 Mtpa of LNG to France. Deliveries are expected to start in 2026 for a term of 27 years. (Rigzone, 12 October 2023).

  • QatarEnergy has officially started construction of the North Field expansion project which will increase Qatar’s LNG production capacity from 77 Mtpa to 126 Mtpa. (Rigzone, 4 October 2023).

See past activities and opportunities for companies like Gulf Energy below: