Projects & Finance

Plans of US-based Air Products to build a 50 MW waste-to energy plant near Billingham, Teesside in north-west England, have advanced with the award of a site preparation contract.

Operational start of two gas-fired combined cycle power plants (CCGTs) at a cost of nearly 4.7 trillion rials ($383 million) is set to boost Iran's power generation capacity by 650 MW.

The world's largest tri-fuel power plant, Amman Asia Electric Power's power plant in Al Manakher, Jordan, will be serviced by Wärtsilä under two long-term agreements.

Wärtsilä, a global gas engine manufacturer, has received an order to engineer and supply the STEC Red Gate power plant project, located in Hidalgo County, Texas. Start of commercial operations is slated for summer 2014.

Georgia Power, the largest subsidiary of Atlanta-based Southern Company, said it would be "cost-effective" to retire 15 aging coal-fired and oil-fired units with a combined capacity of 2,061 MW.

Alstom has won two contracts for Long Term Service Agreements (LTSA) for GT13E2 gas turbines in the Ivory Coast and Jordan.

Combined Cycle Gas Turbine (CCGT) capacity registered with the National Electricity Market in Singapore has increased further with new entrant TP Utilities bringing in 101 MW capacity from its Tembusu Multi-Utilities Complex (TMUC).

Realising a gas-fired combined heat and power (CHP) plant project in Poland is a "safer investment" in contrast to building a conventional gas-fired plant, Pricewaterhouse Coopers said in a recent report. New projects with a combined capacity of up to 6,697 MW are in the pipeline.

Russia's gas export monopoly Gazprom is testing the economic viability of investing in a gas-fired power plant (1,350 MW) in Lubmin near the landfall point of its 55 Bcm/year Nord Stream pipeline in northeast Germany. 

Wärtsilä, a global gas engine manufacturer, has won a contract worth €184 million to engineer, supply and install a 200 megawatt (MW) dual-fuel power plant in Jordan.

GE has won an order to supply Frame 6B gas turbines to Spain’s Technicas Reunidas, the engineering, procurement and construction contractor for the upgrade of the Izmit refinery.  The order is part of a $2.3 billion investment by refinery owner Turkish Petroleum Refineries Corporation (Tupras), to upgrade its 1960s era refinery to meet the latest EU environmental and emission standards.

A deal to design, develop, own and operate a new natural gas fuelled power plant has been agreed between Canadian energy company TransCanada Corp. and Ontario Power Authority.

Florida Power and Light has ordered three SGT6-8000 gas turbines and generator packages, for its Port Everglades power plant. This new order for Siemens technology is part of it $1billion modernization of a 1960’s era power plant.

Origin Energy has started operations of a new 550 MW gas peaking plant in the Australian state of Victoria with a view to expanding the plant's capacity to 1,000 MW, if required. Located at Mortlake, some 220 km west of Melbourne, the new power plant costs investors some $810 million.

A 450MW combined cycle heat and power (CHP) plant is to be built by Alstom in Cologne, at a cost of €350 million, for German power utility RheinEnergie.

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News in Brief

Wärtsilä launches ‘Expertise Centre’ in Singapore

Nov 15 – The Finish technology group Wärtsilä has chosen Singapore as the location for its latest Expertise Centre (EC) that provides operational support and dynamic maintenance planning, both for marine and energy business customers. All of Wärtsilä’s Expertise Centres combined currently monitor some 900 installations with more than 2,000 engines around the world.

U.S. storage injection hits record high

Nov 14 – Near-record volumes of natural gas have been placed into storage in the United States in the current injection season. According to the U.S. Energy Information Administration (EIA), the amount of gas held in storage in 2019 surged from a relatively low value of 1,155 billion cubic feet (Bcf) at the beginning of April to 3,724 Bcf at the end of October.

SaskPower proceeds with Moose Jaw project

Nov 13 – Canadian utility SaskPower has taken a significant step towards realizing a 350 MW gas power plant at Moose Jaw. The project was first proposed in 2017, but in the Canadian federal government June last year introduced new regulations for gas generation coming online after January 1, 2021, which stalled the plans. Having completed its regulatory review, Sask Power was now granted permission to proceed from the municipality of Moose Jaw. Major Fraser Tolmie said “this $700-million investment into the city of Moose Jaw, will ensure we have base-load power in the province of Saskatchewan and to maintain our power independence.”

Sembcorp powers up first BESS unit in the UK

Nov 12 – Sembcorp Energy UK, part of Singapore-based Sempcorp Group, has started to operate the first 60 MW unit of its battery energy storage system (BESS) fleet, supplied by GE. Combined, the three storage units in Leicestershire and Cheshire will bring Sembcorp Energy UK’s total energy portfolio to 973 MW.

Global gas glut may clear in 2021

Nov 11 – Economics of exporting American liquefied natural gas to Europe no longer add up. With Henry Hub spot prices around $2.7/MMBtu, moving LNG cargoes from the U.S. Gulf Coast to Europe is “not workable,” BP analysts said, indicating that production shut-ins could help clear the massive supply overhang towards the end of 2021.

Gazprom reassures Germany of Ukraine gas transits

Nov 8 – Alexey Miller, chairman of the Gazprom Management Committee, has been trying to reassure the German government commissioner Georg Graf Waldersee that Russia was ready to signing a new transit contract with Naftogaz if both companies mutually waive claims. Before gas flows can proceed, however, Ukraine will have to create an independent gas transmission operator by January 1, 2020.

GE makes gains in wind power

Nov 7 – GE Power is gradually turning away from its loss-making fossil power segment to focus on the fast-growing renewable business. This week, GE struck a deal for its new Haliade-X turbines to be used at Dogger Bank Wind Farms. The three 1.2 GW Dogger Bank projects, situated offshore the UK’s Yorkshire coast, are expected to trigger approximately £9 billion of capital investment between 2020 and 2026.

PetroVietnam eyes LNG-to-Power project

Nov 6 – PetroVietnam has signed an agreement with B.Grimm Power Public Company (BGRIM) to jointly study the development of an integrated LNG import and power generation project. The aim is to build a 3,000 MW gas-fuelled power plant and an adjacent LNG import terminal. The location of the project has not been disclosed.

ABB launches ‘Smart City’

Nov 5 – Electrification specialists of the Swiss manufacturer ABB have designed an interactive ‘Smart City’ that contains smart buildings, e-mobility, energy management and data centers. The use of smart technologies and digitalization are encouraged by the United Nations as a way to help decarbonize cities around the world.

Gazprom, BASF cooperate on sulfur separation

Nov 4 – The Russian major Gazprom and the German chemical company BASF have agreed to devise a comprehensive solution for separation of sulfur from natural gas. The aim is to  enhance eco-efficiency of the Astrakhan gas processing plant and improve operational efficiency of BASF’s amine gas treatment units at the Orenburg gas-fired power plant.

Germany’s emission fall ‘markedly’

Nov 1 – Germany is headed for second consecutive year of substantial reductions in carbon emissions, amid a sharp drop in coal-burn in the power sector and an overall decline in energy use in 2019. If this trend continues, the country could get much closer to its 2020 climate target than widely anticipated.

Exmar to refinance Tango FLNG

Oct 31 – Exmar, the Belgian shipping company, is trying to refinance the Tango FLNG vessel, moored offshore Argentina on behalf of YPF. The aim is to generate around $60 million in additional capital, Exmar said, suggesting a deal will likely be struck in the first months of 2020.

Petronet doubles net profit

Oct 30 – Indian LNG importer Petronet has nearly doubled its net profits in the third quarter although revenues fell by 13%. Net profits came in at 1,089 crore rupees ($153.6m), an increase of 90% on the same period in 2018 as the company benefited from India’s lower corporate tax rates. Third-quarter revenues, in contrast, fell to 9,449 crore rupees ($1.33 billion).

Wildfires spread around LA

Oct 29 – Thousands of Los Angeles residents have been evacuated as wildfires spread fast around the metropolis and power outages brought life close to a standstill. The risk of fires caused by overland transmission lines prompted Pacific Gas & Electric (PG&E) to prolong precautionary blackouts that could last up to three days.

Dominion embraces solar & storage

Oct 28 – Dominion Energy South Carolina has signed contracts for more than 1,000 MW of solar capacity. About half of that capacity has entered service. To complement intermittent solar energy supply, Dominion earlier announced several energy storage projects.

Wärtsilä downgrades outlook for its energy business

Oct 25 – Wärtsilä has downgraded the outlook of its Energy Business from “soft” to “weak” amid low equipment demand, although the its services activity “remains sound.” The current order book for 2019 deliveries is 1,708 million Euros, comprised mainly of equipment deliveries, Wärtsilä stated today when posting mixed Q3 results. Looking ahead, the company said its operating result for full-year 2019 will be approximately 100 million Euros lower than in the 2018 result of 577 million Euros.

Siemens names new CIO

Oct 24 – Hanna Hennig will be appointed as new Chief Information Officer (CIO) at Siemens starting from January 2020. The change at Siemens’ IT organization supports the execution of the company’s Vision 2020+.