Course 13 of 20 · LNG Desk Academy

Liquefaction Tolling & Feedgas Management

Stage D, Assets, shipping and cargo redirection. Level 7 of 10.

Liquefaction tolling and feedgas: capacity payments, fuel and shrinkage, and the lift-or-forgo decision on a tolling slot.

122 chapters · 12 modules · every chapter one 8 to 10 minute explainer · builds on: Course 02, Course 04, Course 09

Enrol or enquire See the 122 chapters
How a chapter is sized

One chapter is one idea taken to the point of use

Each chapter is a single self-contained explainer of 8 to 10 narrated minutes, covering one idea to the point where you can use it.

Chapters run in order. Each one assumes only what the chapters before it taught, and capability belonging to a later course is named and deferred rather than half-covered.

Curriculum

12 modules · 122 chapters

Open any module for its full chapter list, in teaching order.

M0 What a Tolling Offtaker Actually Holds Ch 1-10
  1. Buying Conversion Rather Than Buying a Cargo
  2. The Four Parties Around a Liquefaction Train
  3. What a Tolling Slot Is
  4. Why Anyone Takes a Tolling Position
  5. The Conversion Margin This Course Lives In
  6. Two Cost Layers, One Position
  7. The Energy That Does Not Arrive
  8. Where the Tolling Customer Carries Risk Alone
  9. Vocabulary of the Plant Gate
  10. The Shape of What Follows
M1 The Liquefaction Tolling Agreement Ch 11-21
  1. The Agreement as a Processing Contract
  2. The Grant: Capability, Trains and Term
  3. Nameplate, Guaranteed and Expected Output
  4. Allocating Capability Among Several Customers
  5. The Slot Schedule and How It Is Fixed
  6. Commingling, Title and Your Molecules
  7. Performance Guarantees and Liquidated Remedies
  8. Specification at the Plant Gate
  9. Term, Extension and Exit
  10. Assignment and Change of Control
  11. A Worked Reading of One Tolling Agreement
M2 The Fixed Capacity Payment Ch 22-31
  1. The Payment You Owe for Standing Still
  2. How the Capacity Charge Is Expressed
  3. What the Fixed Charge Is Recovering
  4. Escalation and Indexation of a Fixed Charge
  5. Spreading the Fixed Charge Across Parcels
  6. Why the Fixed Charge Does Not Belong in the Run Decision
  7. Where the Fixed Charge Does Belong
  8. Credit Support Behind a Capacity Commitment
  9. Reduction, Relief and Abatement
  10. A Capacity Payment Modelled Over a Full Year
M3 The Variable Liquefaction Fee Ch 32-40
  1. The Charge That Arises Only When Gas Flows
  2. What the Variable Fee Pays For
  3. Measured on the Way In or the Way Out
  4. Fuel Taken in Kind Alongside a Cash Fee
  5. Power, Utilities and Pass-Through Costs
  6. Minimum Throughput and Use-or-Pay Elements
  7. Overrun and Out-of-Window Charges
  8. Assembling the Avoidable Cost of One Parcel
  9. Avoidable Cost at Two Throughput Levels
M4 Feedgas: Getting Gas to the Plant Gate Ch 41-51
  1. The Feedgas Obligation in Plain Terms
  2. How Much Gas One Parcel Requires
  3. The Daily Feed Profile Behind a Loading Window
  4. Buying Feedgas: Term, Monthly or Daily
  5. Matching the Feed Purchase to the Slot Calendar
  6. Quality at the Gate and What Gets Rejected
  7. A Supply Interruption Upstream of the Plant
  8. Holding Gas Back and Reselling the Feed
  9. Feed Priced Off a Hub, Liquid Priced Off Something Else
  10. Inventory Between Purchase and Loading
  11. A Feedgas Plan for One Quarter
M5 The Pipeline Behind the Plant Ch 52-60
  1. A Separate Right You Must Hold Yourself
  2. Sizing Transport to the Plant's Daily Appetite
  3. The Receipt Point, the Gate and the Interconnect
  4. Firmness of the Path to the Gate
  5. Transport Fuel Before the Plant Even Starts
  6. Three Rights That Must Line Up
  7. When Transport Is Available but the Window Is Not
  8. Transport Cost Inside the Conversion Economics
  9. An Aligned Set of Rights for One Window
M6 Fuel, Shrinkage and the Energy That Disappears Ch 61-71
  1. Liquefaction Consumes Energy to Create Value
  2. Fuel Gas: the Portion the Plant Burns
  3. Shrinkage as a Contract Number, Not a Mystery
  4. Flare, Vent and Start-Up Losses
  5. Boil-Off Between the Tank and the Ship
  6. Nitrogen, Heavies and the Composition That Changes
  7. Expressing the Loss as One Percentage
  8. Grossing Up: Working Backwards From the Parcel
  9. A Loss Factor That Varies Through the Year
  10. Who Bears the Loss When It Exceeds the Factor
  11. Pricing the Disappeared Energy
M7 From Feedgas Purchased to Parcel Produced Ch 72-81
  1. The Conversion Chain End to End
  2. Applying the Unit Conventions to a Feed Stream
  3. A Parcel Sized Backwards From a Ship
  4. Where Each Deduction Enters the Calculation
  5. The Conversion Sheet, Part One: Building It
  6. The Conversion Sheet, Part Two: Reading It
  7. Checking the Sheet Against What the Plant Reports
  8. Conversion Cost per Unit of Loaded Energy
  9. Two Plants Compared on Conversion Efficiency
  10. The Number This Module Hands Forward
M8 The Lift-or-Forgo Decision Ch 82-93
  1. The Only Question That Matters on a Window
  2. The Test Stated as an Inequality
  3. Valuing the Parcel Side of the Test
  4. Valuing the Alternative Use of the Gas
  5. A Window That Fails the Test
  6. A Window That Passes on a Thin Margin
  7. The Error of Including the Capacity Payment
  8. Partial Lifting and a Reduced Parcel
  9. Deadlines: When the Decision Must Be Taken
  10. Deciding Across Several Windows at Once
  11. A Decision That Looks Wrong Afterwards
  12. What the Intrinsic Test Cannot See
M9 Disposing of a Window You Will Not Use Ch 94-102
  1. Why a Secondary Market in Slots Exists
  2. What the Agreement Lets You Pass On
  3. Selling a Slot Outright
  4. Swapping Windows With Another Holder
  5. Lending Capability Back to the Owner
  6. Pricing a Slot for Sale
  7. Buying Someone Else's Slot
  8. Selling the Gas Instead of the Slot
  9. A Surplus Position Unwound
M10 Plant Availability and Things Going Wrong Ch 103-111
  1. Availability as the Thing You Actually Bought
  2. Planned Maintenance and the Scheduled Hole
  3. Unplanned Outage and the Parcel That Vanishes
  4. Derating: a Train That Runs but Runs Slowly
  5. Force Majeure at the Plant
  6. Force Majeure Upstream or on the Pipeline
  7. Replacing a Lost Parcel for a Waiting Buyer
  8. Claiming Against the Owner and What It Yields
  9. Building an Availability Assumption You Can Defend
M11 The Long-Dated Position and a Worked Month Ch 112-122
  1. A Tolling Commitment Is a Decade of Obligations
  2. Marking a Tolling Position Against the Curve
  3. Obligations in Years Nobody Quotes
  4. Reviewing a Tolling Position Annually
  5. Entering a New Tolling Arrangement
  6. A Worked Tolling Month, Part One: The Position
  7. A Worked Tolling Month, Part Two: The Conversion
  8. A Worked Tolling Month, Part Three: The Forgone Cargo
  9. A Worked Tolling Month, Part Four: Closing the Books
  10. Explaining a Forgone Cargo to People Who Dislike It
  11. What a Tolling Position Can and Cannot Do for You

The brochure gives each of these 122 chapters a paragraph on what it covers and what you can do once you have worked through it.

This is course 13 of twenty

It stands alone, and it is also the entry point to the LNG Desk Academy pathway.

Enrol or enquire See the whole pathway