The Australia Pacific LNG (APLNG) combine has agreed to acquire the Ironbark coal seam gas project from Origin Energy for $231 million (Aus.). Ironbark—not to be confused with the BP PLC-led group’s conventional gas prospect of the same name offshore Western Australia—lies near Tara in the Surat basin of southeast Queensland.
Anadarko Petroleum Corp. reported that Mozambique LNG1 Co. Pte. Ltd.—the jointly owned sales entity of the Mozambique Area 1 coventurers—has entered into a 20-year, 1 million-tonne/year LNG supply agreement with Indonesia’s state-owned Pertamina.
US District Judge Brian Morris issued a new ruling allowing TransCanada Corp. to build and use pipe storage and container yards for the proposed Keystone XL crude oil pipeline. But the Feb. 15 order reportedly continues to block construction of worker camps, effectively keeping work from beginning on the project.
Queensland has granted a petroleum facility license to Melbourne-based energy infrastructure company Jemena for the construction of a natural gas processing plant that will form part of the Atlas Pipeline project. The Atlas project involves the delivery of gas from 100 coal seam gas wells on acreage owned by Senex Energy Ltd., Brisbane, in the Surat basin of southeast Queensland near the townships of Wandoan and Miles specifically to the domestic market.
The US Pipeline and Hazardous Materials Safety Administration, in coordination with the Federal Railroad Administration, issued a final rule requiring railroads to develop and submit comprehensive oil spill response plans covering route segments used by high hazard flammable trains.
Williams Cos. and Targa Resources have entered into agreements to expand key systems that will link the Conway, Kan., and Mont Belvieu, Tex., NGL markets. As part of the agreements, Williams will build the 188-mile Bluestem NGL pipeline from its Conway fractionator and the southern terminus of the Overland Pass Pipeline to an interconnect with Targa’s Grand Prix NGL pipeline in Kingfisher County, Okla., while Targa will build a 110-mile extension of Grand Prix from southern Oklahoma into the STACK region of central Oklahoma where it will connect with the Bluestem pipeline.
Chevron USA Inc. has entered into a long-term LNG supply agreement with GS Caltex Corp. that calls for the delivery of LNG to South Korea from Chevron’s global supply portfolio.
Howard Energy Partners (HEP) and NextEra Energy Partners will jointly develop additional natural gas transportation projects in the Eagle Ford shale region of South Texas.
Sentinel Midstream, Dallas, has reported plans to development Texas GulfLink, a proposed deepwater crude oil export terminal near Freeport, Tex. The completed facility will be capable of fully loading very large crude carrier vessels.
The Origin Energy-ConocoPhillips combine Australia Pacific LNG has let a package of gas gathering and infrastructure works worth $90 million (Aus.) to CPB Contractors—the Australasian construction company of Sydney-based engineering firm CIMIC Group—for the Surat basin of southeast Queensland.
Six public and trade associations have asked US Transportation Sec. Elaine Chao “to act expeditiously” to approve revisions to the US Pipeline and Hazardous Materials Safety Administration’s federal natural gas pipeline safety regulations. “PHMSA’s rule will advance gas transmission pipeline safety by defining specific requirements to facilitate the use of 21st-century pipeline safety technologies and processes,” the groups said in their Feb. 7 letter.
Gray Oak Pipeline and Kinder Morgan Crude & Condensate launched an open season for long-term crude oil transportation service from Gray Oak line origin points in the Permian basin to KMCC delivery points at or near the Houston Ship Channel. Delivery from the Gray Oak system to HSC would be achieved through a connection in South Texas.
Excelerate Energy LP's Northeast Gateway Deepwater Terminal, about 13 miles offshore Boston, reported that it reached a peak send-out rate of more than 800,000 MMbtu/d of regasified LNG a week earlier. The Feb. 1 volume was a record for the facility, officials said.
Shell Australia let a multimillion-dollar contract to global engineering groups Wood and KBR to deliver integrated front-end engineering and design for Shell’s Crux gas-condensate development project in the Browse basin off Western Australia.
A federal appeals court vacated the New York State Department of Environmental Conservation’s (NYSDEP) denial of a water-quality certificate to the proposed Northern Access natural gas pipeline project on Feb. 5. The US Court of Appeals for the Second Circuit remanded the matter back to the state agency with instructions to more clearly articulate its basis for denial.
ExxonMobil Corp. and partner Qatar Petroleum have made a final investment decision to develop the Golden Pass LNG export project in Sabine Pass, Tex. Construction will begin in this year’s first quarter with the plant expected to begin operations in 2024.
New training courses on pipeline construction safety will begin soon in West Virginia, Ohio, and California as part of a groundbreaking partnership that was launched less than a year ago, the presidents of the American Petroleum Institute and North America’s Building Trade Unions (NABTU) jointly announced on Feb. 4.
The Perth-based Australian subsidiary of Royal Dutch Shell PLC has begun the approval process for a potential $2-billion (Aus.) development of its Crux natural gas-condensate field in the Browse basin license AC/L9 offshore Western Australia as a tie in to the company’s Prelude floating LNG (FLNG) facilities.
Anadarko Petroleum Corp. reported that Mozambique LNG1 Co. Pte. Ltd.—the jointly owned sales entity of the Mozambique Area 1 co-venturers—has entered into LNG supply agreements with Shell International Trading Middle East Ltd., as well as a co-purchasing agreement with Tokyo Gas Co. Ltd. and Centrica LNG Co. Ltd.
Noble Midstream Partners LP has exercised its option for a 30% equity stake in the Epic Crude Oil Pipeline project and a 15% equity stake in the Epic NGL pipeline while Altus Midstream Co., through a subsidiary, and Rattler Midstream LP, a subsidiary of Diamondback Energy Inc., exercised options for 15% and 10%, respectively, in the Epic crude line.
Texas Colt—a proposed joint venture of Enbridge Inc., Kinder Morgan Inc., and Oiltanking—has submitted an application with the US Maritime Administration to construct and operate a deepwater crude oil export port offshore Freeport, Tex.
Anadarko Petroleum Corp. reported that Mozambique LNG1 Co. Pte. Ltd.—the jointly owned sales entity of the Mozambique Area 1 Lda. coventurers—has entered into a 13-year LNG supply agreement with CNOOC Gas & Power Singapore Trading & Marketing Pte. Ltd. that calls for the supply of 1.5 million tonnes/year of LNG to CNOOC.
The government of Alberta is easing the production cut in effect since Jan. 1 to address historic price discounting due to pipeline congestion. Saying it is responding to “new storage data,” the province will allow production to increase to 3.63 million b/d in February and March from the January limit of 3.56 million b/d.
Magellan Midstream Partners LP and Navigator Energy Services have extended the open season to solicit transportation commitments for the Voyager pipeline to transport various grades of light crude oil and condensate from Cushing, Okla., to Houston.
The Australian Gas Infrastructure Group has reported plans for a further expansion to its Tubridgi gas storage facility in northwest Western Australia. The group has followed its $74-million (Aus.) redevelopment and commissioning of the Tubridgi facility in 2017 with a final investment decision in the last week to complete a seismic survey and expansion of the injection and withdrawal capacity to 90 terajoules/day and 60 terajoules/day, respectively.
ExxonMobil Corp., Plains All American Pipeline LP, and Lotus Midstream LLC have formed the Wink to Webster Pipeline LLC joint venture and ordered nearly 650 miles of US-sourced 36-in. line pipe to construct a common-carrier pipeline to transport more than 1 million b/d of crude oil and condensate from multiple locations in the Permian basin to the Texas Gulf Coast.
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MDU Resources Group subsidiary WBI Energy Inc. plans to construct 67 miles of pipeline, compression, and ancillary facilities to transport natural gas in the Bakken region. The North Bakken Expansion Project, as designed, would provide 200 MMcfd of gas transportation capacity starting near Tioga, ND, and extending to a new connection with Northern Border Pipeline in McKenzie County, ND.
Ophir Energy PLC, London, is no longer operator of Block R, which contains the Fortuna natural gas discovery, and will not be granted an extension to the joint production contract, the Ministry of Mines and Hydrocarbons of Equatorial Guinea confirmed. Ophir was issued a notice of the decision in December 2018 after the company’s exploration license expired. The block has been returned to the state.
A joint venture of Woodside Energy Ltd., Perth, and Melbourne-based Energy Developments Pty. Ltd. (EDL) has signed an LNG supply deal with mineral sands company Sheffield Resources Ltd., Perth, for Sheffield’s Thunderbird project in the Kimberley region of northern Western Australia.
The new Pluto inlet station connecting the Woodside Petroleum Ltd.-operated Pluto LNG project on the Burrup Peninsula near Karratha in Western Australia to the Dampier to Bunbury natural gas trunk line has been successfully commissioned by the Australian Gas Infrastructure Group.
TransCanada Corp.’s Keystone Pipeline GP Ltd. can begin winter clearing work on the North Spread of its Keystone XL project. Canada’s National Energy Board (NEB) approved the company’s request as Keystone has satisfied the regulatory requirements for clearing of trees and shrubs along the pipeline route’s north section, starting at Hardisty, Alta.
Tallgrass Energy LP and Kinder Morgan Inc. will jointly develop a solution to increase existing crude oil takeaway capacity in the Powder River and Denver-Julesburg basins and to add incremental capacity to the Williston basin and portions of Western Canada.
The US Federal Energy Regulatory Commission issued the final environmental impact statement for Tellurian Inc.’s proposed Driftwood LNG export project and an associated pipeline in Louisiana. The project would produce as much as 27.6 million tonnes/year of LNG for export.
Don Baldridge, president of commercial for DCP Midstream, has been elected chairman of the Texas Pipeline Association (TPA).
Phillips 66 Partners, Harvest Midstream Co., and PBF Logistics LP plan to jointly develop the ACE Pipeline system to provide crude oil transportation service from the market hub in St. James, La., to downstream refining destinations in Belle Chasse, Meraux, and Chalmette, La., and have launched an open season for transportation service.
Natural gas production in Louisiana will soon reach record heights thanks to an outstanding resurgence of the Haynesville shale play. Rystad Energy research shows that the Haynesville shale alone was able to add 1.85 bcfd of gross gas production between fourth-quarter 2016 and fourth-quarter 2017. Another 1.3 bcfd was added last year. Production needs to increase by another 700 MMbcfd to reach new all-time highs.
Virginia’s Air Pollution Control Board unanimously approved a permit for the Atlantic Coast Pipeline Project to construct a compressor station in Buckingham County on Jan. 8 following a recommendation by the state’s Department of Environmental Quality.
Woodside Petroleum Ltd., Perth, has let a contract to Bechtel for the front-end engineering design stage for the Pluto LNG Train 2 project on the Burrup Peninsula of Western Australia. FEED work includes activities needed to finalize the costs and technical definition for the proposed second train at the onshore facility.
Shell Australia’s Prelude floating LNG (FLNG) project in the Browse basin off northwest Western Australia has started production. The company reported it had opened the subsea wells in the field to enter the project’s start-up and ramp-up phases, the initial stages during which gas and condensate is produced and moved through the giant facility.
Michigan’s new governor, Democrat Gretchen Witmer, has asked Atty. Gen. Dana Nessel (D) for a legal opinion of recent legislation to replace Enbridge Inc.’s pipeline in the Mackinac Straits and the new Mackinac Straits Corridor Authority (MSCA) created by her predecessor, Republican Rick Snyder.
ExxonMobil Canada Ltd. and Imperial Oil Ltd. have withdrawn their proposal for the WCC LNG project in British Columbia.
Seaway Crude Pipeline Company LLC launched a binding open season to gauge shipper support for expanded crude oil capacity on its existing system originating in Cushing, Okla. and extending to the Texas Gulf Coast area.
Wolf Midstream Partners LLC, Dallas, launched a binding open season for crude oil transportation commitments for the proposed Gray Wolf Crude Connector, a new pipeline to serve the Midland basin.
Woodside Energy Trading Singapore Pte Ltd. has signed a fully termed and binding sales agreement with RWE Supply & Trading GmbH for the mid-term supply of LNG to begin during fourth quarter 2020 and run until December 2022.
Port Arthur LNG LLC, a subsidiary of Sempra Energy, and Polish Oil & Gas Company (PGNiG) entered into a definitive 20-year sale and purchase agreement for liquefied natural gas (LNG) from the Sempra-led Port Arthur LNG liquefaction-export facility under development in Jefferson County, Tex.
San Mateo Black River Oil Pipeline LLC, a subsidiary of San Mateo Midstream LLC, has placed into service its crude oil gathering and transportation system in the Delaware basin.
The Woodside Petroleum-led Pluto LNG project has commissioned the Pluto pipeline gas facility and delivered its first gas into the Dampier to Bunbury natural gas trunkline.
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Williams Cos. Inc., Tulsa, has received a certificate of public convenience and necessity from the US Federal Energy Regulatory Commission authorizing the Gateway Expansion project—an expansion of the Transco natural gas pipeline to serve the US Northeast.
Privately held Western Gas Corp. Pty. Ltd., Perth, has signed a memorandum of understanding with international service companies McDermott and Baker Hughes to be exclusive development partners for the Equus gas project offshore northwest Western Australia.
Inpex agreed to acquire an additional 4% interest in the Ichthys LNG project in Australia from Total SA for $1.6 billion, increasing the operator’s participating interest to 66.245% from 62.245%. The first offshore condensate cargo was exported on Oct. 1, the first LNG cargo was exported on Oct. 22, and the first LPG cargo was exported on Nov. 16. The two LNG trains are now fully operational.
PAO Novatek has begun LNG exports from Train 3 of its Yamal LNG plant in Russia, reaching the site’s planned full capacity of 16.5 million tonnes/year. Novatek said it completed work on the 5.5-million tpy third train more than a year ahead of schedule. An additional 900,000-tpy train is under construction with startup planned for early 2020.
Virginia Atty. Gen. Mark R. Herring (D) announced that the state’s Department of Environmental Quality (DEQ) and Water Quality Board sued Mountain Valley Pipeline LLC (MVP) for alleged repeated environmental violations in five southwestern Virginia counties over the past year, particularly during major rain events.
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Central Petroleum Ltd., Brisbane, is to sell gas to pipeline operator Jemena for commissioning of the Northern Gas Pipeline (NGP) connecting the Northern Territory pipeline grid to the Queensland system via Mount Isa. It is now anticipated that the pipeline will be ready to begin commercial flow between Dec. 29, 2018, and Jan. 10, 2019.
South Korean developer EPIK, based in Seoul, has proposed the establishment of a floating LNG import terminal at the Port of Newcastle north of Sydney on Australia’s east coast. EPIK has signed an agreement with the Port of Newcastle to conduct preliminary work on the project, which is expected to cost as much as $430 million (Aus.), including onshore infrastructure.
Williams Cos. Inc., Tulsa, closed on the sale of certain pipeline systems in the Gulf Coast area to Easton Energy LLC, Houston, for $177 million in cash. Included in the sale are the 31-mile Texas Belle Pipeline, the Purity pipeline system, certain assets in the Live Oak pipeline system, and additional idle pipelines along the Gulf Coast. In total, the deal includes about 416 miles of Gulf Coast NGL pipelines, Easton said.
A unit of Abu Dhabi National Oil Co. and Inpex Corp. will assess potential for joint LNG bunkering development under a new framework agreement. ADNOC Logistics & Services and Inpex will consider collaborating on LNG bunkering projects in Abu Dhabi and other regions, including Southeast Asia.
SemGroup Corp. and DCP Midstream LP are holding an open season to solicit binding commitments for development of a pipeline system to transport segregated batches of light crude oil from Cushing, Okla., to Houston. The proposed Gladiator Pipeline would start at SemGroup’s Cushing terminal.
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Crimson Midstream and MPLX have extended the binding open season to assess interest and solicit commitments from prospective shippers for transportation service on the Swordfish pipeline. Originally scheduled to close Nov. 30, the open season has been extended to allow shippers time to evaluate new information and to account for the holiday season.
Jupiter Energy Group has launched a 90-day open season for binding shipper commitments on the Jupiter Pipeline, which is expected to be operational in fourth quarter 2020.