Daily News

Having a strong gas network in place is key in ensuring a full transition to a low-carbon energy, according to gas industry association Eurogas.

Siemens, together with its Japanese consortium partner Marubeni Corporation, has received a $550 million order for the delivery of a turnkey combined cycle power plant to Thailand's state-owned utility Electricity Generating Authority of Thailand (EGAT).

Italy's Eni and the Nigerian National Petroleum Corporation (NNPC) have signed a memorandum of understanding that envisages, among other things, that Eni will progress plans to double generation capacity at the Okpai Independent Power Plant “through the fast track development of its Phase II making it one of the largest combined cycle power plants in Africa” Eni said.

Mitsubishi Heavy Industries has established a specialised oil & gas division within Mitsubishi Heavy Industries America, its Houston-based US subsidiary.

UK's energy supplier British Gas Business is to pay £9.5 million in redress “following failings in its registrations, complaints handling and billing processes for business customers,” UK regulator Ofgem said.

The new energy strategy of Poland should focus on the transition to a cleaner energy mix as well as on improving the country's energy security, the International Energy Agency (IEA) said in its latest country review of Poland.

Siemens has received a major order for 12 compressor trains for two onshore natural gas processing plants in Iran.

Siemens' customer is the engineering, procurement and construction (EPC) company Hampa Engineering Corporation. The plants are operated by Palayesh Parsian Sepehr.

ABB has won an order from Singapore-based Jurong Engineering Limited (JEL) to supply a Symphony Plus total plant automation system for to Myingyan CCGT plant in Myanmar.

Siemens has received an order from Castle Peak Power Company Limited (CAPCO) for the delivery of a power block for a new combined cycle unit in its Black Point Power Station in Tuen Mun, in the northwest of Hong Kong.

Singapore's Sembcorp has signed a build-operate-transfer (BOT) agreement with the Ministry of Electricity and Energy of Myanmar (MOEE) for its 225 MW Myingyan gas-fired power plant currently under construction in Mandalay.

FirstEnergy has signed an agreement for the sale of four gas-fired power plants in Pennsylvania and its share of a Virginia hydroelectric power station to LS Power Equity Partners for $925 million.

Demand for natural gas in Spain reached a new record on January 19, rising to 1,589.19 GWh on the back of the ongoing cold snap that is affecting the country.

Ukraine cutting its gas ties with Russia is becoming a reality, which in the coming years might lead to a radical change in scenario for energy trading between the two countries and with Europe, the most recent issue of the quarterly Oxford Energy Forum publication by the Oxford Institute for Energy Studies (OIES) argued.

Natural gas demand in Spain reached its highest since 2012 on January 18, standing at 1,502 GWh, gas grid operator Enagas said.

Dong Energy expects to sell all its oil and gas activities by the end of 2017, with the oil and gas business due to appear as “discontinuing operations” in the company's financial statement for full-year 2016, the company said in a statement on January 19.

News in Brief

Southern gas corridor advisory council meets in Baku

Feb 23 - Energy ministers of countries involved in the Southern Gas Corridor initiative and representatives of EU institution have started the third ministerial meeting of the Southern gas corridor advisory council on February 22 in Baku, Azerbaijan.

The meeting was also attended by EU Commission vice-president for energy union, Maros Sefcovic.

The event was expected to focus on the financing of the project, among other things, with the participation of representatives of the World Bank and European bank for reconstruction and development (EBRD), according to a statement from the Azeri energy ministry.

Gazprom inks contract for construction of TurkStream second string

Feb 22 - South Stream Transport and construction company Allseas Group have signed a contract to build the second string of the TurkStream gas pipeline’s offshore section.

South Stream, which is responsible for the construction of TurkStream’s offshore section, is a wholly-owned subsidiary of Gazprom.

TurkStream is the project for the construction of a transit-free export gas pipeline stretching across the Black Sea from Russia to Turkey and further to Turkey’s border with neighbouring countries.

The first string of the gas pipeline is intended for Turkish consumers, while the second string will deliver gas to southern and southeastern Europe. Both will have a throughput capacity of 15.75 billion cubic meters of gas per year.

In October 2016, Russia and Turkey signed the Intergovernmental Agreement on the TurkStream project.

World's first purpose-built LNG bunkering vessel delivered

Feb 21 - Engie, Fluxys, Mitsubishi Corporation, and NYK have taken delivery of the world’s first purpose built liquefied natural gas bunkering vessel (LBV) from Hanjin Heavy Industries & Construction at the Yeongdo shipyard in Busan, Korea.

Zeebrugge in Belgium will be the home port of the vessel.

From there, the 5,000 m3 LNG capacity LBV will supply LNG as a marine fuel to ships operating in Northern Europe, Engie said.

BNetzA consults on underground power cabling

Feb 20 - Germany's regulator Bundesnetzagentur has launched a public consultation, which closed on February 13, on documentation requirements for TSOs in order to install new direct current (DC) power lines underground. 

According to recent legislation in Germany, underground cabling should have priority for new projects.

BNetzA said “the aim is to increase public acceptance and, consequently, speed up grid expansion' adding that the use of overhead lines will be considered “only in exceptional cases.”

ABB delivers substation at Dubai solar park

Feb 17 - ABB has successfully energised a substation in Dubai that will help distribute power from the Mohamed Bin Rashid Al Maktoum (MBR) Solar Park.

The 400/132 kilovolt (kV) gas-insulated switchgear substation has been built for Dubai Electricity & Water Authority (DEWA) to connect the second phase of the MBR Solar Park and integrate 200 megawatts (MW) of electricity to the transmission grid.

Further expansions are planned at the facility, which, when completed by 2030, will be “the largest single-site solar project in the world with a capacity of 5,000 MW” ABB said.

OPEC agreed cuts achieve “record compliance rate”: IEA

Feb 16 - Oil production cuts agreed by members of OPEC and eleven non-OPEC countries have “achieved a record initial compliance rate” of 90%, with some producers, notably Saudi Arabia “appearing to cut by more than required” the International Energy Agency (IEA) said.

The IEA estimates that OPEC production in January was 32.1 mb/d.

OPEC “appears to have made a solid start to what is a six-month process” the IEA said, adding “this first cut is certainly one of the deepest in the history of OPEC output cut initiatives.”

EBRD, Moldova hold talks on energy and transport projects

Feb 15 - A delegation from the European Bank for Reconstruction and Development (EBRD) met Moldova's PM Pavel Filip, minister of economy Octavian Calmic, minister of finance Octavian Armasu, and governor of the National Bank Sergiu Cioclea on February 13-14.

The two sides discussed the implementation of large transport, energy and municipal infrastructure projects, including those co-funded by the European Union.

The EBRD is working with the authorities to promote key reforms in these sectors, it said.

Eni sells 10% stake in Egypt's Shorouk concession to BP

Feb 14 - Eni’s CEO, Claudio Descalzi, Bob Dudley, CEO of BP, and   the Egyptian minister of petroleum, Tarek El Molla signed a deed completing the sale to BP of a 10% stake in the Shorouk concession, offshore Egypt.

Eni and BP first agreed on the sale of the concession stake, where the super-giant Zohr gas field is located, in November 2016, Eni said.

Eni, through its subsidiary IEOC, now holds a 90% stake in the license, while Rosneft has agreed to acquire a 30% stake, subject to the Egyptian governmental approval.

Vattenfall to supply Chinese high-tech datacenter in northern Sweden

Feb 13 - Chinese tech company Canaan Creative is to open a new 10 MW data center in northern Sweden, which will rely on smart energy supplies from Vattenfall.

Canaan is a “world-leading producer of blockchain solutions and ASIC microprocessors and the first Chinese company within the sector to open a data center in Europe” Vattenfall said, adding that the chosen location was due to “technological development, climate smart energy in abundance and the lowered tax rates."

In autumn 2016, Vattenfall and Skelleftea Kraft acquired The Node Pole Alliance, which is dedicated to supporting data centers and high tech industry establishment in the north of Sweden.

Greece, IEA discuss energy strategy

Feb 10 - The executive director of the International Energy Agency (IEA) Fatih Birol has met with the Greek minister for environment and energy, George Stathakis, to discuss the energy sector transition and the outlook of global energy markets.

Stathakis shared “the good progress Greece has made in increasing the share of renewables in the power sector and highlighted the importance accorded to energy efficiency and the positive impact it can have on overall economic development” the IEA said in a statement.

The IEA is to conduct its 5-year review of energy policies of Greece in 2017, “including those that are relevant for energy security of the country, and its ambition to reduce the carbon footprint of its energy sector” it said.

EBRD to support Egypt's green economy transition

Feb 9 - The Board of Directors of the European Bank for Reconstruction and Development (EBRD) has approved its first country strategy for Egypt.

EBRD said Egypt's green economy transition is among the key priorities identified by the strategy.

Specifically, the EBRD will “support Egypt’s efforts in diversifying its energy mix by financing renewable energy projects and energy efficiency investments across sectors, including energy efficiency credit lines for SMEs,” it said.

Enel expands electricity storage portfolio

Feb 8 - Italy's Enel has partnered with storage systems provider Aton Storage in order to expand its portfolio in the sector.

The deal follows agreements reached by Enel in recent months with Tesla, BYD and LG Chem.

Enel has also incorporated the Aton storage system in its commercial offering of photovoltaic panels combined with energy storage systems “which will launch shortly” it said.

Engie to build its first geothermal power plant in Indonesia

Feb 7 – France's Engie, as part of PT Supreme Energy Muara Laboh consortium, has reached the financial closing for phase I of the Muara Laboh geothermal project in Indonesia, the company's first high temperature geothermal power generation plant in the world.

With commissioning planned in 2019, this first phase will generate 80 MW of emission-free electricity, the equivalent of the energy consumption of around 120,000 households, Engie said.

Enel brings online two new PV plants in South Africa

Feb 6 - Italy's Enel, through its renewable energy subsidiary Enel Green Power RSA, has brought the 82.5 MW Adams and Pulida solar PV plants, located in South Africa’s Northern Cape and Free State provinces, into commercial operation. 
 
The two solar plants are supported by a 20-year power supply agreement with South African power utility Eskom, which Enel was awarded in 2014 following the third round of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) tender promoted by the South African government, Enel said.

ABB wins $75 mil power link order in Brazil

Feb 3 - ABB has won a $75 million order to supply advanced converter transformers for the Belo Monte 800 kV ultra-high-voltage direct current (UHVDC) transmission link.

The 2,518 km link will transmit clean power generated in the north of Brazil, from the Xingu substation to the Rio Substation in the southeast. It will transport up to 4000 MW of electricity, enough to meet the needs of around ten million people, ABB said.

Enel Green Power adds 2 GW capacity in 2016

Feb 2 - Italy's Enel renewable energy subsidiary Enel Green Power built some 2,018 MW of new capacity in 2016.

The company said this was a “record” as new capacity had doubled compared to 2015.

New projects completed in 2016 include the the 102 MW Apiacas hydropower park in the Brazilian state of Mato Grosso, and the 160 MW Finis Terrae solar PV park in Chile, as well the 400 MW Cimarron Bend wind farm in Kansas, US.

LNG exports at Algeria's Skikda terminal resumed

Feb 1 - LNG exports out of the Algerian terminal of Skikda have resumed since January 26, after they had stopped in December due to technical issues.

The restart allowed Sonatrach to send to France “the additional LNG loads requested by Engie” the CEO Amine Mazouzi was quoted by media reports as saying.

Earlier in December, French grid operator GRTgaz had warned of a short gas system in the South-East of France, due to a cold snap. Requests of additional volumes from Algeria however could not be met due to the stoppage at Skikda.