• 2 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 5 minutes Middle East on brink: Oil tankers attacked off Oman
  • 8 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 3 mins Emissions Need To Be Halved To Avoid 3C Warming
  • 8 hours The Pope: "Climate change ... doomsday predictions can no longer be met with irony or disdain."
  • 2 hours Coal Boom in Asia is Real and a Long Trend
  • 17 hours Hormuz and surrounding waters: Energy Threats to the World: Oil, LNG, shipping markets digest new risks after Strait of Hormuz attack
  • 4 hours Pioneer CEO Said U.S. Oil Production would be up to 15 mm bbls/day NOW if we had the pipelines. Permian pipelines STARTING Q3
  • 6 hours Solar Panels at 26 cents per watt
  • 18 hours OPEC, GEO-POLITICS & OIL SUPPLY & PRICES
  • 11 hours The Magic and Wonders of US Shale Supply: Keeping energy price shock minimised: US oil supply keeping lid on prices despite global risks: IEA chief
  • 16 hours Trudeau approves Trans Mountain Pipeline
  • 11 hours Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 11 hours US to become net oil exporter in November: EIA
  • 18 hours The Plastics Problem
  • 10 hours Ireland To Ban New Petrol And Diesel Vehicles From 2030
  • 8 hours US Shale Drilling lacks regulatory body.
Alt Text

A Watershed Moment For Gazprom

The Kremlin’s push for reform…

Alt Text

The Gas Flaring Crisis In The U.S. Oil Patch

The amount of natural gas…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

LNG Remains In Tight Supply In This Key Market

PetroChina has begun cutting natural gas deliveries to certain industrial clients signaling still tight supply of the fuel that caused rather severe shortages in northern China in December.

Reuters quotes four unnamed sources as saying the move aimed to reduce the risk of new shortages this winter and also included raising gas prices for some large buyers, including gas distributors and liquefaction plant operators.

The news comes after the supply order deadline for state gas suppliers with their larger clients, which, as per the state planning commissions’ requirement, was the end of April. The deadline was set in a bid to gain clarity into demand and supply patterns early on in the year.

In January-April, China’s gas consumption increased by 14 percent to 71.1 million tons, which has driven LNG prices even higher on the spot market after a surge in December prompted by an urgent boost in imports to fight the shortage created by the rush to reduce the country’s reliance on coal power generation capacity.

Last year, gas imports jumped by 27 percent to 68.57 million tons, including pipeline and LNG shipments, with LNG prices hitting a three-month high on the spot market.

This year, China’s largest refiner, Sinopec, signaled efforts were being made to avoid a repeat of the December shortages. In April, the company said it had plans to boost its LNG import capacity to 26 million tons annually over the next six years from the current 9 million tons. State energy companies have also begun turning depleted gas fields into gas storage facilities to avoid a repeat of this winter’s supply crunch.

This capacity build takes time, however, so it seems PetroChina is trying to avoid a supply crunch by limiting supply before the peak in demand. According to one source from a gas liquefaction plant in Inner Mongolia, this is the first time PetroChina has cut supplies before the summer, and this will deal a blow to the plant’s profit margins.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment





Oilprice - The No. 1 Source for Oil & Energy News