Developing Alaska’s Arctic National Wildlife Refuge (ANWR) would substantially increase U.S. crude oil and natural gas production after 2030. The state of Alaska holds an estimated 36 billion barrels of crude oil and 137 trillion cubic feet of natural gas, so after the Trump administration lifted an ANWR drilling moratorium in December 2017, wildcatters are rushing north to tap America’s Arctic resources.
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.
Risk of a trade war with China is affecting U.S. President Trump’s homeland, after China threatened to levy tariffs on imports of crude oil, natural gas and refined products from the United States. If imposed, these tariffs would be a big deal given that China just emerged as the largest importer of U.S. crude oil and a key LNG offtaker.
President of Bolivia Evo Morales has met Gazprom chairman Alexey Miller in Moscow to discuss joint projects for oil and gas development, notably boosting the output of Bolivia’s massive Incahuasi field. If successful, this move will lead to rising exports of pipeline gas to neighbouring Argentina where it is being used as a fuel for power generation.
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.
Germany’s engineering giant Siemens is evaluating the sale of its flagship large gas turbine division, trying to ease pressure and cut costs after sales of large turbines fell off a cliff. Deliberations include merging the PG business unit with a rival, further downsizing or bracing for another downturn and keeping the business.
Eager to maintain market share, GE Power has just introduced the new MXL2 with an additive manufactured, or 3D printed performance upgrade for the GT13E2 turbine. The new solution is meant to help operators of gas power plants save up to $2 million in fuel annually.
Competition in the U.S. power market keeps heating up with marketers supplying about 21% of retail electricity sold, up from just 11% in 2005. Investor-owned utilities, in contrast, lost market share from 62% in 2005 to currently just above 52%. According to EIA analysts, this shift was driven by the Energy Policy Act of 2005, which closed the original federal regulatory structure established by New Deal-era legislation.
Britain’s top engineering company Rolls-Royce has announced it will cut 4,600 jobs over the next 24 months in a bid to achieve run-rate net cost savings of £400 million per year by the end of 2020. Earlier this week, Rolls-Royce had to admit the costly compressor failure in its Trent 1000 package C engine has now also been found in a different type of engine.
Dry natural gas production in the United States is about to reach a fresh record of 81 Bcf per day, spurring LNG export growth and pushing down prices this year. According to the U.S. Energy Agency (EIA), Henry Hub prices are forecast to average $2.99/MMBtu for the full year 2018, but notch up to $3.08/MMBtu in 2019.
Working with Tata Power Delhi Distribution, GE Power has launched an advanced grid solution to monitor, analyse and fine-tune planning operation of the electricity distribution network in India’s biggest city. The system will improve the lives of over seven million people living in the north and western part of the Indian capital, an area with a peak load of more than 1,850 MW.
Chart Industries has named Jillian C. Evanko as chief executive and president to replace incumbent William C. Johnson. The U.S. LNG equipment-maker reiterated its full-year 2018 guidance of $1.15 billion to $1.20 billion of revenue.
Australia’s biggest gas pipeline company, APA Group, has allowed CKI of Hong Kong access its books after the Chinese consortium made a A$13 billion (US$9.8bn) takeover bid. The suitor will, however, have to win over regulators on Canberra who view the massive offer with some critical restraint.
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.