Projects & Finance

Hungarian utility Tatabanya Erömu has contracted Wärtsilä to upgrade the automation and UNIC engine control system of utility’s 18 MW grid balancing power plant, running on three 34SG gas engines. The extended maintenance accord includes performance guarantees of 95% plant availability, and the ability to run at 10% load.

Siemens has been contracted to supply the complete electrification for a new paper production line at Palm’s paper mill in Aalen, southwest Germany. The order includes three SGT-800 gas turbines – at the latest 62 MW rating – and a SST-300 steam turbine for the client's new-built cogeneration plant.

The Asian Development Bank (ADB) has granted a $180 million loan to Gulf PD, a joint venture of Gulf Energy Development and Mitsui, to build and operate a combined-cycle gas power plant in Rayong, Thailand. Total development costs for the 2,500 MW power project are estimated at $1.6 billion.

SRP, a large community-based utility in greater Phoenix metropolitan area, has decided go ahead with the Sonoran Energy Center – a 250 MW / 1,000 MWh battery project to be built south of Buckeye by 2025. Tapping Arizona’s abundant solar resources, the hybrid project will help SRP meet peak summer demand while saving fuel costs.

Siemens has completed an extensive overhaul of the 794 MW Dunamenti combined-cycle power station in Százhalombatta, Hungary, in 51 days – “a short time for such a big project,” according to Vinod Philip, CEO of Siemens Service Power Generation. Works included a rotor exchange of the gas turbine and a control system upgrade to SPPA-T3000.

Saudi Aramco has been selected to source and supply LNG for a future 3,600-megawatt LNG-based power plant, under development in Bangladesh. Aramco and Acwa Power are building the integrated $3 billion project on behalf of the Bangladesh Power Development Board (BPDB).

German transmission grid operator TransnetBW has commissioned Siemens to build new switchgear in the 380 kilovolt (kV) Daxlanden substation in Karlsruhe, Baden-Württemberg. The order is priced in the low triple-digit millions range, and the commissioning of the turnkey solution will be completed by 2029.

South Korea’s construction conglomerate HDC Group has teamed up with Hanwha Energy to develop an LNG-fuelled power station in Tongyeong, some 330 kilometers south of Seoul. Under the deal, Hanwha will guarantee the LNG supply for the 1,012 MW combined-cycle power plant that is due operational in 2024.

Siemens has been contracted by Vietnam’s Hiep Phuoc Power Co. to convert the customer’s steam power unit in Ho Chi Minh City to combined-cycle mode. The upgraded plant will run on regasified LNG, instead of oil, and see its capacity boosted from 780 MW to nearly 1,200 MW.

MAN Energy Solutions is providing a drink can factory of the Royal Can Making Company in Iraq with six MAN 18V32/40 CD engines, with a total capacity of 53 MW. The recently build power plant in Baghdad will supply power to the factory’s manufacturing site and other nearby industrial plants.

American power plant developer AES Corp has signed a memorandum of understanding with the Vietnamese government to build the Son My-2 combined-cycle gas power plant at an estimated cost of $1.7-billion. Set to be fuelled by imported LNG, the 2.2 Gigawatt (GW) is due operational by 2024.

The Asian Development Bank (ADB) and KfW, the German state-owned development bank, have agreed to expand their cofinancing partnership in Asia-Pacific with an additional $2 billion over the next 4 years. The funds will be used to promote sustainable economic development, a cleaner environment, and renewable energy.

The first two Siemens HL-class turbines ordered from a customer in Asia will be supplied for a new combined-cycle power plant in Yeoju, South Korea. Running on regasified LNG, the projected CCGT will have a generating capacity of more than 1 Gigawatt (GW).

Evol is investing to expand its Kiwinana liquefaction plant south of Perth to meet rising demand from small-scale, decentralized power producers in Western Australia. The Kwinana LNG plant, built in 2008 and designed to produce 175 tons of LNG per day from North West Shelf gas, will be expanded to 250 tonnes per day from April 2020.

GE Power has signed a 5-year maintenance contract with the Bangladesh Power Development Board (BPDB). The deal includes procurement of spares and services of the two GE 6F.03 gas turbines installed at the 225 MW combined-cycle gas power plant in the Bhola island district of Bangladesh.

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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.