Marchés des Devises

Oct 31 - US LNG export gains at risk if Trump wins election and boosts tariffs, analysts say
U.S. exporters of liquefied natural gas could face new hurdles if Republican Donald Trump wins the presidential election because of a proposed 60% tariff on imports from China, despite the former president's pledge to speed new energy permits, say analysts. The U.S. became the world's largest exporter of the super-chilled gas last year, generating tens of billions of dollars in annual trade.  

Oct 31 - UK increases windfall tax on North Sea oil and gas producers
The British government will increase a windfall tax on North Sea oil and gas producers to 38% from 35% and extend the levy by one year, finance minister Rachel Reeves announced on Wednesday. Presenting the first budget under the new Labour government, Reeves said the increase to the windfall tax, known as the Energy Profits Levy, will take effect on Nov. 1.

Oct 30 - Tentative green energy shoots at risk from US vote uncertainty
Renewable energy shares, reeling from an investor retreat, face extended uncertainty as the U.S. election has added to wariness, leaving only selected stocks poised to benefit from any boost lower interest rates could provide to funding. The sector achieved bubble-like valuations in 2020-21, as major funds piled in, attracted by falling development costs. 

Oct 30 - Panama Canal seeks LNG comeback after 65% decline in traffic
The Panama Canal aims to regain vessel traffic carrying U.S. liquefied natural gas to Asia as demand in that market rises and a new reservation system allows shippers to lock in slots, following a 65% decline in the transit of its second-most important segment, the Panama Canal Authority told Reuters. A U.S. LNG switch to Europe in the aftermath of Russia's invasion of Ukraine, combined with long waiting times and expensive fees to transit through Panama due to severe drought, have kept many LNG ships out of the canal. 

Oct 29 - US dispatchable clean power output hit by hydro slump: MaguireAn enduring drought across much of the western United States has caused a drop in U.S. hydro power generation to a 23-year low so far in 2024, data from the U.S. Energy Information Administration (EIA) shows. The fall in hydro generation has been somewhat overshadowed by the climb in output from renewable sources, which have helped lift total U.S. clean power production to new highs this year. However, reduced generation from hydro dams has limited the volume of clean power that can be dispatched on command, and has meant that power suppliers have had to deploy record volumes of natural gas balance system demand requirements. 

Oct 29 - LNG shipping rates tumble to multi-year lows as new vessels come online
Liquefied natural gas shipping rates have hit multi-year lows and may extend losses going into 2025, analysts and shipping sources said, with new tankers being added at a faster rate than LNG production is rising and spot demand still tepid. New LNG tankers, built in anticipation of rising U.S. exports after a plunge in Russian gas supplies to Europe in 2022, are coming online earlier than liquefaction projects, which have been delayed amid inflation from strong wage growth and a shortage of skilled labour and equipment.

Oct 28 - Zero carbon ammonia for shipping faces cost, safety challenges
At one of the world's biggest bulk export ports in Western Australia, shippers safely completed the first transfer of ammonia from one vessel to another last month, a key test for its adoption as a marine fuel in the push for cleaner energy. The first cargo ships that would be powered by ammonia are set to enter service in 2026, one of several alternatives the industry is tapping to shrink a carbon footprint accounting for nearly 3% of global emissions.

Oct 28 - Russia's Novatek shuts down commercial operation at Arctic LNG 2 train, source says
Russia's Novatek shut down commercial operations at the first and only operational train of its Arctic LNG 2 project earlier this month with no plans to restart it during winter, one source familiar with the matter told Reuters on Friday. The train was shut down on Oct. 11, the source said.

Oct 25 - Equinor eyes lower spending on renewables after Orsted transaction
Equinor said on Thursday it may invest less in renewable energy towards 2030 following its acquisition this month of a stake in wind power group Orsted, while reporting weaker-than-expected third-quarter profits. Equinor on Oct. 7 announced a $2.5 billion purchase of a 9.8% stake in Orsted, surprising some investors, and said it planned to raise this to 10% pending regulatory permission. 

Oct 25 - US power system becomes more fossil-dependent than China's: Maguire
Utilities in the United States have relied on fossil fuels to generate a larger share of electricity than their counterparts in China since June, seriously undermining U.S. claims to be a leader in energy transition efforts. U.S. utilities have relied on fossil fuels to generate an average of 62.4% of total electricity production for the past four months, according to data from energy think tank Ember.

Oct 24 - LNG-fuelled trucking accelerates in Asia, denting diesel demand
Trucking fleets in China are embracing cleaner-burning liquefied natural gas (LNG) for fuel, a trend neighbouring India wants to emulate, accelerating a decline in diesel demand and rattling suppliers to the world's biggest oil importer. The rise of LNG trucks in China comes on top of world-leading electric vehicle (EV) adoption there and a prolonged economic slowdown, dampening demand in what for decades has been the main driver in oil consumption growth, with crude imports down 2.8% so far this year, weakening global prices. 

Oct 24 - China's appetite for thermal coal driving up imports, prices: Russell
China is adding renewable energies such as wind and solar to its electricity grid at a record pace, but it is also boosting the use of coal-fired generation, with September data showing a sharp increase. The world's second-biggest economy saw power generation of 802.4 billion kilowatt-hours (kWh) in September, an increase of 6.0% from the corresponding month last year, official data showed last week.

Oct 23 - LNG buyers call for more flexible supply to adapt to variable power demand
Japan and other top liquefied natural gas (LNG) buyers are calling for more supply flexibility in order to adapt to variable power demand, industry executives said on Tuesday. LNG suppliers such as Qatar prefer long-term contracts with buyers that can last decades to secure financing for what can be multi-billion dollar projects. 

Oct 23 - Three Mile Island nuclear plant gears up for Big Tech reboot
Constellation announced last month that it would revive the half-century-old Three Mile Island with the purpose of fueling Microsoft's data centers. Microsoft is expected to pay at least $100 a megawatt-hour, nearly double the typical cost of renewable energy in the region, as part of the 20-year power contract.

Oct 22 - Qatar LNG sales to key Asian markets confronted by US, UAE rivalry
Qatar is finding it hard to agree new deals to supply liquefied natural gas (LNG) to Japan and South Korea as rising competition from the U.S. and elsewhere with more flexible contract terms challenges Doha's decades-old dominance of the market. Qatar was once the top LNG supplier to Japan and South Korea, but buyers are showing preference for supplies from the United States, the United Arab Emirates and Oman. These suppliers all offer shorter-term contracts and unlike Qatar do not restrict the cargoes' final destination. 

Oct 22 - Next wave of LNG supply delayed to 2027 due to project hold-ups, TotalEnergies says
The next wave of liquefied natural gas (LNG) supply will come online from 2027, later than the earlier forecast of 2025, due to project delays, TotalEnergies' Senior Vice President for LNG Gregory Joffroy said. "On the mid-term (outlook), we see some LNG projects that were due to come onstream in the coming months have been delayed. The exact start date will impact the gas balances and supplies," Joffroy said at the Asia Gas Markets conference.

Oct 21 - Analysts expect EU carbon prices to soar by 2027
Analysts expect EU carbon permit prices will soar by 2027 as policy measures shrink supply, while their forecasts for 2025 and 2026 were little changed, a quarterly Reuters survey showed on Friday. The EU's Emissions Trading System (ETS) is Europe’s main tool for curbing emissions to meet its climate targets and forces manufacturers, power companies and airlines to pay for the carbon dioxide they emit by surrendering carbon allowances. 

Oct 21 - Australia's Woodside says open to supplying LNG to Japan from US
Australia's top energy firm Woodside Energy sees an opportunity to beef up LNG sales to Japan, including supply from the United States, where the company just bought Tellurian and its LNG export project, CEO Meg O'Neill said. With this new position in the U.S., Woodside will be able to "offer our Japanese buyers even more supply for the long term", O'Neill said at a media briefing on the sidelines of the Singapore International Energy Week conference.

Oct 18 - BP weighs sale of minority stake in offshore wind business, sources say
BP is considering selling a minority stake in its offshore wind business, according to four sources with knowledge of the matter, the latest effort by CEO Murray Auchincloss to scale back the energy company's focus on renewables. The company has faced pressure from shareholders over its energy transition strategy, first launched in 2020, as renewables profit thinned while margins from oil and gas rose.  

Oct 18 - Tankers carrying Russian LNG drop Arctic routes as winter approaches, data shows
Ships carrying Russian liquefied natural gas to Asia are returning to the longer routes around Africa's Cape of Good Hope rather than those along the Arctic shore as the winter season begins, LSEG data showed on Thursday. Russia's new Arctic LNG 2 project also lacks enough ice-class gas carriers to continue navigation along the Northern Sea Route, although some such tankers still sail it.

Oct 17 - US Supreme Court won't pause EPA power plant emissions rule
The U.S. Supreme Court declined on Wednesday to put on hold a new federal rule targeting carbon pollution from coal- and gas-fired power plants at the request of numerous states and industry groups in another major challenge to President Joe Biden's efforts to combat climate change. The justices denied emergency requests by West Virginia, Indiana and 25 other states - most of them Republican led - as well as power companies and industry associations to halt the Environmental Protection Agency rule while litigation continues in a lower court.  

Oct 17 - Russia has begun designing nuclear-powered submarines to export gas, says top official
Russia has begun designing nuclear-powered submarines to export liquefied natural gas from the Arctic to Asia to try to nearly halve the journey time along the Northern Sea Route, a senior state official has said. Russia already uses nuclear-powered ice breakers to pave the way for such transport via the NSR, which runs along Russia's Arctic shores from Murmansk in the west to the Bering Strait in the east, a route Moscow sees as a faster alternative to the Suez Canal and has plans to develop. 

Oct 16 - EU energy ministers discuss Ukraine energy crisis, Russian LNGEU energy ministers met in Luxembourg on Tuesday to discuss the bloc's rising Russian LNG imports, Ukraine's energy shortages ahead of winter and how to balance energy prices across member states, officials said. The EU agreed a 14th package of sanctions in June including a ban on transhipments of Russian gas as of March next year but stopped short of an outright ban.

Oct 16 - Turkey cements position as Europe's top coal-fired power system: MaguireTurkey has spent eight of the first nine months of 2024 as Europe's largest producer of coal-fired electricity, overtaking Germany and Poland as it cranked coal burning for power. Turkey generated a record 88 terawatt hours of electricity from coal during January through September, according to energy think tank Ember, which was 2% more than during the same period in 2023.

Oct 15 - More transparency on Russian gas imports sought by EU countries, document showsA group of EU countries including France and the Baltic states have asked the European Commission to tighten reporting rules across the bloc on Russian LNG imports, a letter sent to the commission on Monday showed. The EU adopted a 14th package of sanctions in June that included a ban on trans-shipments of Russian liquefied natural gas in its port areas. Moscow has been using European ports to trans-ship onto other vessels for farther destinations in Asia.  

Oct 15 - Africa's road map to a bigger, greener power system: Maguire
Africa may be set to transform itself from a relative clean-energy laggard into a power-sector pioneer. African power firms have plans to dramatically expand the continent's energy generation base and make it far cleaner. This could help fuel Africa's expected economic acceleration over the coming decades and provide jobs for its population of roughly 1.5 billion.

Oct 14 - Canadian natural gas firms eager for LNG boom swamp market with excess supply
A huge liquefied natural gas export terminal led by Shell, called LNG Canada, may struggle to dramatically raise Canadian natural gas prices when it starts operating next year because a flood of pent-up supply is waiting to hit the market, analysts said. Gas prices at Alberta's AECO hub hit a two-year low of 5 Canadian cents per million British thermal units in late September as storage filled up. 

Oct 14 - Japan could boost LNG buys for emergency reserve to nearly 1 mln T a year, METI official says
Japan is considering stepping up purchases of liquefied natural gas for emergency needs to at least 12 cargoes a year from three now, an official of its industry ministry said, to guard against unexpected supply shocks. The reserve-boosting plan entails additional purchases by the world's second biggest buyer of LNG after China, increasing its buys to at least 0.84 million tonnes of LNG per annum from 0.21 million now.

Oct 11 - Hungary says TurkStream could help supply Europe with gas if transit via Ukraine ends
The TurkStream pipeline that ships Russian gas to Turkey via the Black Sea could help Europe to cope with the expected loss of gas pumped via Ukraine, Hungarian Foreign Minister Peter Szijjarto said on Thursday. A five-year deal between Kyiv and Moscow on Russian gas transit via Ukraine to Europe will expire on Dec. 31. An extension is seen as unlikely, given the military conflict between the two countries. 

Oct 11 - Italy eyes Westinghouse, EDF as partners for nuclear-power firm, sources say
Italy is considering U.S. energy group Westinghouse or France's EDF as potential international partners for a state-backed company that will build advanced nuclear reactors in the country, two sources familiar with the matter said on Thursday. Nuclear-fired power plants are prohibited in Italy following referendums in 1987 and 2011.

Oct 10 - Italy to present plan by end of year to revive nuclear energy
Italy aims to introduce a draft law by the end of the year allowing the resumption of domestic nuclear power production, Energy Minister Gilberto Pichetto Fratin told a parliamentary hearing on Wednesday. The law - which will need to be approved by parliament - aims to create a favourable environment for private investments also through state financial support for the early stages of nuclear projects in the country, Pichetto said later in the day, speaking during a Q&A session in parliament.

Oct 10 - Gas line connection to Exxon's FPSOs in Guyana completed, executive says
A pipeline that would allow Guyana to bring natural gas produced by an Exxon Mobil-led consortium to shore has been connected to two of the project's floating production platforms, Exxon's head for Guyana was reported as saying on Wednesday. The "Gas-to-Energy" project by Guyana's government aims to feed a 300-megawatts power plant and a natural gas liquids (NGL) facility with gas produced at two Floating Production Storage and Offloading (FPSO) facilities that are part of Exxon's Stabroek block.

Oct 09 - US natgas output to decline as demand hits record high in 2024, EIA says
U.S. natural gas production will decline in 2024 while demand will rise to a record high, the U.S. Energy Information Administration (EIA) said in its Short Term Energy Outlook on Tuesday. EIA projected dry gas production will ease from a record 103.8 billion cubic feet per day (bcfd) in 2023 to 103.5 bcfd in 2024 as several producers reduce drilling activities after average monthly spot gas prices at the Henry Hub benchmark fell to a 32-year low in March.

Oct 09 - Arbitration rules in favour of BP as sole buyer of Kosmos Energy's Senegal LNG project
Kosmos Energy said on Tuesday a Paris-based arbitrator has ruled in favour of BP, prohibiting Kosmos from selling to third parties liquefied natural gas from the Greater Tortue project offshore Senegal and Mauritania. LNG is key to BP's strategy and broader energy transition plan. The energy major has managed to establish a significant LNG portfolio across the world including Sub-Saharan Africa, which is set to become a significant source of LNG exports with Nigeria, Angola, Cameroon and Equatorial Guinea already shipping large volumes.

Oct 08 - Kyiv will not extend gas transit deal, Ukraine tells Slovakia
Ukraine will not extend its gas transit agreement with Russia after it expires at the end of 2024, Ukrainian Prime Minister Denys Shmyhal told Slovak Prime Minister Robert Fico on Monday. The two held talks in Uzhhorod in western Ukraine and, according to a Ukrainian official, were focused on infrastructure cooperation, energy security and support for Kyiv's peace plan. 

Oct 08 - Equinor buys 9.8% stake in offshore wind developer Orsted
Norway's Equinor has bought a 9.8% stake valued at around $2.5 billion in Danish offshore wind farm developer Orsted, it said on Monday, as it seeks to build up its renewables portfolio. Orsted shares have dropped 69% from their 2021 all-time high as the offshore wind sector has faced surging costs and technical problems with turbines.

Oct 07 - Japan expands LNG flexibility via cooperation with S.Korea, Italy
Japan has agreed on Sunday to study cooperating with South Korea and Italy on procurement of liquefied natural gas (LNG) as the world's second-biggest LNG importer after China seeks greater flexibility while strengthening its energy security. JERA, Japan's biggest utility company, and South Korea's Korea Gas Corp (KOGAS), also a major LNG buyer, are collaborating on opportunities for joint procurement, cargo swaps and other forms of cooperation, Japan's Ministry of Economy, Trade and Industry (METI) said in a statement on Sunday. 

Oct 07 - Latin America gears up for clean hydrogen boom but the road is not smooth
Latin America's wealth of hydroelectricity and other renewable energy resources could make the region a major producer of clean hydrogen as the world seeks alternatives to fossil fuels to fight the climate crisis, but some big hurdles lie in the way. Government leaders expect a major boon for the region from clean hydrogen, also known as green hydrogen, produced using electricity from renewable sources that do not emit carbon.

Oct 04 - IEA forecasts tight supply and record gas demand in 2025
World gas demand will reach an all-time high in 2025 driven by growth in Asia, but delays to new liquefied natural gas production will curb supply, the International Energy Agency said on Thursday. Gas demand, especially in Europe, fell sharply in 2022-23 as prices soared following the loss of large volumes of Russian pipeline gas supply due to the war in Ukraine. 

Oct 04 - Ecopetrol, Petrobras announce major gas discoveries in Colombia
Colombia's state-run oil company oil Ecopetrol and Brazil's Petrobras on Thursday announced two major gas discoveries executives said would hugely increase reserves and help the Andean country remain self-sufficient for energy. The oil industry and some politicians in Colombia have repeatedly sounded concerns over the country's ability to maintain gas self-sufficiency.

Oct 03 - Dutch regulator prepares to charge electricity producers tariffs for grid
Dutch market regulator ACM is drawing up plans to charge major electricity producers a tariff for supplying electricity to the grid for the first time, saying this was needed due to rising costs. "It is important that the costs be divided equally among all users of the electric grid and that suppliers and users abroad also pay for Dutch infrastructure," ACM management board member Manon Leijten said in a statement on Wednesday.

Oct 03 - France to stick with wind power development targets
France is aiming for a target growth rate of 1.5 gigawatts per year in onshore wind power, Energy minister Olga Givernet said on Wednesday, which would be in line with the previous government's renewable energy policy goals. In the run up to parliamentary elections in the summer, the far-right National Rally made stopping wind power a feature of their election campaign, and also promised to "gradually dismantle" existing wind parks.

Oct 02 - US sets preliminary new duties on solar imports from Southeast Asia
The U.S. Commerce Department on Tuesday announced anti-subsidy countervailing duties on solar cells imported by companies in Vietnam, Cambodia, Malaysia and Thailand that were lower than some expected for several major Chinese producers. The announcement is the first of two preliminary decisions expected by the Commerce Department this year in a trade case brought by South Korea's Hanwha Qcells, Arizona-based First Solar and several smaller companies seeking to protect billions of dollars in investments in U.S. solar manufacturing. 

Oct 02 - Hydrogen project investments are accelerating but uncertainty remains, IEA says
Final investment decisions for hydrogen projects have doubled over the last 12 months, dominated by China, but installed capacity and demand are low as the industry faces uncertainty, the International Energy Agency (IEA) said in a report. The investment decisions represent a five-fold increase of current low-emission hydrogen production by 2030, with China covering more than 40% over the last 12 months, which would eclipse solar expansion at its fastest rates, the group said.

Oct 01 - Britain launches National Energy System Operator on road to net zero
Britain launched a National Energy System Operator (NESO) to oversee the country’s electricity and gas systems as it seeks to move towards its 2050 net zero climate target. As part of efforts to meet the climate goal, Britain’s Labour government aims to decarbonise the electricity sector by 2030, which will require an increase in the use of renewables, such as wind and solar, less gas use and a ramp up in infrastructure and power grid investment.

Oct 01 - PJM's record high power capacity auction draws fresh scrutiny
U.S. state utility regulators and environmental groups are contesting the process grid operator PJM Interconnection used to determine the record high capacity payments it plans to make to power generators, according to separate filings made this month. PJM Interconnection, which is the largest U.S. grid operator and covers 13 states and the District of Columbia, in July released the results of its annual capacity auction with prices that were 833% higher than the previous year.

Sep 30 - Britain to become first G7 country to end coal power as last plant closes Britain will become the first G7 country to end coal-fired power production on Monday with the closure of its last plant, Uniper’s Ratcliffe-on-Soar in England’s Midlands. It will end over 140 years of coal power in Britain. 

Sep 30 - US shelves Oregon offshore wind auction after protest from governorThe Biden administration on Friday canceled a planned auction of offshore wind development rights off the coast of Oregon after the state's governor said she did not support the sale. The announcement was a setback to U.S. President Joe Biden's vision to deploy turbines along every U.S. coastline as part of his efforts to fight climate change.

Sep 27 - The cleanest and dirtiest US state electricity systems: Maguire
There's a wide range in the proportion of U.S. electricity generated by clean energy sources, with nearly 100% of Vermont's electricity coming from low-emissions power while the territory of Puerto Rico has less than 3% clean electricity. The average clean electricity supply share for the United States as a whole is around 43% so far this year, which is a record high and up from 38% in 2019, data from energy think tank Ember shows.

Sep 27 - Texas approves plan to boost oil and gas drillers' power grid access
A Texas commission unanimously on Thursday approved the Permian Basin Reliability Plan, which is designed to expand power grid infrastructure in the United States' largest oilfield to accommodate rapidly growing demand from the oil and gas industry. The Public Utility Commission of Texas directed the Electric Reliability Council of Texas  to compile the plan in December last year, two months after ConocoPhillips, ExxonMobil, Pioneer Natural Resources, Diamondback, Chevron and Devon Energy submitted a report with financial information company S&P Global warning the commission of a significant increase in electric load demand in the Permian basin in the coming years.

Sep 26 - Oil and gas drillers embrace electric rigs, but grid may not be ready, says Dallas Fed
U.S. shale oil and gas executives are moving to electric rigs and fracking to reduce diesel emissions but grid infrastructure and cost challenges are hurdles, the Federal Reserve Bank of Dallas said on Wednesday in its quarterly energy survey. The survey of Texas, Louisiana and New Mexico executives also revealed third-quarter oil and gas production was mixed, with data suggesting oil production increased while natural gas production decreased.  

Sep 26 - EQT plans to reverse some US natgas production curtailments in Oct, CEO says
U.S. energy company EQT plans to reverse some natural gas production curtailments in October and November as demand for the fuel and prices increase, CEO Toby Rice told Reuters on Wednesday. EQT, the biggest U.S. gas producer, has along with other U.S. drillers curtailed output in 2024 after prices collapsed to multi-year lows in the spring following a mild winter that left a tremendous oversupply of fuel in storage.

Sep 25 - US nuclear plants won't power up Big Tech's AI ambitions right away
A plan by Microsoft to use the restart of a Three Mile Island nuclear reactor to help power its expanding data centers reflects the tech industry's hopes nuclear energy can be a quick and climate-friendly answer to its massive electricity needs. But it will be tough to swiftly meet soaring power demand from the data centers behind artificial intelligence with new or resurrected nuclear reactors, as companies will face high regulatory hurdles, potential fuel supply obstacles, and sometimes stiff local and environmental opposition. 

Sep 25 - Global plan for early ditch of coal power hits Indonesia hurdle
A G7-backed push to close coal power plants in emerging markets is facing further delays after a July deadline passed without a deal on the early closure of an Indonesian power plant that would be the first to shut under the initiative. The push against coal comes under the Just Energy Transition Partnerships with Indonesia, Senegal, South Africa and Vietnam that call for billions of dollars in investments, grants and loans from G7 members, multilateral banks and private lenders to help them transition to low-carbon economies.

Sep 24 - Climate goal to triple global renewable energy by 2030 within reach, IEA says
A goal to triple global renewable energy capacity by 2030 and cut fossil fuel use is within reach, the International Energy Agency said in a report, but will require a huge push to unlock bottlenecks such as permitting and grid connections. The report comes as leaders from government and business come together at New York Climate week to try to drive forward action against climate change. 

Sep 24 - Battery storage, grids needed to deliver UN goal to triple renewable energy, IEA says
Delivering on a goal set at last year's COP28 climate summit to triple renewable energy capacity by 2030 is feasible, but countries need to move quickly to deploy more electric grid connections and battery storage, according to the International Energy Agency. An IEA report said favorable economics, "ample" manufacturing potential and policies make the goal achievable.

Sep 23 - Offshore wind opponents in Australia, Europe lean on US groups for advice
Bill Thompson's fight to stop offshore wind farms was once confined to the tiny U.S. state of Rhode Island where he lives. Today, he is part of a global movement. In April, Thompson, who is director of the activist group Green Oceans, got an email from a fellow anti-offshore wind group more than 10,000 miles away called Responsible Future.

Sep 23 - China monthly economic reports understate power output as small-scale renewables surge
Surging small-scale renewables generation is helping China address growing power demand and slashing the role of coal in the country's power mix, but Beijing's widely followed monthly data reports omit output from the fast-growing sector. Data from the National Bureau of Statistics, which publishes monthly bulletins on key economic indicators, only surveys industrial firms with at least 20 million yuan of annual revenue from their main operations.

Sep 20 - Europe has coping mechanisms for life after Russian gas (Petroleum Economist)

The Ukraine–Russia gas transit and interconnection agreements are due to expire at the end of this year, but despite some uncertainty, Europe seems well-prepared

The long-running conflict between Ukraine and Russia was—even before the 2022 full-scale invasion—always bound up in the politics of energy, specifically gas. Ukraine was a key conduit for Russian gas to reach the rest of Europe, and for years Moscow was able to leverage these flows and Ukraine’s own energy requirements against first Kyiv and then the EU.

This climaxed in 2022, when the conflict entered a much bloodier and overt phase, and Putin attempted to use Europe’s heavy dependence on Russian gas in an effort to break NATO and EU cohesion and support for Ukrainian resistance. Those efforts were ultimately unsuccessful, and in the interim Europe has largely—although not entirely—weaned itself off Russian molecules.

Nevertheless, Russian gas exports to Europe via Ukraine have never stopped entirely, even as the conflict raged. That may be poised to change at the end of this year, with the expiration of two agreements that have helped ensure continued gas flows. And while, overall, Europe is much better prepared to deal with a further reduction in Russian supply, some countries are more vulnerable than others and risks still persist.
“It is hard to see how Azerbaijan would have enough extra gas supply to significantly increase its exports to Europe” Fielding, Argus

One of the two deals expiring on 31 December is the five-year transit agreement between Ukraine’s Naftogaz and Russia’s Gazprom, which allowed Russian gas to be transported through Ukrainian territory and pipelines. The second contract coming to an end is the interconnection agreement between Gazprom—in its role as Russian pipeline operator—and Ukrainian system operator GTSOU, which allows the cross-border transfer of molecules through interconnection points such as Sudzha.

Ukrainian President Volodymyr Zelenskiy stated on 27 August that “no one will extend the agreement with Russia; this is a done deal. As for the transit of gas from other companies, if the request of some of our European colleagues continues, we will consider their requests”, according to state broadcaster Ukrinform. And, earlier this year, European commissioner for energy Kadri Simson stated that “the EU has no interest in prolonging the trilateral agreement with Russia”.

“There are no negotiations underway [to extend the transit deal] and Ukraine would have no interest in extending it, even if Russian gas flow were to continue, given that the 2019 agreement features a tariff level that looks extremely low,” explained Michael Stoppard, global gas strategy lead and special adviser at information provider S&P Global Commodity Insights.

“Ukrainian authorities have been saying for several months now that there is no prospect of the Russia–Ukraine gas transit contract being extended,” confirmed Natasha Fielding, head of European gas pricing at price reporting agency Argus. Similarly, “Russian producer Gazprom and European importers are keen on continuous supplies via Ukraine, while Ukrainian officials deny any intention for a renewed agreement with Russia,” said Christoph Halser, gas and LNG analyst at consultancy Rystad Energy.

Ukrainian authorities previously seemed in favour of a higher tariff deal but changed their position in spring this year, saying they were “unable to offer capacity given the expiration at end-2024 of the separate interconnection agreement between the neighbouring gas transmission operators”, Stoppard continued.

Zelenskiy did state that Ukraine would consider requests from European companies to take on the transit agreement. This might help by “eliminating the need for Russia and Ukraine to work directly together”, said Fielding. However, this option also poses difficulties.

Sep 20 - China's August antimony exports jump on supply concerns
China's shipments of antimony products in August jumped from July as supply concerns fueled by Beijing's latest export limits on the critical mineral, used from fire retardants to weapons, propelled a flurry of rush stockpiling abroad. China last month unveiled its plan to impose export limits on antimony and related elements from Sept 15, its latest move to restrict shipments of critical minerals in which it is the dominant supplier.

Sep 20 - China monthly economic reports understate power output as small-scale renewables surge
Surging small-scale renewables generation is helping China address growing power demand and slashing the role of coal in the country's power mix, but Beijing's widely followed monthly data reports omit output from the fast-growing sector. Data from the National Bureau of Statistics (NBS), which publishes monthly bulletins on key economic indicators, only surveys industrial firms with at least 20 million yuan of annual revenue from their main operations.

Sep 20 - ADB approves $500 mln loan for Indonesia's energy transition efforts
The Asian Development Bank (ADB) said it has approved a $500 million policy-based loan to Indonesia to fund a program designed to help its energy transition efforts. Resource-rich Indonesia, which is aiming for net-zero carbon emissions by 2060, has been trying to reduce the use of coal with financial support from the G7's Just Energy Transition Partnership.

Sep 19 - German gas industry warns over wavering support for hydrogen ramp-up
German gas and water association DVGW on Wednesday warned that a ramp-up in low-carbon hydrogen technology could fall behind as participants feel discouraged by regulatory and political indecision. A survey taken from across hydrogen stakeholders in Europe's biggest economy found that the desired transition from carbon- emitting natural gas to hydrogen from renewable electricity via electrolysis is feared to be slowing.

Sep 19 - Weak demand for low-carbon products hampers green investment, COP28 initiative says
Weak demand for green products is curbing needed investment of up to $700 billion in low-carbon projects in heavy-emitting industries such as aluminium, steel and cement, an initiative launched at last year's United Nations Climate Summit says. Over 450 large-scale industrial projects globally are seeking hundreds of billions of dollars of investment to slash carbon emissions, the Industrial Transition Accelerator (ITA) said in a statement on Thursday.

Sep 18 - Harris understands fracking ban raises energy costs, industry execs say
U.S. Vice President Kamala Harris understands natural gas prices will rise if fracking is banned, industry executives said on Tuesday, explaining their confidence that the Democratic candidate will not ban the production method if she becomes president.
Fracking, a major industry in battleground state Pennsylvania, has become a big issue in the presidential campaign.

Sep 18 - China's coal use and output are rising, even as renewables surge: Russell
China's thermal power generation returned to growth in August for the first time in four months, but it still lagged the increase in overall electricity output as renewables continued to surge. Electricity from thermal sources rose 3.7% in August from a year earlier to 614.9 billion kilowatt-hours, according to official data released on Sept. 14.

Sep 17 - Low gas prices, LNG demand in spotlight at Gastech conference
Top energy executives and ministers will meet in Houston this week for the annual Gastech conference, with U.S. markets in focus as booming liquefied natural gas (LNG) exports help wean Europe off Russian gas and as Asia moves away from coal. The U.S., once an importer of LNG, has surpassed Qatar as the world's top exporter, with new technology allowing America's shale producers to tap massive reserves.

Sep 17 - COP29 leaders unveil climate funding and energy storage goals
Less than two months ahead of the COP29 United Nations Climate Summit, the Azerbaijani leadership laid out its plans on Tuesday for what it hoped to achieve, as countries continue to wrestle with how to raise ambitions for a new financing target. The main task for the November summit is for countries to agree on a new annual target for funding that wealthy countries will pay to help poorer nations cope with climate change.

Sep 16 - China's thermal power output returns to growth in August
China's thermal power generation in August rose from a year earlier as hydropower output growth moderated, statistics bureau data showed on Saturday, reversing a three-month trend of declining thermal power generation. China's thermal power generation last month rose 3.7% from a year ago to 614.9 billion kilowatt-hours, the National Bureau of Statistics reported.

Sep 16 - Bangladesh resumes spot LNG purchases as fuel demand rebounds
Bangladesh has issued three tenders to buy liquefied natural gas (LNG) from the spot market, officials said on Sunday, as fuel demand rebound after the end of anti-government protests and the resumption of operations at its main Summit LNG terminal. The state-owned Rupantarita Prakritik Gas Company, responsible for LNG imports, is seeking three LNG cargoes, each carrying 138,000 cubic meters, the officials said.

Sep 13 - Argentina reduces energy subsidies, calls for fresh investment
Argentina reduced its energy subsidies in the first seven months of the year by $2.7 billion, Energy Secretary Eduardo Rodriguez Chirillo said on Thursday, as part of a goal to curb the government's fiscal deficit while also working to promote investment in the energy sector. The South American country aims to advance an ambitious reform package that includes guarantees for large investments, a new hydrocarbon law, and changes to its foreign exchange system aimed at securing dividend repatriations for foreign investors, all part of President Javier Milei's move to secure capital.

Sep 13 - Vietnam weighs resuming nuclear power development plans
Vietnam is considering resuming plans to develop nuclear power to ensure national energy security and to support economic growth, according to a government document reviewed by Reuters. The Southeast Asian country, a regional industrial hub heavily reliant on coal for power generation, is also seeking to boost its cleaner energy production to meet its net zero target by 2050.

Sep 12 - Japan's JERA considering Vietnam gas-fired power plant investment
Japan's top utility and largest power generator JERA plans to invest in a natural gas-fired power plant in Vietnam, a senior executive told Reuters on Wednesday, as it bets on a transition from coal to cleaner fuels in Asia. Power plants using domestic gas and imported liquefied natural gas (LNG) are set to become a crucial source of power in Vietnam by 2030, jumping to 37.33 GW, or 24.8% of its total installed capacity, with LNG accounting for the lion's share.

Sep 12 - Brazil's hydropower faces risk from drying river basins
Soil moisture in Brazil's main river basins used for hydropower generation has fallen to nearly two-decade lows, data collected by the London Stock Exchange Group shows, threatening a prolonged impact from a serious drought even after rains return. Tropical rains feeding Brazil's vast network of rivers typically allow hydropower plants to generate around two thirds of Brazil's electricity but years of weak rainfall have hurt the sector, pushing up energy costs and stoking inflation that has led economists to forecast a fresh round of interest rate hikes.

Sep 11 - Mutual discontent is a good place for Asia's coal sector: Russell
Asia's coal industry isn't too happy about current market conditions, with miners, traders, shippers and end users all having various complaints at this week's annual gathering of the sector. The export-focused miners from top shippers Indonesia and Australia may be content with the solid volumes they are achieving, but feel prices for seaborne grades are too low.

Sep 11 - US natgas output to decline in 2024 while demand rises to record high, EIA says
U.S. natural gas production will decline in 2024 while demand will rise to a record high, the U.S. Energy Information Administration (EIA) said in its Short-Term Energy Outlook on Tuesday. EIA projected dry gas production will ease from a record 103.8 billion cubic feet per day (bcfd) in 2023 to 103.4 bcfd in 2024 as several producers reduce drilling activities after spot gas prices at the Henry Hub benchmark fell to 25-year lows in March.

Sep 10 - China's August coal imports rise 3% as heat waves spur power demand
China's coal imports rose 3% in August as utilities continued to stock up amid record-breaking hot weather, but rising renewable power generation appears to be slowly dampening the pace of import gains. August shipments stood at 45.84 million metric tons, data from the General Administration of Customs showed. However, that was down from July's 46.21 million tons, a seven-month high.

Sep 10 - China has more than 1 bln tons/year of new coal mines in pipeline, report says
China accounts for more than half of the world's pipeline of new coal mines, risking a significant increase in methane emissions, a new study showed. China is developing enough new mines to produce 1.28 billion metric tons of coal each year, said the report by U.S.-based Global Energy Monitor which included large mines with at least 1 million tons of annual capacity as of April.

Sep 09 - Indonesia says seeking global help to accelerate coal power plant retirement
Indonesia's senior minister overseeing mining, Luhut Pandjaitan, said the government is asking for help from global leaders to negotiate with lenders to accelerate coal power plant retirement and for access to energy transition financing. Indonesia requires $94.6 billion by 2030 to develop clean power transmission and generation infrastructure to phase down coal power, he told participants of industry conference Coaltrans Asia in Bali.

Sep 09 - US regulators okay first step to start Plaquemines LNG plant in Louisiana
Federal regulators on Friday gave Venture Global LNG permission to begin preparations for the start-up of liquefied natural gas equipment at its Plaquemines export plant in Louisiana, taking a step closer to first LNG production for the facility, about 20 miles south of New Orleans. A tanker containing LNG has been docked at Plaquemines with a cargo of chilled gas since late August, according to Venture Global LNG and data from financial firm LSEG.

Sep 06 - US imposes sanctions on companies, vessels linked to Arctic LNG 2
The U.S. on Thursday imposed sanctions on two companies and two vessels linked to Russia's Arctic LNG 2 project, Washington's latest step to add costs on Moscow for its invasion of Ukraine. The Arctic 2 project, 60% owned by Russia's Novatek had been due to become Russia's largest liquefied natural gas plant with eventual output of 19.8 million metric tons per year of LNG from three trains.

Sep 06 - High fossil fuel use highlights US power transition challenge: Maguire
Fossil fuels continue to rule the roost in the United States' power sector, despite clean energy sources being rolled out at the fastest pace in history. For the past decade, U.S. power generators have prioritized clean power sources over fossil fuels, and since 2014 they have lifted clean electricity generation capacity by over 70% while cutting fossil-fired capacity by 5%, according to Ember.

Sep 05 - US oil, gas M&A nears 2023 record, focus shifts away from Permian, Rystad says
U.S. oil and gas producers' appetite for dealmaking is closing in on last year's record, with rising interest in smaller oilfields offsetting slower activity in the top oil-producing Permian Basin, analysts at consultancy firm Rystad said on Wednesday. Nearly $100 billion has been spent by U.S. producers on mergers and acquisitions so far this year, and another $46 billion in assets are currently for sale, according to a Rystad analysis through late August.

Sep 05 - Williams to add 4.2-bcfd of US natgas projects in 2024-2027, CEO says at Barclays conference
U.S. natural gas company Williams Cos WMB.N is on track to add 12 projects representing about 4.2 billion cubic feet per day (bcfd) of capacity from 2024-2027, company CEO Alan Armstrong said at the Barclays CEO Energy-Power Conference on Wednesday. The additions come after the company placed 17 projects representing about 5.0 bcfd of capacity into service from 2018-2023, the company said in a presentation.

Sep 04 - US LNG exports rebound in August on higher output from Freeport LNG
Exports of U.S. liquefied natural gas bounced higher in August as output from the country's second-largest export facility rose following an outage and maintenance activities at other plants wound down, preliminary data from financial firm LSEG showed on Tuesday. Exports of the superchilled gas rose to 7.48 million metric tons (MT) in August, up from the 6.69 MT in July, which marked the second-lowest monthly exports of the year, the LSEG data showed.

Sep 04 - Record UK renewables auction gives boost to offshore wind
Britain's offshore wind sector got a boost on Tuesday from the best-funded renewables auction yet, with Orstedand Iberdrola emerging among the winners, after a sale last year failed to secure any offshore wind projects. The Labour government's plans to decarbonise the electricity sector by 2030 require a big increase in renewable power capacity such as wind and solar.

Sep 03 - Egypt counts on foreign funds to buy gas as power crisis worsens
Saudi Arabia and Libya have financed the purchase of gas cargoes worth at least $200 million to help Egypt ease its energy crisis this summer amid a steep decline in domestic gas output, two industry sources familiar with the matter said. Egypt needs some $2 billion worth of gas to cover summer demand through October, according to one of the two sources familiar with the government's plan, but a hard currency crisis means it lacks funds to fully cover imports of liquefied natural gas.

Sep 03 - EU to tighten hydrogen subsidy rules after China concerns
The European Commission is working on tighter rules to ensure EU funding for hydrogen projects benefits European companies, after local industries raised concerns over cheap Chinese imports, the EU's head of climate change policy said on Monday. The EU will this month launch its next round of funding for green hydrogen projects, as Brussels attempts to kick-start a local industry to produce the fuel.

Sep 02 - TotalEnergies invests $100 mln in the US to offset climate emissions
French oil major TotalEnergies has signed a $100 million deal to help preserve U.S. forests under a scheme that will allow the company to discount the amount of planet-warming gasses it emits in official environmental reporting. The agreement with partners Anew Climate and Aurora Sustainable Lands calls for the reduction of timber harvesting across 300,000 hectares in 10 states - the idea being that the preserved trees will sequester CO2 and prevent it from entering the atmosphere and increasing global temperature levels.

Sep 02 - New Swiss nuclear dawn seen decades away at best
Bringing new nuclear power stations online in Switzerland could take decades due to myriad political and financial hurdles, energy experts and politicians said, after the government announced plans to lift a ban on building new plants. The Federal Council on Wednesday reversed a 2017 decision to exit nuclear power, in order to meet climate goals and respond to geopolitical uncertainties such as the Ukraine war, which has fed fears of outages in the country.

Aug 30 - Trump would axe Biden clean power rules, speed power plant approvals, campaign says
Donald Trump would rescind many of President Joe Biden's clean energy rules while also speeding approvals of power plants to meet the nation's rising electricity demands, the Republican's presidential campaign said on Thursday. Should he win the Nov. 5 election, Trump would axe clean energy regulations of Biden and his opponent, Vice President Kamala Harris, a Democrat, on both power plants and on emissions from vehicles.

Aug 30 - ONEOK strengthens Permian presence with midstream deals worth $5.9 bln
Pipeline operator ONEOK said it would buy midstream assets in deals worth $5.9 billion from Global Infrastructure Partners, bolstering its position in the Permian and Mid-Continent basins amid rapid consolidation in the U.S. industry. The U.S. pipeline and storage sector is seen as ripe for deals following increased consolidation among oil and gas producers, as well as hurdles in getting new energy infrastructure approved and built.

Aug 29 - China accelerates coal mining to ensure winter power supply: Kemp
China has boosted domestic coal production and imports to record highs, even as surging power from hydro dams and solar farms has trimmed thermal generation during the summer heatwave. Coal-fired generation remains critical to ensuring the reliability of electricity supplies - especially in the winter, when hydro and solar output is much lower and the system depends far more heavily on fossil energy.

Aug 29 - Global solar generation overtakes wind for longest ever stretch: Maguire
Global electricity generation from solar farms has exceeded generation from wind farms since May, marking the longest ever stretch when solar power has been the top source of utility-scale renewable electricity worldwide. Solar electricity generation exceeded wind generation in May by 1.65 terawatt hours (TWh), and in June by 9.57 TWh, according to energy think tank Ember.

Aug 28 - Norway piped gas volume could rival historic high this year, Gassco says
Norwegian pipeline gas exports to Europe could approach a 2017 historic record this year, after rising 10% so far in 2024 following a decline in 2023, the head of system operator Gassco told Reuters on Tuesday. "This year to date, we are in a way back to the levels we were at in 2022," when exports were last near the all-time high, Gassco CEO Frode Leversund told Reuters in an interview on the sidelines of an energy conference.

Aug 28 - New Zealand cranks fossil power output as hydro squeeze drags on: Maguire
Power generators in New Zealand have lifted output from fossil fuels to the highest in three years so far in 2024, as they struggle to offset the largest year-over-year drop in generation from hydro dams in roughly a decade. Total fossil fuel-fired electricity generation from January through July was 4.36 terawatt hours (TWh), according to energy think tank Ember.

Aug 27 - Chevron-led group to update offshore gas plan as Cyprus sets deadline
A Chevron-led consortium that holds licensing rights over a gas field off Cyprus will present an updated development plan within days, one of the partners said on Monday, after Cyprus gave them a three-month deadline to comply. There have been protracted talks on the future development of the Aphrodite field south-east of Cyprus since Chevron attempted to introduce changes to a 2019 field development plan.

Aug 27 - Manager of Canada's public pension plan bullish on Brazil power and water sector, CEO says
After nearly two decades in Latin America, the Canada Pension Plan's managers still see room to expand in the region and especially Brazil, where they believe a booming clean energy sector and water concessions offer long-term opportunity. CPP Investments, the public pension plan's asset manager, has about C$36 billion under management in Latin America, or about 5% of its global portfolio, in sectors from electric utilities and sanitation to real estate, telecoms and logistics.

Aug 26 - Asia spot LNG price slips as demand peaks, prior rally bites: Russell
he spot price of liquefied natural gas (LNG) in Asia eased last week amid signs that seasonal demand may be peaking and the five-month rally is trimming purchases by price-sensitive buyers. The price of spot LNG for delivery to North Asia dropped to $13.80 per million British thermal units (mmBtu) in the week to Aug. 23, a decline of 2.1% from the eight-month high of $14.10 the prior week.

Aug 26 - Equinor halts Vietnam offshore wind plans, to close Hanoi office
Norway's state-controlled energy giant Equinor has cancelled plans to invest in Vietnam's offshore wind sector, a company spokesperson told Reuters, in a setback for the Southeast Asian country's green power ambitions. Vietnam has attracted international interest in its renewables plans because of its strong winds in shallow waters near coastal, densely populated areas, according to the World Bank Group, but delays in regulatory reforms have recently pushed some would-be investors to reconsider their plans.

Aug 23 - China issues guidelines on green power trading
China has issued guidelines for medium- and long-term green power trading, calling for a market-based approach, a notice on the state planner's website said. The rule lays out a price mechanism under which green power prices will be determined by the electricity price plus the price of green certificates, according to the notice jointly issued by the National Development and Reform Commission and the National Energy Administration.

Aug 23 - Brazil's grid caps power from wind and solar, threatening renewable projects
Wind and solar energy producers in Brazil have warned they are reconsidering future investments there after the national grid operator repeatedly capped how much energy they could deliver in the past year, which squeezed their profits. Brazil has made big strides encouraging companies to invest in wind, solar and other renewable power generation sources, offering generous financing and subsidies. But all the electricity they generate has taxed the grid.

Aug 22 - China's plunging coal plant approvals signal energy policy pivot, report says
A sharp drop in new coal plant permits in China suggests the world's largest builder of the polluting power plants is pivoting its energy policy towards more renewable development, although coal will keep playing a major role, a report said. China approved just 10 new coal plants with 9 gigawatts of capacity in the first half of 2024 - an 83% drop on the year, according to a report by the Helsinki-based Centre for Research on Energy and Clean Air and U.S.-based Global Energy Monitor.

Aug 22 - Florida reverses energy transition by cranking fossil fuel use: Maguire
The United States' third most populous state has the country's dirtiest major power system, and looks set to become a stand-out by remaining highly dependent on fossil fuels even as the rest of the nation transitions power systems towards cleaner energy. Fossil fuels generated over 80% of Florida's electricity supplies since the beginning of June, according to LSEG data.

Aug 21 - Kuwait in talks with Qatar for new 15-year LNG supply deal from North Field
Qatar Energy is in talks with Kuwait Petroleum Corporation for a new long-term supply of liquefied natural gas (LNG) to help meet rising demand for power generation in the Gulf Arab state, five trading and industry sources told Reuters. The deal would see Qatar providing Kuwait with 3 million metric tons per annum of the seaborne fuel over 15 years from its North Field project, which is expected to commence operation in 2026, four of the sources said.

Aug 21 - China’s record hydro and solar cut coal power during heatwave: Kemp
China’s electricity consumption smashed the previous record in July as a prolonged heatwave settled over major load centres, especially in the Yangtze Delta, driving an enormous increase in air-conditioning and refrigeration. Unprecedented load was met by record output from hydro and solar, ensuring coal-fired generation fell slightly compared with the same period a year earlier, showcasing the rapid transformation of the system.

Aug 20 - China's July coal import surge boosts its major suppliers, except Russia
China increased its coal imports from Indonesia, Mongolia and Australia, customs data showed, as shipments surged in July on hotter weather, but Russian exporters were held back by sanctions and logistical issues. Indonesia - the largest coal exporter to China and the world - increased its coal volumes 22% on the year to 19.24 million metric tons last month, according to the General Administration of Customs, as importers turned to the low-cost supplier to stock up for the peak summer season. 

Aug 20 - New Zealand to reduce availability of emission credits from 2025
The New Zealand government said it would more than halve the number of units it makes available to offset carbon emissions between 2025 to 2029, as part of a plan to restore confidence in the emissions trading scheme market. Auctions for New Zealand units, which represent one metric tonne of carbon dioxide, or the equivalent of any other greenhouse gas, have consistently failed over the past year due to oversupply leading to a loss of confidence in the system.

Aug 19 - Woodside gets environmental go-ahead for Scarborough project; key green group backs down
Woodside's $12.5 billion Scarborough gas project in Western Australia has all primary environmental approvals in place, the firm said, after a green group agreed to dismiss its challenge in a federal court. Shares of the energy company gained as much as 1.3% to A$26.45 during the day against a 0.3% slip in the broader energy index.

Aug 19 - China's coal output rises as share of electricity slips: Russell
China's production of coal is rising while its share of electricity generation is declining, a seeming contradiction that will likely result in lower imports volumes and cheaper prices. Coal output rose 2.8% in July from the same month a year earlier, hitting 390.37 million metric tons, according to data released on Aug. 15 by the National Bureau of Statistics.

Aug 16 - US solar group seeks retroactive duties on surge of panel imports from Vietnam, Thailand
A group of U.S. solar panel makers asked the Commerce Department on Thursday to consider imposing duties retroactively on Vietnam and Thailand due to a surge in imports, as those countries face probes for alleged unfair practices in the multi-billion-dollar trade. In May, the Commerce Department started investigations over silicon solar cells and panels made in Vietnam, Thailand, Malaysia and Cambodia.

Aug 16 - Europe's savvy new clean energy champion: Maguire
Utilities in Portugal have cut the proportion of electricity production from fossil fuels to just 10% so far in 2024, leap-frogging neighbour Spain to emerge as western Europe's second-cleanest large power sector behind France. Total clean electricity generation through the first seven months of 2024 jumped 32% from the same months in 2023 to a record 21.76 terawatt hours, data from energy think tank Ember shows.

Aug 15 - China's thermal power generation falls for third month in July despite record heat
China's thermal power generation in July fell from a year earlier for a third month even though the country recorded its hottest month in recent history, sending power use rising, statistics bureau data showed. China's thermal power generation last month fell 4.9% from a year ago to 574.9 billion kilowatt-hours (kWh), despite total power generation rising 2.5% to 883.1 billion kWh, the National Bureau of Statistics reported.

Aug 15 - China's coal output up 2.8% in July despite surging hydropower generation
China's coal output rose 2.8% in July from a year earlier as mines ramped up production to ensure steady supply amid record-breaking heat, statistics bureau data showed, even though thermal power output fell while hydropower generation surged. The world's largest coal producer mined 390.37 million metric tons of the fuel last month, according to the National Bureau of Statistics data, down from June's 405.38 million tons, which was the highest level since December 2023.

Aug 14 - Russian gas flows to Europe despite fighting
Intense fighting between Ukrainian and Russian forces near a pipeline Russia uses to supply European countries with gas has not disrupted supplies, network operators and gas companies said on Tuesday. The European Union drastically reduced its reliance on Russian gas after the Ukraine war began in 2022, leaving Austria the EU country most reliant on Russian supplies.

Aug 14 - Carbon offset setback risks corporate backtrack on climate goals
Stalled efforts to expand companies' use of carbon credits to offset greenhouse-gas emissions are raising the prospect that some will backtrack or abandon targets to shrink their carbon footprint. Since 2015, when governments agreed in Paris to try to keep the world from warming more than 1.5 degrees Celsius (2.7 degrees Fahrenheit), more than half of the world's largest 2,000 publicly listed companies have announced targets to cut their emissions to zero on a net basis by 2050.

Aug 13 - South Africa battles to fund vital grid upgrade for green energy
South Africa's plan to expand its power grid, now the biggest bottleneck to replacing coal with renewables, has hit a snag: finding investors to lend the necessary $21 billion to a near-bankrupt state monopoly. Since May's election brought a coalition government to power, there has been a policy shift favouring renewables, after years of bureaucratic delays and contradictory messages about South Africa's willingness to give up coal, which provides 80% of its power.

Aug 13 - US utilities poised to ride data center demand wave in second half
U.S. electric utilities sounded bullish on demand from data centers powering the artificial intelligence boom after striking several supply deals during the second quarter, reinforcing market expectations of sales growth through the year. Top utilities, including American Electric Power and NextEra Energy, signed contracts in the recently concluded quarter while others highlighted interest from technology companies.

Aug 12 - Shell, PetroChina to expand Surat coal seam gas project in Australia
Shell and PetroChina have decided to expand the Surat coal seam gas project in Queensland, the British oil and gas giant said on Monday, amid calls for more investment to boost local energy supply. The decision comes at a time when industry executives have been pushing for government measures to bring back investments put off by a slew of state interventions to curb energy prices and boost domestic supply.

Aug 12 - GLOBAL LNG-Asia spot LNG prices remain at 7-month high amid Russian supply concerns
Asian spot liquefied natural gas prices remained at their highest level in over seven months, tracking European gains amid concerns over supply disruption. The average LNG price for September delivery into north-east Asia was at $12.90 per million British thermal units (mmBtu), industry sources estimated. This is the highest level since mid-December and up from $12.80/mmBtu last week.

Aug 09 - US offshore wind opponents seek to form national group to fight projects
U.S. activists opposed to offshore wind development are forming a national coalition aimed at fighting projects from California to New England, according to the effort's founder and two other organizations. The National Offshore-wind Opposition Alliance, or NOOA, aims to bring a national profile to what is currently a fractured movement of dozens of local groups, according to its president, Mandy Davis.

Aug 09 - Osaka Gas aims to keep annual LNG handling volume at 11.5 mln
Japanese city gas provider Osaka Gas aims to maintain annual handling volume of liquefied natural gas at 11.5 million metric tons in the fiscal 2030 year, an executive said on Thursday. One of Japan's biggest LNG buyers, Osaka Gas said on Tuesday it had signed an initial long-term agreement with UAE's ADNOC for the delivery of up to 800,000 metric tons per annum of the super-chilled fuel.

Aug 08 - US natural gas producers eye more output cuts as prices sink
Major U.S. natural gas producers are preparing to further curtail production in the second half of 2024, after prices sank nearly 40% over the past two months. Henry Hub gas futures have dropped to around $2 per million British thermal units (mmBtu), while in West Texas, Waha prices have turned negative a record number of times so far in 2024. Prices fell as demand softened following cooler than expected temperatures. Supplies had expanded meanwhile, as some producers lifted production during the second quarter after prices climbed some 47% in April and May.

Aug 08 - Italy cuts red tape on green energy, clamps down on illegal plants
Italy passed legislation on Wednesday to streamline approval for renewable energy projects, ministers said, as part of a drive to boost green power production and meet the country's decarbonisation goals. The right-wing government of Giorgia Meloni has committed to increase solar energy capacity by roughly 50 gigawatt (GW) by 2030. Last year, it added nearly 6 GW in green capacity, mainly through the development of small solar projects.

Aug 07 - EIA forecasts larger decline in US natural gas output for 2024
The U.S. Energy Information Administration on Tuesday forecast a larger decline in natural gas output this year compared with earlier estimates, citing record-low prices earlier in 2024 that forced producers to curtail gas production. U.S. natural gas output will average around 103.3 billion cubic feet per day (bcfd) this year, the EIA said in its August edition of the short-term energy outlook report. That compares with 103.8 bcfd produced last year, and is a slight downgrade from a forecast of 103.5 bcfd in the July edition of the report.

Aug 07 - Around a third of carbon credits fail new benchmark test
Around third of existing carbon credits have failed to meet criteria for a new standard that aims to serve as the global benchmark for the voluntary carbon market, its board said on Tuesday. In the voluntary market, companies can buy credits from projects such as wind farms or reforestation schemes across the world and use them to meet their internal carbon-cutting targets. All the credits that fell short of the benchmark in the latest assessment were linked to renewable energy.

Aug 06 - Quantum Capital to buy Cogentrix for $3 bln in bets on rising US power demand
Private equity firm Quantum Capital Group will buy U.S. independent power producer Cogentrix Energy for about $3 billion from funds managed by the Carlyle Group, the companies said on Monday. Utilities are attracting increased investor interest as technological innovations, including artificial intelligence and data centers, bolster power demand. 

Aug 06 - Brazil's Petrobras confirms gas discovery off Colombia
Brazilian state-run oil firm Petrobras confirmed on Monday a natural gas discovery off Colombia's coast, an area where it believes it could find enough gas to supply the Andean country and for exports. The discovery was made during the fourth drilling phase of the deepwater Uchuva-2 well in the Tayrona block, according to Petrobras, which had already found gas at the nearby Uchuva-1 well, drilled in 2022.

Aug 05 - No decision yet on Woodside's Browse gas project, Australian state regulator says
Western Australia's environment regulator said on Monday it expects to release its recommendations on Woodside Energy's Browse gas project in 2025, after a newspaper reported the huge project might be rejected by the regulator. The $20.5 billion project in waters off Western Australia is the country's largest untapped gas resource but has been stuck on the drawing board for decades.

Aug 05 - Venture Global LNG sues Kiewit, alleges it shared confidential documents with Shell
U.S. liquefied natural gas company Venture Global LNG sued construction contractor Kiewit on Friday, alleging it passed confidential documents to Shell Plc. Venture Global LNG's Calcasieu Pass plant has been at the center of a long-running dispute involving energy companies including BP Plc, Shell and others over access to LNG from the plant.

Aug 02 - US LNG exports fall again in July on Freeport LNG's slow restart
U.S. LNG exports plunged in July to the second-lowest level of this year, LSEG ship tracking data showed, as Freeport LNG shut for eight days after suffering damage from Hurricane Beryl. Texas-based Freeport LNG is the country's second-largest LNG export facility, and its production woes in the last few years have played a crucial role in swings in U.S. natural gas and global LNG prices.

Aug 02 - North Sea oil and gas producers say UK windfall tax is a 'wrecking ball'
Britain's decision to increase a windfall tax on oil and gas producers to help pay for its push to grow renewables will lead to a sharp drop in revenue and accelerate the ageing basin's decline, North Sea drillers said. The new Labour government announced on Monday it will increase the Energy Profits Levy (EPL) by 3% to 38% starting Nov. 1, bringing the headline rate of tax on oil and gas activities to 78%, among the highest in the world.

Aug 01 - Texas needs more natgas pipes as prices turn negative again
Natural gas prices in the Permian shale basin in West Texas turned negative a record number of times so far in 2024, including on Wednesday, as pipeline and other constraints trap gas in the nation's biggest oil-producing basin. Spot gas prices for Wednesday at the Waha hub in West Texas turned negative for a third time in July even as a record-breaking heatwave could boost U.S. power demand to an all-time high later this week as homes and businesses crank up their air conditioners.

Aug 01 - Drillers emit far more methane than US estimates, aerial survey shows
U.S. oil and gas basins are emitting around four times more planet-warming methane than federal regulators have estimated, according to the results of an aerial survey released on Wednesday by the Environmental Defense Fund. The study underscores concern among researchers and environmentalists that the petroleum industry’s contribution to climate change is much higher than official tallies because of uncounted releases of the powerful greenhouse gas.

Jul 31 - US oil and gas mergers continue at furious pace in Q2, says Enverus
U.S. oil and gas patch deals continued to run hot in the second quarter, topping $30 billion with big dollar tie-ups pushing values higher, according to data released on Tuesday by energy researcher Enverus. Blockbuster mergers, such as ConocoPhillips' $22.5 billion offer for Marathon Oil, remain a mainstay even as U.S. lawmakers call on regulators to "pump the brakes" on merger approvals.

Jul 31 - Commodity flows at risk should Trump spark tit-for-tat trade war: Russell
Much of the debate surrounding the implications of a possible second U.S. presidential term for Republican Donald Trump has focused on what may happen to the U.S. and global economies. Trump's plan to impose tariffs of 10% on virtually all imports into the United States, and as much as 50% on those from top trading partner China, have raised the spectre of higher inflation and interest rates, and a less competitive market.

Jul 30 - Chesapeake posts quarterly loss on output drop, lower gas prices
Natural gas producer Chesapeake Energy on Monday reported a loss for the second quarter, compared to a year-ago profit, as production declined and prices remained under pressure. Total average realized price, including hedges, fell 6% amid lukewarm demand due to hotter-than-expected winter and a build-up in storage.

Jul 30 - Power sector drives growth in US natural gas demand: Maguire
The power sector is the only major consumer of natural gas that has shown consistent demand growth in recent years, and has become the driving force behind natural gas demand in the United States as consumption from other sectors declines. Natural gas use by power generators has expanded by around 3.5% a year over the past three years, and is by far the largest single source of gas use in the U.S., data from LSEG shows.

Jul 29 - Asia's LNG imports shift higher as Europe's fades: Russell
Asia continues to draw liquefied natural gas (LNG) from Europe with imports in July rising to the most in six months, even as spot prices stayed near seven-month highs. The top-importing region is on track for arrivals of 24.85 million metric tons of the super-chilled fuel, up from 22.60 million in June and the highest since January's 26.19 million, according to data compiled by commodity analysts Kpler.

Jul 29 - Natural gas shows its staying power as US wind output slumps: Maguire
Power producers in the United States are becoming increasingly reliant on natural gas for generation, even as the country builds out renewable energy capacity at a record pace. Renewable energy sources have been grabbing a steadily growing share of the power mix for years, which has allowed power firms to cut coal-fired power and reduce emissions.

Jul 26 - Freeport LNG in Texas seen back on Thursday after shutting on Wednesday
U.S. liquefied natural gas (LNG) company Freeport LNG's export plant in Texas was on track to return to service on Thursday after shutting on Wednesday, according to data from financial firm LSEG and a company filing with Texas environmental regulators. Freeport is one of the most-watched U.S. LNG export plants in the world because it has a history of swaying global gas prices when it shuts and restarts.

Jul 26 - Exxon Mobil, CF Industries sign carbon capture and storage deal
Energy major Exxon Mobil said on Thursday it has entered into a carbon capture and storage (CCS) agreement with ammonia producer CF Industries. Carbon capture is a process through which carbon dioxide (CO2) generated from industrial activity is stored underground. The process has been embraced by oil companies including Chevron, Occidental Petroleum and Talos Energy.

Jul 25 - Global coal demand to remain flat this year and next-IEA
Global coal demand is set to remain largely flat this year and next as higher electricity demand in some major economies offsets the rapid expansion of solar and wind, the International Energy Agency said in an update on the coal market. Global use of coal rose by 2.6% in 2023 to an all-time high, driven by strong growth in the two largest coal consumers, China and India.

Jul 25 - China's run of robust thermal coal imports may ease: Russell
One of the standout commodity stories so far this year has been China's demand for thermal coal, with the world's largest importer seeing record shipments arriving in the first half. China's imports of thermal coal from the seaborne market, used mainly to generate electricity, were 168.73 million metric tons in the first six months of the year, up 8.5% from 155.51 million in the same period in 2023, according to data compiled by commodity analysts Kpler.

Jul 24 - Analysts forecast EU carbon price rise, but say supply could swell
Analysts have increased their price forecasts for European Union carbon permits for 2024 to 2026, but said there was a downside risk from possible increases to supply if the European Commission needed to raise cash through permit sales. EU Allowances (EUAs) are forecast on average at 67.25 euros a metric ton this year and 76.75 euros in 2025, a Reuters survey of nine analysts showed, up 5.1% and 3.7% respectively from forecasts made in April.

Jul 24 - China cuts coal's share of electricity output in H1 2024: Maguire
Coal-fired power plants generated 59.6% of China's total electricity output during the opening half of 2024, the first time on record that coal produced less than 60% of the country's total electricity during that period.China's coal-fired generation from January to June was 2,793.5 terawatt hours (TWh), which was up 2.4% from the same months in 2023 and the highest tally for the opening half of the year since at least 2015, data from energy think tank Ember shows.

Jul 23 - US senators introduce bill to speed approvals of energy projectsThe top two lawmakers on the Senate energy committee on Monday introduced long-awaited legislation to speed permitting of power transmission, mining and liquefied natural gas export projects. Senators Joe Manchin, an independent who caucuses with Democrats, and John Barrasso, a Republican, said their bill would strengthen the power grid and help keep power prices low. 

Jul 23 - Australia announces new offshore gas exploration permits to plug supply gapsAustralia on Tuesday announced new offshore gas exploration permits for its east and west coast markets in a bid to ease concerns over long-term supply gaps as the country moves rapidly away from its dependence on coal-fired power stations. Australia considers gas a critical element in its transition to cleaner energy with the centre-left Labor government in May backing long-term gas drilling despite its plans to reach net-zero carbon emissions by 2050.

Jul 22 - Australia's Woodside Energy to buy US LNG developer Tellurian for $1.2 bln
Australia's Woodside Energy said on Monday it had agreed to buy U.S. liquefied natural gas developer Tellurian, including its U.S. Gulf Coast Driftwood LNG export project, for $1.2 billion including debt. The agreement could strengthen the United States' position as the world's largest producer of the superchilled gas by securing the completion of Tellurian's 27.6 million metric ton per annum facility in Lake Charles, Louisiana.

Jul 22 - Pakistan to push Chinese utilities in Pakistan to switch to domestic coal
Pakistan this month will ask Chinese power plants operating in the country to shift to using coal from Pakistan's Thar region rather than imported coal, the power minister said on Sunday. Islamabad may also begin talks on re-profiling Pakistan's energy sector debt during the visit to Beijing, Awais Leghari, head of the energy ministry's Power Division, told Reuters.

Jul 19 - Rising cooling demand to keep coal plants online this year, IEA says
Global electricity demand is set to grow at its fastest pace in nearly 20 years this year, spurred by increasing demand for air conditioning as temperatures rise, the International Energy Agency (IEA) said in a report on Friday. The trend, expected to continue into 2025, will support ongoing use of coal power, even as renewable energy production increases, it predicted.

Jul 19 - Texas tanker bottleneck grows on slow Freeport LNG restart after Beryl
The number of liquefied natural gas (LNG) tankers waiting to load at Freeport LNG in Texas has increased since the U.S. second largest exporter of the supercooled gas halted processing ahead of Hurricane Beryl's landfall last week, according to shipping data on Thursday. Beryl made landfall on July 8 near Matagorda, on the Texas coast, lashing the state with 80-mph (130-kph) winds that caused infrastructure damages and left more than 2 million customers without electricity for days.

Jul 18 - Many US solar factories are lagging. Except those China owns
Construction of U.S. solar-manufacturing plants by Chinese companies is surging, putting China in position to dominate the nascent industry, as other American factories struggle to compete despite federal subsidies. Chinese companies will have at least 20 gigawatts' worth of annual solar panel production capacity on U.S. soil within the next year, enough to serve about half the U.S. market, according to a Reuters analysis of corporate statements, government documents, and interviews with eight companies and researchers.

Jul 18 - Iran to receive 300 mcm of Russian gas daily, oil minister says
Iran will receive 300 million cubic metres of Russian gas daily, the official IRNA news agency reported Iran's oil minister Javad Owji as saying on Wednesday. Russian energy giant Gazprom signed a memorandum in June with the National Iranian Gas Company to supply Russian pipeline gas to Iran.

Jul 17 - Freeport LNG in Texas set to pull in more natgas after Hurricane Beryl
U.S. liquefied natural gas (LNG) export company Freeport LNG's export plant in Texas was on track to pull in more natural gas on Tuesday after shutting on July 7 before Hurricane Beryl hit the Texas coast, according to data from financial firm LSEG. Freeport is one of the most-watched U.S. LNG export plants in the world because it has a history of swaying global gas prices when it shuts.

Jul 17 - US court orders federal regulators to assess emissions of Louisiana LNG project
A U.S. court on Tuesday ordered federal regulators to reassess the impact of greenhouse gas emissions from Commonwealth LNG's Louisiana liquefied natural gas project, potentially slowing full approvals for the venture. The U.S. Court of Appeals for the District of Columbia did not overturn the Federal Energy Regulatory Commission's 2022 approval of the project as it ordered the agency to reconsider the emissions after environmental groups had sued saying they were not taken seriously.

Jul 16 - Freeport LNG in Texas to restart one train this week after Hurricane Beryl
Freeport LNG plans to restart one of three liquefied natural gas trains this week at its Texas facility after the company repairs some damage from Hurricane Beryl, it said on Monday. The plant, in Freeport, Texas, south of Houston, halted operations on July 7 before Beryl hit the coast, causing widespread power outages and wind damage.

Jul 16 - China plans low-carbon upgrades for coal power sector
China aims to cut carbon emission from its coal-fired power industry by launching low-carbon upgrades and applying new power generation technologies, according to a government plan. China, the world's top energy consumer, relies largely on coal which is the most carbon-intensive source of energy.

Jul 15 - Shell's bet on gas boom takes shape with string of deals
Shell has replaced liquefied natural gas (LNG) volume it lost after exiting Russia in 2022 with a string of deals that underpin CEO Wael Sawan's bet on growing demand for the fuel as he reduces the focus on renewable energy. The new projects in the United Arab Emirates and Trinidad and Tobago and the acquisition of a large trading portfolio put Shell half way to achieving its target to increase LNG volumes by up to 20 million metric tons per year (mtpa) between 2023 and 2030, according to analysts and Reuters calculations.

Jul 15 - China's June coal output rises to six-month high on summer demand
China's coal output rose to a six-month high in June, statistics bureau data showed on Monday, as mines ramped up production to meet seasonal demand and safety inspections that constrained production earlier in the year eased. The world's largest coal producer mined 405.38 million metric tons of the fuel last month, a 3.6% increase on the year and the highest since December, data from the National Bureau of Statistics (NBS) showed.

Jul 12 - China's June coal imports rise as heat boosts electricity demand
China's coal imports in June rose 12% year-on-year, customs data showed on Friday, as heatwaves in the world's top consumer of the fuel supported demand. Shipments to China were 44.6 million metric tons in June, according to the Generation Administration of Customs. That was up from 43.82 million tons in May.

Jul 12 - Japan builds gas markets in Asia to boost LNG trading, energy security
Japanese companies foreseeing a growing surplus in stocks of liquefied natural gas (LNG) as their demand for the fuel wanes in coming years, are scrambling to invest in regional markets to provide potential outlets to sell the gas. As more nuclear plants restart and renewable energy gains momentum, Japan's LNG imports are at their lowest in over a decade, spurring companies to turn to Asia to unload supplies contracted during past market shocks, such as Russia's 2022 invasion of Ukraine.

Jul 11 - China coal generation share at record low in May as renewables hit new highs, analysis shows
China generated 53% of its electricity from coal in May, a record low, while a record high of 44% came from non-fossil fuel sources, indicating its carbon emissions may have peaked last year if the trend continues, according to a new analysis. Coal's share was down from 60% in May 2023, according to the analysis by Lauri Myllyvirta, senior fellow at Asia Society Policy Institute, for specialist publication Carbon Brief.

Jul 11 - Carbon-heavy but cheaper coal to replace gas in European power mix this winter
A rise in European wholesale gas prices over the past several months could encourage more utilities to switch to coal for electricity generation this coming winter, even as countries try to push the carbon-intense fuel out of the power mix. While many European countries, such as France, Britain and Italy, have already either phased out coal completely or have limited scope for large-scale gas-to-coal switching, it remains a key part of the power mix in Europe's number one energy consumer Germany, and much of eastern Europe.

Jul 10 - US power use forecast to reach record highs in 2024 and 2025, EIA says
U.S. power consumption will rise to record highs in 2024 and 2025, the U.S. Energy Information Administration (EIA) said in its Short Term Energy Outlook (STEO) on Tuesday. EIA projected power demand will rise to 4,123 billion kilowatt-hours (kWh) in 2024 and 4,198 billion kWh in 2025.

Jul 10 - India races to build power plants in region claimed by China, sources say
India plans to spend $1 billion to expedite the construction of 12 hydropower stations in the northeastern Himalayan state of Arunachal Pradesh, two government sources said, a move that could raise tensions with China that lays claims to the region. The federal finance ministry under Nirmala Sitharaman recently approved up to 7.5 billion rupees ($89.85 million) in financial assistance to each hydropower project in the northeastern region, the sources said.

Jul 09 - US LNG output dips in June on shorter month, plant maintenance
U.S exports of liquefied natural gas (LNG) fell slightly in June to 7.11 million metric tons (MT) from 7.60 MT in May, as several plants embarked on maintenance activity, preliminary data from LSEG showed. U.S exporters boosted exports to Asia, where prices were higher, putting shipments of the super-chilled gas to that continent at parity with Europe.  

Jul 09 - Global hydro rebound will curb fossil fuel growth in 2024: Kemp
Global hydroelectric generation slumped to a five-year low last year as a result of lower-than-average rainfall across China, North America and India, contributing to record fossil fuel combustion and emissions in 2023. Global hydro generation amounted to 4,240 billion kilowatt-hours (kWh) in 2023 down from a record 4,359 billion kWh in 2020, according to the Statistical Review of World Energy published by the UK Energy Institute.

Jul 08 - ADNOC's Ruwais LNG to earmark 40% stake to Shell, Total, BP, Mitsui, sources say
Abu Dhabi National Oil Company (ADNOC) has earmarked a 40% stake in its Ruwais liquefied natural gas (LNG) project to four energy majors Shell, TotalEnergies, BP, and Japan's Mitsui, sources told Reuters. The four companies are expected to get a stake of 10% each in the project which will more than double UAE's output of the sea-borne fuel and is expected to produce about 9.6 million metric tons per annum (mtpa) by late 2028, the sources said.

Jul 08 - Hydropower recovery, higher prices set to cap China summer LNG demand
China's liquefied natural gas (LNG) use over the peak demand summer months is likely to be capped by increased hydropower generation in the country's south and as rising spot LNG prices prompt cost-sensitive consumers to turn to coal, analysts say. The world's biggest importer of the fuel in June saw heavy rains in the south and heatwaves in the north and east.

Jul 05 - Eni sees gas as long-term energy solution (Petroleum Economist)

The Italian IOC sharpens focus on gas but sees ‘no one solution’ to the energy transition
“The world’s demand for oil is expected to decline in the future,” Guido Brusco, Eni’s chief operating officer for natural resources, told Petroleum Economist. But “80% of global energy demand is satisfied by fossil fuels and it is hard to think that in the next ten or 15 years that will drop to the low levels forecast by some agencies.”

However, Brusco does expect the widespread replacement of other fossil fuels with gas, as it is the cleaner alternative. He stressed that gas has a lower carbon footprint, plus the flexibility to support baseload power generation, "as the world needs to manage the intermittency of renewables".

The combination of gas-fired generation and carbon-capture technology is “the most efficient solution today” to the problems of security of supply and carbon abatement, Brusco stated. And he noted that the gas supply crisis arising from the Russian invasion of Ukraine boosted Europe’s coal use, saying that “the lack of investment in gas [lead to an increase in] the consumption of more polluting fuels".

For its part, Eni aims to increase gas’ share of its production mix to 60% by 2030 and 90% by 2050, up from gas and associated liquids accounting for around 52–53% currently.

Areas of focus

Brusco explained that Eni has three main geographic areas of focus: the Mediterranean, Southeast Asia and Africa. “Asia is becoming increasingly important,” said Brusco, explaining that “the Pacific LNG market is where we see most of the increase in LNG consumption” in the coming years. The world’s largest consumer nations—China and Japan—are in Asia, while Eni expects “emerging markets such as Thailand, India [or] Pakistan” to “lead demand growth in the long term”, he continued.
“We think [FLNG] is the right technology to access resources which at the moment are stranded, or might become stranded” Brusco, Eni

Eni plans to bring the second phase of its Baleine project in Cote d’Ivoire online by the end of this year, Brusco confirmed. “This is a flagship project for us”, he stated. The field currently produces 23,000b/d, but the second phase—comprising an additional FPSO—would raise oil output to 60,000b/d and gas production to 50–60mcf/d. The Italian major is planning to take FID next year on a third phase, involving a third FPSO unit. Assuming that expansion is approved, the three phases combined will raise Baleine’s output to 150,000b/d and 200mcf/d. Baleine “will be our first net zero, scope one and two project in Africa", Brusco explained.

Eni is also looking at other opportunities in Cote d’Ivoire’s offshore. In March this year, the company discovered hydrocarbons at Calao, with the preliminary assessment indicating potential resources of 1-1.5m boe in place. “We are now planning an appraisal” for Calao, Brusco confirmed.

Indonesian ambitions

In line with that identification of Southeast Asia as a key market, Eni plans to have two gas hubs in operation in Indonesia’s Kutei Basin with a combined capacity of about 2bcf/d. The hubs will supply the existing Bontang LNG facility, also in Indonesia. One hub is already in operation in the Kutei Basin, comprising a floating, 750mcf/d unit.

And “thanks to the discovery made last year, we will build a new hub in the north of the basin”, said Brusco, explaining the second unit is being designed with a 1–1.2mcf/d capacity and will be “in production sometime after 2028”. Bontang LNG has 20mt/yr of installed production capacity, but due to its dependence upon declining fields, just 5.6mt was utilised last year.

This is “one of our most exciting projects”, he continued, stressing that no additional investment will be required for the liquefaction infrastructure, while the development is in “the most promising market” for LNG, so freight costs will be competitive.

Back in Africa, the company also recently farmed into “a very promising block in Namibia", which is surrounded by blocks that have already yielded discoveries, said Brusco. This block was PEL 85, and Eni farmed in through the Azule Energy joint venture.

Floating LNG and infrastructure

The Italian firm has also successfully deployed floating LNG (FLNG units) in Mozambique and Congo-Brazzaville. “We think this is the right technology to access resources which at the moment are stranded, or might become stranded,” said Brusco.

The second Congo FLNG unit is due to be in production “by the end of 2025”, he continued, adding that Eni is also evaluating another FLNG project in Mozambique, Coral North, “which would be a carbon copy of Coral South”, incorporating lessons learned from that development. FLNG is now “a proven technology” that can bring on production swiftly and effectively, he continued.

End-2024 – Next Baleine phase due online

Eni is also engaged in a “near-field strategy” to maximise resources near existing infrastructure, and not just around the Kutei Basin gas plans. This is “mostly in North Africa”, where the company has assets in Algeria, Libya and Egypt, said Brusco, explaining that there is lots of exploration activity and four hubs within that region for potential tie-ins. He also stressed the greatly improved security situation in Libya.

“Angola is another country where we have near-field exploration, through our JV Azule Energy,” he continued, before noting that Eni is also looking at utilising some of the spare capacity in infrastructure and facilities in the UAE. Norway, where the company is present through Var Energi, “is another area where near-field exploration pays out quite quickly”, he added.
Carbon capture and storage

Eni is also heavily involved in CCS projects. Ravenna CCS is the company’s first key carbon project in Italy, and the first phase is about to start operations. "Phase two will bring the total injection capacity to 4mt/yr, which will come onstream before 2030. This will then [subsequently] be increased to 16mt/yr. We have expressions of interest from emitters, which exceed peak capacity,” stated Brusco.

The company has a similar project in Liverpool Bay, and Brusco explained that the UK regulator is close to issuing an economic licence, “which is the foundation for the project”. Eni hopes to have that licence by Q3 this year, and take FID in Q4, as “some of the key emitters also need to reach FID in this case”, he continued.

“Eni is involved in the transport and storage, while carbon capture is the business of the emitters”, explained Brusco. Liverpool Bay comprises two phases, the first with a capacity of up to 4mt/yr by 2030, while the second phase will boost capacity to 10mt/yr after 2030. Other Eni CCUS projects include Bacton, in a depleted offshore reservoir near London.

Regarding the scalability and economics of carbon capture, Brusco noted that technology and the industry have started “the journey of making costs more competitive”. He stressed that there are “two essential business models” for CCUS, one for capture and the other for transport and storage, and emphasised the critical role of regulators in agreeing renumeration rates for the transport and storage portions. “For carbon capture, it is more contracts for difference”, he continued. "Our portfolio of projects...has competitive advantages” due to the use of “depleted reservoirs close to large industrial centres”. This means high percentages of carbon dioxide in exhaust gases, so the capture process is more efficient and less energy-intensive.

CCS is just one of the components of Eni’s decarbonisation plans alongside biofuels, renewables, and “to some extent hydrogen”, Brusco stated. “There is no one solution” to the energy transition, he said, adding that “we need all the solutions” including gas-fired generation coupled with carbon capture. And CCUS is “probably the only option” for hard-to-abate industries, such as cement, glass and fertilizer manufacture, Brusco concluded.

Jul 05 - Australian regulator warns east coast to face gas shortage by 2027
Australia's east coast could face gas shortages from 2027, a year earlier than initially forecast, the country's competition regulator said, as it called for an urgent need to develop new sources of production and supply. The Australian Competition and Consumer Commission (ACCC) said in an interim update that the warning reflects potential lower supply due to delays in approvals for new projects.

Jul 05 - Germany could import up to 100 TWh of green hydrogen via pipelines by 2035, study shows
Germany could cover up to 100 terawatt-hours (TWh) of its annual energy needs with imports of green hydrogen via pipelines from neighbouring countries by the mid-2030s, covering a significant share of its projected demand, a study showed on Thursday. Berlin is seeking to expand the use of hydrogen as an energy source to cut greenhouse emissions for highly polluting industrial sectors that cannot be electrified, such as steel and chemicals, and cut dependency on imported fossil fuel.

Jul 04 - Aramco, ADNOC reportedly weighing bids for Australia's Santos, but analysts sceptical
Saudi Aramco and Abu Dhabi National Oil Company (ADNOC) have been separately considering bids for Santos, Bloomberg News reported, sending shares of the Australian gas producer up 6.5% on Thursday.  Both Saudi Aramco and ADNOC have been conducting preliminary evaluations of Santos as a possible acquisition target, the report said, citing sources who declined to be named as the information was private.  

Jul 04 - Berlin faces hefty discount in multi-billion Uniper stake sale, sources say
Berlin will have to accept a significant discount in a planned sale of shares in bailed-out Uniper, two people familiar with the matter said, adding that the group's current market valuation was no reliable indicator. A sale of government holdings in the utility could become one of Germany's biggest deals next year and rake in badly needed funds for the country's three-way coalition.

Jul 03 - Constellation talking to Pennsylvania on Three Mile Island restart, sources say
Constellation Energy is in talks with the Pennsylvania governor's office and state lawmakers to help fund a possible restart of part of its Three Mile Island power facility, the site of a nuclear meltdown in the 1970s, three sources familiar with the discussions said on Tuesday. The conversations, which two sources described as "beyond preliminary," signal that Constellation is advancing plans to revive part of the southern Pennsylvania nuclear generation site, which operated from 1974 to 2019.

Jul 03 - TotalEnergies to exit gas field offshore South Africa in blow to country
French oil major TotalEnergies has notified South Africa's petroleum regulator that it intends to withdraw from its 11B/12B offshore gas field but has yet to submit a formal request to do so, a source at Petroleum Agency SA said. TotalEnergies discovered the first of two large mainly gas finds in Block 11B/12B offshore the southern coast in 2019, and the withdrawal is a setback for South Africa which was banking on the gas potentially supplying an idle national gas-to-liquid refinery at Mossel Bay.

Jul 02 - Hydrogen sector asks EU to help local firms compete with China
European manufacturers of hydrogen equipment have urged the European Union to step in to help the industry compete with cheaper Chinese producers, in a letter seen by Reuters on Monday. The companies, among them Thyssenkrupp Nucera, Siemens Energy, and Nel Hydrogen, want Brussels to do more to ensure Europe-made equipment powers the EU's plan by 2030 to produce 10 million tonnes of renewable hydrogen using electrolysers, machines that use electricity to split water to produce the green fuel.

Jul 02 - US judge halts Biden administration's pause on LNG permits
A federal judge on Monday dealt President Joe Biden's climate agenda a setback by blocking the Democrat's administration from continuing to pause the approval of applications to export liquefied natural gas (LNG). U.S. District Judge James Cain in Lake Charles, Louisiana, sided with 16 Republican-led states in holding that the U.S. Department of Energy's freeze on approvals of LNG exports was "completely without reason or logic."

Jul 01 - Aramco signs over $25 bln of deals for main gas network and Jafurah gas field
Saudi Arabia's state oil company Aramco has signed contracts worth more than $25 billion for the second phase of the expansion of its Jafurah gas field and the third phase of expanding its main gas network, its CEO Amin Nasser said on Sunday. Saudi Arabia is working on developing its unconventional gas reserves, which require advanced extraction methods such as those used in the shale gas industry.

Jul 01 - Philippines' dependency on coal-fired power surpasses China, Indonesia
The Philippines surpassed Indonesia and China to break into the world's top ten economies most dependent on coal-fired power, data from energy think tank Ember showed, underlining the challenges it faces to achieve its green energy goals. The country's share of coal in electricity generation rose for the fifteenth straight year in 2023, the data showed, despite a target to cut dependence on the fuel to less than half of total power output by 2030.