The Global LNG Market and Jordan Cove LNG TD Securities Calgary Energy Conference July 8, 2015 Betsy Spomer Executive Vice-President, Veresen President & CEO, Jordan Cove LNG LLC
Fossil fuels continue to provide most energy 3 BP 2015 Energy Statistical Review
LNG outpacing gas industry growth 2011 global gas consumption LNG as a share of global gas 16% 10% 14% International 12% trade 30% LNG 10% 22% 8% Pipeline 68% Domestic consumption 6% 4% 2% 0% 1970 1975 1980…
Consensus LNG trade outlook Global LNG supply (mtpa) 500 CAGR 2012 to 25 5% pa External LNG trade forecasts* 400 New supply: 150 mtpa 300 (21 bcf/d) Under construction 200 Supply: existing Existing and under 100…
Emerging supply hubs . . . Alaska Russia Russia Canada/ - East - West Oregon East North Med USA Iran Africa Qatar Venezuela West Australia Africa (new & expansion) East Africa Supply prospects Older (pre-2010)…
US exports competitive in a low oil price environment 22.50 JCC LNG cost 20.00 Future Cost of JCC oil- 17.50 linked LNG Delivered LNG into Tokyo Bay 100 prices 15.00 80 12.50 US/MMbtu Asia Spot LNG US LNG…
Globally, US capital costs rank well with other LNG facilities Jordan Cove 8 Source: Gas Strategies
LNG project risks Long-term Permitting/ Geopolitical Existing Diversity of Labor Cost Regulatory Environment Infrastructure Supply US Canada Australia East Africa Russia Qatar Others 9
Tolling model disaggregating the value chain Pipeline / Liquefaction / LNG Transportation / Regasification/ Market / Gas Gas Production LNG Storage / Interim LNG Storage Pipeline / Gas Storage Marketing Company Customer off-take /…
Jordan Cove LNG: project components Terminal: Jordan Cove LNG Pipeline: Pacific Connector 6 mtpa facility (phase 1) Design capacity of 1 bcf/d for 6 mtpa LNG expandable to 9 mtpa (later date) terminal requirements 400+ acre site…
International Port of Coos Bay 7-mile transit to site Federally maintained Mild climate Established community 12
Abundant gas supply from U.S. Rockies and Western Canada 9 shipping days to Asia 9 shipping days to Asia (4300 nmi) Australia LNG 7 to 9 shipping days to Asia (3100 - 4300 nmi) USGC LNG 9 shipping days to USGC LNG…
The Jordan Cove LNG advantage Competitive with Gulf of Mexico brownfield LNG into Asia 9 days shipping from Coos Bay, Oregon to Tokyo No Panama Canal risk Gas supply from two large distinct gas basins Limited local competition for…
Loading...
