1-7-19 FLNG Comment – and – Changing World Fiscal Systems

NGI by Charlie Passut.   Alaska and three Chinese companies have agreed to a six-month extension to negotiate and conclude definitive agreements for a liquefied natural gas (LNG) project in the state, despite an ongoing U.S.-Sino trade war.

The Alaska Gasline Development Corp. (AGDC), China’s state-owned Sinopec Group, the Bank of China and CIC Capital, a subsidiary of China Investment Corp., agreed to extend the deadline for an agreement until June 30.

The four parties (See Footnote) signed a joint development agreement (JDA) in November 2017 to develop the Alaska LNG project, which is estimated to cost $43.4 billion and as designed could export up to 20 million metric tons/year (mmty). A supplemental agreement was signed last September that continued negotiations to the end of 2018. AGDC has pledged to reserve 75% of the project’s LNG production capacity (15 mmty) for Sinopec.

“All of the parties realized that they needed a little more time to reach the final agreements,” AGDC spokesman Jesse Carlstrom told NGI. “They agreed to extend the deadline.”  READ PASSUT’S FULL STORY HERE.  –  More here: Generate  Alaska gives Chinese firms ….

(The “four parties” include Chinese government controlled officials along with temporarily employed Alaskan officials controlled by temporarily-elected politicians.  -dh)

Pedro van Meurs (l). Northern Gas Pipelines photo with publisher (r)

Our friend, Pedro van Meurs, invites readers to be updated on changing world fiscal systems!

Significant changes have occurred in world fiscal systems for oil and gas during the last three years.   These changes will be reviewed during my well-known course World Fiscal Systems for Oil and Gas, which is scheduled to take place again this year in Singapore during the week March 11-14, 2019.

The course provides an overview of all fiscal terms and conditions for oil and gas licenses, leases, concessions, PSCs, risk service and profit-sharing contracts around the world, including detailed analysis of economic results and government take.

New fiscal systems, concepts or practices were introduced in many countries, such as in Brazil, Cameroon, Ecuador, India, Indonesia, Iraq, Ireland, Kazakhstan, Kenya, Lebanon, Mexico, Mozambique, Russia, Sao Tome & Principe, Thailand, the United Kingdom and United States.  Nigeria has introduced a new Petroleum Industry Fiscal Bill.

The results of all these changes is a rather different international competitive framework for upstream operations.  Our new worldwide investor attractiveness rating of more than 760 fiscal systems of 163 countries shows a very interesting shift in worldwide competition among countries for upstream investment.  This will have a significant impact on where upstream capital is allocated.

I would be grateful if you could recommend participants for this course.

The course is computer interactive. Please click here for the course program and other course information.  If you have trouble with the link, please visit our website www.vanmeursenergy.com 

If you need any further information please contact us.

Best regards,
Pedro van Meurs
President, Van Meurs Corporation
Phone + 507 393 2467
Email: info@vanmeursenergy.com



“If FLNG someday provides a way to monetize Alaska North Slope gas it will be because the private sector determines it to be feasible and worthy of investor risk. Alaska’s current, ANS gas pipeline/LNG project is an infeasible, government-owned disaster.” -dh   NorthernGasPipelines added,

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About the Author:

Dave Harbour, publisher of Northern Gas Pipelines, is a former Chairman of the Regulatory Commission of Alaska, a Commissioner Emeritus of NARUC, NARUC's Official Representative to IOGCC and Vice Chairman of NARUC's Gas Committee. He served as Gas Committee Chairman of the Western Conference of Public Service Commissioners. He also served as commissioner of the Anchorage Bicentennial Commission and the Anchorage Heritage Land Bank Commission.He earned a Bachelor of Arts Degree: English, at Colorado State University, a Master of Science Degree: Communications-Journalism at Murray State University and graduated from Utility Regulatory School for Commissioners at Michigan State University. He served as a Vice President for Communications and Public Affairs at Alaska Pacific University, taught bank marketing classes at the University of Alaska and was an English teacher at Los Alamos High School.Harbour served in ranks of Private - Captain during a 4-year assignment with the Army in Korea, Idaho, Georgia and Fort Meade and received the Meritorious Service Medal among other commendations.Harbour is also a past Chairman of the Alaska Council on Economic Education, the Alaska Oil & Gas Association Government Affairs Committee, the Anchorage Chamber of Commerce, the Export Council of Alaska and the Department of Commerce's District Export Council. He is a past President of the Alaska Press Club, American Bald Eagle Foundation, Consumer Energy Alliance-Alaska and Common Sense for Alaska.Harbour was instrumental in founding the American Bald Eagle Research Institute (UAS), the Alaska Support Industry Alliance, the Downtown Anchorage Business Partnership, and Arctic Power.He also served as CEO of several small Alaska organizations, including the Anchorage Parking Authority and Action Security, Inc. Harbour is also Chairman Emeritus of the Alaska Oil & Gas Congress.Harbour's wife, Nancy, is a professional, performing arts administrator and his three boys, Todd, Benjamin and William work in the fields of environmental management, energy marketing and medicine.