Anatol Feygin, Chief Commercial Officer (CCO) at Cheniere Energy, is bullish on forward margins for LNG shipments this spring. Asian buyers are expanding regas terminals and pipelines, he noted, with gas-fired power generation set to become the second-highest growth segment in China, India and Southeast Asia after renewables in terms of capacity additions.
If the world takes decisive actions to limit global warming to 2°C by 2050, the scale of change is likely to unravel the energy industry. “Progressive electrification will squeeze the most polluting hydrocarbons out of the energy mix,” Wood Mackenzie says, forecasting oil demand will take a hit while gas demand remains resilient.
The rapid build-out of Philippine LNG import and power project puts many assets at risk of becoming stranded. The total investment in ports, LNG regas facilities, pipelines and power plants is estimated at over $13.6 billion (PHP 653.5bn), but much might be underutilized, analysts warned, as renewables become cheaper.
The amount of debt and equity issued by US exploration and production (E&P) companies has surged to $4.4 billion in March 2021, the highest level since last August. Analysts say upstream players want to cash in on higher oil prices which bounced back from less than $40/bbl in spring 2020 to currently over $65/bbl.
Delek Drilling, owned by the Israeli billionaire Yitzhak Tshuva, has announced plans to divest a large share of its Tamar offshore gas field to an UAE-based company for an estimated $1.1 billion. Delek confirmed a memorandum was signed with Mubadala Petroleum, and the Israeli government has been notified about the proposed sale.
Connected climate control expenditure in the European Union has grown to over €718 million, up 10% from pre-year levels, according to Delta-EE findings. Despite the negative effects of Covid-19 at the start of last year, the lockdown catalysed investment in house improvements which pushed up customer spending on climate controls from €670 million to €760 million.