Sudden shutdown of six gas-fired power stations in Nigeria has brought the country on the brink of an energy crisis. The outages made power supply slump drops by 1,087 MW, as reported by the Nigerian Electricity System Operator (NESO). Load-shedding is currently imposed all across Nigeria to avoid a complete collapse of the power transmission network.
Strikingly, China has excluded LNG from a list of additional tariffs to be levied on U.S. imports despite the nascent trade war between the two super powers. Beijing’s move shows “LNG is clearly seen as an essential good," and in the event of an escalation Wood Mackenzie expects LNG to remain outside the bounds of any additional tariffs.
Spain’s Gas Natural Fenosa (GNF) has renewed a natural gas supply contract with the Algerian incumbent Sonatrach until 2030. Price or volume details were not disclosed, but GNF stressed the deal guaranteed a stable cost structure for more than 40% of Spain’s overall gas procurement.
June 18 – Oman LNG is seeking to develop a new gas engine-driven power plant at its Qalhat facilities. MAN Diesel and Turbo will deliver the gas engines and associated equipment, while KBR will manage the project execution, supply the generators and ensure safety requirements.
The Trans-Anatolian Pipeline (TANAP), feeding Azerbaijani gas from Shah Deniz into Europe’s $38 billion Southern Gas Corridor, has been delivered on time and under budget. Azerbaijan and Turkey just inaugurated the 16 Bcm/year pipeline in Eskisehir, Turkey.
With Belgium aiming to transition to 100% renewables by 2050, flexibility of supply is paramount which spurs the drive for small-scale distribution. Helping to meet this need, GE’s Distributed Power business agreed to three Jenbacher J624 gas engines, balance of plant as well a performance management system to Den Berk Délice’s greenhouses in Antwerp.
Gazprom and its main partner in China, CNPC, have reviewed the status of Russian natural gas supplies through the eastern route via the ‘Power or Siberia’ project. Following completion of the second tunnel under Amur River, the linear pipeline part from the Chayandinskoye field to the Chinese border is now 84.4% completed, both partners announced.
National Grid has projected Britain’s de-rated power margin for winter 2017/18 projected will be 6.2 GW, or 10.3%, anticipating a net flow of electricity from Continental Europe to the UK at peak times. Considering the current price spread, the TSO also expects a net flow from the UK to Ireland, though this may be reversed in cases of high wind levels in Ireland.
Dealing a blow to the industry, China’s National Development and Reform Commission (NDRC) has significantly reduced solar subsidies by setting new on-grid power tariffs that range between $7.8-11c/kWh, effective June 1. Distributed projects are capped at 10 GW and all utility-scale projects are mandated to set power prices through competitive auctions.
Shifting tact, Uniper CEO Klaus Schäfer has announced plans to expand the utility’s business supplying LNG to power generators in South America, Middle East and Asia. Speaking to investors he was adamant about Uniper’s aim to “remain independent” even after Fortum of Finland will acquire a significant stake in the German utility.