Guest “I do not think that word, powerhouse, means what you think it means” by David Middleton
Germany Poised to Become LNG Powerhouse With Law to Cut Red Tape
Legislation set to cut approval time for import terminals
Nation is among EU states seeking to reduce reliance on Russia
By Vanessa Dezem, Arne Delfs, and Anna Shiryaevskaya
May 10, 2022Germany is set to become a liquefied natural gas powerhouse within a year as it fast-tracks new import terminals to slash its dependence on Russian fuel.
Germany’s Federal Cabinet gave the green light to draft legislation to cut the approval process for such facilities to a 10th of the usual time. The government is planning four floating terminals, allowing it to replace at least 70% of Russian gas imports and marking a significant u-turn in energy policy after years of resisting costlier U.S. LNG.
[…]
Germany has long snubbed American LNG — touted as “freedom gas” by the Trump administration — miring past efforts to build terminals in lengthy bureaucracy. Its buyers have favored cheaper pipeline supplies, while the government has been concerned that bringing in U.S. cargoes — the product of fracking — might harm its environmental credentials.
[…]
Bloomberg
Note: Due to reporting requirements, some volumes of pipeline-imported natural gas are not attributed to a source country.
How does importing more than 80% of your natural gas qualify as a “powerhouse,” irrespective of the sources and nature of the imported gas?
“Powerhouse”?
This is what “poised to become LNG powerhouse” looks like:
DECEMBER 9, 2021
U.S. liquefied natural gas export capacity will be world’s largest by end of 2022U.S. liquefied natural gas (LNG) export capacity has grown rapidly since the Lower 48 states first began exporting LNG in February 2016. In 2019, the United States became the world’s third-largest LNG exporter, behind Australia and Qatar. Once the new LNG liquefaction units, called trains, at Sabine Pass and Calcasieu Pass in Louisiana are placed in service by the end of 2022, the United States will have the world’s largest LNG export capacity.
[…]
EIA
Oh I see. It is going to become an LNG powerhouse in the same way a rechargeable battery is a powerhouse of electrical energy. Someone else is responsible for adding the energy.
Germany could diversify it’s supply (and other countries of Europe), over time: The Mediterranean basin is potentially a source of natural gas; already the eastern Med has substantial proven reserves [Biden admin. has blocked an east Med gas pipeline that had been on the drawing boards for some time.] of natural gas,
The are many geologic indicators that hydrocarbons exist across much of the med basin.
Western Med natural gas, if, indeed, there are reserves of commercial value, could provide a secure source of natural gas for all of western Europe.
That would be too easy, wouldn’t it?
Until then (whenever the political will exists), LNG can hold them over.
But “powerhouse” is not the word I’d use.
“Dependent” is the word I’d use.
How did the Biden Administration have the authority to block the eastern Med pipeline?
“Block” might be too strong a word, “does not support” is better, but from the items I read, this soft power, however extensive, has put the project on hold.
https://www.americanenergyalliance.org/2022/01/biden-abandons-israeli-pipeline-in-favor-of-russian-gas-via-ukraine/
https://www.jpost.com/international/article-693866
https://www.thenationalnews.com/weekend/2022/02/11/why-biden-turned-off-support-for-mediterranean-gas-pipeline-from-israel/
https://www.reuters.com/business/energy/us-voices-misgivings-eastmed-gas-pipeline-greek-officials-2022-01-11/
https://nypost.com/2022/01/24/gas-prices-keep-rising-but-team-biden-seeks-to-stop-a-pipeline/
As Mr. Evans said, blocked might not have been the most accurate word… Brandon just did everything he could to greenlight Russia’s Nordstream 2 pipeline, while doing everything he could to block the EastMed pipeline from Israel to Greece.
Mr. Middleton, thank you.
Remember when the Germans at the UN were laughing at Trump as he told them this was going to happen? Ya, pretty funny right?
Trump was right again?
Next time he’s in, I hope he fires a whole lot more people and a goodly number end up in prison (in general population).
Buffett not stupid dumping money into us energy. US natural gas will be in high demand for a long time.