PETALING JAYA: Malaysia and its national oil company Petroliam Nasional Bhd (Petronas) are expected to benefit from the recent spike in the price of gas.
The Asian liquefied natural gas (LNG) spot price has been rallying over the past two months and soared more than 18 times to a record high of US$32.50 per million British thermal units (mmBtu) from the April 2020 low of US$2.40 due to the unusually cold winter in North Asia and Europe, as well as unexpected supply issues.
Asian LNG spot prices have outpaced that of Europe and the United States.
According to a report by Reuters, US gas futures for February at the Henry Hub benchmark currently trade at around US$2.60 per mmBtu, while in Europe, prices at the Dutch TTF hub are around US$10 per mmBtu.
BP Giving Chinese Customers Direct Link to LNG Imports
BP plc has started to link downstream customers in China with liquefied natural gas (LNG) imports, creating a fully integrated supply chain in a country that continues to lead the world in energy consumption growth.
The first LNG cargo delivered under BP’s new terminal usage agreement arrived over the weekend at the Guangdong Dapeng LNG Co. Ltd. (GDLNG) import facility in Shenzhen. Under the agreement, the London-based supermajor has 600,000 metric tons/year (mty) of tolling regasification capacity at GDLNG, where it holds a 30% interest.
The cargo arrived after separate deals were signed last year with utilities ENN Group and Foran Energy to supply each company with 300,000 mty of pipeline gas from the import terminal for two years beginning in 2021.
Most people expect that the economy of 2021 will be an improvement from 2020. I don't think so. Perhaps COVID-19 will be somewhat better, but other aspects of the economy will likely be worse. Continue reading →