Daily News

Competitive Power Ventures (CPV) and Osaka Gas have fast-tracked the start up of the $1 billion CPV Fairview Energy Center near Johnstown, Pennsylvania. CPV said thanks to “outstanding team effort” of construction contractor Kiewit and equipment supplier GE, the 1,050 MW plant is now “fully operational on budget and significantly ahead of schedule.”

Los Angeles Department of Water and Power (LADWP), a municipal utility, has confirmed plans to convert its Intermountain Power Plant in Utah from coal to natural gas, and then to 100 percent hydrogen. Right from the start of the new 840 MW gas power unit in 2025, hydrogen will fuel 30% of its operation and the ratio will be increased to full hydrogen fuelling by 2045.

MAN Energy Solutions has been delivering ten 20V35/44G gas engines with a combined capacity of over 100 MW to Bolivia. The engines will supply electricity for steel works at the El Mutún iron ore mine, operated by Tenova’s HYL division together with Sinosteel on the border with Brazil.

Berlin-based energy startup Lumenion has presented the pilot of its 2.4 Megawatt-hour (MWh) steel storage system in a housing project in the German capital. The technology allows storing excess renewable electricity in the form of heat (up to 650°C) in steel plates. If required, that stored heat can be converted back into electricity.

The new President of the European Commission, Ursula von der Leyen, has come forward with an ambitious ‘EU Green Deal’ that seeks to outdo the ‘Green New Deal’ proposed by the U.S. Government. The European Green Deal envisages Europe to become “climate-neutral” by 2050, which requires a 55% cut in greenhouse gas emissions by 2030, replacing the current 40% goal.

Two Saudi partners are fast-tracking an integrated LNG regas and 3.6 GW gas combined-cycle power project envisaged to be built at Cox Bazar, Bangladesh. Newly listed Saudi Aramco confirmed it will source and supply the LNG to fuel the CCGT that is being built by Acwa Power.

The December clearing price for carbon emissions under the Regional Greenhouse Gas Initiative (RGGI) scheme has reached a fresh record due to a tighter emission cap. RGGI, the first mandatory emission trading scheme in 10 U.S. northeastern states, has cleared its latest auction at $5.61 per short ton for the 13.1 million tons of CO2 allowances sold.

Shares of Saudi Aramco have spiked after a historic market debut, rising 10% above the initial public offer price. The Saudi government listed a 1.5% stake in Aramco at Riyadh’s Tadawul stock exchange – raising $25.6 billion which gives the oil giant a market valuation of around $1.88 trillion, and liquidity to invest in LNG trading and power gen projects.

GE Power has completed the first upgrade worldwide of a turbine with ALSPA P320 V1 controls – technology originally developed by Alstom – to GE’s new Mark VIe system. The pilot project was carried out at ENGIE’s 770-MW Baymina combined-cycle gas power plant near Ankara.

The latest U.S. Government Short-Term Energy Outlook (STEO) anticipates natural gas production will grow much less in 2020 because of the lag between changes in price and changes in future drilling activity. Low prices in Q3-2019 is likely to reduce gas-directed drilling in the first half of next year, with 2020 output seen average 95.1 billion cubic feet per day (Bcf/d).

Germany’s structural shift towards e-mobility has been largely driven by governmental regulation and less by market forces, Deutsche Bank criticized. Without subsidies, e-cars are “still a niche”, analysts said, noting the technology is “a very expensive way of avoiding carbon emissions.”

Gas-fuelled, cryogenic barges – designed by the Canadian naval architect Robert Allen and Hidrovias do Brazil – will be used to transport LNG to remote locations in northern Brazil. The first project benefiting from the solution will be the 1.67 GW Vila-do-Conde gas-fired power plant in Baracena, in Brasil's northern state of Pará.

RUE Vitebskenerg, a Belarusian state utility, has contracted Siemens to deliver the power generation equipment for two new peaking power stations. The new open-cycle gas turbine (OCGT) plants will be dispatched in connection with the existing Lukomlskaya and Novopolotskaya  power plants in northern Belaurs and are due operational by the end of 2021.

Efforts to develop Vaca Muerta, Argentina’s vast shale reserves in northern Patagonia, have slowed as national energy companies await direction from the incoming President. Alberto Fernández, who will take office on December 10, has yet to decide whether to keep focused on pushing up domestic oil and gas production and LNG exports.

Highview Power is about to switch on the world’s first cryogenic, or liquid air, energy storage at a decommissioned thermal power station in the north of England. Provided developers can secure a stable, contracted return, the 50 MW/250 MWh CRYOBattery will start operation by 2022.

News in Brief

Wärtsilä wins contract in Barbados

Jan 24 – Barbados Light & Power Company Ltd (BLPC) has contracted Wärtsilä to fast-track the supply of a 33 MW flexible power plant, as an EPC project. The plant, set to run on four Wärtsilä-32 engines, will be built at a site adjacent to BLPC’s 10 MW solar photovoltaic plant at Trents, St. Lucy, located on the northwestern coast of Barbados.

Azito power plant takes FID

Jan 23 – Globeleq and IPS have reached financial close on a 253 MW expansion of the Azito gas-fired power plant near Abidjan. An MXL3 upgrade will boost the capacity of the combined-cycle plant from 460 MW currently to 713 MW, equaling about 30 percent Ivory Coast’s total capacity installed.

Climate risks become urgent

Jan 22 – Adaptation to climate change is now “urgent,” McKinsey claims, suggesting there would be “many adaptation opportunities.” Climate science shows that the risk from further warming can only be stopped by achieving zero net greenhouse gas emissions through renewable built-out and energy storage.

India’s electricity demand may triple, IEA finds

Jan 21 – Energy demand in India is set to double by 2040, and its electricity demand may triple, according to the International Energy Agency (IEA). Oil consumption in India is seen grow faster than that of any other major economy, making energy security a key priority, the IEA said in its first in-depth review of India’s energy policies. Amid strong growth, renewables now account for almost 23 percent of India’s installed capacity, while energy efficiency improvements helped avoid 15 percent of India’s additional energy demand, oil and gas imports, and air pollution.

Regulators approve CCGT in Wisconsin

Jan 20 – State regulators have approved a permit for Dairyland Power Cooperative to build a $700 million combined-cycle gas power plant in northwestern Wisconsin. The Nemadji Trail Energy Center will produce 625 MW and is scheduled to begin operations by 2025.

ExxonMobil enhances turbine oils

Jan 17 – New high performance turbine oils, developed by ExxonMobil Lubricants, are  entering the market which are formulated to prevent build-up of lacquer, varnish and deposits. The oils are designed to protect against thermal and oxidative degradation, one of the root causes of deposit build-up.

Wärtsilä signs O&M deals in the Bahamas

Jan 16 – Following the commissioning of a Wärtsilä-built 132 MW power plant in Bahamas in December, the Finish manufacturer now signed a two-year operation and maintenance (O&M) accord with the plant owner, the Bahamas Power and Light Company (BPL). Wärtsilä will transition, train, and develop the owner’s Bahamian work force and provide key performance guarantees.

China, S'Korea curtail coal to tackle air pollution

Jan 15 – Beijing city government’s aggressive approach to tackling air pollution is working and South Korea’s spring coal-fired curtailments show some success in cutting seasonal emissions. According to Wood Mackenzie, this should benefit LNG, particularly while spot prices remain low.

Sri Lanka at brink of power shortages

Jan 14 – Sri Lanka could face power cuts by March, after plans for a large-scale coal power plant were been cancelled just prior to start of construction, and a tender for a 300 MW diesel plants ended up in court. On the demand side, pressure is building up as the region is moving into the dry season in February and March. Weather warnings say the island is likely to receive lower than average rainfall in the first quarter of 2020.

Caterpillar’s new genset comply with UK & German grid codes

Jan 13 – Caterpillar Inc. has launched a series of new generator sets that comply with the new G99 United Kingdom, VDE-AR-N 4110 German and Belgium C10/C11 grid codes. The following gensets – G3500H, CG132B, CG170, and CG260 (rated from 280-4,500kVA) – have been verified to be able to accommodate different reactive power modes, active power functions, and connection conditions for normal operation or reconnection after mains decoupling.

Transneft launches battery-based power supply for ILI tools

Jan 10 – Transneft Diascan, the largest Russian inspection service provider for pipelines, has developed and put into operation a power supply system for in-line inspection (ILI) tools based on rechargeable batteries. Flaw detectors performing inspections of trunk oil pipelines, gas pipelines and oil product pipelines can now use the energy from rechargeable batteries, which helps save time and reduces the cost of in-line inspection.

Pavilion starts trading LNG out of Madrid

Jan 9 – Singapore-based Pavilion Energy has completed the acquisition of all gas and LNG assets of the Spanish utility Iberdrola. From its new European headquarters in Madrid, Pavilion said has launched 2020 LNG trading operations with supplies focusing on Spain and the UK market.

Gazprom extends gas transits via Belarus until 2021

Jan 8 – Gazprom and Gazprom Transgaz Belarus have sealed additional agreements to extend the contracts for gas supplies to and gas transportation across Belarus until 2021. According to the newly-signed documents, the contractual supply and transit volumes in 2020 will remain at the level of 2019.

EastMed pipeline to take FID by 2022

Jan 7 – Greece, Cyprus and Israel have signed an agreement to build the 1,900-kilometre EastMed pipeline at an estimated cost of 6 billion Euros. The subsea pipeline, spanning over 1,900-kilometres would initially carry 10 Bcm of gas per annum from Israeli and Cypriot waters to Crete and then on to the Greek mainland and into the European gas network via Italy. A final investment decision (FID) is meant to be reached in 2022, given that the pipeline is scheduled for completion by 2025.

U.S. energy-related emissions drop over 2%

Jan 6 – Fewer emissions from coal consumption, combined with lower energy demand, have helped to significantly reduce the overall energy-related carbon emissions in the United States. According to government statistics, energy-related CO2 emissions fell 2.2 percent last year, and the downward trend is forecast to continue into 2020.

Brent crude prices surge

Jan 3 – North Sea Brent crude prices have risen to their highest level since September 2019, up nearly $3 per barrel because of Middle East tensions coupled with improved Chinese economic forecasts. Brent crude futures for March 2020 delivery were last seen trading at 69.21 per barrel the Intercontinental Exchange (ICE). This bullish price sentiment will feed through to oil-indexed natural gas contracts and LNG deliveries, linked to the Japanese crude cocktail (JCC) basket price.

IEA says coal’s fate tied to Asia

Dec 23 – Rapid rise of wind and solar power in many parts of the world has pushed coal-fired power generation into steep decline in most developed countries. "But this is not the end of coal, since demand continues to expand in Asia," analysts at the International Energy Agency commented: "The region’s share of global coal power generation has climbed from just over 20 percent in 1990 to almost 80 percent in 2019, meaning coal’s fate is increasingly tied to decisions made in Asian capitals."