An LNG vessel in Tekirdag, Turkiye on April 12, 2023. ]
Lokman Akkaya | Anadolu Agency | Getty Images
Russia’s role as a global energy player is set to diminish, and the U.S. and Qatar are among a slew of nations ready to fill its shoes, analysts told CNBC.
“Russia’s global LNG supply share will almost certainly decline this decade,” Henning Gloystein, a director for energy, climate, and natural resources at political consultancy Eurasia Group told CNBC. He noted that its role in the liquefied natural gas space was retreating even before the country’s invasion of Ukraine last year.
Western sanctions, which resulted from the onslaught of its neighbor, further sapped most foreign investment out of Russia’s LNG sector.
Russia’s inability to purchase liquefaction modules (which enable natural gas to be converted into LNG) will hamper its ambitions, said S&P’s Director of South and Southeast Asia Gas, Zhi Xin Chong.
“In this decade, it will be extremely challenging for Russia to expand its liquefaction capacity given the broad sanctions that have been imposed on the country,” Chong said in an e-mail.
He added that the total capacity for Russia’s LNG facilities to produce natural gas will remain flat at 37 million tons over the next few years.
By 2030, the total global LNG capacity will grow by 50% to 671 million tons per year — and Russia’s share of this pie is expected to fall to 5% from the current 6.7%, S&P further projects.
Russia’s diminishing place
In 2021 before its invasion of Ukraine, Russia was the world’s largest gas exporter, as well as the fourth largest LNG exporter after Australia, Qatar and the U.S.
And these countries are expected to fill the gas gap — alongside others.
“We’re going to see much more emphasis on other places like the U.S., Mozambique and Australia,” Chong said.
The Liquefied Natural Gas (LNG) tanker Maria Energy is moored at the Uniper LNG terminal at the Jade estuary in Wilhelmshaven, northern Germany, on January 4, 2023.
Focke Strangmann | Afp | Getty Images
By 2030, Chong expects the U.S. to take up 25% of global LNG capacity, and Qatar to make up 19%.
Eurasia’s Henning also cited the U.S. and Qatar as being the “main beneficiaries” as Russia falls back from the world’s LNG ecosystem.
“New projects and expansions to existing facilities in the U.S. as well as Qatar’s massive North Field expansion have been significantly accelerated as Europe piled into the LNG market last year,” he said.
Asides from the U.S. and Qatar, the Eastern Mediterranean is also on his list as the region is geographically well suited to replace Russian pipeline gas to southern European countries, especially Italy, Greece and Croatia.
“East African LNG including Mozambique and potentially also Tanzania may also benefit,” Henning added.
LNG’s diminishing place?
However, he cautioned that the “window of opportunity is relatively narrow” given Europe’s drive to reduce overall gas consumption through upcoming restrictions on usage and investment in alternative domestic supply sources.
The European Union unveiled a REPowerEU plan shortly after the start of the Ukriane war, with an aim of increasing the share of renewables in final energy consumption to 45% by the end of the decade. This dovetails with the European Climate Law’s long-term decarbonization agenda, Pavel Molchanov, managing director of equity research at investment bank Raymond James, told CNBC via email.
“The expansion of renewable power means that the role of gas, not to mention coal, is diminishing over time,” he said.
Kia’s upcoming entry-level EV has finally made its way to the famous Nurburgring for testing. The EV4 hatch was spotted ripping across the track, nearly on two wheels at one point, as Kia preps for its big debut.
According to Kia, the EV4 is “an entirely new type of EV sedan. ” It was first unveiled last October during Kia’s first annual EV Day, alongside the EV3 and EV5 as part of its new low-cost lineup.
The EV5 launched in China last year, while the EV3 is already rolling out in Korea and Europe. Next up, we will finally see the production version of the EV4.
Although its four-door format suggests it’s a sedan, Kia said the EV4’s bold design is a symbol of the company’s innovation. Its low nose, long-tail silhouette, and added roof spoiler give it an almost racecar-like feel.
With its official debut approaching, Kia’s EV4 has been spotted out in the wild several times. Last week, it was caught testing in the US for the first time.
A hatchback model has also been spotted. It was first caught on European roads this summer and in the US earlier this month.
Kia EV4 hatch takes on the Nurburgring as debut looms
After the EV4 was spotted racing across the Nurburgring for the first time, we are getting our best look yet at the upcoming Kia model.
The video from CarSpyMedia shows the EV4 hatch carving up sections of the track. Several times, you can see the EV4 is being pushed to the limits, nearly going up on two wheels.
However, with a low center of gravity and likely added stabilization tech, the EV4 appears to handle it with ease. You can also see the difference between the sedan model and the hatchback, with the bulky backside.
As it takes on the track, it almost looks like the 576 hp EV6 GT, Kia’s fastest and most powerful car. At least for now.
Kia is expected to officially reveal the EV4 by the end of the year, with deliveries starting in 2025. Prices are expected to be in the $30,000 to $40,000 range. The hatchback model is likely aimed at Europe, but it could also find a market in the US as buyers drift toward more efficient options.
Ahead of the LA Auto Show later this week, Kia is teasing five new vehicles for the US, at least one being an EV. Will it be the EV4? EV3?
Source: CarSpyMedia
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Elon Musk is hinting at Tesla making bigger electric cars, but you shouldn’t hold your breath as it’s not the first time he said that.
In the last few hours, Musk responded to two fans on X, asking Tesla to build bigger vehicles to support larger families.
Musk often promotes the idea of having bigger families as he is afraid of declining populations due to low birth rates in some countries.
With the first one, the CEO responded with a simple “OK,” and with the other, he elaborated a bit more by referencing the recently unveiled Tesla Robovan and “some other things”:
Musk appears to be hinting at Tesla’s work on a bigger electric vehicle that has yet to be unveiled.
While interesting, it’s hard to give too much weight to the comment, considering Musk claimed that Tesla has been working on a higher passenger capacity vehicle for years.
A “high passenger-density urban transport” vehicle has been in Tesla’s official product roadmap since 2016 and has yet to be unveiled, unless you count the Robovan unveiled last month, but that’s completely attached to Tesla’s self-driving effort as the vehicle has no steering wheel or pedals.
As part of Tesla’s shift toward autonomous driving, the automaker has pulled back plans for several new electric vehicle programs in favor of those without any driver inputs, like Cybercab and Robotvan.
Tesla is expected to soon unveil two new vehicles to be launch next year, but those are based on the Model 3 and Model Y and therefore, they aren’t likely to be bigger vehicles.
Electrek’s Take
Like most things Elon says lately, it goes in my “I’ll believe it when I see it” folder.
That said, I think an electric van that can be configured for cargo, camper, or passenger, would make a ton of sense in Tesla’s vehicle lineup.
Of course, it’s harder to get the greenlight for a vehicle program like that if your CEO is perpetually convinced that the company is on the verge of achieving self-driving and making steering wheels obsolete.
I’m more of the opinion that Tesla should have played it more careful and continue working on growing its human-driveable EV lineup while working on self-driving.
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Penske Truck Leasing is rolling out rooftop solar on its US truck leasing, rental, and maintenance buildings, starting in Illinois.
Penske Truck Leasing, which offers an electric truck fleet leasing program, wants to cut emissions and save energy, so it’s activated its first rooftop solar system at its new facility in Channahon, Illinois (pictured). The 200 kW system is expected to generate about 80% of the building’s energy needs, and the rest will be supplied by the local utility.
The next Penske Truck Leasing rooftop solar system to come online will be in Grand Rapids, Michigan, “in the coming months,” followed by another in Linden, New Jersey, in 2025. All three of these new buildings are part of Penske’s LEED building program, which is designed to reduce energy use and promote sustainability.
Seven of Penske’s existing facilities in California will also get solar retrofits. These locations, which include Fresno, Hayward, La Mirada, National City, Riverside, San Diego, and San Leandro, are expected to generate about 600 kW of renewable energy in total.
Penske has teamed up with Sunrock Distributed Generation under a power purchase agreement to make the California upgrades happen. The company is also working with ForeFront Power, based in San Francisco, as its lead consultant for the solar rollout.
On average, these solar-powered Penske facilities will generate around 1 million kWh of renewable energy each year, preventing about 442 metric tons of CO2 emissions annually. That’s equivalent to the amount of energy needed to power nearly 90 homes for a year.
Drew Cullen, senior vice president of fuels and facility services at Penske, highlighted the significance of this move, noting:
Our solar program is an important piece of our renewable energy strategy, and ForeFront Power continues to be an outstanding partner in helping us bring these projects to fruition.
These investments will allow us to directly generate our own renewable energy to power our locations and continue to support our customers with sustainable solutions.
Penske Truck Leasing, part of Penske Transportation Solutions, is headquartered in Reading, Pennsylvania, and operates over 437,000 vehicles across North America, with nearly 1,000 maintenance facilities and more than 2,500 rental locations. Its investment in solar power is a key part of its broader sustainability strategy to cut emissions and reduce reliance on traditional energy sources.
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