Daily News

Though domestic coal reserves are abundant in many energy-intensive Asian economies while gas is more scarce and expensive, analysts see the tide turn towards a greater use of cleaner-burning natural gas. With gas prices at Henry Hub down from over $15/mmbtu in 2005 to just $2.58/mmbtu this Thursday, exporting US LNG is poised to bring cost-competitive gas to Asian power producers.

Over half of the electricity needs of Calgary's metropolitan residents are now met by the newly commissioned Shepard Energy Centre. KBV Shepard Power Partners, a JV between Black & Veatch and Kiewit Energy, completed the EPC works for the 800 MW gas-fired power plant.

Musandam Power Company has selected Pöyry to undertake the owner's engineer services assignment for the Musandam IPP. Oman Oil Company and LG International Corp are developing the 120 MW plant, using dual-fuel reciprocating engines. The fast track project is due to be completed before the end 2016.

Dubai Electricity and Water Authority (DEWA) has awarded a contract worth Dh1.47 billion ($400 million) to Siemens Energy for the turnkey construction of the Jebel Ali M-Station Expansion combined-cycle power plant. The extension unit is due to start up in the spring of 2018.

Unfazed by low oil prices, the global market for genset installations, powered by natural gas, are forecast to reach 27.2 GW by 2024 and generate $146.8 billion in cumulative revenue between 2015 and 2024, according to Navigant Research. Dual-fuel gensets, are bridging the gap between diesel and gas gensets and have risen in popularity in markets with a lack of adequate gas supply or distribution infrastructure.

For the second year in a row, the United States has seen a rise in energy-related CO2 emissions – the largest component of overall greenhouse gas emissions. On March 31, the U.S. officially committed to a target to reduce emissions 26%-28% from 2005 levels by 2025.

United Overseas Bank (UOB) has announced it sealed a financing deal with Singapore-based Royal GK, an engineering procurement and construction company, which is about to buy gas engines to build a gas power plant in Hlawga, Yangon, on behalf of Myanmar Central Power.

French turbine manufacturer Alstom announced its energy business unit in Indonesia will shift its strategy to increasingly focus on serving the domestic market. Up to $20 million may be spent on expanding its local factory. Andreas Lusch, Alstom's head of steam and nuclear business, sees "enormous opportunities" in Indonesia as the government in Jakarta plans to add 35,000 MW of new power generation capacity.

Laser repair of gas turbine components is just a step away from becoming a wide-spread commercial reality. Repairs recently carried out at the National Research Council of Canada (NRC) were achieved by laser cladding components in test turbines, with data analysis showing this innovative repair approach reduces of maintenance cost, shortens repair cycles and extends component life.

Cheap energy sources are a quest for Turkey policy makers, as electricity demand is forecast to double by 2023, reaching 500 million megawatt-hours. Tax incentives have been granted for domestic lignite production and Turkish hydrocarbon developers are keen to learn how to best tap the country's estimated 1.8 trillion cubic meters of shale gas reserves.

Though financing from China has helped increase Angola's power generation capacity, over two thirds of the population still has limited or no access to electricity. Main stumbling blocks are the high costs of fossil fuels and electricity distribution as well as operators' limited revenue collection, with more than 80% of end-users not metered.

Satellite capacity for global data operations is forecast to expand fivefold over the next five years, allowing power TSOs to accurately forecast intermittent renewable energy supply and fine-tune power grid operations accordingly. Broadband Global Area Network (BGAN), delivered via Inmarsat-4, provides monitoring and communications services well suited to power generators.

A Spanish consortium comprising OHL Industrial and Sener engineering group have signed a $477 million contract with Mexico's Federal Electricity Commission (CFE) for the turnkey construction of the combined cycle plant Empalme I. Works are due to be completed within 30 months.

For the first time since the 1950s, U.S. energy imports and exports have come back into balance. Projection in EIA's Annual Energy Outlook 2015 (AEO2015), shows the potential to eliminate net U.S. energy imports sometime between 2020 and 2030.

News in Brief

Rolls-Royce conducts laser field tests in the US

May 18 – Rolls-Royce has successfully conducted laser field tests to demonstrate ‘deep magazine’ power capability for directed applications in connection with Lockheed Martin’s layered laser defense project. Deep magazine power can be provided by a battery-only system, but the Rolls-Royce ColdFire system includes both battery-powered and near-continuous firing modes provided by M250 gas turbine engines.

Gas vs oil ratio increases in the Bakken

May 17 – The ratio of natural gas to crude oil production has risen in North Dakota’s Bakken region since 2008, and continues to accelerate. According to the US Energy Information Administration's (EIA) Drilling Productivity Report, annual gas gross withdrawals in the Bakken increased by 9% to an annual high of 2.97 Bcf/d in 2021, even though the region’s crude oil production fell by 6%.

Middle East shifts to gas power

May 16 – The Middle East, a region vulnerable to climate change, is undergoing a major shift from petroleum-based power plants towards gas-fired generation and renewable power sources. Capacity additions of over 185.46 GW are the pipeline, according to ResearchandMarkets, as the regions electricity demand for industry and residential cooling is set to grow. In fact, cooling already accounts for 70% of residential power demand.

Carbon utilisation in strong demand

May 13 – The market for carbon utilisation is forecast to grow rapidly from the 2030s onwards to surpass $285 billion by 2042, driven by rising climate commitments and a favourable regulatory framework. In its latest report IDTechEx also highlights the role of technology advances such as thermodynamics which help sequester CO2 permanently.

MTU gensets approved for biofuels

May 12 – Rolls-Royce has gained approval to use synthetic fuels in its MTU Series 4000 and Series 1600 diesel engines for power generation application. Field testing confirmed both engines can use a range of sustainable fuels including biomass-to-liquid, hydrotreated vegetable oil and power-to-liquid fuels such as e-diesel.

E.ON tells Germans how to save gas

May 11 – A large-scale switch to heat pumps, solar power and better demand-side management could help save Germany nearly 100 TWh of natural gas per year, E.ON has said, calling on households to contribute to Europe’s efforts to reduce reliance on Russian gas imports. “If 10% of the homes in Germany are equipped with solar PV installations, 20% of gas boilers are replaced by heat pumps, and the average temperature in all households is reduced by one degree Celsius on average, this would lead to natural gas savings of 103 TWh per year," E.ON Energy CEO Filip Thon said, noting this volume would equate to about 30% of Germany’s current gas imports from Russia.

Exelon Q1 earnings lower following Constellation cave-out

May 10 – Exelon has reported lower first quarter earnings and a higher operating revenue, having completed the separation of Constellation Energy – Excelon’s former power gen business. Focussing now solely on transmission and distribution, Exelon’s net income from continuing operations for the first quarter of 2022 decreased to $0.49 per share from $0.53 a share in pre-year period. In contrast, adjusted operating earnings notched up to $0.64 per share, primarily due to due to higher electric distribution earnings at ComEd from higher rate base and higher allowed electric distribution. Rate increases at Excelon’s group companies PECO, BGE, and PHI were partially offset by higher depreciation expenses at BGE and PHI.

South Africa to add 2.6 GW of new capacity

May 9 – South Africa’s Department of Mineral Resources and Energy, has just announced the REIPPPP BW6 Request for Proposals (RFP).  The bid round will add 2,600 MWs of new capacity to the energy mix. The ministry seeks to procure 11,813 MW of electricity from various power sources including renewable energy, storage, gas and coal.

GE Gas Power authorized as CVE Numbering Authority

May 6 – GE Gas Power’s increased focus on cybersecurity has been recognized by the Common Vulnerability and Exposures Programm as a ‘CVE Numbering Authority (CNA).  As such, GE Gas Power can now assign CVE identification numbers to newly discovered vulnerabilities potentially related to its products and allow GE Gas Power to directly publish new CVE Records and streamline the reporting process.

Heliogen gets nearly $90m in funding

May 5 – Heliogen has moved from design into testing and implementation of its supercritical CO2 power gen system that will be deployed for Woodside in California. The system consists of a 5 MWe sCO2 power block integrated with high temperature solid media thermal energy storage. The demonstration project is being funded with up to $50 million from Woodside, along with $39 million from the U.S. Department of Energy (DoE).

Capstone to install microturbine in the Caribbean

May 4 – E-Finity Distributed Generation, Capstone's distributor for the Mid-Atlantic, Southeastern United States and the Caribbean, has secured an order for two C1000S microturbines for a government water authority in the Caribbean. The 2 MW system will provide emergency standby power to several pumping stations throughout the remote island community and is scheduled to be commissioned towards the end of 2022.

Forecasting solar and energy storage in CAISO

May 3 – Marubeni has chosen Veritone’s AI-based distributed energy resource management solution (iDERMS) to provide price, demand and generation forecasts at their pilot project in the California Independent System Operator (CAISO) SP-15 region. In addition to day-ahead and real-time generation figures, Veritone will also forecast production and demand for the overall CAISO region.

Forecasting solar and energy storage in CAISO

May 2 – Marubeni has chosen Veritone’s AI-based distributed energy resource management solution (iDERMS) to provide price, demand and generation forecasts at their pilot project in the California Independent System Operator (CAISO) SP-15 region. In addition to day-ahead and real-time generation figures, Veritone will also forecast production and demand for the overall CAISO region.

Steam turbines in high demand

April 29 – The market for steam turbines for power generation will grow around 6.5% through to 2027, driven by the build-out of combined-cycle gas power plants – notably in Asia and the United States, ResearchAndMarkets finds. Coal power projects in China, India and Bangladesh also require significant numbers of steam turbines. “Many of the countries in Asia-Pacific cannot provide 24-hour electricity to its citizens, and the cheapest way to achieve the objective is to build thermal [coal power] plants and use steam turbines,” analysts commented.

LNG-fuelled power for Antigua

April 28 – Antigua Power Company Limited (APCL) has contracted Wärtsilä to supply and install a 46 MW dual-fuel power plant on the Caribbean island. The plant will operate primarily on regasified LNG, imported through a small-scale import terminal developed by U.S.-based Eagle LNG in partnership with APCL.

ION launches risk analyser

April 27 – ION Commodities has built a cloud-based solution – FEA Analyzer – to help energy and commodity firms transition to new renewable energy markets while simultaneously optimizing trading strategies and supply chains. The tool combines pre-trade analytics with risk management and asset optimization, all powered by predictive analytics and stochastic models. 

Capstone to service 600kV microturbine

April 26 – Capstone has landed a rental contract for a 600 kilowatt (kW) microturbine-based system with one of the largest energy infrastructure companies in North America. Due for commissioning in mid-May 2022, the plant will supply power to remote mid-stream operations along the customer's gas pipeline in Colorado.