Program Overview
The LNG Business course provides a comprehensive introduction to the liquefied natural gas (LNG) value chain and its commercial aspects. Participants will gain knowledge of contracts, operations, and planning strategies to maximize profitability within the LNG industry. The course includes hands-on exercises and is suitable for professionals in technical, operational, shipping, and commercial roles.
Program Outline
Degree Overview:
Liquefied Natural Gas (LNG) has provided international mobility to natural gas, which now provides around 25% of the world primary energy. Being the cleanest fossil fuel natural gas consumption is forecasted to grow in all future scenarios. This course gives a concise introduction to the LNG business. Thereafter, the elements of the LNG value chain are described and analysed. A Business Activity Model along the value chain will be developed and discussed in depth, covering the following key processes: Buy Gas -> Transport Gas -> Liquefy Gas -> Sell LNG/Products -> Ship LNG -> Regasify LNG Contracts defining the Commercial aspects for each of these activities will be examined and the associated Commercial operations, will be described. Gas Supply Agreements (GSA), Sale & Purchase Agreements (SPA), Ship Chartering (VOY), and Terminal Use Agreements (TUA) s are included. Good practice for developing and executing Annual Gas Supply and Annual Product Delivery (ADP) plans and Specific Delivery Schedules (SDS) will be shown within the framework of a so-called Integrated Activity Planning & Scheduling. Roles and responsibilities of relevant positions, requiring a multi-functional approach, will be examined. Real life experience based hands-on exercises will facilitate deeper understanding. These include; Gas/LNG property and price parity calculations Custody Transfer issues, performance Contract Management – Annual Delivery Programme design and execution strategies LNG property (Heating Value/Wobbe Index) adjustment (Nitrogen injection-UK, LPG injection-JP) LNG Shipping freight calculations, diversion opportunity generation and negotiations Excel based tools/models will be provided to the participants for these exercises.
Target Audience:
Technical, Operational, Shipping and Commercial professionals already active in Commercial Operations area and in particular Planners and Schedulers, Liquefaction technologists, Contract administrators, Traders, Ship Charterers, Cargo Operators, Loading Masters will directly benefit in seeing how their contributions fit in to the integrated optimisation effort and identifying potential improvements to maximise integrated margins.
- Understand how the LNG Value Chain operates, bound by the relevant Contracts and Agreements
- Learn which Commercial/Operational activities are required to operationalise these contracts optimally
- Appreciate the competencies and tools required to execute these activities
- Develop relevant effective organisational structures and strategies
Other:
- This course is also available upon request as a private, on-site seminar.
