LNG Commercial
Sale and purchase of LNG using existing facilities on contemporaneous commercial terms : · Drivers of commercial LNG : ü Lower LNG costsreduce funding coverage and permit project commitment without full capacity sold ü Competitive inland gas marketsreduce export project offtake risk if shipping and import capacity is available ü Expanded LNG market scopeincreases “liquidity of exchange” for uncommitted production, shipping import capacity · Requires uncommitted capacity and commercial access “through the chain ”: ü For LNG supply ü For LNG shipping ü For LNG import/regas ü For demand aggregation and inland access · “Optionality”is embedded in shipping, which becomes strategic CCourse Topic 1. Overview a. LNG Value Chain b. LNG Project Development 2. ...