NGS’ NG/LNG SNAPSHOT May 16-31, 2026
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City Gas Distribution & Auto LPG
Around 7.99 lakh PNG connections gasified since March 2026: Govt
New Delhi: The Government on Monday said around 7.99 lakh piped natural gas (PNG) connections have been gasified since March 2026, while infrastructure has been created for an additional 2.87 lakh connections, taking the total number of PNG connections to 10.86 lakh amid efforts to strengthen cleaner fuel access across the country.
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The update was shared during a media briefing held at the National Media Centre as the government continued monitoring the evolving situation in West Asia and its possible impact on fuel availability and energy security.
“Since March 2026, about 7.99 Lakh PNG connections have been gasified and infrastructure has been created for additional 2.87 Lakh connections, taking the total to 10.86 lakh connections,” the Ministry of Petroleum & Natural Gas said.
“Further, about 8.27 Lakh customers have been registered for new connections,” the ministry added.
The government said domestic PNG consumers and CNG transport users are currently receiving 100 per cent gas supplies on priority basis.
Gas supply to industrial and commercial sectors, including through city gas distribution (CGD) networks, has also been enhanced up to 80 per cent.
To reduce dependence on commercial LPG, CGD entities have been advised to prioritise PNG connections for commercial establishments such as hotels, restaurants and canteens across all geographical areas.
The Centre has also asked states, Union Territories and central ministries to expedite approvals required for expansion of CGD infrastructure. According to the government, 22 states and Union Territories are already receiving additional commercial LPG allocation linked to PNG expansion reforms.
The ministry said the government had earlier offered an additional 10 per cent allocation of commercial LPG to states willing to support the long-term transition from LPG to PNG.
In a major policy move, the government notified the Natural Gas and Petroleum Products Distribution Order, 2026 under the Essential Commodities Act on March 24, 2026.
The order aims to provide a streamlined and time-bound framework for laying and expanding pipelines across the country by addressing delays related to approvals and land access.
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Piped gas lights stoves in Annapurna temple food court
Varanasi: Finally piped natural gas (PNG) supply line reached the kitchens of Annakshetras (food courts) run by Shri Annapurna Annakshetra Trust on Sunday. GAIL had earlier charged kitchen of the Annakshetra of the Kashi Vishwanath temple on Apr 17. Former UP minister and City South MLA Neelkanth Tiwari, GAIL’s executive director H K Garg and Annapurna temple’s Mahant Shankar Puri jointly inaugurated the service and switched on the stoves to mark beginning of PNG service at Unit 1 and Unit 2 kitchens of the Annakshetra.
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Tiwari termed the launch of PNG service at Annapurna temple’s food court as a major achievement, benefiting thousands of pilgrims, sadhus and others who receive prasad here daily. With the commencement of PNG service, there will be no disruption — neither now nor in the future — in the distribution of prasad. He congratulated all GAIL officials for making the initiative a success.
Garg said this was a significant step towards ensuring availability of clean and affordable energy by GAIL under the Varanasi City Gas Distribution project. Previously, approximately 600 LPG cylinders (300 each) were being used every month in Unit 1 and Unit 2 of the Annakshetra kitchen, he said. “Following launch of PNG service, the cylinders will be sent to other locations as required”, he said, reiterating that GAIL continues to work towards delivering clean energy to various areas across the city and district.
Mahant congratulated the GAIL India team for succeeding in meeting the challenge of bringing the piped gas even through the narrow lanes of Kashi. GAIL swiftly commenced PNG gas supply, and the entire unit deserves commendation for this achievement, he added.
Since the launch of the ambitious PNG project by Prime Minister Narendra Modi in Jul 2018, extending the network to the oldest parts of Varanasi had not been priority in the original plan of the project. Despite the LPG crisis triggered by disruptions in the Strait of Hormuz, no major hue and cry for LPG cylinders remained evident in Varanasi since rationing of LPG had begun by Feb-end.
However, the city came to limelight when the Annapurna Temple decide to stop using LPG cylinders once stock emptied on Mar 14. Acting promptly, district magistrate Satyendra Kumar asked civil supply officials to ensure supply of LPG cylinders to this temple’s kitchen, and also to ensured availability of LPG was not disrupted at mutts, temples, ashrams, gurukuls, residential universities, colleges, hospitals, orphanages, old age homes and other places.
State govt, administration and GAIL were bound to rethink their plans regarding old Kashi. GAIL embraced the challenging task of laying pipelines in old Kashi, an area known for its maze of narrow, serpentine and congested lanes.
On Apr 17, PNG made its way into old Kashi when stoves of Annakshetra (food court) of the Kashi Vishwanath were lit with PNG. On the same day GAIL’s general manager (Varanasi) Sushil Kumar had mentioned that PNG supply line will be expanding to Annapurna Temple’s Annakshetra and Manikarnika route soon.
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Over 100 residents turn up for mega PNG camp in Sion
Mumbai: A mega piped natural gas (PNG) registration camp organised by Mahanagar Gas Limited (MGL) at Mumbai Public School in Sion on Sunday saw more than 100 residents apply for household PNG connections, amid a citywide push to shift consumers from LPG cylinders to PNG where infrastructure is available.
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Officials at the camp said most applicants were from buildings that still do not have PNG infrastructure. Nearly 90% of registrations came from “non-gasified” buildings, while the rest were from societies where PNG pipelines already exist but individual households are yet to switch.
Muruganantham Yadav, 59, a driver from Pratiksha Nagar, said his 112-flat building is still waiting for a PNG connection. “This is good, especially in light of the recent LPG crisis. Having a PNG connection would ensure we are not affected; switching the entire city to PNG wherever possible would lessen our reliance on LPG. It is the need of the hour,” he said.
The camp comes after the Ministry of Petroleum and Natural Gas issued a directive on March 24 asking citizens to move to PNG wherever connectivity exists, warning that LPG connections could be discontinued within three months if households fail to shift. The move also ties in with the Maharashtra government’s push for PNG expansion and the BMC’s efforts to fast-track trenching permissions for pipeline work.
Residents were required to fill out detailed application forms, following which officials checked whether their buildings fell within MGL’s GIS-based serviceable network. Officials clarified that each household must apply separately even if the society has already been connected to PNG.
Applications are currently being accepted only in areas where infrastructure is already in place. “Wherever there is no pipeline infrastructure feasibility, applications are not being accepted,” an official said, adding that slum pockets are currently excluded, though some clusters are under consideration.
Resident Avinash Satpute, 43, said the shift was being driven by affordability and convenience. “We have heard that PNG is cheaper than LPG and wanted to try it. The post-paid meter system also seems better because unlike LPG cylinders, you do not have to pay in advance,” he said.
Another resident, Arvind Ghadi, 48, said the kitchen meter system makes it easier to monitor consumption and expenses. “It is also cleaner and more sustainable,” he said.
Nanda Patsupe, 46, said local corporator Ramdas Kamble organised the camp after several residents struggled to coordinate registrations individually.
Kamble told HT that residents had repeatedly approached him for help in securing PNG connections, which led him to bring officials from MGL and residents at one place so the issue gets resolved faster.
Many residents also enquired about revised PNG tariffs. Officials informed applicants that domestic PNG currently costs ₹51.50 per unit. Officials also clarified that registration and other related charges will be added to consumers’ first bills instead of being collected immediately.
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GAIL Gas Signs Industrial PNG Supply Agreement with SAIL’s Rourkela Steel Plant
GAIL Gas Limited signs Gas Sale Agreement with SAIL’s Rourkela Steel Plant for supply of Industrial PNG, strengthening India’s gas-based economy and cleaner energy adoption. New Delhi: GAIL Gas Limited has executed a Gas Sale Agreement (GSA) with the Steel Authority of India Limited for the supply of Industrial Piped Natural Gas (PNG) to the Rourkela Steel Plant, marking another step toward advancing India’s gas-based economy.
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The agreement was signed by Shri M. Zafar Khan, Chief General Manager – Marketing, GAIL Gas Limited, and Shri U.K. Bhujabal, General Manager – Operations at Rourkela Steel Plant, in the presence of Shri Anil Kumar, Executive Director – Materials Management. The partnership aims to strengthen the use of cleaner fuel alternatives in steel manufacturing operations.
Under the agreement, GAIL Gas will supply Industrial PNG at a Daily Nominated Quantity (DNQ) of 8,000 SCMD. The gas will be used for iron fabrication processes at the Rourkela Steel Plant, enabling improved operational efficiency and reduced carbon emissions.
The collaboration reflects the growing momentum of natural gas adoption in energy-intensive industries. By shifting towards cleaner fuel, the initiative is expected to support sustainability goals, reduce environmental impact, and contribute to the development of a more efficient and eco-friendly industrial ecosystem in Rourkela.
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Gujarat adds 85k new PNG connections
Amid the ongoing West Asia war and energy crisis, more than 85,000 new domestic PNG connections and over 1,100 commercial connections have been issued across Gujarat, Minister and government spokesperson Jitu Vaghani said on Wednesday. Briefing the media after the Cabinet meeting, he said Chief Minister Bhupendra Patel reviewed the availability of commercial and PNG gas in the state, along with the status of new connections.
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According to Vaghani, Gujarat Energy Ltd (GEL) alone provided around 40,000 new domestic PNG connections and restored nearly 13,000 disconnected connections between March 1 and March 17. The company also issued 500 new commercial gas connections during the period. The government has also prioritised gas supply to public-service institutions, including hospitals, hostels, schools, colleges and factory canteens.
Vaghani said GEL provided gas connections to 110 such institutions, while other city gas companies covered an additional 225 establishments.
Referring to Morbi’s ceramic industry, Vaghani said the sector — considered a key contributor to the country’s manufacturing landscape — witnessed a strong revival due to the state government’s timely intervention amid the international crisis.
He noted that during the second half of March, rising raw material prices and higher transportation costs had forced several ceramic manufacturers in Morbi to voluntarily suspend operations. As of March 31, only 83 factories were operational.
However, following intervention by the state government and GEL, the situation improved rapidly. Within one-and-a-half months, more than 670 factories resumed operations. At present, around 865 industrial units in Morbi are connected to GEL’s gas pipeline network.
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Gujarat Adds 85,000 Domestic PNG Connections Amid West Asia Crisis
Gandhinagar: The Gujarat government has accelerated efforts to ensure uninterrupted gas supply and provide new domestic PNG connections amid the ongoing global crisis, with more than 85,000 new domestic PNG connections and over 1,100 commercial connections being issued across the state, Minister and government spokesperson Jitubhai Vaghani said on Wednesday.
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The announcement was made after a State Cabinet meeting held in Gandhinagar under the chairmanship of Chief Minister Bhupendra Patel. During the meeting, the Chief Minister reviewed the availability of commercial and PNG gas in the state, along with the status of new connections.
Addressing the media after the Cabinet meeting, Vaghani said the state government acted swiftly to ensure easy access to D-PNG gas for domestic consumers despite global challenges affecting energy supply.
He said Gujarat Energy Ltd. (GEL) alone provided around 40,000 new D-PNG gas connections and restored nearly 13,000 disconnected connections between March 1 and March 17. In addition, the company also provided 500 new commercial gas connections during the period.
Speaking about the statewide situation, the Minister said Gujarat Energy Ltd. and other city gas distribution companies operating in the state have together issued nearly 85,000 domestic PNG connections and more than 1,100 commercial connections.
The government has also prioritized gas supply for public-service institutions, including hospitals, hostels, schools, colleges, and factory canteens. According to Vaghani, GEL has provided gas connections to 110 such institutions, while other city gas companies have covered an additional 225 establishments.
Referring to Morbi’s ceramic sector, Vaghani said the industry, considered a major contributor to the country’s manufacturing landscape, has witnessed a revival due to the state government’s timely decisions and interventions amid the international crisis.
He noted that during the second half of March, rising raw material prices and increased transportation costs forced many ceramic manufacturers in Morbi to voluntarily halt operations. As a result, only 83 factories remained operational as of March 31.
However, with intervention by the state government and GEL, the situation improved rapidly. Within one-and-a-half months, more than 670 factories resumed operations. Currently, around 865 industrial units in Morbi are connected to GEL’s gas pipeline network.
The Minister further said that, following directions from the Government of India, GEL procured natural gas from markets outside the Middle East to ensure an uninterrupted supply amid the prevailing geopolitical situation.
He added that GEL also held discussions with the Morbi Ceramic Association and assured industry stakeholders of stable gas prices for May, which helped restore confidence and enabled industrial activity to resume across the region. DeshGujarat
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Natural Gas/ Pipelines/ Company News
Rourkela steel plant signs deal with GAIL for uninterrupted PNG supply
Amid supply disruptions triggered by the West Asia crisis, Rourkela Steel Plant (RSP) of Steel Authority of India Limited (SAIL) has moved to diversify its energy sources by collaborating with Gas Authority of India Limited (GAIL) for the supply of piped natural gas (PNG). Officials said RSP has signed a five-year agreement with GAIL to ensure uninterrupted availability of an alternative fuel source for critical steel manufacturing operations at the integrated steel plant.
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As part of the arrangement, GAIL will facilitate laying the required pipeline infrastructure to supply PNG to the steel plant. The decision assumes significance as RSP has been facing difficulties in sourcing propane gas following disruptions in supply chains linked to the conflict in West Asia.
The deal with GAIL will help strengthen the steel plant’s energy security and reduce its dependence on propane gas, which is widely used in various industrial processes. It will also enhance operational reliability and efficiency in production.
Officials said the transition to natural gas will provide multiple long-term benefits, including cleaner fuel usage, better energy efficiency, lower carbon emissions and improved cost optimisation.
“The steel plant requires 180 tonnes to 200 tonnes of propane every month. Since there are supply constraints, we have planned to completely switch over to PNG in the next three months. PNG is cheaper and safer also,” said Archana Satpathy, PRO of RSP.
The move also aligns with RSP’s broader sustainability and green manufacturing initiatives. The availability of a stable and environment-friendly fuel source would be particularly beneficial for operations in the oxygen plant and utility services, which are crucial to modern steelmaking.
The latest initiative comes months after RSP adopted emergency measures to tackle shortages of propane caused by the international crisis. The plant had switched to acetylene as an alternative fuel for slab-cutting operations to maintain uninterrupted production.
Under that arrangement, RSP commissioned a dissolved acetylene cylinder bank in its steel melting shop-II to operate the transverse torch-cutting machine. Uninterrupted slab cutting and continuous feeding of slabs to the finishing mills are essential for sustaining steel production and avoiding disruptions in downstream operations.
Plant authorities said oxygen and other industrial gases form the backbone of modern steelmaking processes and are extensively used in converters, continuous casting, cutting operations and utility services. Different units of RSP also generate industrial gases as by-products, which are consumed internally while surplus quantities are sold to external agencies.
In 2025-26, RSP earned substantial revenue from the sale of liquid industrial gases. The plant sold 712 tonnes of liquid argon, generating around Rs 3.62 crore in revenue. Besides, the sale of 419 tonnes of liquid nitrogen also fetched approximately Rs 11.75 lakh.
In another significant technical accomplishment, the wet air inlet valve of molecular sieve bed-A in air separation unit (ASU-III) was replaced for the first time using in-house resources, ensuring quicker turnaround time for critical maintenance.
Officials believe the shift towards PNG and diversification of fuel sources will help RSP insulate itself from future geopolitical disruptions while supporting efficient and sustainable steel production.
Last month, RSP had taken proactive measures to optimise resource utilisation and ensure uninterrupted operations in Steel Melting Shop-II (SMS-II) in view of the recent shortage of propane.
The submerged entry nozzle (SEN) heating, being a critical activity for the continuous running of caster machines, traditionally relied on propane. But to address the supply constraints and reduce propane consumption, the SMS-II collective converted the SEN heating facilities of Caster-I, II and III from propane to mixed gas.
All necessary arrangements and infrastructure for the conversion were made operational using in-house expertise and available resources, demonstrating the plant’s strong technical capability and commitment to operational excellence.
“This innovative step is expected to significantly reduce dependency on propane while ensuring smooth and continuous caster operations,” the company said in a statement.
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Oman To Gujarat: India Fast-Tracks Deep-Sea Gas Pipeline Project Amid Hormuz Crisis
Amid rising concerns over tensions in the Strait of Hormuz, India is accelerating efforts to secure uninterrupted natural gas supplies through a proposed subsea pipeline connecting Oman to India. The project, estimated to cost around Rs 40,000 crore, is being revisited as part of the government’s broader push to strengthen long-term energy security and reduce dependence on vulnerable maritime trade routes.
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Officials said the pipeline could take five to seven years to complete if approved. India’s natural gas demand is expected to rise sharply by 2030, with LNG imports projected to increase significantly. The petroleum ministry is likely to ask state-run firms including GAIL, Engineers India and Indian Oil Corporation to conduct a detailed feasibility study. If the findings are favourable, India and Oman may begin formal discussions on gas supply, financing and project execution.
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ONGC yet to take control of Cambay Block as Vedanta challenges government move
State-owned Oil and Natural Gas Corporation (ONGC) has yet to take operational control of the Cambay basin block CB-OS-02 in Gujarat, after Vedanta challenged the government’s decision not to extend the block’s contract term. The Ministry of Petroleum and Natural Gas, through a September 19, 2025, directive, rejected an extension of the contract for the block, in which ONGC holds a 50 per cent participating interest, Vedanta holds 40 per cent, and Invenire Petrodyne Ltd holds 10 per cent.
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Following the government’s decision, ONGC said it was instructed to immediately take over operations of the block and deployed an operational team to Suvali in Gujarat from September 20, 2025. However, the company said Vedanta has not yet handed over operations.
“Pursuant to the Government of India directive, ONGC requested Vedanta for the immediate handover and deployed its operational team at Suvali, Gujarat, from September 20, 2025. However, Vedanta has not yet handed over the operations,” ONGC said in notes to its FY26 earnings statement.
According to ONGC, Vedanta filed a writ petition before the Delhi High Court on September 22, 2025, challenging the said rejection of the extension of the terms of the contract.
“The court asked the respondents to file their responses/ counter affidavits and directed them to maintain the status quo in the matter. Further, all the hearings have been completed on May 18, 2026, and the matter has been reserved for order by the court,” it said.
“Pending the outcome of the proceedings, Vedanta continues to act as the operator for the block,” ONGC said. “The company remains in preparedness to assume operational control of the block as and when directed by the Government of India.”
“The courts have ordered the parties to maintain the status quo. We cannot comment beyond this as the matter is sub-judice,” a Vedanta Cairn spokesperson said.
Vedanta Cairn Oil and Gas, a unit of Mumbai-listed Vedanta Ltd, was the operator of the Gujarat offshore block CB-OS/2 with a 40 per cent stake. The Ministry of Petroleum and Natural Gas has, in a September 19, 2025, letter, informed the partners that the application to extend the production sharing contract (PSC) for CB-OS/2 has not been accepted.
While no reasons were stated for the move, ONGC was asked to take over the operations in the interim period.
PSC is an agreement between the government and a resource extraction company. It gives the company a time-specified right to explore, develop and produce resources in exchange for a pre-agreed share of the produced output (known as profit petroleum) once costs are recovered.
The CB-OS/2 block, which holds the Lakshmi and Gauri fields and produces about 3,400 barrels of oil per day and 3.4 lakh standard cubic metres of gas per day, was one of the three properties operated by Cairn India when billionaire Anil Agarwal’s group acquired the firm in 2011 for $8.67 billion.
The other assets of Cairn India were the Barmer oil fields in Rajasthan and the Ravva oil and gas fields in the Krishna Godavari basin off the Andhra coast.
Cairn India was merged with Vedanta Ltd in 2017.
A spokesperson of Vedanta Cairn Oil & Gas had in September last year stated that the block contributed less than 0.3 per cent to the overall EBITDA of Vedanta.
The PSC for CB-OS/2 block was signed on August 30, 1998, and the contract expired on June 30, 2023. The Vedanta-led consortium continued to operate the block during the pendency of its application for extension of the PSC.
After the PSC extension was rejected, the block had to return to the government.
Prior to the denial of extension for CB-OS/2, the government had extended the contracts for Vedanta Cairn’s two other blocks – a 10-year PSC extension was approved for the Rajasthan block RJ-ON-90/1 till May 14, 2030, and a similar period was given for the PKGM-1 block, more commonly known as the Ravva field, till October 27, 2029.
According to a DeGolyer and MacNaughton reserve report commissioned by Vedanta Cairn in 2019, CB-OS/2 block’s two discoveries, Gauri and Lakshmi, held in-place reserves of 13.6 million barrels of oil and oil equivalent gas.
While the block PSC expired, Vedanta Cairn had pressed ahead with its development plan for the discoveries in the 3,314 square km shallow water block.
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Oil India makes new gas discovery in Rajasthan’s Dandewala field
New Delhi: Oil India Limited (OIL) has announced a significant gas discovery in its nominated Dandewala Field in Rajasthan on Friday, marking a key development in the company’s upstream exploration efforts. According to the company, the well recorded an average inflow of around 25,000 Standard Cubic Metres per Day (SCMD) of natural gas from a depth of approximately 950 metres, indicating encouraging deliverability and hydrocarbon potential in the region.
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The discovery assumes added significance as it marks the first successful establishment of gas presence in the shallower Sanu Formation within the Dandewala Field. OIL said the breakthrough validates its strategy of reassessing subsurface potential through focused technical interventions and a “missed opportunities” approach.
Preliminary estimates based on structural control, petrophysical evaluation and subsurface studies indicate Gas In Place (GIP) resources of nearly 75 Million Standard Cubic Metres (MMSCM).
The company noted that the development has substantially enhanced the overall prospectivity of the Dandewala Field and is expected to support future appraisal and development activities aimed at scaling up resource potential and production from the field.
The latest discovery is also expected to strengthen OIL’s exploration portfolio in western India while contributing to the country’s broader objective of enhancing domestic natural gas production and energy security.
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Pune: PCMC and MNGL Spearhead PNG Drive in Pimpri-Chinchwad; Housing Societies Demand Overdue ‘Green’ Tax Rebates
Pimpri Chinchwad, 20th May 2026: In a major push to accelerate the transition from Liquefied Petroleum Gas (LPG) to Piped Natural Gas (PNG) across local households, the Pimpri Chinchwad Municipal Corporation (PCMC) and Maharashtra Natural Gas Limited (MNGL) convened a high-level joint meeting with the Pimpri Chinchwad Cooperative Housing Societies Federation (PCCHSF) on Wednesday.
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Held at the Auto Cluster Video Conference Hall, the session highlighted the national economic imperatives of the gasification drive while bringing to the forefront simmering grievances from local housing societies over unfulfilled property tax rebates for green initiatives.
A Strategic Push for Energy Security PCMC Commissioner Vijay Suryavanshi and the General Manager of MNGL detailed the overarching national vision behind the aggressive PNG rollout. Aligning with the Prime Minister’s mandate for energy security, the initiative aims to reduce India’s heavy reliance on imported fuel from Gulf countries. Officials noted that curbing bulk LPG imports will protect the nation’s vital foreign exchange reserves and insulate the economy from geopolitical volatility.
While the upfront infrastructure for a PNG connection requires a capital expenditure of ₹26,000, MNGL officials emphasized that the long-term economic and environmental dividends for consumers are substantial. To expedite the process, MNGL has introduced a streamlined digital onboarding portal and is encouraging “Inter-Society Infrastructure Sharing.” This approach urges neighboring residential complexes to grant internal right-of-way permissions for pipeline routing, thereby minimizing road-cutting disruptions on main roads.
Collaborative Solutions to Infrastructure Bottlenecks To address legacy delays and speed up deployments, authorities announced the formation of a Joint Coordination Group comprising representatives from PCMC, MNGL, and the PCCHSF.
During the discussions, MNGL management acknowledged a severe shortage of certified technical labor—specifically plumbers trained in copper and brass pipeline installations—which has significantly slowed rollout speeds. In a pragmatic move, PCCHSF Director Vaibhav Choudhary proposed leveraging the local workforce by sourcing skilled pipe-fitters from commercial air conditioning vendor networks. Choudhary has committed to bridging the operational dialogue between MNGL and these vendors to resolve the labor crunch.
Additionally, PCCHSF President Sachin Londhe proposed that the municipal corporation formally mandate piped gas systems as a standard blueprint amenity for all upcoming real estate project sanctions.
Federation Confronts PCMC Over ‘Green’ Tax Rebates While the agenda was centered on PNG expansion, the dais was opened to address pending civic grievances, leading the Federation to directly confront the PCMC administration regarding unfulfilled statutory incentives.
Federation leaders expressed intense dissatisfaction over the civic body’s failure to honor tax concessions for environmentally conscious societies. Over the past few years, numerous housing complexes have spent lakhs of rupees implementing green projects—such as Solid Waste Management (SWM) plants, Solar Power installations, Sewage Treatment Plants (STP), and EV Charging stations—encouraged by PCMC promotional campaigns. Despite these self-funded civic contributions, the compliant societies have received zero tax relief and continue to face heavy property tax bills alongside inadequate municipal water supplies.
Acknowledging the validity of the Federation’s criticism, Commissioner Suryavanshi took immediate action. He directed the PCCHSF to submit a definitive, audited list of all housing societies that have fully deployed these green initiatives, guaranteeing that the municipal administration will review the documentation to fast-track and resolve the pending property tax rebate disputes.
Next Steps The meeting concluded with a conditional pledge of cooperation from the PCCHSF. The Federation stated it would provide its full support and mobilization capabilities to achieve maximum gasification across local households, recognizing the national economic importance of the mission.
However, they explicitly noted that this ongoing support is directly tied to PCMC’s commitment to accelerating pending PNG installations and rectifying the long-overdue property tax rebate rollouts.
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PCMC eyes ‘LPG-free city’ tag, pushes housing societies to adopt piped natural gas
PUNE: PCMC eyes ‘LPG-free city’ tag, pushes housing societies to adopt piped natural gas
In an ambitious push for clean energy, the Pimpri-Chinchwad Municipal Corporation (PCMC) has set its sights on transforming Pimpri-Chinchwad into the country’s first ‘LPG-free city’ by encouraging households to transition from LPG (liquefied petroleum gas) cylinders to piped natural gas (PNG); officials said on Thursday. The move comes as the civic body tries to: reduce dependence on traditional LPG cylinders and promote continuous, pipeline-based gas supply as a modern urban utility.
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The proposal was discussed at a meeting convened by the civic body on Wednesday with representatives of housing societies, the cooperation department and Maharashtra Natural Gas Limited (MNGL), as the administration sought to build consensus around the wider adoption of domestic piped gas connections.
Chairing the meeting, Pimpri-Chinchwad municipal commissioner Vijay Suryawanshi said that the city must move towards cleaner, safer and more sustainable fuel systems in line with national goals on energy conservation and environmentally-responsible urban development. “Many Indian cities have successfully adopted domestic piped gas systems, and citizens have responded positively. Pimpri-Chinchwad should work towards becoming the first LPG-free city in the country. This will require joint effort by housing societies, MNGL and citizens,” Suryawanshi said.
While piped natural gas eliminates the need for cylinder storage, ensures uninterrupted supply, reduces handling-related risks, and offers environmental advantages over conventional fuel systems; the civic administration acknowledged that despite the infrastructure being available in several residential complexes, actual adoption remains low in many societies due to lack of awareness, hesitation among residents, and unresolved technical concerns.
To address this, the municipal commissioner directed officials to launch a structured public outreach campaign, including social media awareness drives, distribution of information material, training sessions, direct visits to housing societies, and door-to-door engagement with residents. Special focus will be placed on housing societies where MNGL connections have already been installed but are not being actively used.
Suryawanshi also suggested that the MNGL appoint dedicated coordination officers to address the residents’ concerns regarding safety, technical issues, billing and connection procedures, allowing faster resolution and improving consumer confidence. Housing society office-bearers, including chairpersons and secretaries, have been asked to take the lead in encouraging residents to shift to the system.
During the meeting, senior MNGL officials gave a detailed presentation on the functioning of the domestic piped gas network, services available through the company’s app, safety protocols, customer facilities and the financial aspects of adoption. Additional commissioner Vikrant Bagade, chief engineer Pramod Ombhase, deputy commissioner Anna Bodade, officials from the cooperative department, and MNGL managing director Shankar Kumar were among those present.
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Policy Matters/ Gas Pricing/ Others
Maha: Govt sets June 30 deadline for PNG switch
Mumbai, May 20 (UNI) Amidst severe fuel crisis facing Maharashtra that has left numerous fuel pumps dry and created panic among the public, the Maharashtra government has issued a strict mandate for urban areas where piped natural gas infrastructure exists, setting June 30 as deadline for PNG switch, in a bid to conserve liquid fuel and manage the crisis on a war footing. While petrol and diesel stocks are critical, the state possesses an abundant reserve of kerosene (ration oil).
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Special officers have been appointed to rebuild the broken distribution network and allow free-of-cost kerosene distribution to affected citizens.
Approvals for laying domestic gas pipelines will now receive automatic clearance within 24 hours. Furthermore, builders will no longer receive an Occupation Certificate (OC) for new constructions unless PNG lines are pre planned. Prime Minister Narendra Modi is actively negotiating with alternative oil-producing nations to secure emergency shipments and stabilize the supply chain.
The crisis has triggered a massive political showdown in the state.
Nationalist Congress Party (SP) MP Supriya Sule expressed deep concern over the escalating public distress and long queues at fuel stations, calling out the administration for a lack of transparency.
Targeting the ruling Mahayuti alliance, Ms Sule demanded an immediate official statement from Chief Minister Devendra Fadnavis.
“The government states we only have a month’s worth of fuel left. What happens after 30 days? The state is facing a massive panic, and there is absolute chaos at the pumps. The Chief Minister himself must step forward and clarify the exact roadmap to resolve this bottleneck,” Ms Sule urged.
UNI SP-AAA SS
https://www.uniindia.com/maha-govt-sets-june-30-deadline-for-png-switch/west/news/3849621.html#
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GAIL, PNGRB and Jharkhand Government Unite to Boost Clean Energy Infrastructure
Ranchi: GAIL (India) Limited and the Petroleum and Natural Gas Regulatory Board (PNGRB) have intensified efforts to accelerate the expansion of Piped Natural Gas (PNG) and Compressed Natural Gas (CNG) infrastructure in Jharkhand. The push came during the CGD Jharkhand Infrastructure Review Meeting hosted by GAIL in Ranchi and chaired by Anjani Kumar Tiwari. The meeting was attended by R. K. Das, all City Gas Distribution (CGD) entities operating in the state, LPG marketing companies, and Prashant Kumar Singh.
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Focus on Faster Domestic PNG Expansion
The high-level review focused on:
Accelerating Domestic PNG (DPNG) connections
Strengthening City Gas Distribution infrastructure
Increasing adoption of cleaner fuels
Reviewing project implementation timelines
CGD operators presented updates on ongoing infrastructure development, PNG connectivity and future rollout plans aligned with the Government of India’s clean energy vision.
During the meeting, Anjani Kumar Tiwari urged operators to increase capital expenditure (CAPEX) and exceed their authorised targets to speed up PNG penetration across the state.
Collaboration with LPG Companies to Promote PNG
Stakeholders also discussed awareness campaigns in partnership with LPG marketing companies to encourage households to shift to PNG in residential areas where pipeline infrastructure has already been commissioned.
The initiative is expected to help consumers transition more smoothly to cleaner and more convenient cooking fuel.
160th Commercial PNG Connection Inaugurated in Ranchi
As part of PNG Drive 2.0, Anjani Kumar Tiwari inaugurated the 160th commercial PNG connection at a food court restaurant in Hatia, Ranchi.
The milestone reflects steady progress in expanding PNG usage among commercial establishments such as restaurants, hotels and small businesses.
Chief Secretary Meeting Focuses on Policy Support
On the sidelines of the review, Tiwari met Avinash Kumar to discuss policy measures aimed at accelerating clean fuel adoption.
Key issues discussed included:
Expansion of PNG and CNG networks
Faster approvals for pipeline infrastructure
Reduction of VAT on PNG and CNG to match neighbouring states
Promotion of CNG-powered vehicles
These measures are expected to improve affordability and speed up implementation.
Visit to GAIL’s Compressed Bio-Gas Plant
Tiwari also visited GAIL’s Compressed Bio-Gas (CBG) plant in Ranchi and praised the company’s efforts in advancing the Waste to Energy initiative.
The facility supports sustainable fuel production and contributes to Jharkhand’s growing clean-energy ecosystem.
Jharkhand’s Clean Energy Push Gains Momentum
The review meeting highlighted a coordinated effort involving regulators, the state government and industry stakeholders to expand access to cleaner fuels.
Officials believe stronger policy support, higher investment and public awareness will enable Jharkhand to make significant progress toward a more sustainable and environmentally friendly energy future.
https://indianmasterminds.com/news/gail-pngrb-push-png-expansion-clean-energy-jharkhand-204699/
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MRPL gets PNGRB nod for ATF pipeline to Bengaluru airport
Mangalore Refinery and Petrochemicals Ltd (MRPL) has received the authorization from the Petroleum and Natural Gas Regulatory Board (PNGRB) for laying, building, operating or expanding petroleum and petroleum product (ATF) pipeline from Devangonthi in Bengaluru to fuel farm stations inside the Kempegowda International Airport in Bengaluru.
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The company informed the stock exchanges on Tuesday that the proposed pipeline will connect Devangonthi to the existing common user fuel farm station and upcoming satellite fuel farm station inside the Kempegowda International Airport in Bengaluru.
It said the system capacity in the petroleum and petroleum product pipeline shall be equal to 2.5 million tonnes per annum.
The company said the project is expected to be executed within 36 months.
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RIL-led consortium stole ONGC share of gas, Government tells Supreme Court
In a dispute with a Reliance Industries Limited-led consortium over gas migration in the Krishna Godavari (KG) basin, located off the Andhra Pradesh coast, the Centre Tuesday accused the consortium of stealing the Oil and Natural Gas Corporation’s share of natural gas. Attorney General R Venkataramani, who appeared for the Centre, told a three-judge bench of Chief Justice of India Surya Kant and Justices Joymalya Bagchi and Vipul M. Pancholi: “There were two blocks. ONGC had a block, they had a block. Gas migrated. You (RIL-led consortium) virtually committed a theft of my gas and you are accountable for that.”
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Venkataramani said this as Senior Advocate A M Singhvi, appearing for the RIL, commenced his arguments on its appeal challenging the February 14, 2025 order of the Delhi High Court order which overturned a 2018 international arbitration tribunal ruling and an order of a High Court single-judge bench in favour of the RIL-led consortium.
Singhvi told the bench about the “huge risk and huge investment” in the project, and said “ONGC did nothing at the time they got” their blocks.
Countering the allegations of gas theft, he said it was only a natural phenomenon due to pressure differences beneath the sea and cannot be termed something done deliberately.
“When you extract by a natural process of pressure, from the nearby sea block, some oil will always flow and migrate. That has nothing to do with voluntariness, deliberation, intent. That becomes a bugbear with them to add it to what they call stolen gas. There is nothing, it is a pressure movement,” Singhvi told the bench.
Justice Bagchi asked, “So no artificial barrier is there between the true definition of blocks right? Only coordinates as per the longitude and latitude.”
Singhvi said there cannot be any such barrier. “No. It cannot be, by definition. It’s not an enclave. The seabed is 2,000 feet below.”
He said the government is the ultimate beneficiary through royalty, taxation etc irrespective of where the gas came from.
The case has its origins in a production-sharing contract (PSC) signed by an RIL-led consortium with the Centre in 2000, securing rights to explore and extract natural gas from the KG basin. The contract covered various entitlements, responsibilities and revenue-sharing arrangements.
The RIL-led consortium commenced commercial production from the assets situated adjacent to ONGC’s Godavari petroleum and mining lease and the KG-DWN-98/2 block, in April, 2009. The RIL then held 60% stake in the relevant KG-D6 block, BP Plc 30% and Niko Resources 10%.
The conflict arose in 2013 when ONGC claimed that RIL had illegally extracted natural gas from its blocks. The state-run company accused RIL of drilling wells near the boundaries of its hydrocarbon blocks which allowed gas to flow from ONGC’s fields to RIL’s KG-D6 block between 2009 and 2013, leading to “unjust enrichment” for the latter.
The government then sought disgorgement from RIL and its partners BP Plc and Niko Resources, demanding around $1.5 billion, and additional $174 million in interest. The RIL invoked the arbitration clause.
In July 2018, the arbitral tribunal ruled in favour of RIL, rejecting the government’s claims and stating that the PSC did not prohibit contractors from extracting and selling gas that had migrated from an external source.
The Centre challenged this in the Delhi High Court where a single-judge bench dismissed it in May 2024. Following an appeal, the High Court division bench set aside the single-judge bench’s order and the arbitral award, saying they were contrary to the settled position of law.
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Piped Natural Gas Mandatory for Temples Offering Annadanam
Vijayawada: Civil supplies minister Nadendla Manohar on Friday announced that Piped Natural Gas connections would be made mandatory for all major temples in Andhra Pradesh where annadanam is conducted. This is as part of the government’s attempts to expand clean and affordable fuel usage across the state. Reviewing PNG expansion works with senior officials and gas company representatives at the secretariat, the minister said the chief minister had directed that every major temple in the state should be brought under PNG coverage.
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Some technical and infrastructure issues, he said, are however, delaying PNG implementation at temples such as the Kanaka Durga temple and the Srikalahasteeswara shrine. These would be resolved in coordination with the endowments department.
He directed the gas companies to speed up the connection works and assured them government support in making alternative arrangements wherever land constraints existed.
The minister said the government was keen on shifting consumers from LPG cylinders to PNG systems in a phased manner and asked the five PNG companies operating in the state to accelerate expansion in cities and towns. He promised quicker approvals for laying of the gas pipelines and setting up of PNG filling stations.
Special awareness campaigns and district-level publicity yatras would be launched to educate people on the benefits of PNG, including safety, uninterrupted supply and reduced expenditure on cooking fuel, he said.
Manohar also stressed linking PNG expansion with employment generation. He said youths from ITIs, polytechnics and other skill institutions would be trained in PNG technical operations through the state skill development corporation. Each district would identify 100 youths every 15 days for week-long training programmes with free boarding, lodging and stipends.
Women’s self-help groups would be involved in spreading awareness on PNG usage through SERP and MEPMA networks. Gas companies were asked to coordinate with DWCRA groups and provide incentives for community-level campaigns.
Manohar further said the government was preparing simplified norms for tenants using PNG connections and said PNG consumers would also receive the Rs 2,400 annual subsidy under the Deepam-2 scheme. ( Source : Deccan Chronicle )
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LNG Use / LNG Development and Shipping
GreenLine emphasises on LNG push in freight sector as fuel security concerns rise
New Delhi, May 21: The conflict in West Asia has again highlighted India’s dependence on diesel imports and the need to scale up various energy options to balance risks. Against this backdrop, LNG is emerging as a near-term bridge fuel for long-haul trucking and a transitional option for heavy-duty transport.
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India’s logistics sector, which contributes nearly 12 per cent to GDP, remains heavily reliant on around 4 million diesel trucks that account for nearly 70 per cent of freight movement, making it a major source of fuel import dependence. With freight demand expected to double over the next five to seven years, alternative fuels are gaining relevance. Diesel accounts for over 40 per cent of India’s refined products demand.
“India’s freight sector will require a robust multi-fuel infrastructure backbone to reduce dependence on imported crude and its products like diesel and ensure energy security. This includes a nationwide network of LNG refuelling stations alongside integrated capabilities for electric vehicle charging and battery swapping. Our focus is on developing this infrastructure along key freight corridors to support the transition in commercial transport,” Maqsood Shaikh, MD & CEO of Ultra Gas & Energy, told businessline.
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GreenLine Fuels ₹1,500 Cr Expansion for 10,000 LNG Trucks in India
GreenLine Mobility Solutions is investing ₹1,500 crore over three years to deploy 10,000 LNG trucks and establish 50 refueling stations. This initiative targets significant diesel reduction, aiming to save India $5-6 billion annually in foreign exchange and lower emissions.
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Green Logistics Shift
GreenLine Mobility Solutions is launching a major expansion, committing ₹1,500 crore to grow its fleet of liquefied natural gas (LNG) powered trucks. Over the next three years, this investment will add 10,000 trucks and establish 50 LNG refueling stations across India. This move directly supports India’s goals to reduce diesel use and lower emissions in the crucial freight sector, aligning with national energy security aims amid global energy market uncertainty.
Economic and Environmental Benefits
GreenLine estimates that switching just 10% of diesel trucks to LNG could save India $5-6 billion annually in foreign exchange. CEO Madhur Taneja noted that LNG trucks offer long-haul operators about 20% lower fuel costs due to better mileage than diesel trucks. Environmentally, these trucks emit roughly 25% less carbon dioxide, 85% less nitrogen oxides (NOx), and 95% less particulate matter than diesel engines.
Operational Network and Capabilities
GreenLine currently operates 1,000 LNG and electric trucks for industries like steel, cement, mining, FMCG, and chemicals. The company plans to expand its existing seven LNG stations to 25 by the end of this year, and reach 50 stations within the next year. GreenLine’s LNG trucks can travel up to 1,200 km on a single fill, extendable to 2,400 km with dual tanks, and carry a higher payload of 40-50 tonnes, addressing range and capacity concerns.
Need for Supportive Policies
Despite long-term operational savings, the higher initial cost of LNG trucks presents a challenge. Taneja suggested that government support, similar to the FAME scheme for electric vehicles, could speed up the adoption of LNG in freight transport. Such policy backing is vital for GreenLine to meet its expansion targets and contribute to India’s green logistics future.
Industry Context
GreenLine’s investment comes as India’s transportation sector increasingly adopts sustainable options. Other logistics firms are also exploring electric and alternative fuels due to regulations and demand for ESG-compliant supply chains. GreenLine’s large-scale LNG commitment positions it as a key player in this developing market. The Indian government’s drive to cut oil imports, which form a large part of the nation’s fuel consumption, provides a favorable environment for these initiatives.
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First India-bound LNG tanker via Strait of Hormuz arrives in Gujarat
A liquefied natural gas (LNG) tanker that crossed the Strait of Hormuz over the weekend arrived at Gujarat’s Dahej on Tuesday, marking the first LNG cargo to reach India from the Persian Gulf in over two-and-a-half months of the strait’s effective closure due to the West Asia war, ship tracking data shows.
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The Liberia-flagged tanker Al Hamra, carrying about 62,000 tonnes of LNG from Abu Dhabi National Oil Company’s (ADNOC) Das Island export facility in the Persian Gulf will be discharging its cargo at Petronet LNG’s Dahej terminal, the largest LNG import terminal in India. As of 2 pm Tuesday, the tanker was stationed at one of the LNG discharge jetties of the Dahej terminal, according to data and visuals from ship tracking and maritime intelligence firm MarineTraffic.
As per trade sources, the cargo belongs to government-owned gas major GAIL. The tanker is owned and operated by an ADNOC arm—ADNOC Logistics and Services—as per global shipping databases. While the cargo is equivalent to about a day’s worth of India’s LNG imports, Al Hamra’s arrival has built hopes of more LNG supplies coming to India from the Persian Gulf, which lies to the west of the Strait of Hormuz.
Trade sources indicated that Al Hamra was not transmitting its location for days by turning off its transponder. In shipping parlance, this behaviour is referred to as “going dark” and is used by vessels to avoid detection. Many of the vessels that have successfully crossed the Strait of Hormuz since early March have done so by going dark for varying periods, with only a few transmitting their location while passing through the chokepoint.
According to commodity market analytics firm Kpler, Al Hamra is one of three LNG tankers that crossed the critical maritime chokepoint over the weekend despite elevated geopolitical risk. The other two tankers—Fuwairit and Al Rayyan—carried QatarEnergy cargoes bound for Pakistan and China, respectively.
In the nearly three months of the West Asia conflict, which began with US-Israeli strikes on Iran, only seven vessels laden with LNG are estimated to have transited the fraught waters of the Strait of Hormuz. While about one-and-a-half dozen liquefied petroleum gas (LPG) and oil tankers have made their way to India from the Persian Gulf since early March, Al Hamra is the first LNG tanker to have arrived from there. New Delhi has been engaged with Tehran to get safe passage for India-bound vessels, particularly energy cargoes.
Vessel movements through the Strait of Hormuz—the narrow waterway between Iran and Oman that connects the Persian Gulf with the Gulf of Oman and the Arabian Sea—are all but halted due the West Asia conflict. The Strait is a major chokepoint for global energy flows, accounting for a fifth of international oil and LNG shipments.
India depends on LNG imports to meet about half of its natural gas requirement, and about 60% of those imports came through the strait, primarily from Qatar and the UAE. The two Gulf countries are major LNG exporters at the global level as well. With hardly any LNG cargoes from the Persian Gulf making their way to India, importers have been scrambling for LNG from alternative geographies amid a global price surge.
India’s LNG imports rebounded a bit in April after faltering in March, as importers turned to suppliers that don’t depend on the Strait of Hormuz to secure emergency spot cargoes. As a result, while not one LNG cargo reached Indian shores in March from the country’s largest supplier Qatar and another major supplier, the UAE, the likes of Oman, Nigeria, Angola, and the United States (US) stepped in to partially bridge the gap.
According to Kpler data, LNG imports in April were 1.95 million tonnes, up from 1.67 million tonnes in March. The country’s 2025 average monthly LNG imports stood at 2.08 million tonnes. On a year-on-year basis, April LNG imports were down 9.3% from 2.15 million tonnes in the year-ago period, which reflects that the supply shock was not fully offset and market conditions remained tight.
In 2025, the average monthly LNG import volumes from Qatar stood at 0.95 million tonnes, followed by imports from the UAE at 0.27 million tonnes. In March-April, the Strait of Hormuz closure meant that just 0.06 million tonnes came from Qatar and 0.13 from the UAE during the two months. These were cargoes that had transited the strait before the West Asia war broke out.
Supplies from Oman, which was the fourth largest supplier of LNG to India in 2025 with an average monthly flow of 0.18 million tonnes, jumped to 1.2 million in March-April, or 0.6 million tonnes a month on average. While Oman is located in West Asia, it has a sizable coastline facing the Arabian Sea and the Gulf of Oman, and doesn’t depend on the Strait of Hormuz for the transit of its cargoes.
Imports from the US, India’s third-largest LNG supplier in 2025, rose to 0.31 million tonnes a month on average in March-April. The average monthly LNG imports from the US in 2025 were at 0.24 million tonnes. Average monthly imports from Nigeria and Angola jumped to 0.41 million tonnes and 0.24 million tonnes in March-April, respectively; the monthly average of imports from the two suppliers in 2025 was 0.14 million tonnes apiece.
The month-over-month growth in LNG imports in April over March was likely due to higher gas use in a few sectors, particularly fertilisers. Following the disruption in LNG supplies due to Strait of Hormuz closure, the government had initially reduced gas allocation to the fertiliser sector to 70% of average consumption over the previous six months. It was part of a larger effort to manage natural gas supplies in order to prioritise the most critical sectors.
But by early April, the allocation to the fertilisers sector was hiked to about 95%, and earlier in May, it was hiked further to about 98%. This has been done to ensure uninterrupted urea production ahead of the crucial Kharif season.
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Electric Mobility/ Hydrogen/Bio-Methane
Ghaziabad to get its first bio-CNG plant, to produce 1,700kg gas daily
Ghaziabad: Ghaziabad Municipal Corporation (GMC) is set to get its first bio-CNG plant at the Dundahera sewage treatment plant, which will produce 1,700 kg of gas every day, enough to fuel over 3,000 households and 350 vehicles. The plant will be set up under a public-private partnership with VA Tech WABAG Limited.
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Dundahera STP, which has the capacity to treat 70 million litres of waste per day, has long been a source of concern for residents of the adjoining Crossings Republik township. The facility traps methane and hydrogen sulphide, which are frequently released into the surrounding air, causing foul odour across the area. The bio-CNG plant will capture these gases and convert them into usable fuel, directly addressing a persistent civic grievance.
“GMC has entered into an agreement with VA Tech WABAG Limited to set up a bio-CNG plant in the city on a PPP mode. It will produce 1,700 kg of CNG per day while reducing harmful gas emissions. This will be the state’s first bio-CNG plant,” municipal commissioner Vikramaditya Singh Malik said.
The plant will be set up on a build-operate-transfer basis, with the company managing operations for 14 years. Revenue from CNG sales will be shared with the GMC. The plant is expected to be operational within a year, Malik said.
Bio-CNG is a renewable fuel produced when microorganisms break down organic matter such as wastewater sludge, food waste, and crop residue in an oxygen-free anaerobic digester, yielding methane with up to 95% purity, compared with conventional CNG extracted from fossil sources.
The project has been in the pipeline since 2022, when the state govt cleared a proposal for bio-CNG plants across Ghaziabad, Gorakhpur, Prayagraj and Lucknow. Chief minister Yogi Adityanath formally announced the initiative in April 2023.
Officials said the plant will cut carbon emissions by an estimated 2,50,000 metric tonnes over its project life. GMC has also registered under the Verified Carbon Standard programme, backed by the UN Framework Convention on Climate Change, enabling it to earn and monetise carbon credits.
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British International, Copenhagen Infrastructure launch renewable energy fund in India
British International Investment (BII), a UK-based development finance institution and impact investor, and Danish global fund manager Copenhagen Infrastructure Partners (CIP) through its Growth Markets Fund II (GMF II), today announced the launch of North Star, a $300 million renewable energy fund in India to support the country’s clean energy transition.
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BII and CIP will each commit up to $150 million, with the platform designed to address the funding gap required to build and scale renewable projects in India.
North Star will invest across solar, wind and hybrid renewable energy as well as storage projects, which are expected to generate more than 4 million MWh of clean energy annually and avoid about 4 million tonnes of carbon emissions each year.
“British Climate Partners is about mobilising institutional capital at scale to accelerate the energy transition in developing Asian economies, including India, where the need and opportunity are greatest. Building on BII’s extensive experience in both energy investing and India, the launch of North Star reflects the country’s strong renewable growth, supportive policy momentum, and the role catalytic capital can play in delivering clean power at pace,” Rohit Anand, MD and Head of Asia Infrastructure, BII, said:
“India is one of the most important renewable energy markets globally. Partnering with British International Investment allows us to build on our existing India investments and combine deep local insight with global investment expertise to accelerate project delivery and support the build-out of renewable energy infrastructure at scale,” Peter Jannik Sjøntoft, Partner in CIP’s Growth Markets Funds, commented.
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SAEL Commissions 600 MW Solar Projects in Andhra Pradesh with INR 3,000 Crore Investment
SAEL has successfully commissioned its 600 MW solar power projects in the state of Andhra Pradesh, pushing towards the state’s renewable energy ambitions in a record 11 months. Andhra Pradesh also holds the reputation of growing reputation as one of India’s fastest growing clean energy destinations.
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Andhra Pradesh Minister for HRD, IT and Electronics and RTG, Nara Lokesh, will formally inaugurate the projects — SAEL Solar MHP1 and SAEL Solar MHP2 — in YSR Kadapa district on May 22, 2026.
Developed with an investment of nearly INR 3,000 crore, the integrated solar facility spans more than 2,400 acres and represents one of the most strategically significant renewable energy investments in Andhra Pradesh in recent years.
The inauguration ceremony will be attended by Andhra Pradesh Energy Minister Gottipati Ravi; District In-Charge Minister S. Savitha; MLA Ch. Adinarayana Reddy; Senior District Officials and SAEL leadership including Co-Founder and Director Sukhbir Singh; Executive Director and CEO Laxit Awla; COO – Solar Projects Khalid Nadeem and President Rocky Gill.
The two 300 MW projects — operated by SAEL Solar MHP1 and SAEL Solar MHP2 have achieved commercial operations earlier this year, with MHP1 commissioned on January 30, 2026, and MHP2 on March 13, 2026.
The facility deploys more than 12 lakh advanced TOPCon bifacial solar modules, a majority of which were assembled at SAEL’s manufacturing facilities in Punjab and Rajasthan, reflecting the company’s integrated manufacturing and execution capabilities.
The clean energy generated from the projects will feed directly into the national grid under a 25-year Power Purchase Agreement with Solar Energy Corporation of India, further reinforcing Andhra Pradesh’s emergence as a major clean energy supplier to the country.
The projects are expected to avoid nearly 11 lakh tonnes of CO₂ emissions annually while also generating significant local economic impact. During construction, more than 1,000 workers were engaged directly and indirectly, with nearly 80 percent drawn from local communities.
The development has also created long-term economic opportunities for farmers in the region through structured land lease arrangements spanning nearly 25 years, providing stable and predictable income streams for rural families.
The projects were executed under SAEL’s integrated EPC and O&M framework and were supported by close coordination with the Government of Andhra Pradesh and local authorities in areas including land-use facilitation, clearances and grid interconnection.
The inauguration assumes significance as Andhra Pradesh accelerates implementation of its Integrated Clean Energy Policy 2024, under which the state aims to attract investments worth INR 10 lakh crore across renewable energy, storage, green hydrogen, transmission and manufacturing ecosystems by 2029.
During the inauguration, Nara Lokesh is expected to highlight Andhra Pradesh’s broader vision of becoming India’s clean energy engine and a major renewable energy exporter through speed-driven industrial execution and investor-friendly governance.
SAEL Industries, one of India’s leading integrated renewable energy companies, currently has a portfolio of 8,299 MWp of contracted and awarded solar and battery storage capacity across India, along with 3,625 MW of solar module assembly capacity and 164.9 MW of agri waste-to-energy operations.
The company is also expected to explore additional investments in Andhra Pradesh, including agri waste-to-energy projects and future renewable energy expansion opportunities.
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EV ambitions meet household economics
As fuel prices rise and concerns over oil imports persist, electric vehicles (EVs) are increasingly being prescribed by policymakers, economists and industry executives as part of the solution. But while a shift to EVs may help reduce fuel consumption at the economy level, the ownership economics for many private vehicle buyers remain less straightforward.
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An April 2026 study by the Centre for Social and Economic Progress (CSEP) found that electric passenger vehicles do not achieve total cost of ownership (TCO) parity with comparable internal combustion engine (ICE) cars within a 10-year ownership cycle for many private users. Consumers, industry observers said, typically make car purchase decisions based on ownership costs and payback periods rather than broader macroeconomic objectives.
For many buyers, the purchase decision begins with upfront cost rather than fuel savings over a decade. Although prices of electric vehicles have moderated in recent years, they continue to carry a premium over comparable petrol-powered vehicles, largely due to battery costs.
Running Costs
The CSEP study found that ownership economics differ sharply based on vehicle usage. The average private user drives around 33 km a day, according to its estimates. Even at current fuel prices, such users could save substantially on annual operating expenses by switching to electric vehicles, but the higher purchase price continues to offset much of that advantage. “The recent hikes will help, but only at the margins,” said Shyamasis Das, fellow at CSEP. “At best, parity timelines may shorten by a few months to a year depending on the kilometres driven daily,” he added.
Industry estimates suggest petrol vehicle running costs are in the range of Rs 7-9 per kilometre, while charging costs for EVs using home charging infrastructure may be around Rs 1-2 per kilometre. But upfront premiums in the range of Rs 4-5 lakh in mass-market segments can extend payback periods beyond the typical ownership cycle of many buyers. The CSEP analysis noted that TCO parity needs to be achieved within the first five years of ownership for EVs to become financially attractive, as many first-time buyers replace vehicles within four to five years.
Commercial Sweet Spot
The economics improve materially at higher utilisation levels. According to the study, when daily vehicle usage rises to around 132 km — closer to commercial vehicle usage patterns — TCO parity between EVs and ICE vehicles can be achieved within the third year of ownership. The gap also narrows as vehicle prices move up the value chain. While mass-market EVs can command substantial premiums over comparable petrol vehicles, the difference reduces in premium and luxury segments, making ownership economics more favourable.
Gaurav Vangaal, associate director, light vehicle forecasting at S&P Global Mobility, said lower battery costs and supply-chain development may ultimately have a larger role in changing EV economics than fuel price movements alone.
“It is battery localisation, maturing supply chains and the launch of lower-cost mass-market electric models that will help bring TCO parity between EVs and ICE vehicles closer,” he said.
The mismatch between broader policy objectives and household economics could remain a key challenge for EV adoption. While reducing oil imports may strengthen the case for electrification at a national level, wider adoption among private buyers may increasingly depend on whether the financial arithmetic works at the household level.
https://www.financialexpress.com/business/news/ev-ambitions-meet-household-economics/4253833/
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INTERNATIONAL NEWS
Natural Gas / Transnational Pipelines/ Others
OMV brings Austria’s largest gas discovery in 40 years onstream
OMV started gas production from the Wittau field in Lower Austria, marking the onstream date of the country’s largest natural gas discovery in four decades. In the first phase of the project, approximately 1 billion standard cu m will be developed, with deliveries planned for winter 2026/27. Total recoverable resources at Wittau are estimated at up to approximately 4.2 billion standard cu m. At full development, the project is expected to double OMV’s gas production in Austria.
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The Wittau field was discovered in 2023, when the Wittau Tief-2a exploration well was drilled to a final depth of 5,000 m over five months. The FID was taken in early 2025.
https://drillingcontractor.org/omv-brings-austrias-largest-gas-discovery-in-40-years-onstream-78320
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Shell engages industry stakeholders on gas adoption
SHELL Nigeria Gas (SNG) recently hosted a business and investment forum in Port Harcourt, Rivers State, Nigeria, bringing together key industry stakeholders to explore opportunities to reduce operating costs, enhance productivity, unlock investment returns, and strengthen competitiveness through the adoption of natural gas.
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The forum coincided with the onboarding of two new industrial customers in Agbara, Ogun State—Intercontinental Distillers Limited II (IDL) and Rumbu Industries Limited—into SNG’s expanding gas distribution network. These additions bring the total number of companies leveraging SNG’s cleaner and more cost-effective energy solutions to over 150, many of whom are already experiencing improved operational efficiency and financial performance.
The event attracted a broad spectrum of participants, including manufacturers, gas users, investors, development agencies, and policymakers. It aimed to promote sustainable economic growth in Rivers State and the wider Niger Delta region by fostering investment and strengthening collaboration across the energy value chain.
Representatives from prominent institutions attended the forum, including the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Bank of Industry, the Rivers State Investment Promotion Agency, the Manufacturers Association of Nigeria (Rivers and Bayelsa chapters), the Port Harcourt Chamber of Commerce, and the Niger Delta Chambers of Commerce, Industry, Trade, Mines and Agriculture.
The keynote address delivered by SNG’s head of Gas Distribution, Chukwuka Amos-Ejesi, on behalf of the managing director, SNG, Ralph Gbobo, highlighted the strategic advantages of natural gas for manufacturer.
“Companies that transition to natural gas consistently benefit from lower and more predictable energy costs, reduced exposure to liquid fuel price volatility, enhanced operational uptime, improved planning certainty, and stronger competitive offering for their customers,” he said. “Our focus is to provide solutions that deliver immediate economic value while supporting long-term growth.”
SNG officials also presented insights into the company’s role within the gas value chain, infrastructure footprint, and ongoing expansion plans, particularly in Rivers State. They highlighted the economic and environmental advantages of natural gas relative to alternative energy sources such as diesel, and outlined emerging investment opportunities in gas distribution, industrial supply, and power generation.
Stakeholders commended SNG for convening the forum, expressing optimism that increased gas adoption could help address longstanding challenges related to energy availability and productivity in the region. Idaere Gogo Ogan, Board Chairman of the Niger Delta Chambers of Commerce, Industry, Trade, Mines and Agriculture, represented by the Board Secretary Chief Solomon Edebiri emphasized the transformative potential of gas, noting that over 500 companies in the Niger Delta have ceased operations in recent years. “Effective utilization of gas can significantly reshape industrial practices and revive business activity in the region,” he stated.
The event also marked the execution of Gas Sales and Purchase Agreements with two customers; Boskel Nigeria Limited and Bluefinn Global Resource Limited in Rivers and Bayelsa State further strengthening SNG’s footprint in the Niger Delta.
Meanwhile, the integration of Intercontinental Distillers Limited II and Rumbu Industries Limited into SNG’s network marks another milestone in the company’s expansion efforts. The gas supply to these facilities is equivalent to approximately 4MW of electricity, enabling increased production efficiency and reduced operating costs.
These developments stem from a collaborative partnership between SNG, NNPC Gas Marketing Limited (NGML), and the Customer. According to Gbobo, “These milestones underscore our commitment to expanding our gas distribution footprint, deepening customer engagement, and supporting Nigeria’s industrial growth.”
Executives from the newly connected companies expressed appreciation for SNG’s role in enhancing their operational capabilities and business performance through reliable and affordable energy supply.
Founded in 1998 as a wholly owned subsidiary of Shell, SNG currently provides gas distribution services to industrial customers across Abia, Bayelsa, Ogun, and Rivers States.
https://realnewsmagazine.net/shell-engages-industry-stakeholders-on-gas-adoption/
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Badawi Reviews Gas Grid Readiness for Summer Electricity Demand
During his visit to the National Advanced Transmission and Automation Center (NATA) at the headquarters of the Egyptian Natural Gas Company (GASCO), Badawi checked the consistency of energy supplies from domestic production, alongside regasification units that inject Egypt’s LNG imports into the national grid, as well as the provision of petroleum fuel required for power stations—supporting supply stability and meeting the needs of electricity generation and the industrial sector.
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Badawi affirmed that operations are being carried out according to proactive scenarios prepared to address any change in consumption rates. This is achieved through continuous coordination and integrated work with Mahmoud Esmat, Minister of Electricity and Renewable Energy, and the teams from both ministries.
The Minister highlighted that last summer’s successful experience, when a record consumption of 40,000 megawatts of electricity was met, demonstrated the importance of early planning and integrated cooperation among state sectors to secure the energy and fuel needs of citizens, as well as service and production sectors.
During the visit, Badawi discussed with Mohamed Marzouk, Chairman of GASCO, the status of operating the national gas grid and preparations for the coming period, particularly with the official start of summer next month.
NATA is a Supervisory Control and Data Acquisition (SCADA) control system, which is used for the management and operation of the national gas network by GASCO. GASCO’s SCADA control system consists of 12 control workstations and a standby control centre in Suez to monitor and assist NATA in managing and operating the national gas network.
https://egyptoil-gas.com/news/badawi-reviews-gas-grid-readiness-for-summer-electricity-demand/
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Australia Urgently ‘Needs a Lot More Gas,’ Energy Executives Say
Australia must invest in producing more natural gas to avoid a domestic shortfall later this decade, fossil fuel executives said. “Our nation needs a lot more gas, and we need it urgently,” Cecile Wake, Shell Pic’s Australia chair, said at the Australia Energy Producers Conference 2026 in Adelaide on Tuesday. “The impact of the conflict in the Middle East on global energy markets has brought into stark focus the world’s dependence on oil and gas.”
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Despite being one of the world’s biggest liquefied natural gas exporters, Australia faces a shortfall on its more densely populated eastern coast toward the end of this decade. To help address the deficit, and to shield domestic consumers from high international prices, the government this month approved a policy that will require producers to set aside a fifth of new production in a move widely opposed by the industry.
The so-called domestic gas reservation scheme will drive prices down for a short period, but will kill Investment and supply, Kevin Gallagher, Santos Ltd.’s chief executive officer, said at the conference.
“I think that the industry needs to get back to attracting that capital into Australia,” he said. “But be under no mistake, it definitely goes where it feels safe.”
In Australia, environmental groups have turned to courts and regulators in an effort to block new production to offset declining output from fields in the southeast. Even at the Adelalde conference, police maintained a heavy presence amid concerns that protests by a few dozen people outside the convention center could escalate.
Activists have for years disrupted the annual general meeting of Woodside Energy Group Ltd., the nation’s biggest LNG shipper. There has also been a public backlash against Australia taxing exporters at significantly lower rates than rivals such as Qatar and Norway, although the government ruled out new levies.
Australia’s self-sufficiency in natural gas means that the country remains insulated from the worst of the current crisis, Shell’s Wake said. The war in the Middle East has cut off about a fifth of the world’s LNG from Qatar and, to a lesser extent, the United Arab Emirates, raising international prices.
“For Australia, the crisis has underscored the enormous advantage that we have in having a strong domestic gas and strong LNG industry,” she said.
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Why India wants a pipeline to Oman
In today’s Finshots, we talk about India’s plan to build a gas pipeline to Oman. But here’s a quick sidenote before we begin. We’re hiring a Content Writer at Ditto Insurance to create high-quality, search-first content that genuinely helps people make better decisions. If you care about strong research, sharp insights, and clear writing, this could be the role for you. Find more details here or share it with someone who’d be a great fit.
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Now onto today’s story.
The Story
If you’ve been following the news or simply paid for a gas cylinder recently, you already know where energy crises eventually show up: your wallet.
And most of us don’t think about it much. We pay a little more for a gas cylinder, cook dinner and move on.
But somewhere between the Gulf and your kitchen sits one of the most important shipping routes in the world: the Strait of Hormuz.
A huge share of the world’s oil and gas trade passes through this narrow stretch of water.
And India in particular is more exposed than most countries. We import most of our crude oil needs and increasingly rely on imported natural gas too. Much of that energy reaches India through shipping routes connected to Hormuz.
Which is why India is now exploring an unusual solution: a ₹40,000 crore subsea pipeline project to bring gas directly from the Gulf.
It sounds almost too good to be true and that’s the appeal of pipelines.
Unlike tankers, pipelines move fuel continuously. They don’t wait for shipping schedules or sit in congested ports. And once built, they can often become cheaper and more predictable over long periods.
At first, this feels obvious. Build a pipe and so you can reduce dependence on tankers.
Except pipelines solve one problem, while creating another.
Because the moment energy starts flowing through a fixed route, geography stops being the only concern and politics enters the room.
Let’s take a step back and think about what a pipeline actually is.
It’s not just steel and welding running through the ground or seabed. It’s a decades-long commitment between countries. While a tanker can change course, switch suppliers, reroute around a conflict, dock somewhere else entirely, a pipeline cannot. Once it’s in the ground or on the seabed, the relationship has to hold for as long as the infrastructure does.
And that’s usually decades. That’s exactly where India has kept running into walls.
For decades, India has looked at ways of bringing energy directly by pipeline.
The most famous example was the proposed Iran–Pakistan–India gas pipeline project.
Had this project gone through fully, Iranian gas would travel overland through Pakistan and into India, creating a long-term energy corridor.
For years, negotiations moved forward. And then reality showed up.
The project had been around for years. Iran and Pakistan first began discussions and India joined later, signing a preliminary agreement with Iran in 1999, and by the mid-2000s it had picked up as all three countries explored what became known as the Peace Pipeline.
But the closer the project got to becoming real, the more difficult the politics became.
India worried about depending on infrastructure that would run through Pakistan for decades and debated how transit charges would be set. Then global politics entered the equation. After the 2008 India–US civil nuclear agreement, pressure and sanctions around Iran intensified. By 2009, India stepped away from the project.
But India didn’t stop believing in pipelines after the Iran project stalled.
It tried again, except this time the route moved north.
In the early 2000s, India joined discussions around the proposed Turkmenistan–Afghanistan–Pakistan–India Pipeline (TAPI). The idea was unique: bring natural gas from Turkmenistan’s giant Galkynysh gas field through Afghanistan and Pakistan into India.
And for a while, it looked real. The four countries signed an agreement in 2010. Construction was formally launched in 2015 with a goal to start gas flows within a few years.
But then the route itself became the problem.
Nearly 800 kilometres of the pipeline would pass through Afghanistan, including regions that spent years dealing with conflict. Again Pakistan–India relations were uncertain. Even today, parts of the project are discussed and built in stages, but the original vision of Turkmen gas reaching Indian homes remains… a pipe dream (pun intended).
And that’s when the pattern becomes hard to ignore:
The pipelines kept colliding with politics. Which is why the new Oman proposal feels different.
Because instead of asking countries to stay aligned for decades, it asks whether the sea can do a better job than land.
At least on paper, this project has already moved a step further than many of its predecessors. It’s called the Middle East–India Deepwater Pipeline (MEIDP).
And for the first time, it has something the past proposals never quite managed: actual groundwork.
A private group called South Asia Gas Enterprise has already spent years studying the route and carrying out surveys to understand what the seabed actually looks like. That’s not the kind of thing you do just to keep a proposal alive. Seabed surveys cost money and take time.
The plan is to run nearly 2,000 kilometres of pipeline from Oman’s coast to Gujarat — sitting as deep as 3.5 kilometres below the surface of the Arabian Sea. At full capacity, it would carry around 31 million cubic metres of natural gas per day. GAIL, Engineers India and Indian Oil Corporation are expected to lead the feasibility work, with the petroleum ministry estimating the whole thing could be done in five to seven years if approvals come through.
And Oman is just the entry point.
The long term vision is for the pipeline to eventually tap into the Gulf gas network — UAE, Saudi Arabia, Qatar, Turkmenistan, and even Iran. The pipe, in other words, isn’t just a connection to one supplier. It could be a door into the largest concentration of gas reserves on earth.
Right now, India needs that door.
We consume somewhere around 190 million cubic metres of gas every day. By 2030, that number is expected to climb to 365 million cubic metres. And unlike crude oil, where India holds at least some strategic reserves, there is almost no buffer for gas. When prices spiked this year, there was nothing to draw on. The market moved, and India moved with it, whether it wanted to or not.
Of course, building a pipeline like this comes with its own set of challenges.
For starters, the depth. Parts of the route could reach depths of roughly 3.5 kilometres below sea level, which would make it one of the deepest subsea gas pipelines attempted anywhere in the world.
At those depths, the surrounding pressure becomes enormous. Pipelines can’t just be made longer. They need thicker walls, more specialised welding, stronger coatings and installation methods that work thousands of metres underwater.
And laying the pipe is only half the problem.
Because once it’s so deep under the ocean… how do you maintain it?
A leak in a land pipeline might mean sending crews and equipment.
A leak 3.5 kilometres underwater means specialised vessels, remotely operated systems and potentially weeks or months before repairs even begin. Even inspection becomes expensive.
The biggest issue, though, is Iran. As we mentioned earlier, using this route to import Iranian gas is part of the long-term plan. And the US knows that. But if India ever attempts that, it could trigger sanctions, since the US can penalise companies or countries doing business with Iran; unless, of course, a US-Iran peace deal eventually works out.
In fact, just last month, the US revoked the sancrtions waiver for India’s work on the Chabahar Port project in Iran, which gave India access to Central Asian markets.
So there’s a real chance something similar could happen to the MEIDP in the future. And that wouldn’t just affect the gas flowing through the pipeline but could also put the entire infrastructure investment at risk, even years after it’s built.
For now, the MEIDP pipeline remains a proposal. It may move ahead and we could see it become a reality in five to seven years. Or it may join the long list of energy projects that never materialised. But even exploring a project like this tells you that India isn’t trying to escape geography anymore. Rather, it’s trying to stop every energy shock from ending up in your wallet.
https://finshots.in/archive/why-india-wants-a-pipeline-to-oman/
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Most planned natural gas pipeline capacity additions in 2026 and 2027 originate in Texas
Developers plan to bring approximately 44.9 billion cubic feet per day (Bcf/d) of new pipeline capacity online in the United States in 2026 and 2027, according to our latest Natural Gas Pipeline Projects Tracker. Approximately 70% (31.6 Bcf/d) of this new capacity is already under construction. More than 66% (29.7 Bcf/d) of the capacity additions originate in Texas. Louisiana is second with 19% (8.4 Bcf/d) of total capacity additions.
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The projects in Texas will provide additional takeaway capacity out of the Permian Basin and debottleneck the Waha Hub, supplying natural gas to LNG export terminals, as well as residential, power, and industrial users.
The largest of the pipeline projects currently under construction and projected to enter service by the end of this year include:
Rio Bravo Pipeline Project: A 138-mile pipeline originating in Texas with a capacity of up to 4.5 Bcf/d, which will deliver feedgas to NextDecade’s under construction Rio Grande LNG export terminal. NextDecade is targeting an in-service date in the second half of this year.
Blackcomb pipeline: A 365-mile, 2.5 Bcf/d pipeline currently under construction and slated to enter service in the third quarter 2026. The pipeline originating in Texas will deliver Permian supply from the Waha hub to the Agua Dulce hub, further clearing the Waha bottleneck.
Hugh Brinson Project: A total 2.2 Bcf/d project increasing takeaway capacity from the Permian Basin in Texas. The developer expects phase 1 of this project to begin flowing in the fourth quarter of 2026, and phase 2 to begin operations in the first quarter of 2027.
In Louisiana, the Port Arthur Pipeline Louisiana Connector is expected to begin service in the second half of 2026 with 2.0 Bcf/d of capacity. By the end of 2027, Pelican Pipeline is expected to come online in Louisiana, bringing the total additional capacity to 8.4 Bcf/d.
Virginia has the third most capacity additions over the next two years, with 1.6 Bcf/d expected to come online in 2027 via Williams’s Southeast Supply Enhancement Project, an expansion of its exiting Transcontinental Pipeline from Virginia to Alabama.
https://www.eia.gov/todayinenergy/detail.php?id=67707
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BP set to take over offshore natural gas project in Azerbaijan, sources say
BAKU, May 28 (Reuters) Energy major BP (BPL), will become the operator of a large offshore natural gas production project in Azerbaijan – the Bahek gas field – three industry sources told Reuters on Wednesday. BP already has significant exposure to oil and gas production in the South Caucasus country, whose energy reserves became more significant for Europe after it decided to cut its dependence on Russia, once a major supplier of commodities to the continent.
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The three sources said Azerbaijan’s state energy company SOCAR and BP would announce the agreement on the offshore Babek field on June 1.
The field is estimated to hold around 400 billion cubic metres of gas and 80 million tonnes of condensate.
SOCAR and BP did not immediately reply to requests for comment.
The Babek field, currently part of a SOCAR-led unit, will become a separate project operated hy BP, the sources said.
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Natural Gas / LNG Utilization / Bio-LNG
World’s Largest LNG-Powered Container Ship Launched In Shanghai
Sailing under the French Flag, it is the first in a series of 10 identical ships that CMA CGM will receive between 2026 and 2028. Hudong-Zhonghua Shipbuilding, a subsidiary of the Chinese state group CSSC, built the behemoth. Rodolphe Saadé, CEO of CMA CGM, stated that the decision “reinforces France’s role as a global maritime power and reaffirms the group’s commitment to sustainability, innovation, and operational excellence.”
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Scheduled to be named CMA CGM Notre Dame in July, the ship has a capacity of 24, 212 TEUs meaning it can carry over 24,000 standard containers in a single trip.
Of these, 1,600 are connections for refrigerated containers, needed for transporting perishable foods, medicines, and products that require controlled temperatures.
The ship has an intelligent energy management system to optimise consumption in refrigeration operations.
Coming to its physical dimensions, the ship is 400 m long, 62 m wide and 75 m high when docked at a port, resembling a 25-storey building floating on water.
It has an AI management system, digital navigation and smart tech to reduce onboard energy consumption.
The ship will enhance operational performance and support the company’s decarbonisation goals.
The ship’s most interesting feature is its 18,600 cubic meter liquefied natural gas tank, allowing it to complete a trip from Asia to Europe without refuelling LNG and eliminating potential delays.
It can operate with conventional fuel as well, giving it the flexibility in ports which do not have the LNG refuelling infrastructure.
When sailing on LNG, the ship decreases sulfur dioxide and fine particle emissions by 99%, nitrogen dioxide emissions by 85%, and carbon dioxide emissions by up to 20%, a performance that far exceeds international regulatory limits.
It will be deployed at CMA CGM’s French Asia Line (FAL), which serves as a connector between Asia and Northern Europe.
Situated at one of the world’s primary trade gateways, the line is vital for the supply chains of European countries.
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Abu Dhabi Investment Paves Way to Build $13 Billion US LNG Plant
Kimmeridge Energy Management Co. is moving forward with plans to build a $13 billion liquefied natural gas export plant on the US Gulf Coast after securing backing from an Abu Dhabi sovereign fund.
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Mubadala Energy will provide equity financing for the project in Louisiana as part of a $9.75 billion funding package, clearing the way for construction to begin, according to a statement Friday. The plant is scheduled to begin operations in 2030.
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Adnoc Keeps Loading LNG Onto Tankers Gone Dark in Persian Gulf
Abu Dhabi National Oil Co. is continuing to load liquefied natural gas onto tankers masking their location in the Persian Gulf, as the energy producer pushes to get more fuel through the Strait of Hormuz.
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An LNG tanker was docked at Adnoc’s Das Island export terminal on Friday, according to satellite images taken by Copernicus Sentinel-2. No tankers were broadcasting their positions near the plant, ship-data showed.
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$2.3 billion LNG project breaks ground in Southeast Asia
SK Innovation, an affiliate of South Korean conglomerate SK Group, Vietnam’s state-run power company PV Power (PetroVietnam Power), and local partner NASU, an affiliate of TH Group, have held a groundbreaking ceremony for a liquefied natural gas (LNG) project, which is anticipated to support Vietnam’s industrial advancement through artificial intelligence (AI) infrastructure and community engagement initiatives.
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SK Innovation, PetroVietnam Power, and NASU held the Quynh Lap LNG project launch and infrastructure groundbreaking ceremony on May 18, 2026, in Nghe An Province, Vietnam. The event, which took place in the Tan Mai area of Quynh Lap District, was attended by approximately 300 guests, including Choo Hyeong-Wook, President and CEO of SK Innovation, senior officials from Vietnam’s central and local governments, and key representatives from the consortium partners.
Among attendees were Le Tien Chau, Deputy Prime Minister of Vietnam; Doan Minh Huan, Director of the Ho Chi Minh National Academy of Politics; Nguyen Khac Than, Secretary of the Party Committee of Nghe An Province; and Vo Trong Hai, Chairman of the People’s Committee of Nghe An Province. The list of representatives from the consortium included Hoang Van Quang, Chairman of PV Power; Le Nhu Linh, President & CEO of PV Power; Thai Huong, Chairwoman of TH Group; and Ngo Van Tu, President of NASU.
Choo Hyeong-wook, President & CEO of SK Innovation, commented: “This groundbreaking marks a historic first step toward the successful completion of the Quynh Lap project, while also laying the foundation for strengthening Vietnam’s power infrastructure and fostering an advanced industrial ecosystem. We will continue working closely with our partners, including PV Power and NASU, to ensure the project achieves its goal of commencing commercial operations in 2030 and serves as a key pillar of Vietnam’s energy security.”
The Quynh Lap LNG project is described as a large-scale energy infrastructure project that will develop a 1.5 GW LNG combined-cycle power plant and LNG terminal in Nghe An Province, approximately 220 kilometers south of Hanoi. With a total investment of approximately $2.3 billion, the project is targeted to begin commercial operations by December 2030.
According to SK Innovation, the project represents a key milestone in realizing SK Group’s specialized energy-industry cluster (SEIC) model proposed to the Vietnamese government to create an advanced industrial ecosystem by supplying stable power to nearby high-tech industrial complexes while supporting the development of AI data centers and related infrastructure through a Korea-style AI full-stack value chain.
Upon completion, the LNG project is expected to enhance power supply stability through the national grid while serving as a catalyst for industrial development in the region. Ahead of the ceremony, the consortium also carried out community outreach activities, delivering donations and supplies to residents as part of its commitment to shared growth with the region.
Building on the Quynh Lap project, SK Innovation aims to strengthen its position as a future energy solutions provider in Vietnam and expand its global power business portfolio by integrating LNG, energy storage systems (ESS), renewable energy, and small modular reactor (SMR) technologies in collaboration with local partners and government stakeholders.
https://www.offshore-energy.biz/2-3-billion-lng-project-breaks-ground-in-southeast-asia/
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SK Innovation begins construction on LNG-fired power plant in Vietnam
South Korea-based SK Innovation has begun construction of a 1.5GW liquefied natural gas (LNG)-fired combined-cycle power plant, a central component of the $2.3bn Quynh Lap LNG Project in Vietnam. The project, which also includes an LNG terminal, is being developed by SK Innovation in partnership with state-owned PetroVietnam Power (PV Power) and Vietnamese agriculture company NASU.
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Located in Nghe An Province, around 220km south of Hanoi, the Quynh Lap LNG Project is expected to enter into commercial operations by the end of 2030.
In addition to generating electricity, the project marks a significant step in implementing SK Group’s Specialised Energy-Industry Cluster model, which has been proposed to the Vietnamese Government.
The groundbreaking ceremony of the project in Quynh Lap District attracted more than 300 attendees from government and industry sectors.
Key figures included SK Innovation president and CEO Choo Hyeong-Wook, Vietnam Deputy Prime Minister Le Tien Chau, and other significant representatives from involved consortium partners.
This initiative seeks to form an advanced industrial ecosystem, providing reliable power to nearby high-tech industrial areas. It will also aid in the development of AI data centres and related infrastructure, utilising a Korea-style AI full-stack value chain.
Hyeong-wook said: “This groundbreaking marks a historic first step toward the successful completion of the Quynh Lap Project, while also laying the foundation for strengthening Vietnam’s power infrastructure and fostering an advanced industrial ecosystem.
“We will continue working closely with our partners, including PV Power and NASU, to ensure the project achieves its goal of commencing commercial operations in 2030 and serves as a key pillar of Vietnam’s energy security.”
Upon completion, the power plant is expected to enhance energy stability via the national grid and act as a catalyst for regional industrial development.
In March 2026, GE Vernova said it had been contracted by PV Power to deliver 9HA.02 gas turbines and H78 generators for the combined-cycle power project.
SK Innovation aims to strengthen its role as a future energy solutions provider in Vietnam, integrating various energy technologies alongside government and local partnerships.
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World’s largest LNG-powered ship can haul 24,212 containers in a single trip
A French shipping giant has recently unveiled the world’s largest liquefied natural gas (LNG)-powered container ship, which can carry 24,212 twenty-foot equivalent units (TEUs) aboard in a single trip. Designed by Marseille-based CMA CGM Group, the giant vessel, called CMA CGM Notre Dame, is currently the largest cargo ship operating under the French flag. It is 1,312 feet (400 meters) long, 203 feet (62 meters) wide and 246 feet (75 meters) high.
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According to the company, the vessel has already begun its maiden commercial voyage from Shanghai, China. It is set to arrive in Europe in early July before its official inauguration ceremony in Le Havre, France, on July 2.
“With this vessel, CMA CGM continues the modernization of its fleet and reaffirms its commitment to the energy transition of maritime transport, while strengthening its capacity to support the growth of global trade,” CMA CGM Group, stated.
France’s largest cargo ship
The CMA CGM Notre Dame runs on liquefied natural gas (LNG), which is odorless, colorless, non-toxic, and non-corrosive. It burns cleaner than conventional marine fuels and can significantly reduce sulfur oxide and particulate emissions.
It features an 18,600-cubic-meter LNG fuel tank, which can fuel voyages between Asia and Europe. In addition, the vessel is the first in a planned series of 10 LNG-powered ships that will serve within France’s commercial fleet between 2026 and 2028. They will be built to support the firm’s goal of achieving Net Zero Carbon by 2050.
What’s more, the vessel’s design was upgraded to fit 280 additional containers without increasing its size. It is also equipped with advanced energy-management solutions to efficiently power and ventilate refrigerated containers through 1,600 reefer plugs.
The ship also has energy-saving technologies, such as an aerodynamic windshield system that reduces drag and lowers fuel consumption. It furthermore integrates digital technologies to improve its efficiency and safety at sea.
According to the firm, its fully digitalized bridge has real-time navigation systems, augmented reality, and 360-degree visualization tools. These are designed to help crews maneuver more safely, particularly in congested ports.
A smart design
The ship also uses advanced trajectory prediction systems to improve navigation. At the same time, several of its onboard operations are backed by AI. “Embedded artificial intelligence helps optimize routes, adjust speed, and control the vessel’s energy consumption,” the company said in a press statement.
“These systems are supported by CMA CGM’s Fleet Centers located in Marseille, Miami, and Singapore, which continuously monitor the global fleet and support crews in operational decision-making,” it continued.
Currently, the ship has been deployed on CMA CGM’s French Asia Line (FAL) that links ports including Shanghai, Ningbo, Yantian, Singapore, Le Havre, Rotterdam, Hamburg, and Tangier Med. The complete rotation lasts approximately 102 days.
CMA CGM Notre Dame is registered under the French International Register (RIF). The strategic move was made public in November 2025 by Rodolphe Saadé, CMA CGM chairman and CEO.
Despite being highly automated, the ship relies on a crew of about 30 seafarers led by Captain Nicolas Le Scornet. “The vessel offers living conditions adapted to life at sea, including modern personal spaces, high-performance permanent connectivity, and facilities dedicated to crew comfort,” the company concluded.
https://interestingengineering.com/transportation/worlds-largest-lng-powered-cargo-ship
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First LNG-powered cargo vessel docks at Mombasa Port
The first large liquefied natural gas-powered container vessel to dock at the Port of Mombasa has arrived amid increasing pressure on the global shipping industry to reduce pollution and adopt cleaner transport systems. The vessel, CMA CGM Adventure, made its maiden call at the port this week, becoming the first large cargo ship of its kind to berth in Mombasa.
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Unlike conventional vessels that rely on heavy fuel oil, the ship operates mainly on LNG, a fuel viewed within the maritime industry as a lower-emission alternative.
Its arrival comes as international shipping companies face stricter environmental regulations aimed at reducing greenhouse gas emissions linked to maritime transport, one of the world’s largest contributors to industrial pollution.
Speaking during the vessel’s reception at the port, Kenya Ports Authority Managing Director Captain William Ruto said, “More shipping lines are now deploying vessels designed to reduce environmental impact as the sector adjusts to changing global standards.”
He noted that ports are also being forced to modernise operations to align with the transition towards cleaner shipping.
The docking of the vessel also draws attention to ongoing changes at the Port of Mombasa, where authorities have been introducing measures intended to cut emissions generated through port activities.
These include the installation of solar power systems, the use of hybrid cargo-handling equipment and plans to introduce shore power technology that would allow ships to switch off engines while at berth.
Environmental conservation projects, including mangrove restoration along sections of the coast, have also been linked to efforts to reduce the environmental impact of maritime trade.
According to the vessel operators, the vessel was built in late 2024 and has a carrying capacity of 7,378 twenty-foot equivalent units (TEUs). The vessel measures 268 metres in length and 43 metres in width.
The arrival of the ship places Mombasa among African ports beginning to receive a new generation of lower-emission cargo vessels as the shipping industry moves towards cleaner energy alternatives.
https://eastleighvoice.co.ke/news/357073/first-lng-powered-cargo-vessel-docks-at-mombasa-port?amp=1
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Global LNG Development
New US liquefaction project Commonwealth LNG gets green light
Natural gas producer and liquefaction developer Caturus has taken a final investment decision on its planned 9.5 million tonnes per annum Commonwealth LNG project in the US.
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The company said the FID, which includes the closing of $9.75bn in project financing, marks the start of full construction for the LNG export facility in Cameron Parish, Louisiana.
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Louisiana LNG project is moving forward
Kimmeridge, an energy-focused private equity firm, on Friday announced that its Caturus unit will proceed with construction of its Commonwealth LNG project in Louisiana.
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Why it matters: While Commonwealth has been planned for years, the go-ahead arrives as the Iran war is putting fresh focus on gas from outside the Middle East.
“Buyers had a view that Qatar’s flow never gets disrupted,” Kimmeridge managing partner Ben Dell tells Axios. “Obviously, that’s gotten thrown out in recent weeks, so buyers now want more diversification and created some more incremental demand.”
The big picture: Commonwealth is expected to become one of the five largest LNG exporters in the U.S., with operations to begin in 2030.
Zoom in: Caturus has secured another $9.75 billion in project financing from Mubadala, CPP Investment Board, EOC Partners, BlackRock and Ares Management.
Dell says that the Iran situation didn’t impact investment from UAE-based Mubadala, which has been a longterm partner on the project.
https://www.axios.com/2026/05/15/lng-constellation-kimmeridge-louisiana
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Norway’s Equinor sign’s 5-year gas supply deal for Germany with Eneco
OSLO, May 19 (Reuters) – Norway’s Equinor (EQNR.OL), opens new tab said on Tuesday it has signed a five-year gas supply agreement with Dutch energy firm Eneco (8058.T), opens new tab, (9502.T), opens new tab for deliveries to its Germany subsidiary.
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The agreement to supply Eneco’s German subsidiary LichtBlick covers an annual volume of about 2.2 terawatt hours (TWh), or roughly 0.2 billion cubic metres (bcm) per year, running until 2030, the company said.
It marks the second deal between Equinor and Eneco this year, following a five-year agreement signed in February to supply 0.5 bcm per year to the Netherlands.
Both deals also include Eneco purchasing guarantees of origin from Equinor to certify a lower-than-average greenhouse gas footprint of the delivered natural gas.
“As long as gas is still needed, we are taking targeted measures to reduce emissions as much as possible,” said Jonas Beck, director of green energy markets at LichtBlick.
The contract also strengthened the company’s security of supply in geopolitically uncertain times, he added.
Reporting by Nora Buli, editing by Terje Solsvik
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BOTAS and Argent LNG sign MoU
Published by Jessica Casey, Editor | LNG Industry, Tuesday, 19 May 2026 12:00
BOTAS Boru Hatlari ile Petrol Tasima A.S., the state-owned natural gas company of the Republic of Türkiye, and Argent LNG LLC, a US LNG export developer headquartered in Louisiana, have announced the signing of a memorandum of understanding.
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Under the MoU, BOTAS and Argent LNG will establish a framework for the delivery of US-origin LNG into Türkiye, with onward transmission of gas into neighbouring markets.
“Argent LNG was built to serve exactly this kind of partnership, long-term, strategic, geopolitical, and grounded in a genuine commitment to the energy seccrity of entire regions, not just individual buyers. BOTAS is the right partner to make that real,” said Jonathan Bass, Chairman & CEO, Argent LNG LLC.
https://www.lngindustry.com/liquid-natural-gas/19052026/bota-and-argent-lng-sign-mou/
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Zodiac Maritime Orders Two LNG Dual-Fuel Car Carriers at Yantai CIMC Raffles
Zodiac Maritime has expanded its footprint in the car carrier segment by ordering two LNG dual-fuel vessels in China. The London-based firm, under the control of Eyal Ofer, has commissioned the 7,000 ceu ships at its longtime partner Yantai CIMC Raffles, with delivery slated for 2028.
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This latest transaction adds to one of the sector’s largest PCTC newbuilding initiatives, as shipowners continue to capitalize on robust demand fueled by growing Chinese vehicle exports. The order comes after the handover of ten earlier vessels from the same yard.
Zodiac has been a notably active player in the fast-growing vehicle carrier market and was among the pioneers in chartering PCTCs to Chinese automakers BYD and Geely. Its current fleet comprises 22 PCTCs, with additional expansion planned through its expanding orderbook.
The partnership between Zodiac and Yantai CIMC Raffles goes back several years. An initial contract in 2021 covered four firm 7,000 ceu vessels, each valued at roughly $83 million, along with options for up to 12 ships. A subsequent pair ordered in 2023 reportedly cost about $92.5 million per unit, though no pricing has been revealed for the latest deal.
In other recent shipbuilding moves, Zodiac has been diversifying into alternative fuel sectors. Earlier this month, the owner entered the ammonia shipping space via an agreement with Hanwha Ocean for a series of ammonia carriers.
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Germany, Canada to Sign Major LNG Deal as Europe Seeks Energy Security
Canada has reached a deal to supply Germany with liquefied natural gas from a planned facility on the west coast, a boost for Prime Minister Mark Carney, who wants to double the country’s exports to non-US markets.
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The gas would come from the Ksi Lisims LNG project, a proposed C$10 billion ($7.2 billion) export plant in northwestern British Columbia, near the Alaska panhandle.
Under the terms, Germany will agree to buy as much as 1 million metric tons a year of LNG from Canada. That’s the equivalent of the energy needed to provide electricity to New York City for more than a month. The deal will be announced Wednesday by Canadian Energy Minister Tim Hodgson, according to people familiar with the matter, speaking on condition they not be identified because the matter is still private.
It’s a step forward for the leaders of both countries, who have talked about energy deals but have been hamstrung by Canada’s failure to build the necessary infrastructure for LNG. Canada has enormous natural gas reserves, especially in the western provinces, but sends most of its production to the US through pipelines. The country didn’t have an LNG export facility on the west coast until about a year ago, with the startup of the first phase of LNG Canada, which is backed by Shell Pic and other energy companies.
Germany, as Europe’s largest economy and its industrial powerhouse, has been buffeted by a series of energy crises – first with Russia’s assault on Ukraine and more recently by the war in the Middle East. The buyer of the gas would be SEFE, the former Gazprom PJSC unit nationalized by the German government after the invasion of Ukraine.
The group behind Ksi Lisims hasn’t yet reached a final investment decision to start construction. But the project has already received regulatory approval, and its investors want to build a facility capable of producing 12 million metric tons a year of LNG.
Ksi Lisims LNG is backed by Blackstone Inc.-funded Western LNG, as well as Rockies LNG Partners and the Nisga’a Nation, an Indigenous group that owns the development land.
Officials with SEFE, Western LNG and the Canadian government declined to comment. Representatives for Rockies LNG Partners and the Nisga’a Nation didn’t respond to requests for comment.
Hodgson, speaking in a recent interview with Bloomberg News, said European nations are actively looking for a reliable supply of gas to replace flows from Russia and the Middle East, which have been disrupted by war.
Asked whether west coast LNG could be shipped from Canada to Europe through the Panama Canal, Hodgson said there are multiple options.
“Some ships will go through Panama, some will go around, some they’ll just trade” to other buyers, in return for LNG cargoes that are closer to Europe, he said.
European countries don’t want to become overly reliant on American gas, the minister said – partly because of trade tensions with the Trump administration but also because they want the security that comes with having a range of suppliers.
“We can be that alternative,” Hodgson said. “We can be that reliable supplier who will not use energy for coercion.” That could eventually take the form of LNG being shipped via Canada’s east coast or through Hudson Bay in the north, but in the near term, “we have huge Increases in supply coming off the west coast, which are music to their ears.”
Ultimately, it makes sense for Canada and Europe to become closer energy partners at a time when global superpowers are looking to use trade as a tool of geopolitical coercion, Hodgson said.
“They’re looking around and saying, how do we create energy security?” he said. “Where can we find a supplier who shares our values? And they look around and they don’t see a lot of choices.”
Speaking at a news conference on Tuesday, British Columbia Premier David Eby said the deal “is about how we can work together to deepen those trading relationships around the world in this case with Germany. And it really reflects what is possible when we work together and the role that British Columbia is going to play in building this economy.”
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QatarEnergy extends LNG force majeure to mid-August
QatarEnergy has extended its force majeure notice on liquefied natural gas (LNG) cargoes to Europe amid the ongoing Middle East crisis. Italian energy company Edison said it has received a further extension of a force majeure notice from QatarEnergy covering an additional five LNG cargoes.
The cargoes were scheduled for delivery to the Adriatic LNG terminal in Italy between July and mid-August.
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With the extended force majeure, a total of 17 cargoes – around 2.2 billion cubic metres of gas – have been impacted.
Edison said it is working to secure alternative supplies and, to date, has sourced one billion cubic metres of product from other providers.
QatarEnergy has a long-term agreement to supply Edison with 6.4 billion cubic metres of gas annually to Italy; however, the most recent cargoes from Qatar were delivered at the end of March 2026.
QatarEnergy initially declared force majeure to its affected buyers shortly after the conflict began, on 4 March. A week later, oil and gas major Shell declared force majeure on its LNG supply contracts for cargoes sourced from QatarEnergy.
Then on 19 March, it said damage from three attacks on Ras Laffan Industrial City could result in about $20bn a year in lost revenue and take up to five years to repair, impacting supply to markets in Europe and Asia.
The attacks damaged Trains 4 and 6, totalling 12.8 million tonnes per annum (mtpa) of production, representing approximately 17% of Qatar’s exports.
Train 4 is a joint venture between QatarEnergy (66%) and ExxonMobil (34%), and Train 6 is a joint venture between QatarEnergy (70%) and ExxonMobil (30%).
https://www.gasworld.com/story/qatarenergy-extends-lng-force-majeure-to-mid-august/2250425.article/
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Canada signs landmark LNG energy deal with Germany
Bloomberg via Getty ImagesThe deal would see one million tonnes of Liquefied Natural Gas (LNG) exported annually from British Columbia to Germany. Canada has announced a landmark energy agreement with Germany that will see the first-ever long-term shipments of liquefied natural gas (LNG) from Canada to Europe in the coming years.
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It comes as European nations search for new reliable energy sources and as Canada seeks to diversify trade away from the US.
The deal was announced on Wednesday in Vancouver by Canada’s energy minister, Tim Hodgson, who called it “an exciting and important milestone”.
It involves the shipping of one million tonnes per year of LNG from Ksi Lisims, a proposed project on British Columbia’s coast, to Germany by its national energy utility company Securing Energy for Europe (SEFE).
The deal with SEFE will see annual LNG exports from Canada to Germany for up to 20 years, beginning in the early 2030s.
For Canada, it is a major step towards trade diversification away from the US. In 2024, virtually all of Canada’s LNG exports went to the US, according to data by Canada’s energy regulator.
Hodgson said the agreement is a sign that Canada can fill a gap in the global energy supply left after Russia’s invasion of Ukraine, and more recently the ongoing war in Iran.
He touted Canada’s “reliable democracy” and its access to rich natural resources.
The agreement with Germany is a major milestone for the Pacific coast Ksi Lisims LNG project in northwest British Columbia, which is still awaiting a final investment decision.
Hodgson said he believes the new commitment will help secure those funds “in a matter of months” and that construction on the project will begin shortly after.
Canadian Prime Minister Mark Carney has highlighted the Ksi Lisims project as one of national importance and so available for a fast-track review process.
Hodgson said the deal is a result of a trade mission undertaken by Carney and members of his cabinet last August to Berlin.
Tim Hodgson, Canada’s energy minister, said the deal with Germany is a sign that “the world trusts Canada.”
While the agreement with Germany has been hailed as a win by government, the development of Ksi Lisims still faces many hurdles.
More than a dozen indigenous and environmental groups have vowed to fight it, arguing it is both legally contested and environmentally risky.
“Ksi Lisims is not a Canadian export success story waiting to happen,” said Alex Walker with Environmental Defence, one of the groups opposing the project.
“It is a high-risk, legally contested fossil fuel project that has failed for decades to attract capital.”
Some First Nations have also launched legal challenges against the project.
Not all are in disagreement, however. One of the project’s proponents is the Nisga’a Nation, whose territory would house the Ksi Lisims LNG facility.
Conservative leader Pierre Poilievre accused the Liberal government of previous failings when it came to supporting LNG projects in Canada, which he argued would have delivered energy to Europe much faster.
“It is more headlines without deadlines, announcements without actions, illusions without reality,” Poilievre said.
Carney is also facing pressure on climate from within his own Liberal Party caucus as he seeks to increase energy development in Canada.
Fourteen Liberal MPs signed a letter to the prime minister last week saying they are “deeply concerned” about what they say is a backslide of the government’s environmental commitments.
And on Wednesday, former environment minister Steven Guilbeault said he will resign from caucus this summer. Guilbeault was a prominent environmental activist with Greenpeace before entering politics.
“These seven years, intense, demanding and deeply meaningful have been among the most formative of my life,” he said speaking from parliament. “It is time now for me to fund new ways to pursue my life’s work.”
Reacting to Guilbeault’s departure, Hodgson said Carney’s Liberals are a “big tent party” with an array of views.
“At the end of the day we come together, form a collective view and execute on that,” he said.
Separately on Wednesday, Carney announced that Canada will be purchasing early warning aircraft technology from a Swedish manufacturer instead of US contenders.
Carney has said Canada will reduce spending on US-made military gear, saying last April that “the days of our military sending 70 cents of every dollar to the United States are over”.
https://www.bbc.com/news/articles/cg4pwxwvz1go
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SEFE to Book Its First LNG Supply from Canada
Ksi Lisims LNG LP has signed a preliminary agreement to supply 1 million metric tons per annum (MMtpa) of liquefied natural gas (LNG) for up to 20 years to SEFE Securing Energy for Europe GmbH. The heads of agreement (HoA) would deliver the German state-owned power and gas utility’s first LNG supply from Canada, which would make Ksi Lisims LNG the first LNG project in Canada to export to Europe, according to the parties.
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With a planned capacity of 12 MMtpa, the project is expected to become operational 2029. Ksi Lisims LNG is a partnership between the Nisga’a nation, Rockies LNG Partners and Western LNG.
SEFE expects its deliveries from the project to start in the 2030s.
“This LNG agreement with Canada is a milestone in our endeavor to secure energy supplies”, SEFE chief executive Egbert Laege said in an online statement. “After signing LNG contracts with Argentina, the Middle East and the USA, we are proud to announce our first long-term LNG agreement with Canada.
“This partnership gives us the flexibility to deliver cargoes to any destination, thus further enhancing the resilience and diversification of our portfolio for the benefit of our global customers”.
To rise on Indigenous land about nine miles west of the Gingolx village, the project is ideally situated along the country’s west coast as it has direct access to overseas markets and is close to proposed gas pipeline routes, according to Ksi Lisims.
The partners tout the project as one of the world’s lowest-emission LNG facility. It is designed to have two floating LNG production and storage facilities, which will be built by Samsung Heavy Industries, with an all-electric process technology developed by Black & Veatch.
“Our agreement with SEFE reflects growing confidence in Ksi Lisims LNG, our commercial and engineering approach, and brings our project a significant step closer to starting construction”, said Western LNG founder, president and CEO Davis Thames.
Ksi Lisims LNG received an Environmental Assessment Certificate from British Columbia and a Decision Statement from the federal government on September 15, 2025.
“Conditions required the development of a Construction Environmental Management Plan which has since been developed and was approved by the British Columbia Environmental Assessment Office on January 23, 2026”, Ksi Lisims LNG said in an update March 31, 2026.
Last year TotalEnergies SE committed to buying 2 MMtpa for 20 years from Ksi Lisims LNG. Concurrently the French integrated energy company also agreed to acquire a 5 percent stake in Western LNG, the project’s designated future operator.
“This acquisition grants TotalEnergies the option to increase its stake in Western LNG and/or take a direct stake in the plant up to approximately 10 percent when the final investment decision is made”, TotalEnergies said May 19, 2025.
“This purchase of LNG from the future Ksi Lisims LNG plant will allow us to diversify our LNG portfolio in North America and benefit from competitive LNG supply in Western Canada to better serve our Asian customers, with whom we are developing a significant portfolio of long-term supply contracts”, said Stéphane Michel, president for gas, renewables and power at TotalEnergies.
TotalEnergies aims to increase the share of natural gas in its sales mix to nearly 50 percent by 2030.
TotalEnergies is the project’s second offtaker, after Shell PLC. Its British rival also subscribed for 2 MMtpa for 20 years, as announced by Shell January 8, 2024.
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Singapore Has Bought Enough LNG to Last for Rest of Year
Singapore has bought enough liquefied natural gas to last through the end of the year, as it replaces shipments stuck behind the Strait of Hormuz due to the Iran war.
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State-owned Singapore GasCo Pte Ltd, which was established last year, secured shipments from regions outside the Middle East via the spot market, Chief Executive Officer Alan Heng said in an interview on Tuesday. The company is also eyeing long-term deals with various suppliers, including the US, Australia, and Canada, he said.
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US energy secretary visits $13B LNG project site in Cameron
CAMERON PARISH, La. (KPLC) – U.S. Secretary of Energy Chris Wright is visiting Cameron Parish today to discuss the nation’s energy dominance. Wright will visit the site of the Commonwealth LNG project, the first major liquefied natural gas project to receive an export authorization for non-free trade agreement countries after the 2024 freeze on approvals. The project’s owner, Caturus, announced today that it has made a final investment decision for construction of the facility.
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We will have a livestream of Wright’s remarks in this story. Gov. Jeff Landry and Catarus Chair Ben Dell are also expected to speak.
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LNG as a Marine Fuel/Shipping
LNG bunkering fuels $3B expansion at Tilbury Island
Of the half-dozen liquefied natural gas plants either built, under construction or in development in B.C., all but one are focused on exports.
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FortisBC’s Tilbury Island LNG plant expansion is focused almost exclusively on marine transportation fuelling.
As more ships convert from heavy fuel oil to cleaner-burning natural gas, there is a growing business case for liquefied natural gas bunkering in the Port of Vancouver.
“This is a growing market,” said Harly Penner, president of Seaspan Energy, which provides the fuelling vessels that deliver LNG to ships.
“We do have the ability to open up a new market in Vancouver. We already deliver to cruise [ships], tankers, container ships, car carriers. We’re already doing that work now, and we’ll just have to continue to work with the Port of Vancouver to do more.”
Last month, FortisBC Inc. marked a milestone in its growing marine bunkering market. As of April 23, it had made 10,000 LNG fuel deliveries since 2016.
Most of those deliveries were to BC Ferries and Seaspan Ferries, both of which operate ferries powered by natural gas.
But there’s a bigger market out there for LNG bunkering, and FortisBC is hoping to capture some of it with a $3-billion investment in a new marine jetty, and additional liquefaction and storage capacity at Tilbury Island.
As the global marine sector moves to decarbonize shipping, LNG has emerged as the top alternative fuel of choice.
According to industry coalition SEA-LNG, 79 per cent of new orders for alternative shipping fuels in 2025 were for LNG. According to classification society DNV, there are now 800 vessels globally that can burn natural gas, with 600 more vessels on order.
Seaspan Energy Ltd. operates three LNG fuelling vessels out of Vancouver, with the ships roaming as far as Long Beach California.
“They’ve done an excellent job of helping to bring some of the necessary fuelling infrastructure into the port,” said Ian Finke, FortisBC’s director of LNG commercial and capital development.
The LNG comes from FortisBC’s Tilbury Island plant, which will undergo an expansion.
Currently, LNG from the plant is transferred to Seaspan Energy bunkering barges via trucks and ISO containers.
The Tilbury Island marine jetty will cut this additional step out of the fuelling process supply chain, as the LNG will be delivered directly to fuelling vessels.
The marine jetty was granted an environmental certificate last year. Construction is expected to start next year and be in service by the end of 2029.
As for the Tilbury Island plant’s expansion, there are two phases to it.
The first phase would bring production up from the current 250,000 tonnes per annum to 900,000. A second phase expansion would bring total production to 2.5 million tonnes per annum.
The expansion plans are now in the final stage of a BC Environmental Assessment Act review.
The expansion includes a new three-billion cubic feet storage tank. The storage tank alone represents a $1-billion investment.
In total, FortisBC plans to spend $3-billion on the marine jetty, storage tank and first phase expansion of liquefaction capacity.
“Conservatively, we believe the [LNG bunkering] market can reach 900,000 tonnes by 2030, and it can continue to grow well beyond that into 2035 and beyond,” Finke said.
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Hanwha Ocean delivers 2 LNG ships Seri Dian and Seri Dayang of 174,000 m³ to MISC and challenges Chinese advancement in the liquefied natural gas sector.
The Malaysian group MISC Berhad held the christening ceremony for two new LNG carriers: Seri Dian and Seri Dayang on May 7, 2026, according to Maritime Executive. Each LNG ship has a capacity of 174,000 cubic meters of liquefied natural gas and was built by the shipyard Hanwha Ocean Co., Ltd., from South Korea.
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According to The Star (Malaysia), the two LNG ships will operate under a long-term charter with SeaRiver Maritime LLC, a subsidiary of ExxonMobil. Meanwhile, the group’s president and CEO, Zahid Osman, highlighted that the partnership reinforces operational security and expands the global fleet.
The key point of the delivery is geopolitical: South Korea is trying to maintain its leadership in LNG carriers in the face of Chinese advancement. According to specialized coverage, Chinese shipyards delivered ships of up to 180,000 m³ in the same period, narrowing the gap with the northern Asians.
Seri Dian and Seri Dayang: smart technology and energy efficiency
The two LNG ships have membrane-type tanks with advanced cryogenic insulation. Firstly, both operate with dual-fuel engines prepared to burn boil-off gas (BOG) and low-sulfur fuel oil. Consequently, they meet the IMO 2020 limits and Tier III rules for NOx emissions.
According to data released by LNG Industry, the ships also include real-time remote monitoring systems, with sensors in more than 200 points of the hull and cargo. On the other hand, Hanwha Ocean implemented a hybrid exhaust gas treatment system.
To understand the scale, each 174,000 m³ LNG ship can store energy equivalent to 1.1 million barrels of oil. In comparison, this supplies the electricity consumption of a city of 1 million inhabitants for 25 days. Similarly, the transported gas supplies regasification terminals in Europe, Japan, Korea, and China.
The geopolitics of LNG: Korea, China, and Qatar compete for the market
The global LNG carrier industry is dominated by three players: South Korea, China, and (recently) Qatar. In 2025, Korea accounted for about 70% of global orders, according to industry data. On the other hand, Chinese shipyards like Hudong-Zhonghua and China Merchants Heavy Industry have been accelerating deliveries.
According to an analysis by Offshore Energy, there are currently 440 dual-fuel vessels in operation worldwide and more 764 ships on order. In summary, this means private investment exceeding US$ 180 billion in global LNG shipbuilding.
Meanwhile, Qatar has signed contracts for the delivery of more than 100 LNG ships by 2028. Consequently, the race for the global fleet is tripolar: while Korea focuses on high technology, China on volume and price, and Qatar on vertical integration with its gas production.
ExxonMobil and SeaRiver’s strategy as a charterer
SeaRiver Maritime LLC, ExxonMobil’s transportation arm, signed a long-term contract with MISC to operate Seri Dian and Seri Dayang. In other words, ExxonMobil ensures predictability in the transportation of LNG extracted from its fields in Qatar, the USA, and Mozambique.
According to the official announcement, the freights will be used on Atlantic-Asia routes, with stops at terminals like Sabine Pass (USA), Ras Laffan (Qatar), and Futtsu (Japan). Similarly, part of the cargo may serve the European market via the Netherlands and the United Kingdom after bypassing the Strait of Hormuz on alternative routes.
174,000 m³ of LNG capacity per ship
2 LNG ships delivered simultaneously
May 7, 2026 — date of the christening ceremony
Hanwha Ocean — shipyard builder
SeaRiver/ExxonMobil — long-term charterer
Impact for Brazil and Lula da Sierra’s gas
For Brazil, the expansion of the global LNG carrier fleet matters directly. Firstly, the country operates 5 active regasification terminals: Pecém (CE), Bahia, Açu (RJ), Sergipe, and Guanabara (RJ). Secondly, Petrobras invests in domestic gas production in the pre-salt, but still relies on imports to meet thermal demand.
Similarly, new efficient ships reduce spot freight costs, benefiting Brazilian distributors and the thermal industry. In comparison, in 2022, LNG freight costs reached US$ 300,000 per day at the peak of the European crisis; in 2026, the average cost is around US$ 80,000 per day.
On the other hand, Petrobras is considering entering the LNG spot market to address internal production shortfalls. Consequently, a more modern global fleet makes Brazilian supply more resilient, especially during drought periods when hydroelectricity declines.
Why LNG will still grow for the next 10 years
Despite the energy transition, projections from the International Energy Agency indicate growth in natural gas consumption until 2035, especially in Asia and Africa. Firstly, more than 70 countries use gas for thermal generation as a complement to wind and solar. Secondly, chemical industries and refineries remain dependent on gas as a raw material.
According to analysis, the global LNG supply is expected to double by 2030, driven by new projects in the USA (Plaquemines, Corpus Christi, Rio Grande LNG), Qatar (North Field East and South), and Australia. Similarly, West Africa is gaining relevance with projects in Mauritania and Senegal.
Note on Chinese competition
Although Korea still leads orders, analysts point out that China could close the gap in 2 to 3 years in added value. In other words, Korea’s current advantage is cyclical, not structural. Therefore, MISC and ExxonMobil are likely to diversify their portfolio between Korean and Chinese shipyards in future orders.
On the other hand, Korean labor costs have risen in recent years. Consequently, some analysts project consolidation between Hanwha Ocean and HD Hyundai Heavy Industries by 2028. Further developments in the naval and energy sectors continue in the Click Petróleo e Gás archive. Will the next wave of orders come from China instead of Korea?
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Tanker delivers Russian LNG to China after almost six months at sea, LSEG ship-tracking data shows
A gas carrier has delivered a liquefied natural gas (LNG) cargo from Russia to China after almost half a year at sea, LSEG ship-tracking data showed, with Russia facing challenges to sell LNG due to Western sanctions over Ukraine.
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According to the data, gas carrier Perle docked at China’s Beihai LNG terminal on Tuesday (May 19, 2026). It took the cargo from Russia’s LNG Portovaya, which is under U.S. sanctions, on December 8.
Depending on the route, it usually takes up to 45 days to deliver an LNG cargo from Russia to Asia.
Russia’s largest LNG producer Novatek uses the same loading outlet in China for cargoes from its Arctic LNG 2 plant, which is also under sanctions.
That’s the third cargo supplied to China from the plant on the Baltic Sea since Washington imposed sanctions in February 2025. The first cargo was delivered last December.
In the early stages of its operations, most cargoes from Portovaya were delivered to Türkiye and Greece. Supply markets subsequently widened to China, Spain and Italy.
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Poland moves closer to second LNG terminal with FSRU launch
Poland has moved a step closer to completing its second liquefied natural gas terminal following the launch of the floating storage and regasification unit destined for the facility. South Korea’s HD Hyundai Heavy Industries launched the FSRU at its Ulsan shipyard earlier this month, marking completion of the vessel’s main structural work and the start of the next phase of the project, Poland’s state run gas pipeline operator Gaz-System said in a statement on Tuesday.
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Gaz-System said that the FSRU —which has yet to be named — is expected to arrive in the Gulf of Gdansk on the Baltic Sea by the end of 2027. The FSRU is due to being regasification operations in the first quarter of 2028, it added.
Poland already operates an LNG terminal in the Baltic port of Swinoujscie, but the Gdansk terminal will be the first to use an FSRU, rather than onshore regasification facilities.
“We are developing infrastructure that not only allows us to effectively diversify our natural gas supply sources, but also increasingly consolidates our position as a regional energy hub and a key link in the European security of supply chain,” Poland’s Minister of Energy, Milosz Motyka, said in the Gaz-System statement.
“The FSRU programme and successive investment projects undertaken by Gaz-System are increasing our import capacity, opening up new prospects for international cooperation and building a lasting strategic advantage for Poland in the energy sector,” he added.
The Gdansk terminal’s first phase has an annual import capacity of 6.1 billion cubic metres, all of which is booked by the country’s largest oil and gas company Orlen. If Gaz-System takes a final investment decision on a second phase, it would boost the import capacity by a further 4.5 Bcma.
Once the first phase of the Gdansk terminal is operational, LNG will account for the majority of Poland’s gas imports.
Last year, the East European country imported most of its gas via the Baltic Pipe, a system that transports gas from Norway to Denmark and Poland.
Upgrades to the the Swinoujscie facility, which entered operation in 2016, were completed at the end of 2025, bringing the terminal’s capacity to about 8.3 Bcma.
The country also has an option to import LNG from a gas terminal in the Lithuanian Baltic Sea port of Klaipeda, which has a capacity of 3.75 Bcma and is linked by pipeline to Poland’s gas trunkline network.
In its latest financial report, Orlen said that Poland’s annual gas imports rose to about 19.3 Bcm in 2025, up 23% year on year. Supply via the Baltic Pipe increased by 23% from the previous year, accounting for 46% of total imported volumes.
LNG regasification was the second largest source of gas in 2025, representing 42% of total gas imports. The remaining balance of gas supplies came via interconnectors with Germany, the Czech Republic, Lithuania, and Slovakia, according to Orlen.
Orlen said that domestic consumption of natural gas was about 19.6 Bcm in 2025, an increase of 6.8% from 2024, fuelled largely by a 11% increase in gas demand from the power generation sector.
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Four US LNG vessels sailing to China after Trump-Xi summit
NEW YORK, May 19 (Reuters) – Four liquefied natural gas (LNG) vessels were sailing to China from the U.S. and expected to arrive in June, according to data from financial firm LSEG, marking the first U.S. LNG cargoes to leave the U.S. and go directly to China during U.S. President Donald Trump’s second term in office.
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Last week, Trump went to Beijing for a summit with Chinese President Xi Jinping. During the trip, Trump told Fox News on May 14 that China wants to buy oil, LNG and other goods from the United States.
In years past, China, the world’s biggest gas importer, bought lots of LNG from the U.S., the world’s biggest gas producer, consumer and exporter.
China, however, still applies a 25% tariff on U.S. LNG following earlier levies imposed by the U.S. on Chinese goods, which remains the biggest obstacle to a revival of LNG trade between the two countries, according to a May 12 factbox from Reuters and a May 15 report from data and analytics firm S&P Global.
With global gas prices rising due to the war in Iran and four vessels currently headed from the U.S. to China, it is likely that at least one of those ships will actually arrive in China.
The Umm Al Hanaya vessel left Cheniere Energy’s (LNG.N), opens new tab Sabine Pass export plant in Louisiana on May 5, while the Id’Asah, Al Sene and Lamail vessels left Venture Global’s (VG.N), opens new tab Plaquemines plant also in Louisiana between May 8 and 18, according to LSEG data.
All four vessels were expected to arrive in China’s Tianjin port between June 15 and 28. Cheniere and Venture Global are the biggest and second-biggest U.S. LNG producers, respectively.
GAS PRICES SURGE AROUND THE WORLD
The U.S. became the world’s biggest LNG exporter in 2023, surpassing Australia and Qatar, as surging global prices fed demand for more low-cost U.S. gas.
Global gas prices have spiked in recent years due to supply disruptions linked to Russia’s 2022 invasion of Ukraine and the 2026 .
In response to U.S. and Israeli bombings, Iran effectively shut the Strait of Hormuz and attacked Qatar’s LNG export facilities, knocking out about 10 billion cubic feet per day (bcfd) or around 20% of the world’s LNG supplies. For comparison, the U.S. can turn about 19 bcfd of gas into LNG.
Around the world, gas traded at a six-week high near $17 per million British thermal units (mmBtu) at the Dutch Title Transfer Facility (TTF) benchmark in Europe and a four-week high near $19 at the Japan-Korea Marker (JKM) benchmark in Asia.
Gas is much cheaper in the U.S., which produces all the fuel it needs to meet domestic and export demand. Futures prices at the Henry Hub benchmark in Louisiana were trading around a seven-week high of around $3 per mmBtu.
Reporting by Scott DiSavino, Editing by Nick Zieminski
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Adnoc Exports Another LNG Shipment Through Hormuz to India
Another tanker carrying liquefied natural gas from Abu Dhabi National Oil Co. has exited the Strait of Hormuz, adding to a recent uptick in energy flows through the vital waterway..
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The Umm Al Ashtan, which is managed by Adnoc Logistics & Services, reappeared northwest of Muscat, Oman, loaded with a cargo and listing its destination as India, according to ship-tracking data compiled by Bloomberg. The vessel stopped sending a signal around May 2, but at the time was empty and idling near the eastern entrance of Hormuz.
Satellite images show the ship appears to have loaded a cargo at Adnoc’s Das Island export plant, which is in the Persian Gulf behind Hormuz, during the period it wasn’t sending a signal. The pictures show that LNG tankers have been docking at Das Island, even though no vessels broadcast their positions near the plant.
The Umm Al Ashtan reappeared loaded with a cargo, indicating that it picked up a shipment in the Persian Gulf and traversed the Strait of Hormuz, ship data shows.
The move comes amid a mini-flurry in energy flows transitingthrough Hormuz, with at least two non-Iranian oil supertankers exiting the Persian Gulf. The strait has remained virtually shut to LNG traffic since the war in Iran began in late February choking about a fifth of global supply of the fuel.
Adnoc has exported three other shipments from the Persian Gulf on tankers that went dark when traversing the waterway. The last of those is currently docking in western India. Adnoc didn’t immediately respond to a request for comment.
Still, that represents only a fraction of pre-war volumes, when roughly three tankers carrying the super-chilled fuel exited Hormuz on a daily basis, mostly carrying fuel from bigger exporter Qatar.
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Russia Sends Arctic LNG 2 Cargo East Along Northern Sea Route in Rare May Voyage
The icebreaking LNG carrier Christophe de Margerie appeared to be attempting an unusually early eastbound transit of Russia’s Northern Sea Route (NSR) this week after loading liquefied natural gas from the sanctioned Arctic LNG 2 project, highlighting both favorable ice conditions and mounting pressure on Moscow to sustain exports to Asia.
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Ship-tracking data showed the Arc7 carrier sailing eastward in the Kara Sea as of midday May 28 after loading cargo at Arctic LNG 2 on May 26. If completed, the voyage would rank among the earliest eastbound LNG transits ever attempted along the NSR, where commercial shipping seasons traditionally begin in mid- or late June once Arctic sea ice retreats further.
Only a handful of May transits by Arc7 LNG carriers have previously been recorded. The Christophe de Margerie itself completed the first experimental May eastbound voyage in 2020, delivering LNG from Yamal LNG to China in what was then considered a milestone for Arctic shipping.
The vessel’s current voyage suggests sea ice conditions in the Russian Arctic are again sufficiently limited to permit earlier navigation. Satellite imagery and ice charts this spring have shown below-average ice concentrations across parts of the Kara Sea and eastern Arctic shipping corridor, potentially extending the operational window for Russia’s fleet of icebreaking LNG carriers.
But the transit also underscores growing logistical pressures facing Novatek, the majority owner of Arctic LNG 2, as Western sanctions and vessel shortages complicate exports from the project.
Since late 2024, Arctic LNG 2 cargoes have struggled to consistently reach buyers due to sanctions on the project and a limited pool of available ice-class LNG carriers. The situation tightened further following the recent incident involving the LNG carrier Arctic Metagaz in the Mediterranean, which effectively curtailed the use of the Suez route for Russian Arctic LNG deliveries to Asia, according to shipping sources and industry analysts.
That has increased pressure on Moscow and Novatek to maximize use of the Northern Sea Route despite difficult ice conditions early in the season, as well as sending vessels with no ice-class along the route.
Industry estimates suggest Novatek may require more than 30 additional LNG carriers over the next 12 months to maintain year-round export capacity to Asian markets from Arctic LNG 2 and Yamal LNG as new EU sanctions come online. Western sanctions have sharply constrained access to newbuild vessels and financing, forcing Russia to rely heavily on its existing Arc7 fleet and shadow shipping arrangements.
Russia has long promoted the NSR as a strategic export corridor linking Arctic energy projects with Asian markets. The Kremlin aims to sharply increase cargo volumes along the route this decade, supported by a growing nuclear icebreaker fleet and expanded Arctic infrastructure.
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Technological Development for Cleaner and Greener Environment Hydrogen & Bio-Methane
World’s first 24,000-TEU methanol dual-fuel container ship begins sea trials in China
China has launched sea trials of the world’s largest methanol dual-fuel container ship, taking another big step toward cleaner cargo transport. The ship left Nantong in Jiangsu Province, East China, on Thursday, according to China’s state-run Xinhua News Agency. Built by Nantong COSCO KHI Ship Engineering Co, the vessel is designed to carry 24,168 standard containers. This makes it the largest ship of its type in service. The project also shows China’s increasing leadership in green shipbuilding as more countries look for cleaner maritime technology.
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Massive vessel built for cleaner shipping
The new container ship was designed and built in China. It is almost 1,312 feet (399.99 meters) long, about 201 feet (61.3 meters) wide, and around 109 feet (33.2 meters) deep.
The ship has a deadweight tonnage of 225,000 tons and is the largest methanol dual-fuel container ship in the world. Ships like this can run on either regular marine fuel or methanol, giving operators more options and helping lower emissions.
Zhang Haidong, a company representative, explained the technological significance of the vessel. “The ship’s core breakthrough lies in its integration of the world’s largest methanol dual-fuel main engine, auxiliary engines and boiler system, enabling flexible switching between methanol and conventional fuel modes,” Zhang said, according to Xinhua.
The ship’s design allows it to use green methanol as fuel, which many now see as a cleaner choice for shipping. Experts think methanol could help cargo fleets meet future international emissions standards.
Green methanol could sharply cut emissions
According to Zhang, operating the vessel on green methanol could significantly lower environmental pollution from international shipping. “When powered by green methanol, a single ship can reduce carbon dioxide emissions by about 150,000 tons annually, while nearly eliminating sulfur oxide emissions and significantly cutting nitrogen oxide emissions, in line with the global shipping industry’s decarbonization goals,” Zhang added.
The shipping industry faces increasing pressure to cut greenhouse gas emissions. The International Maritime Organization wants the sector to reach net-zero emissions by around 2050.
Chinese experts say stricter international regulations are accelerating the adoption of cleaner ship technologies. Wang Zhe, a professor at Beijing Normal University, said new environmental rules in Europe are also pushing shipbuilders toward alternative fuels, including methanol, LNG, ammonia, and electric propulsion systems.
After sea trials are complete, the ship is expected to begin operating on international trade routes.
China expands dominance in green shipbuilding
China’s shipbuilding industry has continued to grow rapidly in 2026, especially in the green vessel market. Official data from the Ministry of Industry and Information Technology showed that shipbuilding reached 15.68 million deadweight tons in the first quarter, up 46 percent from last year.
Green ships made up 80.2 percent of China’s new international shipbuilding orders during that time. These included ships powered by LNG (liquefied natural gas), liquefied petroleum gas, methanol, ethane, and electric systems.
Green ships are built to use fuel more efficiently and cut pollution by using advanced engines and cleaner energy sources. Wang Peng, an associate research fellow at the Beijing Academy of Social Sciences, said Chinese shipbuilders are gaining from the global move toward cleaner shipping.
Wang Peng also said that China’s affordable and advanced green ships offer a “Chinese solution” to help the IMO reach its decarbonization goals. These ships provide important technology that helps the global shipping industry reduce pollution and greenhouse gas emissions.
He added that China’s rapid progress in green shipbuilding is also strengthening the country’s supply chain, especially in clean-energy engines and new shipbuilding materials.
https://interestingengineering.com/transportation/methanol-dual-fuel-ship-begins-sea-trials
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