Bonny Island News

Major energy traders are taking hundreds of millions of dollars in losses as they scramble to plug a liquefied natural gas (LNG) supply gap after several outages hampered efforts to fill European storage ahead of the winter heating season.Unplanned disruptions at LNG plants in the United States, Nigeria and Australia have wrong-footed traders, including BP and Shell, forcing them to pay inflated costs for alternative supplies.In a market already struggling to meet global demand for natural gas after Russia sharply reduced pipeline supplies into Europe, the lost LNG cargoes which can be transported by ship, have pushed global prices sharply…

African producer Nigeria Liquefied Natural Gas (NLNG) signed a long-term contract with the Italian energy major Eni SPA for the supply of 1.5 million tonnes/year of liquefied natural gas (LNG) for 10 years from Trains 1, 2, and 3 in Bonny Island, Nigeria.The LNG will be produced from the existing Trains 1,2 and 3 located in Bonny Island, Nigeria.Eni, through its local affiliate NAOC, is also one of the suppliers of the liquefaction plant, thus contributing to the valorization of associated gas resources in Nigeria.The deal, together with the one for 1.1 million tonnes of LNG executed last December between Eni and NLNG, allows Eni to…

Pirates have kidnapped 19 crew members from a crude oil tanker off Nigeria in an area where acts of piracy are on the rise, an official with the ship's operator said on Thursday.The loaded vessel, the Nave Constellation, was attacked 77 nautical miles off Bonny Island on Tuesday and 18 Indians and one Turk from the crew were seized, the official said.Seven other crew members remain on board the vessel. Neither the vessel nor the cargo were damaged, the official said.The shipping…

With greenfield investments in Nigeria, Egypt, Mozambique and elsewhere reaching nearly $103 billion this year, it is clear that liquefaction is viewed as the most profitable strategy for realizing Africa’s gas potential, said Gas Exporting Countries Forum (GECF).Africa is an exciting frontier in the global natural gas sector. The continent holds 7.1 percent of proven global gas reserves and is expected to contribute nearly 10 percent of global production growth through to 2024.Nigeria accounts for over 50 percent of current LNG production capacity on the continent. With October 2019 seeing a final investment decision on the $12 billion…

Piracy increased on the world’s seas in 2018, with a marked rise in attacks against ships and crews around West Africa, the International Chamber of Commerce’s International Maritime Bureau’s (IMB) latest annual piracy report reveals.Worldwide, the IMB Piracy Reporting Centre (PRC) recorded 201 incidents of maritime piracy and armed robbery in 2018, up from 180 in 2017.The Gulf of Guinea remains increasingly dangerous for seafarers. Reports of attacks in waters between the Ivory Coast and the Democratic Republic of Congo more than doubled in 2018, accounting for all six hijackings worldwide, 13 of the 18 ships fired upon, 130 of the 141 hostages taken globally, and 78 of 83 seafarers kidnapped for ransom.The region saw a significant new spike in violence in the last quarter of 2018.

A Swiss-operated ship has been attacked off the coast of Nigeria, Switzerland’s foreign ministry said, amid media reports that 12 crew members had been kidnapped by a  gang of pirates.The MV Glarus, merchant ship operated by Geneva-based shipping company Massoel Shipping, was transporting wheat between Lagos and the southern Niger Delta oil hub of Port Harcourt.According to reports, the incident took place at about 45 nautical miles south west of Bonny Island. The pirates held 12 among the ship's staff members as hostages.According to West African nation's maritime agency, the crew members the Swiss cargo vessel kidnapped by pirates are from the Philippines…

Nigerian pirates have kidnapped 35 seafarers from vessels in the Gulf of Guinea so far this year, according to security firm EOS Risk Group.Nigeria continues to be the world’s epicenter for piracy activity. From January through June 2018, EOS recorded 34 Nigerian pirate attacks on merchant and fishing vessels in the Gulf of Guinea. These attacks resulted in the kidnap of 35 seafarers for ransom and the hijacking of several vessels, EOS Risk Group disclosed in its half year review…

Piracy in Somalia is making a comeback and the Gulf of Guinea remains the world’s most active hotspot for crew kidnappings,  UK Chamber of Shipping said quoting latest data. The report said that during the first three months of 2017, armed pirates hijacked two vessels off the coast of Somalia, an area in which previously no merchant ship had been hijacked for five years. Four further incidents in the region were also attempted this past quarter, according to the latest report from the International Maritime Bureau’s Piracy Reporting Centre (IMB PRC). Meanwhile, in the Gulf Guinea, armed robberies and kidnappings were as prolific as ever during the first quarter.

Two newly built 20m catamaran passenger ferries have recently been delivered to Nigeria. The vessels, Confidence 1 and Confidence 2, are the first in a series of four vessels built by SAM Aluminium in Singapore to support Nigeria Liquefied Natural Gas (NLNG) with operation to Bonny Island in the Gulf of Guinea. The vessels carry 50 passengers with luggage, additional hot shot cargo and have crew accommodation. Built to operate in Sea Area 2, with a sea state up to 2.5m wave height…

Pirates have kidnapped seven Russians and one Ukrainian after attacking the cargo ship the BBC Caribbean off the coast of Nigeria, the Russian embassy said on its official Twitter account. The embassy has asked Nigerian authorities to assist in locating the abducted people, it said late on Tuesday. The Nigerian navy and police were not immediately available for comment. The general cargo vessel BBC Caribbean is managed by Briese Schiffahrts. "The armed pirates approached (the vessel) in a boat, captured the crew and left on the boat at the direction of the Nigerian shores," said Pavel Fedulov, the director of a Briese Schiffahrts subsidiary in St Petersburg, according to Russian news organisation RBC. No firearms were used during the attack, he was quoted as saying.

Shell Petroleum Development Company has declared force majeure (FM) on gas supplies to the Nigeria Liquefied Natural Gas (LNG) export facility on Bonny Island, a spokeswoman said. "The Shell Petroleum Development Company of Nigeria Ltd (SPDC) declared force majeure on gas supply to NLNG on 8 August 2016, following a leak on the Eastern Gas Gathering System (EGGS-1) pipeline through which it supplies the bulk of its gas to NLNG," a spokesman said in an emailed statement. SPDC, Royal Dutch Shell's Nigerian unit, is a joint venture with state oil company Nigerian National Petroleum Corp. They supply gas to the LNG plant. The declaration may impact exports from the facility. Reporting by Oleg Vukmanovic

The Nigerian Navy has foiled an attempt by suspected pirates to hijack and abduct 25 foreign nationals aboard a container ship operated by A.P. Moeller-Maersk A/S carrying general cargo to Nigeria with 25 sailors on board, say local media. Executive Officer of the Nigerian Navy Ship (NNS) Pathfinder Navy Capt. Olusegun Soyemi, said  at Onne Port in Rivers State, that the vessel berthed safely with the rescued crew members unharmed. According to Soyemi, “On Jan. 5 at about 08:00 hours; Safmarine Kuramo was attacked by sea pirates about 60 nautical miles off the coast of Bonny Island (in Rivers) Fairway Bouy. We got may-day distress call that the ship was boarded by unconfirmed number of sea pirates after entering the nation’s territorial waters.

Asian liquefied natural gas (LNG) prices were steady this week amid limited trading activity. The price of Asian spot cargoes for February delivery was pegged at $6.90 per million British thermal units (mmBtu), in line with the previous week. Traders eyed developments in Nigeria where Eni has declared force majeure on loadings from the country's LNG export plant due to pipeline sabotage. All other suppliers continued to ship, although traders said the pace of loadings had slowed. "There's a slight backlog of vessels, they're not loading as quickly as they normally would," said a trader. Nigeria LNG's export plant at Bonny Island can produce 22 million metric tonnes of liquefied gas a year and has long-term supply contracts with buyers in Italy, Spain, Turkey, Portugal and France.

Asian liquefied natural gas (LNG) spot prices for September delivery were firm this week, supported by supply issues in Nigeria after a pipeline leak, though surplus global supplies helped ease concerns. The price of Asian spot cargoes held steady at around $8.00 per million British thermal units (mmBtu), from $7.95/mmBtu last week. Shell confirmed on Thursday that it had declared force majeure on gas supplies to Nigeria's LNG export terminal on Bonny Island in Rivers State due to a pipeline leak. "Before Nigeria happening prices were falling, so it has helped support the market," an analyst said, adding that surplus volumes globally were capping any potential upside. The analyst estimated Nigeria exports at around 7 cargoes a week.

A fully loaded liquefied natural gas (LNG) tanker grounded off Nigeria last week may siphon its cargo to another ship after tugs failed to pull it free, owner Teekay LNG Partners said on Tuesday. The Magellan Spirit tanker, carrying a full load of 165,000 cubic metres, became grounded in soft mud on Jan. 5 trying to leave the Bonny Island LNG export plant, spokesman Jonathan Anthony said in a statement. "Expert advisers are presently on location considering next steps, such as lightening the vessel by way of a ship-to-ship transfer of a part of the cargo, which could occur as early as next week," he said. The Magellan Spirit is not expected to disrupt inbound or outbound tanker traffic from Bonny Island as it was not blocking the shipping channel, traders said on Monday.

A fully loaded liquefied natural gas (LNG) tanker grounded off Nigeria last week may siphon its cargo to another ship after tugs failed to pull it free, owner Teekay LNG Partners said on Tuesday. The Magellan Spirit tanker, carrying a full load of 165,000 cubic metres, became grounded in soft mud on Jan. 5 trying to leave the Bonny Island LNG export plant, spokesman Jonathan Anthony said in a statement. "Expert advisers are presently on location considering next steps, such as lightening the vessel by way of a ship-to-ship transfer of a part of the cargo, which could occur as early as next week," he said. The Magellan Spirit is not expected to disrupt inbound or outbound tanker traffic from Bonny Island as it was not blocking the shipping channel, traders said on Monday.

A liquefied natural gas (LNG) tanker has run aground off Nigeria after taking on a cargo at the country's Bonny Island export plant, two trading sources said. The 165,000-cubic-metre-capacity Magellan Spirit tanker, owned by Teekay LNG Partners, ran aground trying to leave the port bound for South Korea, traders said. Teekay could not be reached for immediate comment. A trader said that the tanker is not expected to disrupt inbound or outbound tanker traffic from Bonny Island as it was not blocking the shipping channel. But it remains to be seen how the cargo's owner, trading house Vitol, will be affected. Traders said that Vitol might have to seek a replacement cargo on the open market. (Reporting by Oleg Vukmanovic

Inchcape Shipping Services (ISS) said it has strengthened its presence in the Niger Delta with the opening of an office on Bonny Island, Rivers State, Nigeria. The office, which complements the company’s existing presence in Lagos, Brass and close neighbor Port Harcourt, will service ISS contracts with Nigeria LNG (NLNG). ISS, which has a worldwide network of over 300 offices, has a program  of office openings in strategic locations, particularly in emerging markets and developing economies. The opening of the office on Bonny Island comes as a result of a recent contract win which will see ISS servicing some of NLNG project vessels.

Bardex Corporation, with headquarters in Goleta, California, has signed a major contract with Hyundai Heavy Industries of Korea to design, manufacture and supply a mooring system for use on Total's USAN FPSO destined for operation offshore Nigeria. The USAN field is located 62 miles south east of Bonny Island and the FPSO, which will be moored in 2,460 ft water depth, will be operated by Elf Petroleum Nigeria. The specially designed mooring system includes sixteen BarLatch fairlead stoppers sized to hold the 1,770 tonnes break strength of the system's 147 mm R3 studless chain, four moveable linear chain jacks rated for a stall pull of 382 tonnes, two 255 tonnes pull-in messenger winches and two hydraulic power units each of which can provide up to 480 kW.

Reuters reported that an oil tanker burst into flames at Nigeria's Port Harcourt on Friday after two loud explosions were heard, oil industry sources said. The tanker was berthed in a general cargo area, not at an oil exporting terminal, and crude exports from the world's eighth largest oil exporter were not affected, the sources said. Port Harcourt is several miles from Nigeria's largest oil and gas export complex on Bonny Island. Source: Reuters

Willbros Group, Inc. announced that business units in Canada, the United States, the Middle East and West Africa have been awarded multiple projects valued in excess of $175 million. Willbros MSI Canada Inc. (Willbros Canada) has been awarded a contract for the fabrication of process modules by Canadian Natural Resources Limited (CNRL). The modules will be fabricated in Edmonton, Alberta at Willbros Canada's new 90,000 square foot fabrication facility which was readied for service over the past year. The contract will run through the third quarter of 2006 and anticipates the follow-on services to erect, install and commission the modules at CNRL's Horizon Oil Sands Project. In the United States, Willbros RPI, Inc.

Norwegian offshore contractor Stolt Offshore was awarded a $135 million contract from Shell Petroleum Development Company in Nigeria for pipelay work. The contract, which has been awarded to a consortium of Stolt Offshore and DSNL, a subsidiary of the Adamac group of companies in Nigeria, is valued at $135 million to Stolt Offshore," it said in a statement. The contract for the pipelay is associated with the development of the Shell Offshore Gas Gathering System, which involves the the installation of two pipelines to link to the Bonga OGGS Riser Platform. A trunkline to connect to the Bonny Island Liquid Natural Gas plant will also be installed, it said. Pipelay operations will start in the third quarter of 2002.