Friday, June 29, 2007
Excelerate Energy signs up to develop LNG regas port in Germany
June 29, 2007
Lucy Hine London
Tradewinds
Terminal-hungry Excelerate Energy has hooked up with business partner German utility RWE and its compatriot, Nord-West Oelleitung, to develop a quick-start LNG-import facility at Wilhelmshaven in northern Germany.
Excelerate president Kathleen Eisbrenner says the terminal is one of several the company is planning to develop in Europe with RWE.
She adds that the facility will be similar to the Teesside GasPort terminal opened by Excelerate in the UK in February.
She says the partners have already secured an existing deepwater-port site and jetty at Wilhelmshaven through which cargoes would be brought in using Excelerate's fleet of regasification vessels.
RWE says the gas port could supply some 600,000 cbm of regasified LNG per hour into the German grid.
The partners have said they are aiming for 2010 start-up. Eisbrenner says operations could start sooner but this will depend on how discussions go with the regulatory authorities.
Excelerate and RWE are planning to hold up the example of Teesside, which they fast-tracked to completion in just 13 months.
Teesside has only imported a small part of one LNG cargo since it first opened.
Eisbrenner says the Wilhelmshaven project would most likely be used to bring in cargoes during demand peaks and to provide security of supply to Germany.
RWE chief executive officer Harry Roels said: "It is our aim to significantly strengthen our position in the gas business and to ensure Germany has access to multiple sources of gas to guarantee security of supply."
Eisbrenner describes the project as "an alternative" to the LNG terminal German utility giant E.ON is currently developing at Wilhelmshaven.
RWE and Excelerate to build German Gasport at Wilhelmshaven
June 29, 2007
Gas Matters
RWE has announced plans to develop an LNG import project at Wilhelmshaven in north Germany in conjunction with Excelerate Energy and Nord-West Oelleitung GmbH (NWO). The project, called German GasPort, would use similar onboard regasification technology to Excelerate’s GasPort LNG facility at Teesside in the UK. The German GasPort is expected to be able to feed up to 14.4 MMcm/d of gas directly into the German gas pipeline network by late 2010. The timing of the project coming onstream will depend on the pace of various German authority approvals. The LNG would initially be sourced by Excelerate, though there is the possibility of sourcing LNG from some RWE Dea upstream assets in the future. “It is our aim to significantly strengthen our position in the gas business,” said Harry Roels, CEO of RWE, “and to ensure Germany has access to multiple sources of gas to guarantee security of supply.
A German GasPort meets both of these objectives.” RWE and Excelerate’s project will have to compete for supply with E.ON Ruhrgas’ proposed 27 MMcm/d onshore LNG terminal, also at Wilhelmshaven. No investment decision has been made on E.ON Ruhrgas’ project, which is also targeted for a 2010 start up, though the company is currently in talks with Iran and Algeria for LNG supply. Thursday, June 28, 2007
Exmar puts faith in regasification fleet.
June 28, 2007
Lloyd's List
ONE of the pioneers of regasification vessels, Exmar continues to show its faith in the sector as it signs for an eighth LNG regasification vessel, as well as securing an option for a ninth.
No values were revealed but it is believed that number eight represents an order in the region of $260m.
Again to be built by Daewoo Shipbuilding & Marine Engineering, hull number 2272 will have a capacity of around 150,900 cu m and delivery is scheduled for the second quarter of 2010.
The eighth in the series will include the GTT 96 membrane containment system. Exmar’s option on the ninth vessel will be for delivery in 2010.
Exmar’s strategic partner in the sector, Excelerate Energy, will also be participating in the ownership of the vessel, as well as for hull numbers 2270 and 2271, which were also ordered from DSME in 2006 and will be delivered in 2009.
The trio will be named Exquisite, Exemplar and Expedient.
This move to invest in these Energy Bridge vessels brings the firm’s fleet to nine.
These vessels use Excelerate Energy’s Energy Bridge technology, which allows LNG to be revapourised to gas onboard so that it can then be fed into natural gas pipelines.
The fleet will be used to serve the proprietary LNG market access points in the Excelerate GasNet, the company’s trading and logistics platform.
The partners believe that performing commercial ship-to-ship LNG transfers, either at traditional offloading facilitiesor by onboard regasification directly into gas networks gives them a competitive advantage compared with other LNG carriers.
Exmar has also furthered it relationship with Kong Kong owner Wah Kwong in the liquefied petroleum gas market, through a joint venture for six pressurised vessels.
The Belgian firm and Wah Kwong are going 50-50 in the deal for the six tankers, each with a capacity of between 3,500 and 5,000 cu m.
Wah Kwong ordered the tankers last year. Being built in Japan, these are scheduled for delivery between November, 2008, and July 2009.
Exmar and Wah Kwong already have a partnership involving two mid-size gas carriers, Touraine and Brugge Venture.
Shitanoe is building two ships of 5,000 cu m and one of 3,500 cu m and Yamanishi is building three 3,500 cu m vessels.
RWE to Study German LNG Terminal; E.ON to Launch Share Buy-Back Scheme
June 28, 2007
Sally Bogle
Global Insight Daily Analysis
In the next few months, Germany's RWE will examine the technical prerequisites and the economic prospects for building a LNG import terminal in northern Germany. RWE, U.S.-based Excelerate Energy, and Nord-West Oelleitung will establish the facility, which will feed up to 600,000 cubic metres of regassified natural gas into the German gas network by end-2010. Separately, German utility E.ON will launch its share buy-back programme on 27 June 2007, a move that will see up to 3.5 billion euro (US$4.7 billion) of shares brought back by end-2007 and a further 3.5-billion-euro-worth in 2008, exclusive of charges. Based on the current share price, this will allow buying back some 58 million shares. The scheme will see E.ON cancel the repurchased shares to optimise its capital structure.Significance: Germany’s second-largest utility, RWE, signed a memorandum of understanding (MoU) with Excelerate in November 2006 to cooperate in downstream LNG activities in Europe.
Under the deal, RWE Trading will market all of the gas delivered by Excelerate to its GasPort LNG terminal at Teesside in the United Kingdom. The two will also jointly evaluate possible sites in Germany, the United Kingdom, and elsewhere in Europe where Excelerate's floating LNG terminal technology could be applied. RWE's efforts could pre-empt rival German group E.ON’s efforts to import LNG through Germany’s first terminal at Wilhemshaven by up to 12 months (see Germany: 23 November 2006: ).
Industry News - RWE Plans LNG Import Terminal At Wilhelmshaven
June 28, 2007
Business Monitor International
German utility RWE has announced plans to construct a liquefied natural gas (LNG) terminal at Wilhelmshaven in northern Germany. It will develop the project alongside US firm Excelerate Energy and Germany's Nord-West Oelleitung (NOW), with which the company has signed preliminary agreements. Germany currently imports gas only via pipeline, with some 40% of its supplies being imported from Russia. The LNG terminal will enable Germany, and the broader European Union (EU) member states, to diversify their gas supplies.
The companies aim to develop a German GasPort. They are considering using Excelerate's technology and knowledge to transport LNG on Excelerate vessels and then to regasify on board, rather than building onshore infrastructure, and supply the regasified LNG directly into the German gas grid. The project is expected to pump some 600,000 cubic metres per hour of regasified LNG into the German network by the end of 2010. This technology is considered cost efficient as no onshore regasification facility will be needed and it will therefore be capable of providing cost effective LNG to consumers. Further, the flexible delivery of gas during peak times is also a significant advantage to the companies and consumers. While the companies wait to secure project permissions from several authorities, feasibility studies are to be carried out over the next few months.
LNG As Diversification Strategy
German Gas Imports By Pipeline, 2006
Source: BP Statistical Review of World Energy, June 2007
Gas consumption in Germany now makes up more than 20% of the country's primary energy demand and accounts for 11% of power generation supply. Its share of the power market is rising fast, so gas demand should also move higher. Our estimate is for demand to rise from 88.5bn cubic metres (bcm) last year to around 102.6bcm by 2011. The country is therefore looking to build additional infrastructure to manage increasing domestic demand. A new gas import pipeline, NordStream, from Russia to Germany via the Baltic Sea is to be built by Wingas, which is a joint venture (JV) between BASF subsidiary Wintershall and Russian gas transit monopoly Gazprom. Électricité de France (EdF) has struck a deal with Germany's Energie Baden-Württemberg (EnBW) over the storage of natural gas and the construction of a pipeline and compression facility at Etzel, near the German North Sea port of Wilhelmshaven. RWE's competitor E.ON is also considering the construction of an LNG import terminal at Wilhelmshaven. The plans to construct LNG facilities are clear indicators that the country is keen to diversify its imports away from its traditional suppliers Russia and Norway in order to increase security of supply. Wednesday, June 27, 2007
RWE Unveils Plans for LNG Terminal at Wilhelmshaven
June 27, 2007
Matthew Hall
Global Insight Daily Analysis
RWE has announced that it will combine with U.S. company Excelerate Energy and German group Nord-West Oelleitung to develop a new LNG import facility at the deep-sea port of Wilhelmshaven in northern Germany. The proposal will see LNG transported to the port on Execelerate vessel, before undergoing onboard regasification and being piped directly into the German pipeline network. RWE said the process, similar to that adopted at Teesside in the United Kingdom, is highly cost-effective as it does not require any land-based regasification infrastructure. The new facility is designed to deliver 600 Mcm of gas into the network each hour and could be operational by 2010.
The companies will now undertake a further technical examination of the Wilhelmshaven port and seek the required permissions from various authorities.Significance:Germany—continental Europe's largest gas consumer—does not currently operate any LNG import facilities, although a separate proposal to build a 10-Bcm-per-year facility at Wilhelmshaven is currently planned by Germany utility E.ON with a possible completion date of 2011. In addition to the new offshore regasification project, RWE is also looking at delivering LNG to the German market through import terminals in neighbouring countries such as the Netherlands. The company plans to use LNG imports to erode the market share held by its rival E.ON and to further its strategy to become a major gas trader in continental Europe.
Handelsblatt: RWE to import LNG to Germany (RWE bringt Flussiggas nach Deutschland)
June 27, 2007
Handelsblatt
German utilities group RWE is planning to import liquefied natural gas (LNG) directly into Germany in future. The company, which is aiming to expand its position on the gas market, wants to find new sources of supply as an alternative to imports of Russian gas by pipeline. RWE announced yesterday that it is to construct a landing station for LNG in Wilhelmshaven together with two partners, US company Excelerate Energy and German company Nord-West Oelleitung.
At the landing station, the gas, which will have been transported in liquid form by ship, will be processed and fed directly into the German network. RWE says that Excelerate's technology is very cost-efficient. LNG was not competitive in Germany for years as the country was well-connected to Russia and the North Sea by pipeline; in the last few years, however, LNG has grown increasingly cheap. The new station is expected to be completed by the end of 2010. It is estimated that it will be able to feed up to 600,000 cu m of gas into the German network every hour.
RWE AG Plans to Develop Import Facility for LNG in Wilhelmshaven in Partnership with Excelerate and NWO
June 27, 2007
Reuters Significant Developments
Date Announced: 20070627
RWE AG announced that it plans to develop an import facility for liquefied natural gas (LNG) in Wilhelmshaven, in northern Germany. RWE Gas Midstream is leading the project, with two other companies, the United States-based Excelerate Energy (Excelerate) and Nord-West Oelleitung GmbH (NWO), as partners.
Wilhelmshaven energy plant for German power pair.
June 27, 2007
Lloyd's List
GERMAN utility RWE has announced plans for an liquefied natural gas terminal in Wilhelmshaven, working together with Excelerate Energy from the US and crude oil importer Nord-West Oelleitung,writes Katrin Berkenkopf Cologne.
It would be the second terminal for the German North Sea port, as competitor Eon presented its plans in late 2005.
Both utilities — the leading power and gas suppliers in Germany — have strongly expanded their LNG business in the recent past. RWE, for example, is working together with Excelerate in Teesside and has a memorandum of understanding for further co-operation in European projects.
The RWE plans for Wilhelmshaven are obviously still at a very early stage. The group did not name an investment volume, but said that technical requirements and economic prospects will be evaluated over the coming months.
It also admitted that it has not received planning approval from all necessary authorities.
The facility could have the capacity to feed up to 600,000 cu m of regasified LNG into the German grid when it comes on stream in late 2010, the group said.
It should make use of Excelerate's GasPort technology.
“It is our aim to significantly strengthen our position in the gas business and to ensure Germany has access to multiple sources of gas,” said RWE chief executive Harry Roels. Tuesday, June 26, 2007
RWE Expands Position in European Gas Market
June 26, 2007
Essen
RWE is continuing its growth strategy for the European gas market. The Group plans to develop an import facility for liquefied natural gas (LNG) in Wilhelmshaven in northern Germany.
RWE Gas Midstream is leading the project, with two other companies, US-based Excelerate Energy (Excelerate) and Nord-West Oelleitung GmbH (NWO), as partners. As has already been done in Teesside in the UK, the project partners want to utilise the special Excelerate technology at a new German GasPort™. This technology enables not only the transportation of LNG on Excelerate vessels but also the direct supply of natural gas into the pipeline network after LNG regasification on board. The Excelerate technology is highly cost-effective as it does not require investment in LNG regasification infrastructure on land.
“It is our aim to significantly strengthen our position in the gas business”, says Harry Roels, CEO of RWE AG, “and to ensure Germany has access to multiple sources of gas to guarantee security of supply. A German GasPort meets both of these objectives.”
This GasPort™ will introduce the Excelerate technology in Germany for the first time. The aim is to have the ability to feed up to 600,000 m3 per hour of regasified LNG into the German network by the end of 2010. By way of comparison, an average family house uses some 2,200 m3 of gas per year. The project is based on an agreement between RWE and Excelerate on the joint development of LNG import facilities in Europe. In Teesside, an Excelerate GasPort™ like the one planned in Wilhelmshaven has been operational since February 2007, and it is from here that RWE Trading brings the delivered gas to the UK market. The key advantage of the GasPortconcept is the very flexible delivery of gas during times of peak demand.
“We are very pleased that the relationship established between Excelerate and RWE now affords us the opportunity to bring our GasPort and Energy Bridge technologies to Germany”, said Kathleen Eisbrenner, CEO of Excelerate Energy. “The German GasPort will further serve our goal of providing producers and consumers alike cost effective alternatives to the traditional LNG distribution model.”
The technical prerequisites and the economic prospects of this kind of gas facility in the deepwater port of Wilhelmshaven will be examined during the next months. The project is still subject to securing permissions which will be issued by various authorities concerning marine, environmental and pipeline connection matters.
