China Merchants yard kicks off work on second Celsius LNG carrier

Energy News Beat

China Merchants Heavy Industry (Jiangsu) has started building the second of six 180,000-cbm LNG carriers for Denmark’s Celsius Tankers, a unit of Celsius Shipping.

The shipbuilder said in a statement it has held a steel-cutting ceremony for the vessel (CMHI-282-02) on January 10.

CMHI officially started building the first of these 298.8 meters long ABS-classed LNG carriers during a steel-cutting ceremony held on October 23, 2023.

Jeppe Jensen, founder and executive chairman of Celsius, announced during this ceremony that Celsius had ordered two more LNG carriers (vessels number 5 and 6) at the Chinese yard.

The Danish firm now has six firm LNG carriers on order at the Chinese shipbuilder but with six more options.

In December 2022, Celsius and CMHI signed the 4+2+2 contract for the 180,000-cbm LNG carriers with deliveries scheduled in 2026 and 2027.

Celsius chartered the first four LNG carriers to Clearlake Shipping, a subsidiary of energy trader Gunvor, and these vessels will be delivered in 2026 and 2027.

The Deltamarin-designed vessels will feature MAN ME-GA engines and GTT’s Mark III Flex containment system.

The China Merchants yard in Jiangsu won a license from GTT in October 2022 to construct large LNG carriers using GTT membrane technologies.

Following deliveries of these six ships and the vessels being built in South Korea, Celisus will have 20 LNG carriers in its fleet.

The company recently took delivery of Celsius Glarus, the third vessel of ten Celsius has on order at Samsung Heavy.

Celsius will take delivery of the seven remaining newbuilds from Samsung Heavy during 2024-2026.

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Officials probe electric double decker bus inferno after vehicle ‘exploded’ and burst into flames sparking rush hour chaos – as dramatic video shows firefighters battling to put blaze out

Energy News Beat

Officials today launched an investigation after one of Sadiq Khan‘s electric buses exploded during today’s rush hour.

Terrified residents in Wimbledon described a massive ‘bang’ after a double decker burst into flames during this morning’s commute, sparking chaos on the roads as black smoke filled the streets.

Astonishing video obtained by MailOnline shows the dramatic moment firefighters battled to put out the inferno.

Transport for London (TfL) today launched an investigation after the blaze destroyed the rear and blew out the back windows. Miraculously, no one was hurt during today’s chaos.

Amy Foster, who works opposite the bus stop for data consultancy firm Rockborne, told MailOnline: ‘The response was very fast by the emergency services. The fire crew started to tackle the blaze at the back of bus where the fire was burning very aggressively – it blew out the back of the bus at the bottom and top.

‘It took a long time for them to get it under control with flames flying out the back of the bus that often had a blue hue to them. The smoke was really thick and blew down the high street.

‘The fire crews put out the flames but continued to soak the battery at the back of the bus for another hour or so due to it overheating and regularly were using a heat gun to check its temperature. Very glad no one was hurt.’

Source: Dailymail.co.uk

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China’s gas imports rose 9.9 percent in 2023

Energy News Beat

China’s natural gas imports, including pipeline gas and LNG, increased 9.9 percent in 2023, according to customs data.

Natural gas imports during the January-December period reached about 119.97 million tonnes, the data from the General Administration of Customs shows.

China paid about $64.3 billion for gas imports in this period, a drop of 8.1 percent compared to the year before.

Moreover, the country’s gas imports reached 12.64 million tonnes in December last year, a rise from about 10.95 million tonnes in November as demand in China increased due to winter heating season.

There is currently no official data for LNG imports in December.

China has overtaken Japan as the world’s largest LNG importer last year.

China imported 62.99 million tonnes of LNG during January-November, up by 10.9 percent compared to the same period in the previous year, and up by about 3.14 million tonnes compared to Japan’s volumes.

However, Chinese LNG imports fell in 2022 to due to very high spot LNG prices and Covid lockdowns, which affected economic activity.

China’s LNG imports dropped compared to the January-November period in 2021 when China imported 71.36 million tonnes of LNG.

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EQT inks tolling deal with Glenfarne’s Texas LNG

Energy News Beat

US natural gas producer EQT has entered into a heads of agreement for liquefaction services from Texas LNG’s planned facility in Brownsville to produce 0.5 mtpa of LNG under a 15-year tolling agreement.

The deal anticipates the finalization of a definitive 15-year tolling agreement from the first train of Glenfarne Group’s Texas LNG.

Texas LNG said in a statement it plans to achieve financial close and begin construction in 2024.

Moreover, the firm aims to launch commercial operations in late 2027 or early 2028, it said.

Brendan Duval, Glenfarne CEO and Founder, welcomed EQT as a customer and partner for Texas LNG.

“This is an important milestone for Texas LNG, with additional agreements to be announced in the near-term as we progress towards a final investment decision,” he said.

Toby Z. Rice, president and CEO of EQT, said this HoA with Texas LNG “highlights continued momentum behind EQT’s differentiated LNG strategy, which is focused on achieving the best combination of upside exposure and downside risk mitigation.”

Also, Rice added that this tolling capacity gives EQT “direct connectivity to end users of natural gas globally, allowing for end-market structuring flexibility and superior downside protection.”

Texas LNG previously selected Swiss engineering group ABB and US energy services firm Baker Hughes to supply equipment for its 4 mtpa LNG project.

The developer of the plant appointed a joint venture of Technip Energies USA and Samsung Engineering to lead the delivery of the facility.

Texas LNG said in April last year that it expected to take the investment decision to build its LNG export project in 2023 following an order by the US FERC, but it later postponed the decision to 2024.

FERC issued an order on remand to the planned export terminal in the Port of Brownsville, Texas, owned by Glenfarne Energy Transition’s Texas LNG, following the completion of an additional social cost of carbon and environmental justice analysis.

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Poisoned gifts: The West’s apologies and reparations can be another tool to enslave Africa

Energy News Beat

The West owes oppressed nations apologies, but those seem to be part of the same old colonial system

These days in Africa, we often hear calls for reparations for the three Western heinous crimes: slavery, slave trade, and colonialism. Reparations for these atrocities are long overdue, but they are not just about financial restitution. The intersectionality of these crimes robbed victims of their identity, cultures, and, more significantly, dignity. Monetary compensation, no matter the value, cannot restore any of these.

Africa’s social, economic, and political challenges are connected to imperialism. Without addressing the legacy of domination, it is almost impossible for Africa to overcome poverty, inequalities, economic stagnation, and political instability. Fundamentally, the call for reparations is about morality and justice. The beneficiaries of imperialism have a moral duty to compensate their victims. The dignity and heritage of black people have been desecrated across time through historical mass crimes and imperial subjugation, as it included the erasure of identity through the looting of religious symbols and cultural relics.

Accra summit

The African Union (AU), the successor to the Organisation of African Unity (OAU), is one of the oldest pan-African organizations aimed at increasing integration within the continent, and, being a G20 member since last September, in the group it represents African nations collectively. Through its various departments, such as The Department of Political Affairs, Peace and Security (PAPS), the Peace and Security Council (PSC), the Economic, Social and Cultural Council (ECOSOCC), and the Citizens and Diaspora Organizations Directorate (CIDO), the bloc is at the forefront in championing reparations for black people in Africa and in the diaspora. In this line, the AU organized a reparations summit in Accra, Ghana, in 2023 that drew a raft of resolutions, one of which was the formation of a Global Reparations Fund for compensation for the victims of slavery, slave trade, and colonialism. “It is time for Africa – whose sons and daughters had their freedoms controlled and sold into slavery – to also receive reparations,” said Ghana’s president, Nana Addo Akufo-Addo.

During the conference, delegates, who included senior government officials from Africa and the diaspora, resolved to engage in campaigns, litigation, and judicial processes to advance the cause for reparations. Between the 16th and 19th centuries, over 12 million able-bodied Africans were forcefully shipped to the Americas and Europe down the infamous Middle Passage, the route for the transatlantic slave trade. They were crucial in the creation of wealth in Europe and the Americas as plantation and industrial workers. Africa, in contrast, languished in misery, backwardness, and underdevelopment while its colonizers, Western multinational corporations, individual barons, and institutions profited from the exploitation of black people. Today, subjugation and domination continue through neocolonialism, racial discrimination, and the extraction of Africa’s natural resources and human capital.

The exploitative capitalist framework is intact under the dependency paradigm. Calls for reparations, therefore, must include overhauling institutions of inequalities. Unequal economic and power imbalance globally manifests through the UN Security Council, World Trade Organization, International Financial Institutions, and rapacious Western corporations. Restitution by way of reparations must include the removal of oppressive laws and policies that impoverish former colonies in Africa and the Caribbean.

Apologies from Germany: Why now?

Germany has apologized for colonial-era atrocities in Namibia and Tanzania. In Namibia, German colonists were responsible for the first genocide in recorded history against the Nama and Herero people. Between 1904 and 1908, German soldiers massacred 65,000 Herero and 10,000 Nama people during a revolt against land seizures. Germany had never apologized or acknowledged this atrocity or correctly characterized it as genocide until 2021. On an official visit to Namibia, German President Frank-Walter Steinmeier pledged $1.2 billion for development projects in Namibia for the benefit of the victims of these colonial-era atrocities. But the Herero paramount chief, Vekuii Rukoro, dismissed the agreement between the two governments as an “insult” from “a so called civilized European nation” because it did not include reparations. Rukoro argued that Germany must engage the communities that bore the brunt of this genocide since the Namibian government could not pretend to negotiate for them. It was irregular, this traditional leader further argued, for the Namibian government to purport to speak for the victims, yet it did not exist at the time the genocide was committed.

In 2023, President Frank-Walter Steinmeier also apologized for colonial-era atrocities in Tanganyika (modern Tanzania), another former colony in which German colonists presided over mass atrocities. But this apology did not involve compensation and reparations either. In colonial Tanganyika, 75,000, or by some records, 200,000-300,000 people were massacred during colonial resistance known as the Maji Maji rebellion. Some of the victims were starved and tortured to death. German colonists also plundered the remains of traditional leaders in Tanganyika, which are still being ghoulishly exhibited in their museums. But it was not only Germany that desecrated the remains of traditional leaders. British colonists were also implicated in this barbaric practice in Kenya. Other colonists across Africa were just as base. The British monarch, during his official visit to Kenya in 2023, the first to a commonwealth member state following coronation, acknowledged the British atrocities in colonial Kenya but did not apologize or pledge reparations.

Why, after decades, is this supposed remorse from Germany? It is not indicative of a change in attitude – but inspired by self-preservation in a fast-changing global order. With the rise of China and other emerging powers, Africa has become strategic to the West. Besides, an increasingly assertive Russia is making a foothold in Africa’s security, especially in the Sahel. The second Russia-Africa Summit held in St Petersburg in 2023 is also evidence of Africa’s strategic significance to Russia’s positioning globally. The expansion of the BRICS bloc, an acronym for Brazil, Russia, India, China, and South Africa, during its 15th summit in Johannesburg, South Africa in 2023 is significant. The admission of Ethiopia, Egypt, Saudi Arabia, and the United Arab Emirates, in a way, signals the broadening of a Global South alliance against Western hegemony, much as these new entrants are Western allies.

Therefore, the US and its European partners have been forced by these developments to reconsider their historically paternalistic policies towards Africa. In the case of Britain, its exit from the European Union makes it imperative to reach out to Africa to reinforce relations that it had ignored to shore up its economy. Western hegemony is on the wane as multipolarity takes form. This has afforded Africa options in trade, investment, research and development, and security. Although it has not discarded it, the paternalism that the West has historically exhibited in relation to Africa is no longer a viable approach. The African Union’s admission to the G20 is part of efforts to shift from paternalism and the characterization of Africa as an appendage of the globe. This move, however, collapses Africa and is insidiously paternalistic.

Europe faces the problem of an aging population, while Africa has a youth bulge. Germany, its economic powerhouse, is positioning itself to benefit from Africa’s demographic dividend by use of human capital. German and other Western tech corporations are outsourcing innovation to technologically savvy youth in Africa. In addition, Germany is easing previously restrictive migration policies to facilitate naturalization and the integration of skilled African migrants into Germany to boost its shrinking workforce. Of course, there are the challenges of unfavorable labor terms, racism, rightwing populist politics, and brain drain. Unless African governments such as the Kenyan one are alert, facilitation of the poaching of Africa’s human capital amounts to complicity in slavery 2.0.

China’s inroads into Africa’s infrastructure development through the Belt and Road Initiative has rattled the West. Beijing’s footprint in Africa is growing through aid, agriculture, its military presence, education and research, and diplomacy. To counter China, the West has cranked up its relations with Africa. Germany, for instance, is targeting Africa’s energy sector consistent with its climate change concerns, whose mitigation includes a shift to renewable energy. Since he assumed office, Germany’s chancellor, Olaf Scholz, has visited several African countries, including Kenya, Nigeria, and South Africa – Africa’s anchor states – on a diplomatic charm offensive. It is unprecedented. These visits are for trade, investment, and skills transfer from Africa. The Russia-Ukraine conflict upended Germany’s energy source and exposed the risk of overreliance on Russia. Africa is one of its alternatives for diversification.

Beyond reparations

It is imperative that measures are put in place at the national and international levels to ensure that countries, companies, and individuals that benefitted from imperialism pay reparations for heinous injustices. The AU-proposed Global Reparations Fund is a step in the right direction. These beneficiaries are morally and legally obliged to repair the economic, social, cultural, and political damage wrought by the unholy trinity of slavery, slave trade, and colonialism. Imperialism inflicted incalculable damage on the colonized, and the most enduring one is psychological. The abiding mindset in colonized societies to mimic colonizers, an indication of low self-esteem and an inferiority complex, is difficult to remedy.

There is a need for a special development fund for former colonies in Africa and the Caribbean. However, anything that carries the word “special” and is reserved for former colonies pathologizes them. The starting point is to rectify the current global financial system. Neoliberalism is responsible for poverty, inequalities, joblessness, and underdevelopment in Africa and other developing countries by way of adverse conditionalities and punitive lending rates. The overhaul of an oppressive and exploitative financial system is imperative. An alternative framework by the BRICS bloc is a welcome initiative.

There is a need for access to international markets for Africa’s products. Trade, research, and development are viable approaches to relations between Africa and former colonizers – but not aid. The Africa Growth and Opportunity Act (AGOA) initiative by the United States (US) somewhat seeks to deemphasize aid. Selected African countries are allowed to export goods to the US duty-free. This arrangement is aimed at earning these countries foreign exchange and boosting their manufacturing. AGOA, however, is a drop in the ocean. And, crucially, it is still a political tool for manipulation that the US wields to make African countries toe its line. Uganda, for instance, was removed from this pact when it enacted laws against homosexuality, along with the Central African Republic, Gabon, and Niger, starting in 2024. The Bretton Woods institutions followed suit and threatened to cut aid to Uganda unless it repealed these laws.

Furthermore, the US threatened South Africa with expulsion from the AGOA agreement because of its expression of support for Russia in the Russia-Ukraine conflict. It is a given that sovereignty is drastically eroded in Africa because of weak economies and soft states. The US, however, does not have a right to abuse the AGOA pact to interfere further in the sovereignty of African states. The lopsided power distribution globally is the crux of the matter, which necessitates the need for a truly multipolar and multilateral world. Bar this, measures geared towards alleviating the plight of former colonies and enslaved people in Africa, the Americas, and the Caribbean will precariously hang on the whims of the West.

Debt cancellation is also a realistic way to advance the reparations agenda. Former colonies are held back by back-breaking debts that dent their development budgets. This causes poverty, inequality, and underdevelopment since these countries cannot meet the basic needs of the people – healthcare, education, food security, potable water, and housing, among other amenities. This situation accounts for political instability in Africa and the diaspora. As such, there are not any novel initiatives to actualize the reparations cause. An oppressive global system consistent with colonialism must be dismantled. The beneficiaries of an unequal world cannot be expected to lead this cause. To demonstrate genuineness regarding atonement for atrocious legacies in Africa, the Caribbean, and the Americas, however, these beneficiaries must endorse campaigns for a just, equitable, and humane global order – which they actually oppose. The enduring imperialism and its corroding capitalist system must be supplanted by an arrangement that dignifies Africans and other former colonies in the diaspora.

The statements, views and opinions expressed in this column are solely those of the author and do not necessarily represent those of RT.

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BRICS bank lends $500 million to Indian state

Energy News Beat

The BRICS New Development Bank (NDB) has announced the approval of a $500 million loan to fund rural road projects in the Indian state of Gujarat.

The funds will be used under the Mukhyamantri Gram Sadak Yojana initiative, according to the bank, which was launched in 2010-2011 to improve connectivity in rural areas of the country.

The NDB says it will assist the Indian state’s road construction department with various materials such as geosynthetics, geotextiles, geogrids, and lime stabilization, covering a total of 1,200km of roadway. All-weather roads will also be constructed with a focus on environmental protection, it said.

The NDB was established in 2014 by Brazil, Russia, India, China, and South Africa, with the aim of providing funding for infrastructure and sustainable development projects. The bank formally opened for business in 2015, and was later joined by Bangladesh, the United Arab Emirates, Egypt, and Uruguay. Saudi Arabia is also in talks to become a member.

In May 2022, the NDB launched its Indian Regional Office in Gujarat International Finance Tec-City to address infrastructure and sustainable development needs in India and Bangladesh, contributing to economic growth and sustainable development in South Asia.

 

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US weekly LNG exports reach 28 cargoes

Energy News Beat

US liquefaction plants shipped 28 liquefied natural gas (LNG) cargoes in the week ending January 10, while natural gas deliveries to these terminals increased by 1 percent compared to the week before.

The EIA said in its weekly report, citing shipping data provided by Bloomberg Finance, that the total capacity of these 28 LNG vessels is 100 Bcf.

The agency did not release its weekly report in the prior two weeks due to holidays. During the week of December 14-20, 2024, US terminals shipped 22 LNG cargoes.

Average natural gas deliveries to US LNG export terminals increased by 0.1 Bcf/d week over week, averaging 14.7 Bcf/d, according to data from S&P Global.

Natural gas deliveries to terminals in South Louisiana decreased by 1 percent (0.1 Bcf/d) to 9.2 Bcf/d, while natural gas deliveries to terminals in South Texas increased by 5.4 percent (0.2 Bcf/d) to 4.4 Bcf/d.

The agency said that natural gas deliveries to terminals outside the Gulf Coast were essentially unchanged.

Cheniere’s Sabine Pass plant shipped eight cargoes and the company’s Corpus Christi facility sent four shipments during the period under review.

The Freeport LNG terminal Venture Global’s Calcasieu Pass each shipped four cargoes, and Sempra Infrastructure’s Cameron LNG terminal and the Elba terminal each shipped three cargoes during the week under review.

Also, the Cove Point LNG terminal shipped two cargoes.

One LNG vessel with a carrying capacity of 3 Bcf docked for off-loading at the Everett LNG terminal in Boston Harbor in Massachusetts between January 4 and January 10, the agency said.

This report week, the Henry Hub spot price rose 63 cents from $2.60 per million British thermal units (MMBtu) last Wednesday to $3.23/MMBtu this Wednesday, the second day in a row Henry Hub was above $3.20/MMBtu, the agency said.

The last time the Henry Hub price was at $3.00/MMBtu or above for more than one day was in early November 2023, it said.

Moreover, the price of the February 2024 NYMEX contract increased 37.1 cents, from $2.668/MMBtu last Wednesday to $3.039/MMBtu this Wednesday.

According to the agency, the price of the 12-month strip averaging February 2024 through January 2025 futures contracts climbed 14.2 cents to $3.008/MMBtu, with higher prices next winter pulling up the 12-month average.

The January 2025 futures contract rose above $4.00/MMBtu on January 9, significantly higher than futures prices for all other months in the strip, it said.

The agency said that international natural gas futures decreased this report week.

Bloomberg Finance reported that weekly average front-month futures prices for LNG cargoes in East Asia fell 12 cents to a weekly average of $11.44/MMBtu.

Natural gas futures for delivery at the Dutch TTF decreased 3 cents to a weekly average of $10.35/MMBtu.

In the same week last year (week ending January 11, 2023), the prices were $27.67/MMBtu in East Asia and $22.02/MMBtu at TTF, the EIA said.

 

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State of emergency declared amid deadly Papua New Guinea riots

Energy News Beat

Mass unrest has gripped the Pacific nation over a public sector pay cut, later blamed on an administrative error

Soldiers and police patrolled the streets of the Papua New Guinea capital on Friday, a day after the southwest Pacific nation declared a state of emergency in response to widespread rioting during which at least 22 people reportedly died.

The unrest in Port Moresby has largely subsided, reports say, after Prime Minister James Marape announced a 14-day state of emergency and suspended several public officials. The move followed Wednesday’s public sector pay protest, which spiralled into clashes and looting.

“Breaking the law does not achieve certain outcomes,” Marape said in a national address as he declared the state of emergency on Thursday. The PM added that the situation was “still tense,” even after the chaos had largely died down. He also blamed social media “misinformation” for much of the disorder.

Papua New Guinea’s finance minister and its police commissioner were among those to have been placed on suspension by Marape’s government – though it was added that the measure “in no way indicates their involvement in matters of concern.”

Shops were ransacked and buildings set ablaze during the rioting, which occurred after police and other public servants went on strike on Wednesday over a pay cut of up to 50%, which government officials later blamed on an administrative error. Marape has said that the glitch will be corrected in next month’s paychecks.

Nine people were reportedly killed in the capital, Australian broadcaster ABC said on Thursday, citing police officials. A further seven were killed in rioting in the second-largest city, Lae, the report added. Four of those who died were reported to have been shot by a business owner on the outskirts of Port Moresby. The remains of six more people were discovered on Friday, ABC said.

In excess of 50 people are being treated for injuries including gunshot and knife wounds, Port Moresby general hospital said in a statement.

Former Papua New Guinea leader Peter O’Neill said on Friday that he was “reeling” from the “shocking scenes that gripped Port Moresby,” calling it the darkest day in the country’s history, and saying Marape should shoulder the blame.

“There is no shame in taking responsibility,” he said, referring to Marape, “but it is absolutely shameful to continue knowing you have lost command and control.”

Australia’s defence minister, Richard Marles, said on Friday that the violence in Papua New Guinea had largely been quelled, and that the country had made some requests to Canberra for assistance. Australia and Papua New Guinea have close diplomatic and trading ties, and Port Moresby is one of the largest recipients of Australian aid.

 

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African state shuts border with neighbor for ‘backing’ rebels

Energy News Beat

Burundi accuses Rwanda of hosting and training a rebel group that has been carrying out deadly cross-border raids

Burundi has announced the closure of its border with Rwanda, while suspending diplomatic relations with its East African neighbor. Martin Niteretse, the Burundian internal affairs minister, said on Thursday that the decision was in response to Kigali’s alleged support for a rebel group responsible for cross-border attacks.

The minister announced that the Burundian government had begun deporting Rwandan nationals, calling Rwandan President Paul Kagame a “bad neighbor.

We have suspended all relations with him until he comes to his senses. He is harboring criminals who are destabilizing Burundi,” the Associated Press quoted Niteretse as saying during a meeting with security officials in Kayanza province, near the Rwandan border.

All the borders are closed. We don’t need Rwandans here, and even those who were on our territory, we chased them out,” he added.

Last month, Burundian President Evariste Ndayishimiye accused his Rwandan counterpart of hosting and training the RED-Tabara militia – a group that claims to oppose political control of the National Council for the Defense of Democracy – the party that has ruled Burundi since 2005.

The group, designated a terrorist organization by the Burundian government, has been accused of a series of attacks in the landlocked nation since 2015. The gunmen claimed responsibility for an assault on December 22 near Burundi’s western border with the Democratic Republic of Congo (DR Congo), which authorities said killed at least 20 people, including security officials, and injured nine others.

While Rwanda has previously denied the allegations, Yolande Makolo, a government spokesperson, told Reuters on Thursday that the government had become aware of Burundi’s decision to suspend diplomatic ties through media reports.

This unfortunate decision will restrict the free movement of people and goods between the two countries, and violates the principles of regional cooperation and integration of the East African Community,” Makolo said, according to the news agency.

Rwanda, where the British government intends to deport illegal migrants arriving in the UK, has also been accused by the DR Congo of funding the M23 fighters, an insurgent group involved in deadly violence in the mineral-rich Central African country. Congolese President Felix Tshisekedi, who won a second term in the country’s recent elections, has threatened to declare war on Kigali if it continues to back the M23 rebels.

UN experts previously reported that Kigali was arming M23 militants in DR Congo and had provided training, financing, and logistical support for rebels in Burundi. The Rwandan government denied the allegations, describing them as an attempt to incite trouble in the region.

 

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LNG freight rates, European prices drop this week

Energy News Beat

Spot charter rates for the global liquefied natural gas (LNG) carrier fleet continued to decline this week, while European and Asian prices also dropped compared to the week before.

Last week, Spark30S Atlantic decreased to $108,500 per day, and the Spark25S Pacific decreased to $80,250 per day.

“LNG freight rates have fallen for the sixth consecutive week, with the Spark30S Atlantic, now assessed for 174,000-cbm 2-stroke vessels, falling below $100,000 per day this week for the first time in 5 months,” Qasim Afghan, Spark’s commercial analyst told LNG Prime on Friday.

Image: Spark

Afghan said that the Atlantic rate decreased by $25,000 to $83,500 per day, whilst the Pacific rate decreased by $14,250 to $66,000 per day.

In Europe, the SparkNWE DES LNG front month also continued to drop this week.

The NWE DES LNG for February delivery was assessed last week at $9.872/MMBtu and at a $0.855/MMBtu discount to the TTF.

“The SparkNWE DES LNG price for February delivery is assessed at $9.081/MMBtu and at a $0.805/MMBtu discount to the TTF,” Afghan said.

He said this is a $0.791/MMBtu decrease since last week and a $6.93 (43 percent) decline since the front month winter peak on October 13, 2023.

Image: Spark

Levels of gas in storages in Europe remain high for this time of the year.

Data by Gas Infrastructure Europe (GIE) shows that gas storages in the EU were 81.77 percent full on January 10.

In Asia, Chinese LNG buyers were on a spree late January 9 with some 6-8 cargoes changing hands following the sharp decline in Asia-Pacific spot prices, according to Platts, part of S&P Global Commodity Insights.

Platts said in a report, citing sources, these 6-8 cargoes that traded in China were scheduled for delivery from end-January to early March at $9.60-$10.60/MMBtu.

Platts assessed on January 9 February JKM at $9.809/MMBtu, H1 February at $9.698/MMBtu, and H2 February at $9.920/MMBtu.

This week, JKM dropped when compared to the last week. JKM for February settled at $11.245/MMBtu on Thursday.

 

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