The Asia Natural Gas and Energy Association (ANGEA) regularly compiles stories from the energy world that have caught our eye.                                 

Given the region in which we operate – and our purpose – this collection of content is largely Asia-focused. But we also look further afield, knowing that developments, trends and technology from around the world also have an impact across our region. 

Huge Vietnam gas-to-power project gets the go-ahead
Vietnam’s long-awaited Block B-Ô Môn project is finally set to proceed, with a gas purchase and sale contract signed and Japan’s Mitsui Oil Exploration Company (MOECO) announcing its decision to invest $740 million in the venture. 

The $12 billion Block B-Ô Môn gas-power project will involve participation from PTTEP, MOECO and Marubeni Corporation, as well as Vietnamese investors in PETROVIETNAM, PetroVietnam Exploration Production Corporation, PetroVietnam Gas,  EVNGENCO2 and WTO.

The chain project is expected to provide 3810 MW of generation capacity for the Cà Mau area.

Domestic resource development and growth in LNG imports are key planks in Vietnam’s plans to have gas make up nearly 25 per cent of its energy mix by 2030, reducing its current strong reliance on high-emitting coal. 

Read more: https://bit.ly/3vzowki 

Floating gas-to-power up-and-running in Indonesia
Exciting news for ANGEA member company Mitsui O.S.K Lines and Indonesia with the launch of Asia’s first gas-to-power project using a floating storage regasification unit (FSRU). 

The Jawu Satu facility, operated by MOL and with a regasification capacity of 300 million standard cubic feet per day, will supply gas to the newly operational Jawa 1 power plant near Jakarta. 

Indonesia plans to pair increased gas-fired power with growing investment in renewable energy as it works towards a 2060 net zero target. Like Vietnam, it is currently strongly reliant on coal for electricity generation. 

Read more: Read more: https://bit.ly/3PPXqw8 

The realities of the US LNG pause
Institute of Energy Economics, Japan Chairman Tatsuya Terazawa penned an excellent op-ed this week about the impact of the US LNG export approvals pause on energy planning in Asia. 

As he commented: 

“If LNG production shifts to other countries, there may not be the same quality of regulation or environmental safeguarding. Climate concerns would be better addressed when a critical mass of LNG production is under the control of the United States.

“Election-year politics is a reality, but that does not mean the administration should leave the national interest—and the world’s energy needs—in the rearview mirror.” 

Read more: https://bit.ly/4aIpk5u 

Reflecting on CERAWeek and a pragmatic energy transition
ANGEA CEO Paul Everingham recently returned from a two-week trip to the US, that included meetings with key stakeholders in Washington DC, a visit to Houston for CERAWeek and plenty of discussion about the LNG pause. 

Similar to Chairman Terazawa, Paul says it’s vital that decision makers understand there are now doubts in Asia about whether the US will remain the significant LNG trading partner it has become over the past seven years. 

“To stop the approvals process for LNG projects that are advanced in planning and have committed customers is a step that makes nations in Asia question whether the US will continue to be a reliable energy supplier.” 

Read more: https://bit.ly/4cAEQlq

A big week for decarbonisation measures for JERA
ANGEA member company JERA featured prominently in energy-related news this week. 

The much-anticipated 20 per cent ammonia co-firing trial at Hekinan Thermal Power Station is now underway. It’s the first trial of its type at a commercial power plant, aimed at paving the way for 50 per cent and potentially even 100 per cent ammonia burning in the future. 

Read more: https://bit.ly/3U6eu3H 

Meanwhile, JERA is now working with PETRONAS to assess the viability of capturing CO2 emissions from operations in Japan and transporting them to Malaysia for storage. 

These types of cross-border carbon capture and storage (CCS) value chains will be central to Asia achieving its climate targets over the next few decades. 

Read more: https://bit.ly/3JnUIe1  

South Korea hydrogen cluster continues to take shape
On the subject of carbon capture and storage, plans are moving ahead to create a hydrogen industry cluster in Myodo in South Korea. 

The design involves construction of a new LNG import terminal that will support a blue hydrogen plant, with captured CO2 to be transported to “secure and competitively priced” sequestration sites in the Asia Pacific region.” 

The need for cross-border carbon capture and storage (CCS) in Asia – and the importance of a whole-of-region framework for CO2 transactions – has provided the impetus for a major project being undertaken by ANGEA and its member companies.

The Carbon Certification for Cross-Border CCS Study seeks to harmonise regional standards and policies covering accreditation or certification of emissions reductions to unlock the full potential of CCS.

Read more about the South Korean hydrogen cluster plans: https://bit.ly/3TNBh2O 

Colourful CO2 carriers built in China and bound for Europe
The first two CO2 carriers for the Northern Lights JV in Norway have been launched in China – another milestone in the establishment of the world’s first ever cross-border, open-source CO2 transport and storage infrastructure network

Combining LNG-powered propulsion with wind-assisted technology and air lubrication, Northern Pioneer and Northern Pathfinder are expected to have 34 per cent lower carbon footprint compared to conventional ships running on marine fuel.

While the two carriers are bound for Europe, we can expect to see plenty of similar vessels in Asia in decades to come, as CCS networks are developed in our region. 

Read more: https://bit.ly/3PQ8CJc 

ANGEA is an industry association representing LNG and natural gas producers, energy buyers, suppliers and companies in APAC. Based in Singapore, it works in partnership with governments and societies across the region to deliver reliable and secure energy solutions that achieve national economic, energy security, social and environmental objectives and meet global climate goals.

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