From Splash 24/7, July 3:
Shipping reacts to Japan’s decision to shut 100 coal power plants
News yesterday that the Japanese government is looking to shutter 100 out of its 140 remaining coal-fired power stations has received a mixed reaction from shipping analysts.
Japan is to target the most inefficient 100 coal power plants for closure in the coming decade. The country relies on coal for nearly one third of its energy and it remains one of the most important destinations for coal seaborne trade. Japan is the world’s third largest coal importer after India and China.
The Asian nation’s decision to cut its reliance on coal comes as Europe is also significantly weening itself off the polluting raw material. Moreover, coal use this year around the world has dropped noticeably thanks to the spread of the coronavirus pandemic. Seaborne thermal coal trade has slipped back to 2018 levels, sliding 7% in the first five months of the year.
While coal is not going away for now, makeup of
the ships that carry the commodity is changing
“Overall, the global demand picture for coal is far from positive, as more environmentally friendly energy sources like natural gas and renewables continue to make inroads, especially in Western countries,” commented Ralph Leszczynski, global head of research at Banchero Costa. .......MUCH MORE
And from OilPrice, also July 3:
Japan Bets Big On Mozambique LNG
In partnership with the business sector, the Japanese government will invest some $14.4 billion (1.5 trillion yen) in liquefied natural gas development in Mozambique, the Nikkei Asian Review reported.....MORE
According to the report, the money will fund the development of a gas field in the African country to produce some 12 million tons of LNG annually, beginning in 2024. As part of the deal, trading major Mitsui & Co. and Japan Oil, Gas and Metals National Corp. will together buy a 20-percent stake in the field.
Three Japanese private banks will provide most of the debt funding for the project, and the state-owned Japan Bank for International Cooperation will supply $3 billion in loans.
Another report also mentions $3 billion to be provided in debt financing for the Mozambique LNG project in which Mitsui & Co. is a minority partner with 20 percent to French Total, which operates the project. Part of the $14.4 billion may go into this particular project....
