LNG import news

Reuters is reporting that Total has rejected a force majeure notice issued by a Chinese LNG buyer.

Following the news that China National Offshore Oil Corp. has invoked force majeure on several LNG deliveries, Rob Patterson and Myles Mantle, London Partners at law firm Haynes and Boone, have offered their insights.

According to Reuters, China National Offshore Oil Corp. has declared force majeure on several prompt LNG deliveries from at least three different suppliers.

According to Reuters, an executive at Cheniere has revealed that the company’s sole Chinese contract customer continues to take committed LNG supplies.

Total has announced that it has divested its 27.5% interest in Fosmax LNG – the operator of the Fos Cavaou LNG terminal – as a result of a competitive sale process to Elengy, Fosmax LNG’s shareholder with a 72.5% stake, that exercised its pre-emption right.

An executive from Japan’s Inpex Corp. is predicting oversupply in the LNG market until mid-2020, at which point they expect demand from southeast Asia and India to pick up.

Adriatic LNG has reported strong results for 2019, a year in which it celebrated its 10th anniversary and achieved new activity records.

According to Reuters, an LNG tanker that had been travelling to China has been diverted, most likely due to lower demand caused by the coronavirus situation.

A tender for four LNG cargoes, launched by India’s Torrent Power, has been awarded with a price average of less than US$4 per million Btu.

Chinese LNG buyers are expecting demand to be severely impacted by the coronavirus epidemic that is currently gripping the country.