According to the latest report from EnergyQuest, BG Group’s Queensland Curtis Island LNG (QCLNG) project has now exported over 1 million t of LNG.
EnergyQuest estimates that in May, BG Group exported six cargoes totalling 382 000 t of LNG. From 1 January to 31 May, it is estimated that BG exported 18 cargoes, with a total of 1.169 million t of LNG.
Short-term Brisbane gas prices have been increasing since the start-up of QCLNG, however they are still lower than at the same time last year. While there is evidence of ramp gas, much of the Australia Pacific LNG (APLNG) ramp-up is going to Queensland Gas Company (QGC) and GLNG fields are turned-down.
While one LNG train has started-up in one project there are 13 trains to go. Gladstone LNG (GLNG) (nearly 95% complete) and Australia Pacific LNG (APLNG) (91%) are both within their original schedules for start-up this year. Gorgon (over 90%) is running around a year behind its original schedule. First LNG from Ichthys (68%) and Wheatstone (nearly 60%) looks like slipping into 2017 from late 2016.
In total, 62 million tpy of LNG capacity from new Australian projects will hit the market between 2015 and 2017. In addition there will be 73 million tpy from five new US projects starting production between 2016 and 2019. In aggregate this is a 56% increase on 2014 global trade of 239 million tpy and is set to increase global over supply.
Japanese LNG imports were a record in 1Q15, but are likely to fall as nuclear plants are re-started. Korean imports were the lowest in eight years in the first quarter of the year, and Chinese imports fell for the first time ever.
Asian spot prices for LNG have fallen to around US$7 - 8/million Btu and could fall further as supply increases.
The full report can be accessed here: EnergyQuest Energy Quarterly.
Adapted from press release by Katie Woodward
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/01062015/energyquest-reports-on-australian-lng-exports-855/