Latest News
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Sources: Commonwealth LNG and Malaysia's Petronas in talks to supply term-based LNG
According to four sources familiar with the matter, the Malaysian state-owned company Petroliam Nasional (or Petronas) is in discussions with Commonwealth LNG about buying liquefied gas from its Cameron, Louisiana facility. Petronas has been in discussions with Commonwealth LNG to purchase at least 1 million metric tonnes per annum of LNG. Two of the four sources declined to identify themselves as they weren't authorised to talk to the media. One source said that the talks are advanced for at least one mtpa. Several Asian nations plan to increase the contractual purchases of U.S. LNG in order to reduce the imbalanced trade with the United States, and avoid high reciprocal tariffs. Petronas previously stated that it would be expanding its global LNG pipeline to meet the growing demand and that some of its U.S. contracts may be sold on the spot market in Europe or Asia. Commonwealth LNG and Petronas have not responded to requests for comments. Commonwealth LNG is building a 9.5mtpa LNG facility in Cameron, Louisiana. The U.S. Department of Energy granted it an export license in February after waiting almost two years under the Biden Administration. Commonwealth has reported an increase in the interest of prospective buyers after obtaining its export license. About 8 mtpa is currently under contract with Woodside Energy or being considered, including 2.5 mtpa and 2 mtpa from Private equity firm Kimmeridge which has acquired 90% of Commonwealth LNG. Petronas signed 20-year contracts for LNG at Venture Global's Plaquemines plant and with Cheniere Energy. Petronas also signed in December a 15-year agreement with ADNOC to supply 1 mtpa LNG. Deliveries are expected to begin as early as 2028. (Reporting from London by Marwa Rashed, Curtis Williams and Emily Chow; editing by David Evans).
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Maersk maintains all trans-Pacific voyages despite trade and tariff uncertainty
Maersk announced on Tuesday that it has maintained all of its trans-Pacific sailings, even though some vessels have been reduced, despite the uncertainty created by U.S. tariffs on imports and the U.S.-China trade war. Hapag-Lloyd, the German container carrier, said last week that 30% of its customers have cancelled shipments from China to the United States due to the trade war between the two world's largest economies. Maersk's customers who ship from China to the United States have different ways of dealing with the uncertainty. "Some choose to continue with their plans, while others decide to ship from or to other markets. A third group of customers will store shipments at the origin in anticipation for a resolution in the future," the company stated in a press release. The company said that it would continue to evaluate the situation, and adjust its services in accordance with the demand between China and the U.S. This includes continuing the practice of substituting larger vessels with smaller vessels. Trump's policy currently includes tariffs of 10 percent on most goods imported from other countries, and a 145% duty on products from China. China and other countries have retaliated with tariffs against U.S. products. Beijing has exempted some U.S. imported goods from the 125% tariffs. (Reporting and editing by Jacob GronholtPedersen.)
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Jordan purchases approximately 60,000 T of wheat at tender, traders claim
In an international auction held on Tuesday, Jordan's state grain buyer bought about 60,000 metric tonnes of hard milling whey from optional origins. They said that it was estimated to have been purchased from Al Dahra for $259.99 per ton, cost and freight included. The reports reflect the opinions of traders, and it is still possible to estimate prices and volume later. The following trading companies also participated in the tender on Tuesday, according to traders: CHS $263.15; Cargill $270.29; Viterra $279; Ameropa 268.45, and Buildcom 261.88 cents per metric ton. Jordan has issued wheat tenders every week this year, but traders say that a tender next week is unlikely. Jordan bought 60,000 tons of wheat at $261.70 per ton for shipment in July's second half. (Reporting and editing by Kirsten Doovan, Kirsten Hogan)
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Why is Germany asking to split the power market?
ENTSO-E - the European power grid lobby - has demanded that Germany split its 25-year-old single electric market into five zones of price bidding. This is to prevent intra-German prices from leaking out to neighboring countries. As a six-month period of consultation began on Monday, here are some facts and considerations. Why has the topic been brought to the forefront? The European Network Companies' Group argues in its Bidding Zone Review that dividing Germany into zones will increase efficiency and lower management costs both inside and outside Germany. It said that a scenario based on conditions in 2019 showed that a five-zone split could save 339 million euro per year of grid management costs, reduce bottlenecks and allow more renewable energy to be transmitted. In 2024, the German grid handling costs reached 2.8 billion euro ($3.19 billion), which is a barrier to producers and consumers. What entso-e hopes to achieve Some organisations, including northern federal states and Germany's EU allies, such as Sweden which operates a connecting cables, claim that the high renewable generation in Germany’s north distorts energy prices over a wide area. They say that the northern areas will not benefit from local electricity at a lower cost, as everyone pays too high if the national grid is shared. Local zones with realistic pricing would encourage greater participation in battery storage and electric cars. Why Germany is opposed Germany admits that its network expansion has been slow, but it has set clear goals for the construction of north-south highways in order to solve structural problems. The coalition government, southern state and industry, namely, energy, cars, and chemicals, claim that it cannot abandon these systems now and adopt an entirely different system. Export-oriented industries in Germany are suffering from recession. If they were to be burdened by even higher costs elsewhere, they might leave or withdraw their employment. Transmission companies (TSOs) are making clear progress in constructing new lines of transport, under the supervision of the energy regulator. POSSIBLE CONSEQUENCES IF AN ESCALATION OCCURS If the EU Commission led by Ursula von der Leyen (a German) adopted ENTSO-E’s stance, and pitted themselves against Berlin, this row could shake the biggest economy in the EU and lead to anti-EU and right-wing sentiments. If Germany persists in its opposition to reconfiguration, then it may face retaliation, at a moment when it is trying to maintain good relations with EU trading partners. The Commission can decide on an action plan if the member states cannot agree within six months. How the issue could be silently resolved Germany can maintain its price-free zone if they adhere to the long-term EU regulation on its internal energy market that requires 70% of their border interconnection to be ready for tradeable power flows before year's end. The European Energy Exchange, Germany's power exchange, supports the TSOs in their bid to prove that they have made progress towards this goal. Peter Reitz (CEO of EEX) told reporters in a Monday call that there was no reason to disrupt Germany's current status quo.
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Maguire: Europe's clean energy woes are worsened by a lack of snow cover
The below-average snowfall in continental Europe during the winter of 2018-19 has deprived regional utilities in this region of a vital source of clean energy that can be dispatched this spring. This is on top of an alarming drop in wind power generation in 2025. According to LSEG the snow-fed hydro production in the Alps has fallen by over a third compared to last year's same dates. This is due to a decrease in winter precipitation. Ember data shows that the lower hydro supply follows a period of low wind production lasting several months, which forced European utilities (utilities) to increase their fossil fuel generation by 7% compared to last year's levels. The continued weakness of hydro means that regional utilities will need to increase output from coal and natural gas-fired power stations, which are Europe's main sources of energy. Nuclear reactors can also be sent on demand. The Peak Has Been Passed The output of snow-fed hydro assets peaks in the spring and early-summer, when temperatures rise and melt snow to refill reservoirs and boost run-of river turbine system output. LSEG's seasonal snow-fed hydromodel data suggests that the output of the Alps as a region peaked at the end of March and will continue to decline steadily until the late summer, before recovering during the fall and the winter. The peak hydro output in the Alps area was around 30% lower than the long-term norm, and nearly 40% less compared to the same period of 2024. This is due to the thin snow cover in key areas during this winter. The cumulative snow-fed production of Austria's major regions fell by 44% from 2024 to the present. LSEG data indicates that Switzerland, France, Italy, and the entire Danube Catchment Area are all expected to see output declines of 30 or more percent. KNOCK OUT IMPACTS According to Ember, by 2024, Europe will generate around 18% the electricity it needs. This is compared to 23% for gas-fired power plants, 20% for nuclear plants and 13% each from wind farms and coal plant. Solar farms produced around 7%, bioenergy plants about 3% and other renewables and fossil plants another 3%. Europe's utilities have become accustomed to the volatile output of hydro assets and are adept at replacing lost hydro production with higher production from assets other than hydro. The European power companies are now facing a tight supply of clean energy this year, due to the fact that Europe's wind farms have already recorded a decline of more than 10% in wind electricity production during the first quarter 2025 compared to the same quarter 2024. Several systems, including France, have a large number of nuclear reactors to ensure that overall electricity flows are clean, even when wind and hydro production is low. In order to compensate for the loss of wind and hydro, most other European networks have increased fossil fuel generation. In Europe, the production of electricity from gas fired power plants increased by 26% in the first three month of 2025 compared to the same period in 2024. Coal-fired power generation increased by 15%. Gas production in Austria increased by 75% between January and March 2024 compared to the same period in 2024, as utilities sought to balance the system during the recent hydro slump. In Germany, France, and Italy, fossil fuel generation is also up this year compared to last year, partly due to the reduction in hydropower supplies. SOLAR OFFSET? Solar farms in Europe are on course to break previous records by 2025. They will also be able offset at least some of the reduced supply from other assets. Solar farms cannot replace hydro power in full because they can only produce solar energy when the sun shines. It's possible that utilities who could dispatch bursts during peak demand may have to rely on fossil fuels rather than solar farms in order to replace the lost supply, especially at times when solar output is low. It is true that the European power grids are adding more battery storage capacity, which allows utilities to store solar energy and then sell it to their customers later. Batteries can also be used to limit fossil fuel use and the increase in emissions from the power sector. With wind and hydro power under pressure, Europe's energy firms will continue to rely heavily on fossil fuels, which could result in a rise in fossil-fueled generation by 2024. These are the opinions of the author who is a market analyst at.
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South Korea's MFG purchases about 66,000 T of corn, traders claim
In an international auction held on Tuesday, the Major Feedmill Group of South Korea (MFG), a group that owns and operates feed mills in South Korea, purchased approximately 66,000 metric tonnes of animal feed corn, which could have been sourced from either the United States, South America, or South Africa. A consignment of goods was purchased at an estimated cost and freight rate (c&f), plus an extra $1.50 per ton for port unloading. It was thought that the seller would be ADM, a trading house. The shipment was purchased for arrival around the 28th of July. A second consignment up to 70,000 tonnes also sought for the tender's arrival on August 3 was not purchased. The reports reflect the opinions of traders, and it is still possible to estimate prices and volume later. The consignment was to be shipped between June 24 and July 13 if it came from the U.S. Pacific Northwest Coast, between June 4 and 23 if it came from the U.S. Gulf coast, May 30 to June 18 if coming from South America, or between June 9-28 from South Africa. Only 55,000 tons are required if South African origins is chosen. The traders said that Asian import interest had been sparked by the Chicago Board of Trade Corn futures falling on Monday due to spillover pressure caused by weaker wheat and progress made in U.S. sowing. A group in Taiwan bought 65,000 tons of U.S. origin corn on Tuesday. (Reporting and editing by Kirsten Doovan, with Michael Hogan)
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South Korea's MFG purchases between 50,000 and 65,000 T of feed wheat, traders claim
Major Feedmill Group, a South Korean company, purchased between 50,000 and 65,000 animal feed wheat from around the world in a private transaction on Tuesday. The deal was made without a formal international tender. A consignment of goods was purchased for an estimated cost and freight (c&f), plus $1.50 per ton, as a surcharge to cover additional port unloading. Cargill was thought to be the seller. Arrival of corn in South Korea was scheduled for September 15th. If the corn was sourced in the Black Sea area, then shipment would have been between July 11 and September 11. Origins are not allowed for Russia, China and Pakistan. Argentina, Denmark, and Pakistan are also excluded. By May 31, the volume of goods to be delivered must be determined. The reports reflect the assessments of traders, and future estimates on prices and volume are possible. In a separate international bid, the MFG purchased animal feed corn on Tuesday. Michael Hogan reports.
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Honeywell leads first-quarter aerospace results
Honeywell's revenue and profit for the first quarter of 2018 exceeded Wall Street expectations on Tuesday as a lack of new aircraft fueled demand. The shares of the industrial giant and aerospace company rose by 5.5% during premarket trading, as the company raised its lower-end profit expectations for the year. Honeywell's projection, which takes into account the impact of tariffs on demand and the global uncertainty, shows confidence in Honeywell's ability to cushion this hit thanks to the rising sales of firms that provide parts and jet maintenance services. The airline industry has had to fly older, more maintenance-intensive planes, while an attempted production rampup by planemakers has resulted in a surge of orders for parts suppliers. While the U.S. President Donald Trump has imposed tariffs on metals like aluminum and steel, along with high tariffs against countries such as China, they have threatened to increase costs and put pressure on an already stressed supply chain. Honeywell expects to achieve adjusted profit per share between $10.20 and $10.50 in 2025. This is a significant increase from its previous forecast between $10.10-10.50. The company has, however, slightly reduced its sales projection for the year. It now expects between $39,6 billion to $40.5 billion compared with its previous guidance of $39.6 and $40.6 billion. In the first quarter, sales at its largest revenue generator, the aerospace division, increased by about 14%, to $4.17 Billion. Honeywell announced in February that it will separate its automation and aerospace businesses. The separation is expected to be completed in the second half 2026. LSEG data shows that the company's total sales for the quarter rose by about 8%, to $9.82 Billion, compared with an expectation of $9.59 Billion. The adjusted profit per share was $2.51, which beat the Street estimate of only $2.21. (Reporting by Utkarsh Shetti in Bengaluru; Editing by Arun Koyyur)
The German LNG import terminals
Since the invasion of Ukraine by Russia in 2022, Germany has sought to import liquefied gas (LNG), to replace Russian gas piped to Germany.
The first step was to deploy floating storage units (FSRUs), which receive seaborne LNG. Longer term, it planned shore-based regasification facilities and terminals to import and manufacture ammonia and clean hydrogen.
Here are the latest updates:
MUKRAN
Gascade's OAL pipeline supplies the terminal on Ruegen Island in Baltic Sea with LNG.
The private operator Deutsche ReGas announced on April 16 that there were no regasification slots left at Mukran until 2025. They said LNG carriers arrive weekly with approximately one terawatt-hour of gas.
ReGas had cancelled the Energos Power FSRU in February due to low usage.
The company now only uses the Norwegian FSRU Neptune of Norwegian operator Hoegh, after it said that it was struggling with the fees offered by DET to attract cargoes to terminals in North Sea supervised by DET.
ReGas said that the gas demand would be high ahead of winter next year, citing EU decision to extend the requirements for refilling underground storage facilities.
ReGas has launched, in April, a three-month round of bidding to expand Mukran’s capacity. The bids will offer an additional 5 Bcm per year between 2027 and 2043. It plans to restart a 2nd FSRU, and restore the full capacity of 13,5 bcm in 2027.
LUBMIN
ReGas signed a 2024 agreement with Hoegh to convert the Baltic Sea port (a precursor of Mukran) into an ammonia/hydrogen terminal.
WILHELMSHAVEN
Utility Uniper launched Germany’s first FSRU operations, Wilhelmshaven 1 on the North Sea in 2022.
Uniper has plans to build a 200-MW electrolyser that will be powered by local wind energy and a land based ammonia reception terminal.
DET confirmed that on April 28, the Excelsior regasification vessel arrived at an jetty constructed by Tree Energy Solutions. This ship provides another option for imports, DET stated.
Previous announcement
. Over the next few weeks, Excelsior is going to be tested and connected.
Hanseatic Energy Hub took a final decision in 2024 to invest in a terminal that is ammonia ready and will be located at the Elbe River inland port. The terminal will start operating in 2027.
The terminal will cost approximately 1 billion euro ($1.14 billion).
The employment of the FSRU Energos Force that was supposed to last until 2027 ahead of the start of operations at the onshore terminal is being delayed until further notice. This comes after DET and HEH canceled contracts due to unresolved differences about construction schedules, payments, and other issues.
BRUNSBUETTEL
Brunsbuettel FSRU began operations in 2023 along the North Sea Coast. It was initially chartered by RWE and operated by its trading arm, before being handed over to DET.
The facility is a precursor to a land based LNG plant that has been approved for 40 million euro of state assistance.
The terminal could begin operations by the end of 2026 when an adjacent ammonia facility, which was recently inaugurated, could also be operational. ($1 = 0.8772 euro) (Reporting and editing by Vera Eckert)
(source: Reuters)