Weekly HEG Global Energy Digest

Natural Gas:

Italian natural gas imports from Switzerland pick up a higher demand from generators

Italian natural gas imports from Switzerland stepped up post maintenance on the back of stronger demand from power generators, according to S&P Global Platts Analytics data. LNG regasification edged higher too, while flows from Austria were capped by planned maintenance, the data show.

Italian gas imports from Switzerland via Passo Gries stepped up to 26.63 million cu m Wednesday and since the start of the week have averaged 24.38 million cu m/d, compared with 9.19 million cu m/d in the previous week, Platts Analytics data show.

Planned maintenance on the Passo Gries interconnector was undertaken August 6 through 16. Planned maintenance on Italy’s Tarvisio interconnector with Austria started Monday and is due to end September 1.


The rise in imports from Switzerland came as gas-to-power demand ramped up to 74.57 million cu m on Wednesday and averaged 71.82 million cu m/d Monday through Wednesday, after being subdued due to milder temperatures and the holiday season at just 48.29 million cu m/d the previous week.


LNG regasification jumped to 28 million cu m on Wednesday after averaging 24.91 million cu m/d Monday through Wednesday, and averaging just 15.33 million cu m/d in Week 33, the data show.

Article Source: https://www.energymarketprice.com/energy-news/italian-natural-gas-imports-from-switzerland-pick-up-on-higher-demand-from-generators


Energy Market:

Total confirms exit from $4.8bn gas project in Iran before US deadline

French oil major Total has confirmed its withdrawal from a $4.8 billion Iranian gas project, leaving the door open for co-investor China National Petroleum Company to take the lead on the asset.

“Total has notified the Iranian authorities of its withdrawal from the contract following the 60-day period specified in the contract to obtain a potential waiver from the US authorities,” a Total spokeswoman told The National. “Despite the backing of the French and European authorities such waiver could not be obtained.”


The French energy company had the majority stake alongside the Chinese state oil company as well as local operator Petropars to produce gas and condensate from phase 11 of South Pars, the world’s largest gas field that is shared with Qatar. The agreement signed in 2016 following the lifting of nuclear-related sanctions over Tehran was touted as a big win for the beleaguered Iranian energy sector.

Article Source: https://www.energymarketprice.com/energy-news/total-confirms-exit-from-4-8bn-gas-project-in-iran-before-us-deadline




China investing heavily in European wind

China’s investment in foreign wind-powered electricity markets has approached $7 billion in Europe alone as private and stated-owned Chinese companies move “aggressively” to capitalize on fast-growing renewable energy markets.

According to the report published by the U.S.-based Institute for Energy Economics and Financial Analysis (IEEFA), the European Union ($6.8 billion) and Australia ($5.1 billion) were the main recipients of Chinese wind investment from 2011 to 2017.


China’s foreign renewable energy investments have increased as a result of the country’s pan-Asian Belt and Road Initiative (BRI), but the majority of these investments are in non-BRI countries, with Europe taking the biggest share, the research shows.


According to the report, China’s state-owned independent power producers have acquired big wind projects in nine European countries, aiming especially to diversify their foreign portfolios and gain expertise in offshore wind technology.


From 2010 to 2017, only 30 percent of Chinese foreign investment in renewables was in BRI countries, the report said, adding top recipients included Pakistan ($1.9 billion), Malaysia ($0.7 billion), Turkey ($0.6 billion), India ($0.4 billion), and Vietnam ($0.4 billion). The remaining 70 percent went to non-BRI countries.


The brief builds on an IEEFA paper published in January that described how China has become a leading global renewable energy investor, “defying an overall slowdown in Chinese overseas investment as the country further positioned itself to dominate in new energy technologies such as batteries and electric vehicles”.


That report put China’s 2017 investment in large clean energy projects in foreign countries (greater than $1 billion) at $44 billion, up from $32 billion in 2016.


Last week’s report added that between 2015 and 2017, a total of $34 billion was invested in BRI countries, whereas $61 billion went to non-BRI countries.

Article Source: https://www.energymarketprice.com/energy-news/china-investing-heavily-in-european-wind


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