This week in energy: India’s gas ramp-up, Sunrise’s next step and CCS excitement for Indonesia and Malaysia
Each week, the Asia Natural Gas and Energy Association (ANGEA) 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-focussed. But we also look further afield, knowing that developments, trends and technology from around the world also have an impact across our region.
Here’s what has resonated over the past week.
India continues to ramp up gas planning
The growing roles of natural gas and LNG in India were again in the news this week, with reports of a plan to build a strategic reserve of up to 4 billion cubic metres of imported gas.
Oil and Natural Gas Corp, Oil India and GAIL have all reportedly been directed to prepare feasibility studies towards the venture.
In recent years India has generated more than 70 per cent of its electricity from coal. Being able to import and store more LNG will increase opportunities for gas-fired power and also open up future possibilities for India to act as a gas supply hub for neighbouring countries such as Sri Lanka, Bangladesh and Myanmar.
Read more: https://bit.ly/49MhNml
Sunrise concept planning to get underway
The Greater Sunrise gas field – long on the radar but yet to enter productions – is a step closer to being developed, with Woodside Energy receiving approval from the East Timor Government to progress a concept study.
First discovered in the 1970s, Sunrise is considered to be one of the biggest undeveloped gas resources in Asia Pacific. Previous attempts to get it off the ground have failed to reach agreement on where the gas should be processed but recent developments have provided cause for optimism.
Read more: https://bit.ly/3sQg5zW
Philippines and Indonesia targeting geothermal boost
Geothermal power is an attractive option for many Asian nations – in contrast to other renewable energy options, it can provide “always on” power that complements gas-fired electricity generation.
The Philippines and Indonesia are blessed with significant geothermal potential and it was interesting to read this week in Nikkei Asia about the ambitious plans that companies (and governments) are making in this area.
Read more: https://bit.ly/46HBadP
Japan-Malaysia carbon capture collaboration gets the go-ahead
Some exciting news from Malaysia this week, with confirmation that front-end engineering design will start next year on a carbon capture and storage project involving JGC, JAPEX and Petronas.
The cross border collaboration aims to to inject and store CO2 from Japan and Malaysia in depleted oil and gas fields off the Malaysian coast by late 2028, with storage projected to reach more than 10 million tonnes of CO2 per annum in the early 2030s.
Read more: https://bit.ly/3R822PB
Story by Nanami Oki: https://t.co/Hc6GFUVZbV
— Anca B. (@anca_b_argus) November 20, 2023
Indonesia’s first CCUS project underway
On a similar note, it was very positive to learn that construction will start on Indonesia’s first carbon capture, utilisation and storage (CCUS) project.
The project in West Papua, to be operated by BP, will have the capacity to store up to 1.8 gigatonnes of carbon dioxide and is targeting first injection by 2026.
Read more: https://bit.ly/3uz5Mkh
Major US LNG export facility to resume full operations
In a well-timed boost for global LNG supply ahead of winter months in the northern hemisphere, the Freeport LNG export facility in Texas is set to resume full operations..
Freeport is the second-largest export terminal in the US and was not operational last northern winter due to the impacts of a fire.
Read more: https://reut.rs/47mGWT2
Freeport LNG, the operator of the three-train 15 mtpa liquefaction plant in Texas, received approval from the US FERC to place back into service its second jetty. #lng #lngprime https://t.co/C7ntg0uLsU
— LNG Prime (@LngPrime) November 23, 2023
Santos announces e-methane project in Australia
ANGEA member company Santos has announced it will partner with Tokyo Gas on a study to examine the feasibility of producing e-methane – green hydrogen combined with captured CO2 – in Australia, with a view to exporting to Japan from 2030.
E-methane can be used with much of the same infrastructure that is currently used for natural gas and LNG, and can be employed in in existing industrial processes such as power generation, high-temperature heating, and chemicals manufacturing.
ANGEA’s member companies such as Santos are at the forefront of global efforts to research and develop low-emission energy solutions for the future, including the use of hydrogen and ammonia.
Read more: https://bit.ly/49PSLmw
Binding agreement signed for world’s first cross border CO2 venture
A binding commercial agreement was signed this week between Yara International and the Northern Lights JV, which will see CO2 captured in the Netherlands transported to Norway for storage.
It will lead to a world-first cross border venture for transport and storage of CO2 and it’s quite timely given the recent announcement of ANGEA’s flagship Asia Pacific Cross Border Carbon Accreditation Study.
Our project aims to create a pathway for similar operations in Asia Pacific by creating a common, region-wide framework that will smooth out complexities in the ways that different countries treat CO2 and encourage investment that is needed to implement cross border carbon capture and storage.
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.