Alaya Legal presents its Fourth Issue of Natural Gas: Information and Updates. This issue covers developments in low concentration natural gas reserve areas, major international market developments and significant legal and regulatory updates from the Republic of India.
Low Concentration Areas include Papua New Guinea, Bangladesh, Germany, Poland, Cameroon, Mozambique, Colombia, Philippines, Chile, Bahrain, Republic of Congo, Sudan, Cuba, Italy, Tunisia, Namibia, Denmark, Rwanda, South Korea, Afghanistan, Serbia, Equatorial Guinea, New Zealand, Croatia, Côte d’Ivoire, Mauritania, Gabon, Ethiopia, Austria, Ghana, Japan, Ireland, Georgia, Hungary, Ecuador, France, Tanzania, Taiwan, Turkey, Jordan, Bulgaria, Tajikistan, Somalia, Kyrgyzstan, Czech Republic, Guatemala, Belarus, Spain, Morocco, Benin, Democratic Republic of Congo, Greece, Albania, South Africa, Barbados and Macau.
GLOBAL SCENARIO
Natural Gas Reserve Statistics – Selected Countries
- Papua New Guinea: 5.48 trillion cubic feet of proven natural gas reserves.
- Bangladesh: 6.49 trillion cubic feet of proven reserves and one of Asia’s largest gas producers.
- Germany: 6.20 trillion cubic feet of proven reserves with significant pipeline-based imports.
- Poland: 3.36 trillion cubic feet of proven reserves and a net natural gas importer.
- Cameroon: 4.77 trillion cubic feet of proven reserves.
- Mozambique: 4.5 trillion cubic feet of proven reserves with substantial undeveloped resources.
- Colombia: More than 5.7 trillion cubic feet of proven reserves.
- Chile: 4.77 trillion cubic feet of proven reserves and significant LNG imports.
- Philippines: 3.48 trillion cubic feet of proven reserves.
- Bahrain: Produced approximately 446 billion cubic feet of dry natural gas.
- Sudan: 3 trillion cubic feet of proven reserves.
- Italy: 2.3 trillion cubic feet of proven reserves, among the largest in Europe.
- Tunisia: Receives natural gas royalties from the Trans-Mediterranean Pipeline.
- Denmark: 1.52 trillion cubic feet of proven reserves.
- Namibia: 2.20 trillion cubic feet of proven reserves.
- Japan: World’s largest LNG importer and consumer of approximately 37% of global LNG imports during 2012.
- Turkey: Strategic transit country connecting major gas reserves with European markets.
- South Korea: World’s second-largest LNG importer.
- Afghanistan: 1.75 trillion cubic feet of proven reserves.
MARKET UPDATES – GLOBAL
Hammerfest LNG Plant Resumes Production
January 8, 2014
Statoil resumed production at the Hammerfest LNG Plant in the Barents Sea following temporary shutdown caused by a gas leak.
European Commission Welcomes Shah Deniz II Investment Decision
December 17, 2013
The European Commission welcomed the final investment decision for development of Azerbaijan’s Shah Deniz II gas field, which is expected to supply approximately 10 billion cubic metres of gas annually to Europe from 2019.
Chevron Confirms First Oil Production from Papa-Terra Project
November 12, 2013
Chevron and Petrobras commenced crude oil production from the Papa-Terra floating production, storage and offloading facility offshore Brazil.
Chevron Expands Presence in Canada’s Duvernay Shale
October 25, 2013
Chevron successfully completed its initial exploration programme in the Duvernay shale play, demonstrating significant liquids-rich natural gas potential.
Chevron Acquires Offshore Exploration Acreage in Australia
October 22, 2013
Chevron Australia acquired interests in two offshore exploration blocks in the Bight Basin covering more than eight million acres.
Alaska LNG Project Selects Terminal Location
October 7, 2013
ExxonMobil, BP, ConocoPhillips and TransCanada selected the Nikiski area on the Kenai Peninsula as the preferred location for the Alaska LNG Project terminal.
Chevron and Tohoku Electric Sign LNG Agreement
October 1, 2013
Chevron signed long-term LNG supply agreements with Tohoku Electric Power Company for LNG from the Wheatstone Project in Australia.
MARKET UPDATE – REPUBLIC OF INDIA
Oil India and OVL Complete Mozambique Acquisition
January 7, 2014
Oil India Limited and ONGC Videsh completed acquisition of a 10% participating interest in the Rovuma Area 1 Offshore Block in Mozambique.
OVL and Cairn Consider Joint Bids in Sri Lanka
November 6, 2013
ONGC Videsh and Cairn India explored opportunities to jointly participate in offshore exploration block bidding rounds in Sri Lanka.
Government Plans Greater Flexibility in Oil & Gas Contracts
November 6, 2013
The Government proposed operational flexibility measures to facilitate monetization of more than seventy hydrocarbon discoveries facing contractual challenges.
Videocon Discovers Gas in Offshore Brazil Block
November 5, 2013
Videocon Industries reported significant hydrocarbon discoveries in the BM-C-30 offshore block in Brazil.
India Seeks Sovereign Guarantee for Pakistan Gas Supply
November 4, 2013
India sought sovereign payment guarantees from Pakistan prior to execution of cross-border natural gas supply agreements.
GAIL Plans LNG Shipping Fleet
October 29, 2013
GAIL announced plans to charter LNG vessels for transporting contracted natural gas supplies from the United States beginning in 2017.
NEW GAS FINDINGS
Statoil and ExxonMobil Discover Additional Gas Offshore Tanzania
December 6, 2013
The Mronge-1 exploration well resulted in an estimated additional 2–3 trillion cubic feet of natural gas resources offshore Tanzania.
Noble Energy Discovers Gas Offshore Israel
December 4, 2013
Noble Energy announced a successful natural gas discovery through the Tamar Southwest exploration well offshore Israel.
LEGAL DEVELOPMENTS
Chevron Challenges Lago Agrio Judgment
December 23, 2013
Chevron petitioned Ecuador’s Constitutional Court seeking revocation of the Lago Agrio judgment, alleging multiple constitutional violations.
KG Basin Arbitration Dispute
January 8, 2014
The Supreme Court reserved orders relating to appointment of an arbitrator in the dispute between Reliance Industries and the Government concerning KG Basin development costs.
GMR Energy Limited v. RGTIL
November 18, 2013
PNGRB directed Reliance Gas Transportation Infrastructure Limited to provide open access for transportation of natural gas to GMR Energy Limited through its common carrier pipeline network.
Delhi High Court Stays PNGRB Order Against RGTIL
January 23, 2014
The Delhi High Court stayed the PNGRB order concerning virtual transportation and gas swapping arrangements between RGTIL and GMR Energy.
Approval Not Required for CNG Retail Stations
December 9, 2013
The Petroleum Ministry clarified that regulatory approval was not required for establishing CNG retail stations.
The Philadelphia Zoo uses natural gas to cool a greenhouse that recreates Guam’s tropical forest environment and supports conservation of the critically endangered Micronesian Kingfisher.
SOURCES
- Norwegian Petroleum Directorate
- U.S. Energy Information Administration
- The International Energy Agency
- Economic Times (India)
- Natural Gas Asia and Europe
DISCLAIMER
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