lng operational flexibility as value driver in the mediterranean basin
DESCRIPTION
GIE Conference Radisson SAS Carlton Hotel Bratislava 29 th September 2006. LNG operational flexibility as value driver in the Mediterranean Basin. Carlo MALACARNE CEO. LNG supply / demand evolution in the Med Basin. The role of the LNG spot market. - PowerPoint PPT PresentationTRANSCRIPT
LNG operational flexibility as value
driver in the Mediterranean Basin
Carlo MALACARNECEO
GIE Conference
Radisson SAS Carlton Hotel
Bratislava
29th September 2006
22
LNG supply / demand evolution in the Med Basin
The role of the LNG spot market
The issue of harmonisation and interoperability
Closing remarks and open issues
33
LNG supply options very attractivein the Med Basin
LNG to Med 2.00-2.50 $/MBtu
Pipe to MedS. haul 1.50-2.00 $/MBtuL. haul 2.50-3.00 $/MBtu
Source: IEA
1872
120
Gas 3% cagrLNG 10% cagr
New Med gas suppliesIn 2030
LNG 200 bcmPipe 130 bcm
44
LNG supply / demand evolution in the Med Basin
The role of the LNG spot market
The issue of harmonisation and interoperability
Closing remarks and open issues
55
LNG supply flowsfrom bipolar systems… to an open web
Source: BP
Markets
LNG
Pipe
S. America
TrinidadW.Africa
AlgeriaEgypt
Norway
Middle East
Sakhalin
S.E.Asia
Australia
PriceArbitrages
66
LNG spot market flexibilitya must for managing value chain risks
Spot-driven cargos geographical arbitragesas a risk-mitigation factor
Source: Various
77
Evolution of the electricity demandin the Med Basin
Source: OME
88
LNG plays a key role in supplying flexibility to the electricity generation sector
Source: Jensen
99
CCGT growth
Domestic production
declines
Seasonality increases
Gas / Power arbitrages
Pipeline saturation
Storage availability
Flexibility Tools Requirement
LNG spot markets are key flexibility providers
LNG spot markets flexibilitya must for the gas users
1010
LNG supply / demand evolution in the Med Basin
The role of the LNG spot market
The issue of harmonisation and interoperability
Closing remarks and open issues
1111
LNG supply flexibility requiresregassification interoperability…
Source: Various
Isle of Grain
1212
… as well as quality harmonisation
LNG
Domestic productions
Pipe imports
Source: Advantica
1313
LNG supply / demand evolution in the Med Basin
The role of the LNG spot market
The issue of harmonisation and interoperability
Closing remarks and open issues
1414
Closing remarks and open issues
LNG will play a key role in the future gas supplies to the Med Basin LNG trading from bi-polar systems to open web Growing Flexibility required both by the market and by LNG operators
… but major efforts are still required for allowing
Fair competition in a given basin Supply flexibility and security Optimal integration with grids
and pipe supplies
Regulatory harmonisation
Terminals interoperability
Quality harmonisation
LNG operational flexibility as value
driver in the Mediterranean Basin
Carlo MALACARNECEO
GIE Conference
Radisson SAS Carlton Hotel
Bratislava
29th September 2006