Source: Photo.com
On December 21, Abu Dhabi National Oil Company (ADNOC) signed a 15-year LNG supply agreement with ENN Natural Gas Co., Ltd., committing to deliver at least 1 million tonnes of liquefied natural gas (LNG) annually to ENN Singapore, the latter's subsidiary.
ADNOC said the LNG will come primarily from its low-carbon Ruwais LNG project, which is being developed at Ruwais Industrial City in Abu Dhabi. The project is expected to commence commercial operation in 2028, at which time the project will begin LNG deliveries to ENN Singapore.
The agreement is subject to a final investment decision and regulatory approvals to reach a definitive purchase and sale agreement.
According to reports, ENN currently operates more than 250 city gas projects across the country, with an annual LNG distribution capacity of more than 10 billion cubic meters, and operates China's first large-scale private LNG receiving station - Zhoushan LNG terminal, covering the whole scene of the natural gas industry including distribution, trade, storage and transportation, production and engineering.
From 2013 to 2022, China's coastal inter-provincial liquefied gas carriers decreased first and then increased. In 2022, there will be a total of 80 inter-provincial liquefied gas carriers (a total of 288,000 dwt) along China's coast, a year-on-year increase of 3.9%.
In terms of LNG transportation volume, from 2017 to 2022, China's coastal LNG transportation volume has been rising. In 2022, China's coastal liquefied gas volume will be 5.28 million tons, a year-on-year increase of 0.06%.
James Frew, Director of Lloyd's Register Global Maritime Advisory practice, said: "The new energy transition will have a profound impact on the global shipping industry, and will have a broad impact on the socio-economic and commodity consumption structure of mankind. The carbon tax policy will change the structure of energy supply, and with the progress and maturity of new energy refining technology, the trade of ships and goods will become more and more standardized. He pointed out that at a time when global shipping companies are accelerating the shift to low-carbon and decarbonized clean fuels, LNG is an important transition plan to achieve zero emissions, which makes the development of the LNG industry enter a new stage.
Zhang Chunjun, deputy general manager of Shanghai Petroleum and Natural Gas Trading Center, said that LNG has an important attribute of balancing global natural gas supply and demand, and the total global LNG trade volume will continue to grow in 2022, driven by European demand. In the past decade, the total volume of international LNG trade has continued to grow at an average annual compound growth rate of 5%, and it still has great growth potential for a considerable period of time in the future. In the first half of 2023, China's natural gas consumption increased steadily, with a year-on-year increase of about 5.6%.
Prospective Economist APP Information Group
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