In December, the European Union granted 101.4 million euro ($126.1 million) to support the construction of the offshore LNG terminal on Krk island. It is designated an EU Project of Common Interest. Additionally, the Croatian government has declared the project of strategic importance to the region. This is significant as it gives the project priority and pushes for early completion.
The development of the offshore LNG terminal supports the key objectives of the Energy Union as it will promote further integration of the internal energy market and enhance security of supply. The terminal is set to secure the energy needs of the region and reduce dependence on Russian gas by securing new supplies for Central and South-Eastern countries.
Miguel Arias Cañete, EU Commissioner for Climate Action and Energy stated that “this investment will not only allow for the supply of natural gas to Croatia and Hungary; it will also increase the diversification of energy sources of Central and South-Eastern Europe and give an economic lift to the region.”
LNG Croatia, the company developing the import terminal on Krk island, intends to implement the project in two phases. Firstly, the construction of a floating terminal followed by a land-based terminal. Yet Gasfin, a private provider of mid-scale LNG infrastructure, has stated that it can bypass the two-phase development and immediately begin work on an onshore production site. This pause in development has left everyone asking what will happen next.
The project is critical for the whole Central & Eastern European region. The two project leads are set the clarify their positions at the CEE Gas conference in Zagreb, in March. This is a unique opportunity to get insight into these fundamental developments.
Attend the CEE Gas Conference in Zagreb this March to see the debate between the heads of both Gasfin and LNG Croatia.
About CEE Gas
With over 30 years of European and global gas market partnership expertise, dmg :: energy events hosts Central & Eastern European Gas Conference (CEE Gas) in Zagreb, Croatia on 7 - 8 March 2018. The event launched in 2017 and was hugely successful; creating the most senior gathering of natural Gas and LNG leaders ever seen in the region.
Bringing together all key stakeholders including gas suppliers, TSOs, regulators, government members, commercial executives and industry consultants, CEE Gas will provide an unrivalled platform for the strategic roadmap to a diverse and secure natural gas future for the region.
On the 7-8 March 2018 the Central & Eastern European Gas Conference will return to Zagreb. Building on the success of the 2017 event, CEE Gas 2018 will once again bring together business, government and regulatory leaders from across the CEE region, Western Europe and the rest of the world.
CEE Gas 2018 will focus on these key challenges:
Energy Supply - Deliver affordable power while still hitting national COP-21 targets
Market Liberalisation - Implement a fully liberalised and market driven energy landscape across each country in the region
Infrastructure Construction and Development - Understand how to accurately measure project economics and implement construction across multiple jurisdictions
Market Integration - Create a liquid gas and power market across CEE and the rest of the EU
HIGH PROFILE SPEAKERS INCLUDE:
If you would like to know more about the conference or are interested in interviewing any of the speakers, please feel free to contact me.
For more information please see: http://www.theceegas.com/
Something interesting to share?
Join NrgEdge and create your own NrgBuzz today
According to the Nigeria National Petroleum Corporation (NNPC), Nigeria has the world’s 9th largest natural gas reserves (192 TCF of gas reserves). As at 2018, Nigeria exported over 1tcf of gas as Liquefied Natural Gas (LNG) to several countries. However domestically, we produce less than 4,000MW of power for over 180million people.
Think about this – imagine every Nigerian holding a 20W light bulb, that’s how much power we generate in Nigeria. In comparison, South Africa generates 42,000MW of power for a population of 57 million. We have the capacity to produce over 2 million Metric Tonnes of fertilizer (primarily urea) per year but we still import fertilizer. The Federal Government’s initiative to rejuvenate the agriculture sector is definitely the right thing to do for our economy, but fertilizer must be readily available to support the industry. Why do we import fertilizer when we have so much gas?
I could go on and on with these statistics, but you can see where I’m going with this so I won’t belabor the point. I will leave you with this mental image: imagine a man that lives with his family on the banks of a river that has fresh, clean water. Rather than collect and use this water directly from the river, he treks over 20km each day to buy bottled water from a company that collects the same water, bottles it and sells to him at a profit. This is the tragedy on Nigeria and it should make us all very sad.
Several indigenous companies like Nestoil were born and grown by the opportunities created by the local and international oil majors – NNPC and its subsidiaries – NGC, NAPIMS, Shell, Mobil, Agip, NDPHC. Nestoil’s main focus is the Engineering Procurement Construction and Commissioning of oil and gas pipelines and flowstations, essentially, infrastructure that supports upstream companies to produce and transport oil and natural gas, as well as and downstream companies to store and move their product. In our 28 years of doing business, we have built over 300km of pipelines of various sizes through the harshest terrain, ranging from dry land to seasonal swamp, to pure swamps, as well as some of the toughest and most volatile and hostile communities in Nigeria. I would be remiss if I do not use this opportunity to say a big thank you to those companies that gave us the opportunity to serve you. The over 2,000 direct staff and over 50,000 indirect staff we employ thank you. We are very grateful for the past opportunities given to us, and look forward to future opportunities that we can get.
Headline crude prices for the week beginning 15 July 2019 – Brent: US$66/b; WTI: US$59/b
Headlines of the week
Unplanned crude oil production outages for the Organization of the Petroleum Exporting Countries (OPEC) averaged 2.5 million barrels per day (b/d) in the first half of 2019, the highest six-month average since the end of 2015. EIA estimates that in June, Iran alone accounted for more than 60% (1.7 million b/d) of all OPEC unplanned outages.
EIA differentiates among declines in production resulting from unplanned production outages, permanent losses of production capacity, and voluntary production cutbacks for OPEC members. Only the first of those categories is included in the historical unplanned production outage estimates that EIA publishes in its monthly Short-Term Energy Outlook (STEO).
Unplanned production outages include, but are not limited to, sanctions, armed conflicts, political disputes, labor actions, natural disasters, and unplanned maintenance. Unplanned outages can be short-lived or last for a number of years, but as long as the production capacity is not lost, EIA tracks these disruptions as outages rather than lost capacity.
Loss of production capacity includes natural capacity declines and declines resulting from irreparable damage that are unlikely to return within one year. This lost capacity cannot contribute to global supply without significant investment and lead time.
Voluntary cutbacks are associated with OPEC production agreements and only apply to OPEC members. Voluntary cutbacks count toward the country’s spare capacity but are not counted as unplanned production outages.
EIA defines spare crude oil production capacity—which only applies to OPEC members adhering to OPEC production agreements—as potential oil production that could be brought online within 30 days and sustained for at least 90 days, consistent with sound business practices. EIA does not include unplanned crude oil production outages in its assessment of spare production capacity.
As an example, EIA considers Iranian production declines that result from U.S. sanctions to be unplanned production outages, making Iran a significant contributor to the total OPEC unplanned crude oil production outages. During the fourth quarter of 2015, before the Joint Comprehensive Plan of Action became effective in January 2016, EIA estimated that an average 800,000 b/d of Iranian production was disrupted. In the first quarter of 2019, the first full quarter since U.S. sanctions on Iran were re-imposed in November 2018, Iranian disruptions averaged 1.2 million b/d.
Another long-term contributor to EIA’s estimate of OPEC unplanned crude oil production outages is the Partitioned Neutral Zone (PNZ) between Kuwait and Saudi Arabia. Production halted there in 2014 because of a political dispute between the two countries. EIA attributes half of the PNZ’s estimated 500,000 b/d production capacity to each country.
In the July 2019 STEO, EIA only considered about 100,000 b/d of Venezuela’s 130,000 b/d production decline from January to February as an unplanned crude oil production outage. After a series of ongoing nationwide power outages in Venezuela that began on March 7 and cut electricity to the country's oil-producing areas, EIA estimates that PdVSA, Venezuela’s national oil company, could not restart the disrupted production because of deteriorating infrastructure, and the previously disrupted 100,000 b/d became lost capacity.