Projects & Finance

The Russian gas major Gazprom seeks to buy a 50% stake in the gas-fired Severn Power Station (824 MW) near Newport in South Wales, according to industry sources. Dong Energy declined to comment on ongoing negotiations, but a spokesman confirmed Dong and Gazprom are evaluating participations in power plants in the Netherlands and in the U.K.

The completion of Siemens' first repowering project in Russia adds 500 MW of installed power generation capacity to the Kirishi Unit 6. Siemens said it expects follow-up orders for upgrading an array of ageing gas-fired steam turbine plants in Russia to more efficient CCGTs.

German manufacturer 2G Energy is setting up a U.S. production facility in St. Augustine, Florida, through its subsidiary 2G CENERGY Power Systems Technologies to manufacture combined heat & power (CHP) generation systems for the North and South American markets.

Dutch gas turbine manufacturer OPRA Turbines will open its first office in Moscow in April with the aim of increasing sales in the expanding Russian power generation market.

Gazprom affiliate JSC "OGK-6", Russia's Sixth Wholesale Power Market Generating Company, is forging ahead with large-scale investments in gas-fired power generation projects in Russia. The total investment program will lead to a capacity increase of 810 MW by the fourth quarter of 2014, OGK-6 said.

Russia's largest combined-cycle gas turbine (CCGT) unit started full commercial operation at the Kirishskaya GRES power plant, reaching the nominal planned power production capacity of 800 MW late Friday.

Poweo, an independent French power and gas company, today posted a net loss of €63.4 million in 2011, incurred primarily by losses in its power generation business. Revenue from power generation revenue dropped from €185 million in 2010 to €124 million last year due to unfavourable profit margins at its CCGT power plant at Pont-sur-Sambre (412 MW).

The board of directors of Poweo, a French independent power distributor, and its peer Poweo have approved a merger, the two companies announced late Wednesday.

Mitsubishi Heavy Industries (MHI) has received orders for ten M501J gas turbines for installation at four power plants in South Korea. The order from South Korea marks the first for the J-Series gas turbine from overseas, MHI said today.

Tata Power has emerged as India's largest private sector power generating company as the start-up of the second unit (525 MW) of its Maithon Mega Power Project in Dhanbad lifts the company's overall power generation to 5,297 MW.

International Power proposes to close the 210 MW Shotton Combined Heat & Power (CHP) plant by the end of 2012. The 210 MW plant is no longer competitive in the U.K. wholesale electricity market, the operator said today.

Austria’s Verbund is going ahead with works to start-up the proposed 412 MW Toul gas-to-power plant as planned in 2013, despite loss-making operations at the Poweo’s Pont-sur-Sambre combined cycle gas turbine plant (CCGT). “The Toul CCGT does not have a gas contract with Eni,” Verbund spokeswoman Ines Schurin told ‘Gas-to-Power Journal’, implying operations of the Toul plant are expected to be profitable.

Mitsubishi Heavy Industries (MHI) announced today it has won an order from Virginia Electric and Power Company (VEPCO) to supply three M501GAC gas turbines and one steam turbine for VEPCO's Brunswick County Power Station, located some 60 miles south of Richmond, Virginia, U.S.

Karachi Electric Supply Company (KESC), the sole vertically integrated utility in Pakistan, has failed to restart operations at its Bin Qasim Power Plant II due to a lack in gas supply for the plant. Operational start of the plant depends on Sui Southern Gas Company (SSGC) supplying an additional 130 million cubic feet per day (Mmcf/day) to the plant.

Japan's Marubeni Corporation announced the Shuweihat S2 IWPP, an Independent Water and Power Project, located at 250 km south west of the city of Abu Dhabi, has achieved project commercial operation.

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News in Brief

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.

COP25 urged to step up climate efforts

Nov 18 – The COP25 UN climate conference in Madrid is urged to enshrine greater commitments from the world's industrialised nations to curb their greenhouse gas emissions. “Europe will have to play a key role in this regard,“ environment minister Svenja Schulze said, adding Germany's recently announced climate package marks a "restart" in the country's climate policy.

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.