Projects & Finance

Australian-listed Energy World Corp (EWC) has added two gas compressors at its LNG regas plant at Kampung Baru to boost gas flows to its 315 MW power station at Sengkang, South Sulawesi. By ensuring flexible supply, EWC seeks to extend its power purchase agreement with the Indonesian national utility PT Perusahaan Listrik Negara beyond September 2022.

Chicago-based J-Power USA, part of Electric Power Development Co. of Japan, has started construction of the 1,200 MW Jackson Generation Project in Will County, Illinois. Once operational, the Jackson CCGT will feed all electricity into the PJM market zone.

Dubai-based Lloyds Energy has proposed to realize a 1,200 MW merchant power plant, fuelled by regasified LNG, in the Philippines. The integrated LNG-to-Power project is meant to be built in partnership with the Japanese turbine manufacturer Mitsubishi.

Volkswagen AG has tasked Mitsubishi Hitachi Power Systems Europe (MHPS Europe) to replace two coal-fired blocks at its ‘Heizkraftwerk West’ CHP plant, with a gas-fired double power block. The new units will be built on a turnkey basis on VW’s automotive factory grounds in Wolfsburg, northern Germany.

GE Power was awarded the tender for supplying a variable speed drive system to Oman LNG as part of its debottlenecking project. Installation of new 18 MW two-pole motors and variable speed drives is set to increase Oman LNG’s overall production at project completion across three liquefaction trains.

J-Power USA Development has ordered two M501JAC power trains from Mitsubishi Hitachi Power Systems (MHPS) for the 1,298 MW Jackson Generation Project in Elwood, Illinois. The new combined-cycle gas power plant will also feature MHPS-TOMONI Very Low Load (VLL) technology which helps to balance intermittent renewable generation.

MAN Energy Solutions has commissioned three 14V51/60 gas and another three dual-fuel engines in a newly-built power plant on the North Mole in Gibraltar Harbor. Part of the waste heat from the engines will be used for regasifying liquified natural gas in the connected LNG terminal.

InterGen has started full commercial operations at its 300 MW Spalding extension gas power plant, situated next to the existing 880 MW Spalding power plant in the northeast of England. Built at a cost of £100 million ($126m), the open-cycle unit is backed by a 15-year capacity market contract.

Irish state-owned ESB has accumulated a pre-tax loss of £13 million in the past financial year on operating the 455 MW Coolkeeragh combined-cycle gas power station in Londonderry. Operating profits plunged 82% over the past three years to £4.4 million, with ESB blaming "significant increases in cost of sales for gas and carbon."

Noor Abu Dhabi – the world’s largest single solar power project with a capacity of 1,117 MW – has started commercial operation in Dubai, helping to make energy use in the Gulf State more sustainable. Intermittent electricity supply from the solar project is being backed up by flexible gas-fired generating capacity.

Helping to dent Cambodia’s urgent need for electricity, Wärtsilä is delivering a 20 MW flexible baseload on a fast track basis. Ordered in June 2019 by CGGC-UN Power Co, the Chinese EPC contractor, the plant is built on behalf of Electricite du Cambodge (EDC) near Phnom Penh and is due to start up in early 2020.

Japan’s leading utility Jera and JXTG Nippon Oil & Energy Corp have handed an engineering, procurement and construction (EPC) contract to two Toshiba affiliates to build three LNG-fuelled power plant units with a combined capacity of 2.34 Gigawatt (GW) power generation units adjacent to Goi coal power station in eastern Japan.

APR Energy has been awarded a contract by the Mexican private power producer Saavi Energía to provide and install three mobile gas turbines for nearly 80 MW peaking power plant in Mexicali, Baja California. The flexible gas peaking power unit will help alleviate the risk of regional power shortages that increased following a reduction in power imports from California.

Siemens will supply a power island for the new Yerevan-2 combined-cycle gas unit and operate the plant for 20 years. SFS, Siemens’s financing arm, provided funding and holds a 40% share in the project company ArmPower. Having reached financial close, construction is about to start with a view to get the CCGT unit commissioned by mid-2021.

Polska Grupa Energetyczna (PGE), the largest power producer in Poland, has launched a $1 billion tender for the construction for two combined-cycle gas power blocks with 1,400 MW of combined capacity. PGE said it will select the contractor for the turnkey projects in late 2019, with the aim of commissioning the CCGT units in Q4-2023.

Page 10 of 156

News in Brief

Norway’s oil fund starts investing in renewables

Dec 11 – The Norwegian Government Pension Fund Global (GPFG), traditionally heavily exposed to the oil and gas industry, has been permitted to shift its strategy. Acknowledging heavy losses of the world’s largest pension fund, worth an estimated $1 trillion, the government in Oslo has allowed GPFG fund managers to also invest in unlisted infrastructure, notably renewable energy sources and alternative fuels, including hydrogen.

ENGIE invests in wind energy in Italy and France

Dec 10 – France’s largest energy company ENGIE has completed the acquisition of Renvico from Macquarie Infrastructure and Real Assets and KRR. The move contributes to utility’s ambition of boosting its renewable energy assets to 3 GW in Europe and 9 GW worldwide by 2021. The Renvico takeover comprises 329 MW of operating wind farms of which 142 MW in Italy and 187 MW in France. It also includes a 300 MW greenfield portfolio of various fossil power assets.

Dominion issues Scammer Alert

Dec 9 – Dominion Energy Ohio has reminded customers they will begin receiving the next U.S tax credits automatically, beginning in April 2020, in their monthly bills. Customers were warned not to provide banking details to scammers who claim such data is required to receive the federal tax credits.

BOL finances entire 220 MW plant in Nassau

Dec 6 – Bahamas Power and Light (BPL) has agreed to cover the entire costs to build a 220 MW power plant at the Clifton Pier site in Nassau, and transfer the assets to Shell North America. BPL and Shell had agreed to jointly develop a 220 MW power plant plus LNG regas terminal, but the Bahamas state utility later signed a $95 million contract with Wärtsilä to install a 132 MW engine-driven power plant at the same site.

Kepco to operate CCGT in Uruguay

Dec 5 – Kepco KPS has been awarded a contract to operate and maintain the recently commissioned combined cycle gas turbine (CCGT) power plant in Punta del Tigre, Uruguay. Under the O&M contract, Kepco said it expects to earn 17 billion Won in sales every year, for a maximum eight years.

Siemens to create thermal twin for Bajaj Energy plant

Dec 4 – Lalitpur Power Generation Company Ltd (LPGCL), part of Bajaj Group, has contracted Siemens to create a complete twin for its fossil power plant in Uttar Pradesh, India. The thermal twin, powered by thermodynamic analysis and machine learning, allows power plant operators to diagnose performance gaps for every asset in the cycle in real time.

Talks between Gazprom and Naftogaz continue

Dec 3 – Russia’s Gazprom and Naftogaz Ukrainy have continued difficult negotiations about an extension of Russian gas supplies and transit after the current contract expires on December 31, 2019. The two state-run companies are embroiled in a legal dispute that still needs resolving, however, they confirmed talks are underway and focus on the technical aspects of transiting Russian gas to Europe from 2020 onwards.

Asia seen add 400 GW by 2030

Dec 2 – Asian nations are expected to add more than 400 gigawatts (GW) of electrical capacity to the grid over the next decade — equaling about twice the installed capacity of Germany. Much of the new capacity will be renewables, backed up by some 140 GW of dependable gas-fired capacity, according to GE Energy findings. Hence, the U.S. turbine manufacturer decided to invest up to US$60 million to convert its Singapore repair center into a HA engineering and development center.

Total starts up hybrid plant with energy storage

Nov 29 – Total Quadran has started up the largest hybrid power plant combined with energy storage to harness the ample solar power potential of New Caledonia, a French overseas territory. With an installed capacity of 16 MW-peak, the plant also features a 10 MW lithium-ion energy storage system. Combining of hybrid solar PV units and possibly gas-powered generator sets with energy storage balance out supply swings and enhances the reliability of the electricity grid.

Rolls-Royce, AVK partner on standby gensets

Nov 28 – AVK, Britain’s largest supplier of critical power solutions for data centres and the financial sector, has partnered with Rolls-Royce’s MTU brand for standby gensets in UK and Ireland. The deal covers MTU Series 2000 and 4000 diesel systems in a range from 825 to 4,000 kVA. In the past 30 years, AVK has developed into the largest solutions provider in the UK’s critical power market and has to date supplied gensets equipped with MTU engines with a total capacity of more than 3.5 GW.

Golar suffers setback amid restructuring

Nov 27 – Golar LNG, owner of a fleet of 27 vessels, has seen operating revenues plunge 20% to $98.67 million, in the first nine month of this year, while net losses amounted to over $236 million. Bermuda-registered Golar in May 2019 announced plans to spin off its LNG carrier fleet with the aim of becoming a gas project developer. It recently won a contract for the Barcarena power project (605 MW) in northeastern Brazil.

Burckhardt buys remaining share of Arkos

Nov 26 – Burckhardt Compression’s subsidiary in North America has purchased the remaining 60% of Arkos Group. The US has the world’s largest installed base of reciprocating compressors, and the integration of Burckhardt and Arkos Field Services, will turn the company into the only independent one-stop provider for equipment and service in the upstream, midstream and downstream business.

Gazprom’s exports to Austria reach fresh record

Nov 25 – Supplies of Russian gas to Austria and transits to Western Europe have already exceeded record levels set last year. From January 1 through November 21, 2019, Gazprom delivered over 12.7 billion cubic meters of natural gas – 33.5% more than in the same period in 2018. Austria’s OMV imports Russian gas under a long-term contract that was recently extended until 2040.

OGUK responds to Labour Party Manifesto

Nov 21 – The UK North Sea industry association Oil & Gas UK (OGUK) has warned of an investment hiatus in reaction to Labour’s pledge to introduce a windfall tax on oil and gas companies, if it wins the General Election on December 12. Responding to this, OGUK said any increase in tax rates would drive investors away, damage the competitiveness of the UK’s offshore oil and gas industry, and could potentially increase the country’s reliance on imports. OGUK underlined it has put in place a ‘Roadmap 2035 a blueprint for net zero emission’ and is investing in technology to achieve this goal.

France, Germany and UK led on demand-side flexibility

Nov 21 – France, Germany and the UK are leading on demand-side flexibility (DSF) and grid-integration of decentralized energy sources while Sweden, Spain and Portugal are lagging behind the rest of Europe, the consultancy Delta-EE and SmartEN finds. Areas covered by their new DSF monitoring tool include availability and accessibility of demand-side response, and its monetization across the gas value chain.

AI predicts peak in power use

Nov 20 – ABB and Verdigris Technologies have developed machine-learning algorithms to predict unplanned peaks in electricity consumption and help avoid them. The Energy Forecasting app will enable users to reduce their electricity bills by reducing peak demand charges.

India’s first UHVDC link commissioned

Nov 19 – GE Grid Solutions has commissioned Pole-3 - the ultra high-voltage direct current (UHVDC) transmission line in India, capable to transmit 4,500 MW of electricity. Once completed the Champa-Kurukshetra UHVDC project will be expanded to transmit 6,000 MW of electricity at 800 kV, serving customers in the areas of Punjab, Haryana, Delhi, Uttar Pradesh.