are provided by BSM Mexico, with offices in Mexico City and Ciudad del Carmen.
Total invests in Tellurian to develop integrated gas project
Total will acquire 23% of Tellurian Investments Inc. for $207 million ($5.85 per share) to develop an integrated gas project, from the acquisition of competitive gas production in the US to the delivery of LNG to international markets from the Driftwood LNG terminal.
Driftwood LNG is in the engineering design and pre-filing phase of the project. FERC approved Driftwood LNG's pre-filing request on June 6, 2016. Tellurian expects to commence construction of Driftwood LNG in 2018 and produce LNG in 2022.
TOTAL JOINS SEA LNG TO SUPPORT AMBITIOUS GROWTH PLANS
Total, the world's fourth-ranked international oil and gas company, has joined SEA LNG, a multi-sector industry coalition created to accelerate the widespread adoption of liquefied natural gas as a marine fuel.
Total is a global gas player, involved across the entire LNG chain, from extracting natural gas onshore and offshore to processing plants where it is liquefied, stored and shipped in a fleet of specially designed carriers to regasification terminals for delivery to business customers. In 2015, the Group's LNG production was of 10.2 million tons. Total's objective is to double its liquefaction capacity to around 20 Mt/y and increase its LNG trading portfolio to 15 Mt/y by 2020.
Peter Keller, SEA LNG chairman, said: "SEA LNG is pleased to welcome Total. The company has significant LNG interests integrated across its supply chain and ambitious growth plans. We look forward to working together with the aim of delivering significant business and environmental benefits to the shipping industry."
Olivier Jouny, Total Marine Fuels managing director, noted: "Our mission, as an integrated oil company, is to offer global and compliant solutions to our customers to meet the 2020 Global Cap requirements recently set by the International Maritime Organization. Total has a long historical activity in the bunker industry and is also a strong worldwide LNG player, thus providing the required conditions to position the company on this emerging LNG bunker market, with the objective to be a key player. Total's ambition is to become the responsible energy major and the Group strongly supports the SEA LNG drive to make LNG the preferred clean marine fuel of the future."
US DEPT. OF ENERGY AUTHORIZES MAGNOLIA LNG NON-FTA EXPORTS
Liquefied Natural Gas Limited (LNGL) said Dec. 1 that the US Department of Energy has made a decision granting LNGL's Magnolia LNG Project authorization to export LNG from the proposed facility in Lake Charles, La., to countries with which the United States has not entered into a free trade agreement (non-FTA approval).
Greg Vesey, LNGL managing director and CEO, noted, "Our Magnolia project team is very pleased to have successfully received this final piece of the regulatory framework enabling our Magnolia LNG project to export US-produced natural gas to the global energy market. We recognize and appreciate the hard work and timely efforts put in by the DOE and other cooperating agencies in reaching this decision. Going forward, we are well underway in progressing on the final offtake milestones to enable us to move this leading energy efficient, innovative, and low-cost project into the construction and operations phases."
FLOW-CAL COMPLETES PROJECT ON ANGOLA LNG PIPELINE
Flow-Cal Inc., a Houston-based software developer, recently completed a project for Angola LNG at Soyo in northern Angola. FLOWCAL Enterprise and TESTit are used to track and manage ALNG's gas delivery on its extensive pipeline network of over 500 kilometers (310 miles) from offshore oil fields to the processing and liquefaction plant in Soyo.
ALNG first selected the FLOWCAL Enterprise and TESTit applications while the Soyo LNG facility was still under construction. Now with the plant fully operational, a senior technical consultant from Flow-Cal's professional services team traveled to Angola to complete site acceptance testing, as well as provide onsite consulting services and application training for the measurement team.
Flow-Cal's software is used to validate, balance, store, and report gas and liquids measurement data and to provide tools that manage gas and liquid meter inspection and calibration results, testing and sample schedules, and to conduct field calculations for flow rate and equipment sizing.
PHILLIPS 66 LPG EXPORT TERMINAL IN FREEPORT FULLY OPERATIONAL
Phillips 66 says that its Freeport LPG Export Terminal located in Freeport, Texas, is fully operational. The company loaded its first contracted cargo on the Commander. The gas carrier departed the terminal on Dec. 16.
"The startup of the Freeport LPG Export Terminal is the culmination of a four-year effort to develop a new US Gulf Coast natural gas liquids (NGL) market hub that also includes Phillips 66 Partners' 100,000 barrel-per-day Sweeny fractionator and 7.5 million barrel Clemens storage facility," said Greg Garland, chairman and CEO of Phillips 66. "The new liquefied petroleum gas (LPG) export terminal gives customers the ability to place multi-grade LPG products directly into global markets through Port Freeport, which provides immediate blue water access with minimal congestion."
The Freeport LPG Export Terminal can simultaneously load two ships with refrigerated propane and butane at a combined rate of 36,000 barrels per hour. Supply is sourced from the Phillips 66 Partners' Sweeny fractionator and Clemens storage facility, which is connected by pipeline to the Mont Belvieu Hub, northeast of Houston.
TRANSCANADA TO MOVE FORWARD WITH SADDLE WEST GAS PROJECT
TransCanada Corporation's wholly-owned subsidiary NOVA Gas Transmission Ltd. (NGTL), will move forward with an expansion of its NGTL system, the Saddle West Project, which will increase total natural gas transportation capacity on the northwest portion of the system by about 355 cubic feet per day (MMcf/d). The project is underpinned by incremental firm service contracts and is expected to be in service in 2019.
"NGTL's unparalleled footprint enables us to efficiently meet the increased transportation needs of our customers in the Montney, Duvernay, and Deep Basin areas and to reliably connect new production to high-value intra and ex-basin markets," said Karl Johannson, executive vice-president and president, natural gas pipelines for TransCanada.
The Saddle West Expansion Project will include 29 kilometers of 36-inch pipeline looping of existing mainlines, the addition of five compressor units at existing station sites, and new metering facilities. An application to construct and operate the project will be filed with the National Energy Board in the third quarter of 2017 and, subject to regulatory approvals, construction is expected to start in 2018.
"The NGTL System is a key component of TransCanada's high-quality portfolio of energy infrastructure assets that continues to produce solid results in various market conditions," added Johannson. "Our strategy is to maintain and optimize NGTL's competitive position and to focus on growing our established network to transport growing volumes of WCSB gas."
MEDALLION MIDSTREAM TO CONSTRUCT S. DELAWARE BASIN CRUDE OIL PIPELINE
Medallion Midstream LLC and its affiliate, Medallion Midstream Services LLC, have entered into a letter of intent to construct a new Delaware Basin crude oil pipeline system to provide crude oil gathering and transportation services for Parsley Energy. The new pipeline will be anchored by Parsley's long-term dedication to Medallion of approximately 35,000 acres held under lease and/or mineral interest in Pecos and Reeves Counties, Texas.
Medallion's Delaware Basin pipeline system will initially consist of approximately 45 miles of 16-inch mainline and approximately 25 miles of smaller diameter gathering pipelines along with a crude oil station in Pecos County consisting of crude oil storage and truck unloading facilities.
The pipeline, which is expected to have an initial capacity of 100,000 b/d, will originate within the Parsley leases and will end in Crane County, Texas at an interconnection into Medallion Pipeline Company's existing 600-mile Midland Basin header system, accessing multiple Permian Basin long-haul take away pipelines. The parties expect to finalize and sign a definitive agreement in the first quarter of 2017 and the new crude oil pipeline is expected to start initial service in June 2017.
Irving, Texas based-based Medallion is a portfolio company of The Energy & Minerals Group.
LUCID ENERGY EXPANDS GATHERING, PROCESSING CAPACITY IN DELAWARE
Lucid Energy Group has made expansions to its gathering and processing capacity in the Delaware Basin of southeastern New Mexico.
Phase I of the growth plan has focused on the South Carlsbad Gathering and Processing System in Lea and Eddy counties, New Mexico. In 90 days, Lucid has expanded processing capacity at the Red Hills Natural Gas Processing complex by 40%, increasing capacity from 60 MMcf/d to 110 MMcf/d. Lucid has begun construction of a new cryogenic processing train and amine treating facilities at the Red Hills Plant with an expected commission date of mid-2017, bringing processing capacity to 310 MMcf/d.
Lucid has also commissioned two new compressor stations and has added liquids handling facilities to eight existing compressor stations. These infrastructure modifications have added an additional 80,000 cubic feet per day of gathering capacity. About 80 miles of gathering pipeline is currently under construction within the South Carlsbad System.
Lucid Energy Group provides a full suite of midstream services to producers working in the Permian Basin and is supported by capital commitments from EnCap Flatrock Midstream.
RIVERSTONE HOLDINGS INVESTS IN AVANT ENERGY
Avant Energy S. de R.L. de C.V., a newly-established Mexican energy company, says that Riverstone Holdings has agreed to an initial line-of-equity investment of $150 million, which could be increased to $300 million.
With offices in Mexico City, Monterrey, and Houston, Avant Energy will focus on the development, construction and operation of infrastructure for Mexico's oil, natural gas, refined products, and electricity sectors, as well as participate in the recently liberalized markets for these products and services.
