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|Shipment From Alaska LNG Possibly Be Postponed To Summer|
|=Without sales approach to TEPCO|
It is anticipated that the schedule to resume LNG production and shipment at the U.S. Alaska LNG Project will be put off to summer. When the LNG project is placed back into service, the U.S. ConocoPhillips, which has promoted the project, is expected to approach Tokyo Electric Power Company (TEPCO) to sell LNG produced in Alaska first of all, since TEPCO has purchased LNG from Alaska over long period of time on term as well as spot basis. However, TEPCO has not yet received any contacts from ConocoPhillips.|
On the other hand, TEPCO has shown no interest in LNG produced in Alaska because of the specification problems and unstable shipping time. Even if there is an approach for sales, TEPCO might defer its purchase depending on the procurement situation.
The production at Alaska LNG Project has been temporarily suspended in order to perform obligations to supply gas to the local inhabitants. On the other hand, it has been thought that LNG production will be resumed in spring when the supply volume to the local areas decreases and feedstock gas can be easily procured. However, ConocoPhillipls seems not to have fixed schedule to resume operations.
ConocoPhillips plans to carry on LNG production at Alaska LNG Project in 2012. The company has not concluded the sales contracts with customers and is expected to sell the production on a spot basis in the year as it did in 2011.
Out of six LNG cargoes, which had been sold since April 2011, TEPCO bought three cargoes. The rest of two cargoes were purchased by Kansai Electric Power Company and one cargo by China's Shanghai LNG Co.
|last modified : Wed 28 Mar, 2012 [11:43]|