European Natural Gas Prices Hit Highest Level in Over a Decade — LNG Recap

Hot weather and limited supplies helped drive European natural gas prices to a 12-year high late last week in a rally that continued Monday. The prompt Title Transfer Facility (TTF) contract closed Friday at $10.237/MMBtu and finished higher on Monday at a level not seen since 2008. European gas prices have been strong since the beginning of the year. Storage inventories were at 44% of capacity on Monday, about 23% below the five-year average and at their lowest level since 2018.  Strong natural gas demand in Asia, where prices are…

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RLNG fiasco – between a rock and a hard place

There is a potential RLNG (or broader electricity) shortage threat looming for July. One of the two RLNG terminals needs dry docking (shutdown for detailed inspection and maintenance). The problem is that the company wants it to happen at the peak season, and this could create gas – in turn electricity – shortage, especially when two of the Sindh gas fields are closed at the same time. This is sending jitters in Islamabad. Engro Elengy Terminal Pakistan is the first LNG import facility in Pakistan. The Floating Storage and Regasification…

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Country likely to witness increased power bills, gas load management

The country is likely to see hike in electricity bills and the government may resort to load management from June to October as SNGPL allocation of RLNG to power sector for these months is up to 54 percent less than the generation requirements of NPCC/NTDC. Against the total requirement planned by National Power Construction Company (NCCP) and National Transmission and Despatch Company (NTDC) of 900 mmcfd for the month of June SNGPL has allocated 639 mmcfd which is 261 mmcfd less than the demand, official source told The Nation. For…

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Ogra to hold two public hearings against SNGPL’s petition

The Oil and Gas Regulatory Authority (Ogra) will hold two public hearings against petition filed by the Sui Northern Gas Pipeline Limited (SNGPL) for estimated revenue requirement (ERR) to meet its expenditure in the financial year 2021-22 and the previous year shortfalls. The oil and gas regulator will hold the first public hearing in Lahore, on Tuesday (June 22), and in Peshawar on Thursday (June 24). The Ogra, through a notification, has already invited all interested/affected persons, including gas consumers and general public, to furnish their comments, objections, suggestions and…

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SSGCL stops supply to CNG stations in Sindh for 176 hours

KARACHI: The Sui Southern Gas Company Limited (SSGCL) has stopped gas supply to CNG stations in Sindh for 176 hours starting from 12am (June 22) to 9am (June 29) owing to gas shortfall. The company had informed station owners that it was facing a shortfall of 160MMCFD due to annual turnaround of Kunnar Passahi field at Tando Allahyar, causing decline in gas availability resulting in depletion of line pack and low pressure in the system. The company said CNG supply the stations had been shut to meet the demand of…

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Pakistan, IMF differences persist

Pakistan and the IMF have so far failed to narrow down their differences, so both sides have decided to put completion of the sixth review under the $6 billion Extended Fund Facility (EFF) on hold for the next few months, it has been learnt. Pakistan and the IMF authorities could not evolve a consensus on the staff-level agreement, so the completion of the sixth review under the EFF was put on hold till September 2021. The IMF Board was scheduled to take up approval of 6th review by July this…

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Dasu hydropower project to provide 1200bn units of electricity: PM

Prime Minister Imran Khan has said that Dasu hydropower project is one of the projects which will immensely benefit the country by giving 1200 billion units of electricity upon completion by 2028. In a tweet with a video clip of project briefing, the Prime Minister expressed the confidence that during the decades of dams which began in 2018, all projects will be completed. He said Dasu Hydro Power Project which is the most significant one will add 1200 billion units of electricity and it will guarantee environmental conservation besides economic…

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Chinese drillers announce two MASSIVE oil & gas discoveries in Northwest China

China has discovered a pair of new deposits containing roughly two billion tons of shale oil and gas, according to the state-controlled energy giant China National Petroleum Corporation (CNPC). One of the wells was discovered in the Fuman oilfield – a major region for crude oil production in the Tarim Basin, in northwest China’s Xinjiang Uighur Autonomous Region. It reportedly contains a billion tons of super-deep oil and gas. With a drilling depth of nearly 27,900 feet (8,500 meters) and a test oil column reaching 1,640 feet (550 meters), the…

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Closure of Engro’s LNG Terminal to be Decided in 3 Days

After taking the opinion of the Law Division, the Cabinet Committee on Energy (CCOE) will decide whether to delay the shutdown of the Engro LNG Terminal or to continue operations, within 72 hours, the Secretary Petroleum, Dr. Arshad Mehmood, informed a local media outlet. This is the standard process of the LNG terminals, whereby the FSRU is taken to the service yard and brought to dry land. This is done to clean and inspect the submerged portions of the hull. Dry docking is essential as a preventative measure and is…

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After having legal opinion from Law Division CCOE will decide closure of Engro LNG terminal till August

The Cabinet Committee on Energy (CCOE) will decide in the next 72 hours to either delay shut down of Engro LNG Terminal by pending the dry docking of FSRU (Floating Storage Regasification Unit) for one and a half or two months or go as per plan after having opinion of Law Division, Secretary Petroleum Dr Arshad Mehmood, told The News. Dry-docking is the process under which FSRU is taken to the service yard and brought to dry land, so that submerged portions of the hull can be cleaned and inspected.…

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