• 2020 May 22 16:26

    Klaipėda LNG terminal is an established player in the global market

    The second largest LNG cargo this year will be imported from the United States and regasified through the liquefied natural gas (LNG) terminal in Klaipėda. About 155 thousand cubic metres of LNG is delivered by the gas carrier Energy Liberty, which is expected to reach the terminal tonight, from May 22 to 23, KN says in a press release.

    The favorable situation in the international LNG market determined the possibility of purchasing and importing a cargo of this scale from the US Klaipėda for the commercial users of the LNG terminal. Since the beginning of the year, there has been a trend of commercial users of the terminal purchasing natural gas imported to Lithuania for a price that is lower than the weighted average price of all LNG transactions concluded under spot contracts (TTF index, see chart).

    The gas carrier Energy Liberty arrives in Klaipėda from Sabine Pass LNG terminal in Louisiana, USA. This is the third LNG cargo from the US and the fifth cargo in total for this year. Prior to the arrival of this cargo, the LNG imported from the US accounted for 5.47% of the total amount of imported LNG at the Klaipėda LNG terminal, since the start of the terminal's operations. The American LNG was imported to Lithuania for the first time in August 2017,  reaching our market from the Sabine Pass terminal.  Earlier this month, 125,000 cubic meters of LNG arrived in Klaipėda from the US.

    The intensification of LNG imports from the US was determined by the extraordinary situation in the LNG market, when many European gas storage facilities were maximally filled and the cargos of the US producers were available to market participants at attractive prices. The Klaipėda LNG terminal, in turn, provides the terminal users with the opportunity to import LNG from producers in different regions, in response to the changing market situation of spot commodities, thus reducing the cost of energy resources.

    According to Dr Arūnas Molis, director of KN LNG, the regionality of the LNG terminal in Lithuania, the flexibility of gas supply and the transparent pricing have a positive impact on LNG demand in the region by taking advantage of the global LNG market opportunities.

    “In terms of LNG trade, the US has been a balancing source of the world LNG supply, and Europe has been a balancing source of demand for the past few years. New LNG liquefaction plants are being built and put into operation in the US, resulting in more flexible cargos, which are not necessarily contractually linked to the final buyer. Such cargoes have strong market demand. In this context, our LNG terminal is already recognized as an established market player and terminal users can choose their import sources flexibly and based on their current needs. And not only in Lithuania or the Baltic Sea region as before - according to a recent report published by the EC, Klaipėda LNG terminal, particularly after the connection with Poland, is a competitive way to supply LNG to Ukraine, Belarus and other EU Eastern Partnership countries that see the perspectives of LNG use in the sectors of industry, transport and other sectors”, said Dr. Arūnas Molis.

    According to the Director of Klaipėda LNG of KN, considering that during a three-month analysis, the average TTF size was higher than the weighted average price of natural gas imports in Lithuania, it can be assumed that terminal users with long-term contracts purchase LNG cheaper. “LNG terminal users choose this gas import alternative themselves by comparing the costs of the product and the entire logistics chain with the corresponding costs of gas imported through the pipeline. Our calculations show that with this alternative, natural gas users receive greater financial benefits per year than the total annual costs associated with the terminal. This phenomenon is particularly pronounced when there is a surplus of gas on the market and it is very important for suppliers to sell their stocks. In this context, it is natural and understandable that we should establish Lithuanian measures to promote the use of LNG, for example, in the DNA plan of the Lithuanian Government for the Future Economy,” says A. Molis.




2020 December 3

13:02 Trafigura becomes a major investor in green hydrogen with H2 Energy
12:34 RF Government drafted decree on providing state support to construction of large-capacity ships
12:01 Busiest month for Port of King’s Lynn in five years
11:55 The study by HTC identifies almost 30 measures that can lead to a reduction in CO2 emissions in the Port of Hamburg
11:29 AS Tallink Grupp published its tatistics for November 2020
11:00 BW LPG enters into agreements to sell two vessels
10:35 Ships of RF Navy's Pacific Fleet completed their visit to Sri Lanka
10:10 Rosmorport takes delivery of self-propelled hopper barge Morskaya
10:02 Soren Toft arrives at MSC as Chief Executive Officer
09:48 MABUX: Bunker market this morning, Dec.03
09:29 Oil prices are slightly down
09:16 Baltic Dry Index as of December 2

2020 December 2

18:37 Rolls-Royce acquires leading supplier of ship control systems Servowatch
18:05 Aker and MAN sign agreement to develop energy-efficient compression solutions for carbon capture and storage applications with heat recovery
17:53 Cargo traffic within Azov-Don Basin of Russia’s IWWs grew by 7% in 11M’20
17:20 Fincantieri finalizes new generation of thrusters
17:15 Hapag-Lloyd announces rates from East Asia (incl. Japan) to North Europe and Mediterranean
16:56 ESPO welcomes European Parliament’s own-initiative report on revision of TEN-T guidelines
16:35 ECSA applauds UN resolution on seafarers as key workers and supports IMO call for priority vaccination
16:20 RF Navy’s corvette "Boyky" passes the Baltic straits
16:04 Floating wind power to grow 2000-fold by 2050 but more comprehensive standards and risk management required - DNV GL
15:39 FESCO и DB Сargo send first container train from Europe to China through Brest and Vladivostok
15:27 Port of Helsinki to multiply the amount of solar energy it generates
15:14 Wärtsilä selects Shell as test oil partner for factory testing
14:53 ABS publishes industry-leading Guide for Sustainability
14:50 Two Vityaz cranes manufactured by SMM delivered to Commercial Port of Vladivostok by NSR
14:26 SG-STAR Fund taskforce develops CrewSafe audit programme and attracts more global partners
14:02 Bunker sales at Vladivostok port in 11M’2020 fell by 44% YoY
13:40 Dredging in the Gulf of Ob completed
13:25 Repair barge of RF Navy’s Baltic Fleet left Mediterranean Sea
13:10 ICS welcomes UN resolution on key worker status for seafarers
12:49 Finnlines announces bunker surcharge for Malmö-Travemünde-Malmö
12:31 Rosmorport released about 2.5 million of juvenile fish in October and November
12:10 GTT entrusted by DSME with the tank design of six ARC7 ice-breaking LNG carriers
11:48 Navigation season finished in Pevek port
11:24 Construction of terminal for exports of oil products from Temruk port obtains state expert approval
11:05 Austal completes acquisition of BSE Maritime Solutions
10:56 Bunker prices rise at the Port of Saint-Petersburg, Russia (graph)
10:37 PETRONAS to deploy low carbon solutuions in line with its Net Zero Carbon Emissions 2050 aspiration
10:24 Tallink suspends operation of Victoria I on two routes from 1 January 2021
10:00 Russian Maritime Register of Shipping issues Guidelines on Cyber Safety
09:42 Oil prices decrease in response to US reserves data
09:25 MABUX: Bunker market this morning, Dec. 2
09:13 Baltic Dry Index as of December 1

2020 December 1

18:51 Kongsberg Digital announces release of first cloud-based simulation service for maritime radar training
18:32 Oil shipments via CPC Marine Terminal in 11M’20 fell by 5.8% YoY
18:16 ABP appoints new Divisional Port Manager for Wales & South West
17:59 Onezhsky Shipyard lays down second serial crab catching ship for Russian Crab Group
17:40 Rosmorport took part in discussion dedicated to Russia’s digital transport and logistics
17:26 Wilhelmsen's Additive Manufacturing service delivered CE-Certified 3D printed lifting tool for Wärtsilä
17:14 Stena Line takes delivery of third new ferry to join Irish Sea fleet in 2020
17:05 Diana Shipping announces time charter contract for m/v Artemis with Glencore
16:43 Bunker prices rise in the Far East ports of Russia (graph)
16:24 Sea Terminal “Tuloma” obtaines status of Arctic Capital PDA resident
16:18 NYK concludes long-term charter agreement for two methanol-fueled chemical tankers
16:05 Samskip ramps up presence in Central Eastern Europe
15:39 Ships of RF Navy’s Black Sea Fleet begin new training year in the Mediterranean
15:07 Georgia Ports Authority reaches a major milestone on its Mason Mega Rail Terminal
14:58 CMA CGM announces FAK rates from North Europe to Canada, Mexico East Coast and USEC, USGULF & USWC
14:52 Zvezda Shipyard lays down yet another Aframax tanker for Sovcomflot