Connection

popular articles

Copenhagen Infrastructure Partners launches an energy storage project in Australia
Cordelio Power Advances Four Projects into Construction and One into Operations
Rosatom completes welding of El Dabaa reactor, marking key industrial milestone for Egypt
US Ethane Recovery Slows Amid Record Storage Before Export Capacity Expansion in 2025
TotalEnergies aims to secure its green hydrogen supply by 2026

Thailand: LNG demand rises in the face of hot weather

Thai LNG demand climbs in Q1 2024, doubling tenders year-on-year due to warmer, drier weather.
Demande GNL Thaïlande chaleur
  • [favorite_button]

Please share:

Thailand launched 14 LNG tenders in the first quarter of 2024, a clear sign of rising gas consumption. PTT, Thailand’s major oil and gas player, has issued 10 tenders alone for a total of 27 cargoes between February and June 2024. This change in PTT’s purchasing strategy indicates a focus on immediate needs, departing from the trend in 2023 when tenders targeted eight-month cargoes.

Impact of climatic conditions

Hot, dry weather conditions are the main reason for the increase in Thai buyer activity in the first quarter of 2024. For similar reasons, the country had seen an increase in gas demand in 2023. Thailand’s Meteorological Department has warned of high temperatures, particularly in the northern and central regions, reaching 40 degrees Celsius. These above-average temperatures, accompanied by below-normal rainfall, are boosting demand for gas-generated electricity, highlighting the country’s dependence on LNG imports.

Factors influencing the market

Low spot prices, compared with the previous year, stimulated this increased activity in a price-sensitive Thai market. The Electricity Generating Authority of Thailand (EGAT), which usually begins purchasing on the spot market around mid-year, anticipated this by launching four tenders in the first quarter. Although March bids were not accepted due to high prices, the active search for cargoes on the spot market continues.

Industry responses

Faced with this rise in demand, PTT Exploration and Production (PTTEP) increased gas production from its G1/61 project to 800 MMcf/d. However, this may not be enough to cover the increased demand due to the weather, leaving Thailand dependent on LNG imports. Analysts at S&P Global forecast that Thailand will import 11 million tonnes of LNG in 2024, slightly less than in 2023.

Vietnam is also witnessing increased activity in the LNG market, with two tenders due in early 2024. Faced with a heat wave and droughts, the country anticipates a drop in hydroelectric production and increased gas consumption, demonstrating the climate challenges shared by the region.

Register free of charge for uninterrupted access.

Publicite

Latest news

Aircela launches a machine that produces gasoline from air and electricity
Sustainability Partners takes control of Ecofin’s renewable assets in the United States
Google commits to 600 MW of solar with energyRe in South Carolina
$960mn in funding secured for Des Neiges wind project in Québec
Canada aims to mobilise $1.1tn through major energy projects by 2035

Recently published in

Enbridge sells 12.5% stake in British Columbia pipeline to 36 First Nations

A CAD715mn ($524mn) partnership enables First Nations to co-own the Westcoast system, backed by a federal loan guarantee of CAD400mn ($293mn).
New Pipeline Connecting Permian Basin to Midwest Scheduled for 2028
Tallgrass Energy announces plans for a pipeline directly connecting the Permian Basin to the Rockies Express network, scheduled to start operations in late 2028 after securing initial commercial agreements with key shippers.
en_1140290945540-8
New Pipeline Connecting Permian Basin to Midwest Scheduled for 2028
Tallgrass Energy announces plans for a pipeline directly connecting the Permian Basin to the Rockies Express network, scheduled to start operations in late 2028 after securing initial commercial agreements with key shippers.
en_1140290945540-8
Aramco could invest in Woodside’s Louisiana gas project
Woodside Energy has announced a collaboration agreement with Saudi Aramco for a potential stake in its $17.5bn liquefied natural gas project in Louisiana, scheduled to begin production in 2029.
en_1140290948540-8
Aramco could invest in Woodside’s Louisiana gas project
Woodside Energy has announced a collaboration agreement with Saudi Aramco for a potential stake in its $17.5bn liquefied natural gas project in Louisiana, scheduled to begin production in 2029.
en_1140290948540-8
Sinopec drills 5,300 metres deep and sets new record for shale gas
Sinopec announced a new vertical depth record with its Tiebei 1HF well, reaching 5,300 metres and producing over 314,000 cubic metres of gas per day in the Sichuan Basin.
en_1140290957540-8
Sinopec drills 5,300 metres deep and sets new record for shale gas
Sinopec announced a new vertical depth record with its Tiebei 1HF well, reaching 5,300 metres and producing over 314,000 cubic metres of gas per day in the Sichuan Basin.
en_1140290957540-8

McDermott successfully installs Scarborough FPU off the coast of China

McDermott has completed the offshore installation of the Scarborough floating platform for Woodside Energy, marking a key step in the preparatory maintenance phase of the gas project in Western Australia.
ArcLight takes majority control of NGPL amid rising energy demand
The fund managed by ArcLight Capital Partners has acquired 25% of Natural Gas Pipeline Company of America, bringing its total stake to 62.5% alongside Kinder Morgan.
en_1140290944540-2-2
ArcLight takes majority control of NGPL amid rising energy demand
The fund managed by ArcLight Capital Partners has acquired 25% of Natural Gas Pipeline Company of America, bringing its total stake to 62.5% alongside Kinder Morgan.
en_1140290944540-2-2
LNG Energy Group targeted by trade ban after delayed filing
The Ontario Securities Commission has imposed a trading suspension on LNG Energy Group due to the non-filing of its annual financial statements for fiscal year 2024.
en_1140290946540-6
LNG Energy Group targeted by trade ban after delayed filing
The Ontario Securities Commission has imposed a trading suspension on LNG Energy Group due to the non-filing of its annual financial statements for fiscal year 2024.
en_1140290946540-6
NRG Energy acquires 25 GW of capacity in $12 billion deal
NRG Energy acquires energy assets from LS Power, including 18 natural gas power plants, to strengthen its portfolio amid expected growth in U.S. electricity demand.
en_1140290957540-6
NRG Energy acquires 25 GW of capacity in $12 billion deal
NRG Energy acquires energy assets from LS Power, including 18 natural gas power plants, to strengthen its portfolio amid expected growth in U.S. electricity demand.
en_1140290957540-6

Woodway Energy appoints Diaco Aviki as CEO to drive growth

Diaco Aviki succeeds Thomas King at the helm of Woodway Energy Infrastructure amid expansion of its natural gas infrastructure in Texas.
The European Union plans to ban all Russian gas imports by the end of 2027
Brussels announces a full exit from Russian gas by the end of 2027, despite a remaining 9% dependency and pressure on the global liquefied natural gas market.
en_1140290951540-2
The European Union plans to ban all Russian gas imports by the end of 2027
Brussels announces a full exit from Russian gas by the end of 2027, despite a remaining 9% dependency and pressure on the global liquefied natural gas market.
en_1140290951540-2
SiEnergy acquires EPCOR’s Texas gas business for $60mn
US-based SiEnergy strengthens its footprint around Houston by acquiring Hughes Gas Resources, an EPCOR subsidiary, for $60mn, expanding its natural gas asset portfolio.
en_1140290946540
SiEnergy acquires EPCOR’s Texas gas business for $60mn
US-based SiEnergy strengthens its footprint around Houston by acquiring Hughes Gas Resources, an EPCOR subsidiary, for $60mn, expanding its natural gas asset portfolio.
en_1140290946540
Commonwealth LNG signs 20-year deal with major Asian buyer
US-based Commonwealth LNG has secured a 20-year supply agreement for 1 million tonnes of LNG per year with a major Asian company, reinforcing the development of its Louisiana terminal.
en_1140290951540
Commonwealth LNG signs 20-year deal with major Asian buyer
US-based Commonwealth LNG has secured a 20-year supply agreement for 1 million tonnes of LNG per year with a major Asian company, reinforcing the development of its Louisiana terminal.
en_1140290951540

Natural gas demand in Southeast Asia to surpass oil and coal by 2050

Driven by economic growth and renewable energy limitations, natural gas consumption in Southeast Asia is expected to nearly double by 2050, according to Wood Mackenzie.
ExxonMobil signs gas exploration deal with Egypt for two offshore blocks
Egypt signed a memorandum with ExxonMobil to restart natural gas exploration in the Mediterranean on the Cairo and Masry blocks amid a sharp decline in domestic production.
en_1140290979540-2
ExxonMobil signs gas exploration deal with Egypt for two offshore blocks
Egypt signed a memorandum with ExxonMobil to restart natural gas exploration in the Mediterranean on the Cairo and Masry blocks amid a sharp decline in domestic production.
en_1140290979540-2
Golar signs 20-year deals in Argentina for two FLNG units totalling $13.7bn
Golar LNG finalised long-term charter agreements with Southern Energy S.A. for two FLNG units offshore Argentina, generating a projected order backlog of $13.7bn.
en_1140290980540-2
Golar signs 20-year deals in Argentina for two FLNG units totalling $13.7bn
Golar LNG finalised long-term charter agreements with Southern Energy S.A. for two FLNG units offshore Argentina, generating a projected order backlog of $13.7bn.
en_1140290980540-2
Up to 3.5 million m³ of gas redirected to Brazil’s spot market in 2025
Brazil's gas market shifts toward spot contracts, driven by pricing gaps and greater contractual flexibility for local distributors.
en_1140290980540
Up to 3.5 million m³ of gas redirected to Brazil’s spot market in 2025
Brazil's gas market shifts toward spot contracts, driven by pricing gaps and greater contractual flexibility for local distributors.
en_1140290980540

Naftogaz receives €270 million from EBRD to bolster gas reserves in Ukraine

Ukraine will receive a €270 million loan from the European Bank for Reconstruction and Development, backed by a Norwegian grant, to secure gas imports over two winters.
CH4 receives EXIM award for 300 MW gas-to-power project in Guyana
The natural gas-to-electricity project led by CH4 Systems with several partners has been recognised by the Export-Import Bank of the United States for its energy and economic impact in Guyana.
en_1140290943540-20
CH4 receives EXIM award for 300 MW gas-to-power project in Guyana
The natural gas-to-electricity project led by CH4 Systems with several partners has been recognised by the Export-Import Bank of the United States for its energy and economic impact in Guyana.
en_1140290943540-20
Subsea7 and SLB OneSubsea awarded EPCI contract by bp for Ginger in Trinidad and Tobago
Bp awards a contract valued between $150mn and $300mn to Subsea Integration Alliance to develop the offshore Ginger field under a new global framework agreement.
en_1140290947540-18
Subsea7 and SLB OneSubsea awarded EPCI contract by bp for Ginger in Trinidad and Tobago
Bp awards a contract valued between $150mn and $300mn to Subsea Integration Alliance to develop the offshore Ginger field under a new global framework agreement.
en_1140290947540-18
Oman signs 15-year deal with Amigo LNG to diversify LNG supply sources
OQ Trading has signed a long-term sales agreement with Amigo LNG in Mexico to purchase 0.6 million tonnes of liquefied natural gas annually, with deliveries scheduled to begin in 2028.
en_1140290952540-17
Oman signs 15-year deal with Amigo LNG to diversify LNG supply sources
OQ Trading has signed a long-term sales agreement with Amigo LNG in Mexico to purchase 0.6 million tonnes of liquefied natural gas annually, with deliveries scheduled to begin in 2028.
en_1140290952540-17

Woodside approves a $17.5bn investment for an LNG project in Louisiana

Woodside approves the development of a 16.5 Mtpa LNG facility in Louisiana, marking a key milestone in its global expansion strategy with production targeted for 2029.
JERA and Saibu Gas join forces to optimise the operation of the Hibiki LNG terminal
JERA and Saibu Gas have reached an agreement to jointly use the Hibiki LNG terminal to secure liquefied natural gas supply and support their global business development.
en_1140290958540-15
JERA and Saibu Gas join forces to optimise the operation of the Hibiki LNG terminal
JERA and Saibu Gas have reached an agreement to jointly use the Hibiki LNG terminal to secure liquefied natural gas supply and support their global business development.
en_1140290958540-15
Calpine entrusts ExxonMobil with storage of 2 million tonnes of CO2 per year
Calpine and ExxonMobil have signed an agreement to transport and store up to 2 million tonnes of CO2 per year from a natural gas power plant near Houston.
en_1140290951540-15
Calpine entrusts ExxonMobil with storage of 2 million tonnes of CO2 per year
Calpine and ExxonMobil have signed an agreement to transport and store up to 2 million tonnes of CO2 per year from a natural gas power plant near Houston.
en_1140290951540-15
Ecopetrol seeks partners after Shell’s withdrawal from gas projects
Ecopetrol is developing a strategy to ensure the continuity of its offshore gas projects in the Caribbean following Shell's strategic withdrawal.
en_1140290992540
Ecopetrol seeks partners after Shell’s withdrawal from gas projects
Ecopetrol is developing a strategy to ensure the continuity of its offshore gas projects in the Caribbean following Shell's strategic withdrawal.
en_1140290992540

Advertising

LEGAL

FOSSILS

POLICY

RENEWABLE

PLUS

VERVANT

Welcome

Your subscription

Included in this subscription:

COMMUNICATE ON ENERGYNEWS