LogIn LogOut

Exxon Mobil buys LNG to Chill Papua New Guinea Project

March 19, 2018

ExxonMobil Corp has bought a liquefied natural gas (LNG) cargo to keep its Papua New Guinea plant cold after a powerful earthquake triggered a production halt last month, several trade sources said on Monday.
The cool-down cargo could be a first step toward restarting LNG production at the facility ahead of schedule or it may simply be needed to maintain operational readiness, traders said.
Stopping the liquefaction process which condenses gas into a liquid at minus 162 degrees Celsius causes LNG plants to warm up, requiring cargoes to be imported to keep cryogenic tanks and equipment operational.
"If LNG is loaded directly into warm tanks, the tanks will crack," an industry source said.
Exxon's Papua New Guinea project was shut in late February after an earthquake disrupted feed-gas supplies from the gas-producing Highlands region.
Exports were to resume by early May.
The cool-down cargo is for delivery in early April and was bought from oil major BP, three of the sources said.
Exxon did not immediately respond to an email seeking comment outside of office hours.

Reporting by Jessica Jaganathan 



Current News

Portugal's EDP to Scale Up Offshore Solar Plants in Southeast Asia

Portugal's EDP to Scale Up Offshore Solar Plants in Southeast Asia

India Imposes A Windfall Tax On Oil Producers and Export Duties For Oil Products

India Imposes A Windfall Tax On Oil Producers and Export Duties For Oil Products

Russia to Replace Sakhalin-2 Project Operator with New Firm

Russia to Replace Sakhalin-2 Project Operator with New Firm

State Agency Wants Net-zero Carbon Emissions from Australia's Giant LNG Plant

State Agency Wants Net-zero Carbon Emissions from Australia's Giant LNG Plant

Gazprom Cancels Dividend for First Time Since 1998. Shares Drop

Gazprom Cancels Dividend for First Time Since 1998. Shares Drop

Offshore Helicopters: Bristow in Long-term Maintenance Support Deals for AW139 Fleet

Offshore Helicopters: Bristow in Long-term Maintenance Support Deals for AW139 Fleet

China Moves to Buy More Russian Oil, but Will it Help or Hinder?

China Moves to Buy More Russian Oil, but Will it Help or Hinder?
photo

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com