Monday, October 17, 2022

China To Stop Reselling LNG To Europe — Charles Kennedy

  • Chinese state-owned energy giants have been recently told by authorities to stop reselling liquefied natural gas.
  • In recent months, Chinese LNG importers have been selling their excess inventories to Europe.
  • Europe’s LNG supply could dwindle just ahead of the winter heating season.
The National Development and Reform Commission (NDRC), China’s top planning body, has told the country’s state-held LNG importers, including Sinopec, PetroChina, and CNOOC, that they should stop reselling LNG cargoes and keep them to ensure Chinese gas supply this winter, sources familiar with the development told Bloomberg on Monday....
China To Stop Reselling LNG To Europe
Charles Kennedy


Peter Pan said...

Oh no!
Bad news for Europe is never-ending!

Ahmed Fares said...

Chrystia Freeland to the rescue.

Canada will fast-track energy and mining projects important to allies: Freeland

Peter Pan said...

Translation: environment and indigenous nations to be thrown under the bus.

mike norman said...

Are they buying LNG from the U.S. and then reselling to Europe?

Matt Franko said...

Yeah Mike they are making a fortune…

Ahmed Fares said...

LNG Canada, country's $40-billion 'second chance' at becoming a global LNG leader, takes shape

The latest piece of the puzzle: a colossal 3,000-ton Baker Hughes compressor that arrived in Kitimat by boat from Italy on Sep. 20, the first of four that will form the powerful jet engine of the terminal’s liquefaction process. Its arrival puts the project — and the country — one important step closer to seeing the first cargo of liquefied natural gas depart from its shores.

Already more than 70 per cent complete, LNG Canada could be operational by the middle of the decade and promises to unlock the full economic potential of Canada’s rich gas reserves for the first time.

It’s a change that will take some adjusting to in the oilpatch. Despite being the fifth-largest supplier of natural gas in the world, Canada’s energy sector has long seen its production hemmed in by pipeline constraints and market conditions in the United States.

I don't know how Europe gets by in the meantime. According to this article, next winter will be even worse. I'm assuming that's because they have some gas in storage for this winter.

This winter will be hard but next one will be even worse – EU

Also, this:

China To Stop Reselling LNG To Europe

Ahmed Fares said...

[off topic]

Russia is using Iranian Shahed-136 drones to great effect in Ukraine.

‘All It Takes is One’: Iran Gives Russia Help From the Air

The Iranian-made drones that Russia has sent in swarms high over Ukraine’s battlefields are not particularly fast, running on an unsophisticated two-stroke engine akin to a lawnmower. They’re not going to sneak up on anyone, either: Russian troops have nicknamed them “mopeds” because of the buzzing noise the motor makes. And at about $20,000 apiece, you might find more high-tech gadgets in a pre-owned vehicle at a used car lot.

But the Shahed-136 loitering munition, which carries an 80-plus-pound warhead and is launched from the back of a truck, doesn’t need to be goosed up with the snazziest technology in modern warfare to pack a punch. The drones featured heavily in Russia’s cross-country air and missile salvo against Ukraine on Monday, though Ukrainian President Volodymyr Zelensky said 13 of 24 of those launched by Russian forces this week were shot down.

That’s baked into the concept of cheap drone warfare. It’s a little bit like Iran’s approach to maritime warfare: Swarm any enemy with low-grade weapons, and hope one gets through.

“The whole point of using those Shaheds is that they fly in large groups and they can overwhelm air defenses,” said Samuel Bendett, an advisor at the CNA think tank. “All it takes is one or two of them to sneak past.”

Scott Ritter has some short videos showing drone strikes.

Russian Kamikaze hitting the target in Kiev
Ukrainian defense couldn't stop a Russian drone. The UAV calmly continues to move
New footage of the morning Geran raid on Kiev continues to appear
Drone take down failed in Kiev

HESA Shahed 136 - Wikipedia

The HESA Shahed 136 (literally "Witness-136"), also known as its Russian designation Geran-2 (Russian: Герань-2, literally "Geranium-2"), is an Iranian loitering munition autonomous swarm pusher-prop aerial drone in service since 2021, developed by HESA. At its core, it is designed to attack ground targets from a distance.

Ahmed Fares said...

A 4-minute video by CBC News. As noted in other articles as well as this video, Russia has ordered 2,400 of these drones from Iran. While Iran claims they have a range of 2,000 km, it's believed that their range is at least 1,000 km, which is still quite impressive. Also, they are truck-launched.

Russia launches deadly drone strikes on Kyiv

Peter Pan said...

Flying lawnmowers scare the hell out of me.

Matt Franko said...

Watch the Iranian drone factory will all of a sudden blow up….

Peter Pan said...

Tremendous opportunity!