Royal Dutch Shell is close to bagging a deal to supply Hong Kong with liquefied natural gas (LNG), beating out major competitors for the right to be the first company to supply LNG to the city. Hong Kong is undertaking a massive shift to using more natural gas to fuel its electric power generation from coal, aiming to increase the use of natural gas in its total fuel mix for power generation to about 50 percent by 2020 from 22 percent as of 2012, potentially creating a steady and lucrative demand source in the Asian LNG market. Under the deal, Shell will supply about 1.2 million tonnes per annum (mtpa) of LNG for about 10 years starting after 2020. – Reuters

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