Thursday, February 25, 2016

Christy Clark's BC Liberals Have Just Confirmed Through Their Actions That Their 2013 Election Promise of a $trillion Dollar LNG Export Industry Has Already Died!


The below article is very telling.......Hoegh LNG has for financial reasons abandoned participating in any floating LNG facilities(FLNG) and Hoegh LNG has abandoned participating in any new LNG land-based export terminals...Hoegh will concentrate soley on FSRU(floating storage regasification units).....Hoegh's reasons are purely self-serving, they want to survive..

Read what Hoegh LNG is saying....The LNG market is over-saturated with excess gas and financial markets are reeling, bankers are leery of lending money for money losing LNG terminals....China is in the midst of a longterm slowdown,...Japan is firing up their remaining nuclear plants and longterm LNG buying contracts are being inked for less than $6 dollars per MM BTUs...

 Shell Canada is not going to build their proposed British Columbia LNG terminal nor is Petronas..

However, neither Shell Canada or Petronas will officially abandon their proposals...It's a game of cat and mouse and political gamesmanship...Both projects will be deferred until 2017...At least that's what those companies will tell British Columbia...

 An insider familiar with both projects has told me off the record that Rich Coleman has literally begged these companies to keep their on paper proposals alive until the May/2017 election...The companies are complying, so far at least.....My friend has also informed that both of these projects are dead...

 Furthermore....The pathetic announcement yesterday by the BC Liberal Government, they are placing $100 million British Columbia tax dollars into the LNG prosperity fund, they are calling it seed money..

Well, Vaughn Palmer won't write the truth, not one B.C. mainstream media will call-out these BC Liberal grifters for what they are....Con Artists..

Even when the truth is staring them in the face.....If Rich Coleman and Christy Clark were really positive and convinced that an LNG export industry was going to happen and $billions of dollars were going to flow into the much-vaunted prosperity fund....If they really believed that was true they wouldn't stoke the prosperity fund with the $100 million dollar that was raised by increasing BC's MSP fees... Only a bunch of sadsack losers would play this pathetic LNG scamming game..

However....The BC Liberals have the corporate controlled mainstream media toilet trained, they are mere janitors, BC Liberals shit their pants and poop all over the bathroom floor and Michael Smyth..Tom Fletcher, Vaughn Palmer, Les Leyne come a runnin with scrub brushes, mop and pails and toothbrushes, eager beavers to clean up the soiled messes left by BC Liberals, I'm being kind....The media itself is the real enemy here....If they did their job, you know, the job of fact-finding and truthful reporting these BC Liberal crimes would not have happened....Those media personalities do have to look in the mirror...What they have done will haunt their souls to the grave...


Höegh LNG on Tuesday informed it has made a decision to put all FLNG activities on hold and focus its resources and capital into the FSRU business. 

According to Höegh LNG’s statement, the FSRU business is where the company sees the highest return on invested capital and the most promising market prospects.
The decision comes due to the oversupplied LNG market and a drop in energy and financial markets which have jeopardized investment in new LNG production facilities, including FLNG.

Höegh LNG said it will complete its obligations towards existing customers but will not engage in any new FLNG developments.
However, the company said FSRU market conditions are still encouraging due to new LNG supply growth and increased activity in the segment, both from the producers as well as LNG importers and downstream gas consumers.

Sveinung J.S. Støhle, Höegh LNG’s president and CEO said, given the overall market outlook for LNG and the current state of the financial markets, we believe focusing solely on FSRUs is financially and commercially the best strategy for Höegh LNG.”


 Need more....LNG use is on the decline.....


BANGKOK (Reuters) – Thailand’s PTT Pcl plans to delay its purchase of liquefied natural gas (LNG) from Shell Eastern Trading (PTE) and BP Singapore PTE Ltd due to weaker-than expected domestic demand, its executive said on Tuesday.

PTT is currently in discussions with the two suppliers regarding the delay, Noppadol Pinsupa, senior executive vice president for PTT’s gas business unit, told reporters.
PTT, the country’s top energy firm, expects LNG imports of about 2.7 million tonnes this year, lower than a prior estimate of almost 5 million tonnes, the executive added. Thailand imported 2.6 million tonnes of LNG in 2015, he said.


How about the LNG disaster down under?????(Australia)


Australian LNG player Woodside reported on Wednesday a 99 percent decline in 2015 net profit, hit by $1.1 billion in asset impairments due to falling oil and gas prices.

Woodside’s net profit in 2015 dropped to $26 million, down from $2.41 billion in the year before. Woodside last time posted a loss in 2002.

Revenue from operations decreased 32 percent to $5.03 billion, the company said. Woodside announced a full-year dividend of $1.09.
The Australian LNG company reaffirmed its 2016 production target range of 86 to 93 MMboe.

Browse FLNG project

Woodside said last year that its Browse FLNG project in Australia would have been break even with oil prices “around $50-$55 a barrel”. However, in the meantime oil prices fell to near 12-year lows below $35 a barrel.

The Browse FLNG development concept is based on three FLNG facilities utilising Shell’s technology to commercialise the Brecknock, Calliance and Torosa fields located approximately 425 kilometres north of Broome in Western Australia.

The Browse FLNG partners had planned to take a final investment decision (FID) on the giant project in the second part of this year.

“I would expect the joint venture partners will meet a number of times as we consider our final investment decision on Browse,” 
Woodside’s CEO Peter Coleman told reporters on Wednesday.

According to Coleman, “this is not the time to be reckless at all with respect to capital deployment. And this is not the time to make bets the future is going to be rosier just simply because we hope it will be.”

“What’s not clear to me today is are we in the middle of a fundamental structural change in the industry or is this just a short-term disruption, where we’ll go back to long term trends in a relatively short period of time,” the CEO said.
“It’s with that sort of eye that we’re looking at all of our investment decisions today,” Coleman added.


Need more.....Japanese utilities are racing at speed to restart their nuclear fleet...The reason...Cheap nuclear power and the financial advantage they's all about the money...meaning not giving money to the LNG exporting vultures..


Japan’s opening of its power market is pressuring utilities to get nuclear plants back on line quickly to bolster finances in the face of potentially greater competition, according to Bloomberg New Energy Finance.

When Japan’s retail power market fully liberalizes in April, utilities that have nuclear power plants online, like Kansai Electric Power Co., will have an economic advantage, according to Miho Kurosaki, a Tokyo-based analyst with BNEF. Nuclear power is the cheapest form of electricity generation, allowing producers to cut rates and edge out new entrants and old rivals.

Utilities could resume operations at 21 of Japan’s 43 functioning reactors by the end of 2017, according to one scenario forecast by BNEF. As many as 28 reactors could restart by the end of next year, according to BNEF’s most ambitious view. So far, three reactors have restarted under post-Fukushima safety rules.
Utilities want to restart as soon as possible as far as retail liberalization is concerned,” Kurosaki said by e-mail. “


BC LNG is dead, kaput.....Only the brainwashed still believe in the BIG LIE...and the corrupt bought B.C. Media....Right Keith Baldrey?


The Straight Goods

Cheers Eyes Wide Open


Bill said...

Grant your blogging has done more in depth coverage of BC's 'phantom zombie sparkle pony' LNG industry than any other source in all of Canada.

The Loco MainSchemeMudders deflect with the best spin served down to them by their Lib masters. Only you have scanned, monitored and reported the world wide news for LNG economic/energy markets, news developments, business and political LNG News. In a world scale industry all local development is ultimately impacted by and decided by the big picture. The conveniently lazy local 'reporting' by the Ledge Gang has been a huge betrayal to the citizens of BC.

The BC Liberal Pirates continue their LNG fantasy only with deflection from their captured media. The reality is that this BC Liberal fantasy is a nightmare for the citizens of BC.

Thank you for your excellent coverage and analysis.

Grant G said...

Thank you for the compliment Bill...

You are correct...There is no one in Canada or North America who has sussed out more details and facts on the LNG front than The Straight Goods.....Only Australian media has come close to highlighting the LNG boondoggle...Australia was sold a bill of goods too...


Anonymous said...

by hook or by crook til after BC may 2017 election .whatever it takes to win someone said?Just like 2013 all over again ?Did the public get fooled?
lets just transfer 100 million from MSP hike to sweeten the LNG vaporware pot?
fire up the media ads. Worry?They dont curry media favor with our advertising taxpayer dollars?
delete delete delete
post it post it post it

Hugh said...

I guess the old 'LNG Prosperity Fund' was looking a little empty, so they dumped some of our money into it. What a complete joke.

David E said...

I thought the "Fantasy Fund" was supposed to eliminate our sales taxes, MSP premiums etc...
They just increased MSP fees to fund their "Fantasy Fund". This is as ass backwards as it gets but par for the course with these bozos!

Interesting economic outlook on LNG from Brattle Group.

John's aghast said...

What a disgusting photo!

Anonymous said...

“only an idiot would be building a very expensive project in Canada instead of buying power on the open market.”