Projects & Finance

CMP, the Chinese licensee of MAN Energy Solutions, has won a series of small-bore, four-stroke orders for engines to be installed in the inland-and-coastal market. The orders are for MAN 21/31, 27/38 and 23/30H types that are in line with China’s new C1 and C2 emission rules.

Turkey’s EPC company ENKA has arranged for GE to supply power generation equipment for a new block at JSC Tatenergo's Zainskaya State District Power Plant (SDPP), located in Zainsk, in the Russian Republic of Tatarstan. GE will deliver and install one of its high-efficiency 9HA.02 gas turbines as well as a STF-D650 steam turbine.

US engine manufacturer Cummins has secured its first project win for its new gas-fuelled C25G generator in China, offering 500kW of continuous power as well as heat and cooling for an 18 floor office block in Shandong Province.

Taiwan’s CTCI Corp and consortium partner GE have won a multi-billion dollar EPC contract to add five combined-cycle power units at two power stations by 2024. The new-builds are in line with government targets to increase the ratio of gas-fired power to 50% by 2025.

Rolls-Royce has been awarded a contract to supply three 40-foot MTU-brand battery containers for a microgrid on the Pacific island of Rarotonga. The customer, Vector Powersmart of New Zealand, will integrate the batteries into an existing power plant run by the local utility Te Aponga Uira.

Project developers Vietnam and Myanmar have taken more risk to complete LNG import terminals in record time to help stave off looming power shortages. Hải Linh Company has built a terminal in Vũng Tàu, southeast Vietnam with a planned start-up in Q2-2021, while the small-scale Thanlyin regas terminal in Myanmar is already operational.

Delta Offshore Energy (DOE) has struck a technology license agreement with Stena Power & LNG Solutions to use its jetty-less LNG regas technology for a power project in Vietnam. Stena’s self-installing regas platform (SRP) will provide fuel for the 3,200 MW Bac Lieu combined-cycle power plant in the Mekong Delta.

Siemens Energy has received a 330 million Euro order from the Canadian clean energy developer Kineticor to provide two high-efficiency SGT6-8000H gas turbines and services for the 900 MW Cascade Power Project in Alberta. The combined-cycle gas power plant is due to start operations in 2023.

ENGIE Italia has contracted Wärtsilä to supply a combined heat and power (CHP) plant, based on 31SG gas-fuelled engines, for two new projects. The electric utility will use the CHPs to supply electricity, steam, and hot water to the Marcegaglia Group, a renowned steel processing company.

Competitive Power Ventures (CPV), together with GE Capital, Osaka Gas, Axium and Harrison Street, have reached financial close on the Three Rivers Energy Center, a 1,250 MW combined-cycle gas power plant in Illinois. The project is based on $1.3 billion in private investment, including $875 million of senior credit facilities.

Brazil’s Companhia Energética Manauara (CEM) has asked the Finish manufacturer Wärtsilä to convert an oil-fired power plant to run fully on natural gas, while increasing its output from 85 MW to 92 MW. The contract is for the Manauara power plant in Brazil, and was signed in July.

Following the start-up of the 1.18 GW Fukushima combined-cycle gas power plant, Japan Petroleum Exploration (JAPEX) will need around 200,000 tonnes of additional LNG. The company said it expects to require about 1.3 million tonnes of LNG equivalent of natural gas in the fiscal year to 31st March, 2021.

Page 7 of 213

News in Brief

Mitsubishi produces methanol in Trinidad

Jan 20 – Mitsubishi Gas Chemical Company has launched commercial operations of a methanol and dimethyl ether plant in Trinidad and Tobago. The plant has an annual production capacity of one million tons of methanol and 20,000 tons of dimethyl ether, which can be used as an alternative fuel for cars and power generation.

First 8-cylinder B36:45 engine delivered

Jan 19 – Rolls-Royce has delivered the first 8-cylinder variant of its Bergen B36:45 gas engine to a tomato producer in Belgium. The medium speed genset is planned for delivery this spring and will drive an onsite power plant that generates 4700 kW electricity and 5520 kW heat. The new engine offers a 20% increase in power per cylinder and will replace an existing Bergen 12-cylinder B35:40 genset.

Moody’s upgrades Enel to Baa1

Jan 18 – Moody’s Investors Service has upgraded Enel’s long-term rating to Baa1, with a stable outlook. The upgrade reflects Enel’s progress in reducing its risk profile, analysts said, pointing at the Italian utilities ongoing investment in networks and renewables, growing geographical diversification and focus on centralised financing.

GE sues Siemens Energy

Jan 15 – General Electric has sued its German rival Siemens Energy over the alleged use of stolen trade secrets to win gas turbine contracts worth several billion dollars. GE told the US district court in Virginia that Siemens received the secret information from a Dominion Energy employee.

Orbital Energy launches Eclipse

Jan 14 – Nasdaq-listed Orbital Energy Group has launched a new subsidiary, Eclipse Foundation, a drilled shaft construction company. The new company specialises in providing services for power transmission and substations, communication tower and a disaster restoration through emergency power.

S’Korean coal and LNG imports slide

Jan 13 – South Korea’s imports of thermal coal and LNG have fallen 12% and 11%, respectively, as the government cracks down on fossil fuel usage to curb air pollution. Customs data shows that coal imports amounted to 10.2 million tons in December, down 1.4 million tons from the same month last year but up from November’s imports of 9.5 million tons.

SMC builds 1.7 GW CCGT in Batangas

Jan 13 – Excellent Energy Resources, part of SMC Global Power Holdings, is building a 1,700 MW combined cycle gas power plant in Barangay Dela Paz and Ilijan in Batangas City with investments of about 67.863 billion Philippine Pesos ($1.41bn). The project is estimated to be completed in 36 to 40 months.

UK’s National Grid issues supply warning

Jan 12 – Natural gas prices in the UK surged as National Grid issued warnings on supply deficit as LNG cargoes are being diverted to North Asia. Prices at the British NBP gas trading hub soared to the equivalent of $8.95 per MMBtu, while the JKM price for North Asian spot LNG cargoes for February 2021 was last at $19.700 per MMBt.

Fortistar invests in hydrogen

Jan 11 – Fortistar, a privately-held fund, has joined an equity investment of up to $157 million in hydrogen producer BayoTech. Cottonwood Technology Funds and the New Mexico State Investment Council also participated in the latest financing round. BayoTech’s systems produce local hydrogen close to the application, serving end users in the industrial gas and petrochemical segment as well as those who use of hydrogen to power fuel cells.

Ashtead appoints new CFO

Jan 5 - Ashtead Technology has appointed a chief financial officer (CFO) and five managers for newly created roles across its international team. The appointments are meant to cement the company’s position in the offshore energy market, including offshore wind and decommissioning of thermal power plants

NFE secures LNG for Puerto Rico, Mexico and Nicaragua

Dec 23 – New Fortress Energy (NFE) has agreed to purchase Henry-Hub-indexed LNG for its integrated gas and power businesses in Puerto Rico, Mexico and Nicaragua. The New York-based project developer said it now has covered 80% of its expected needs throughout Latin America, thus reducing its need for spot purchases and its exposure to changes in the market price for LNG.

China and Korea mandate coal-to-gas switch

Dec 22 – The Chinese government has launched a coal-to-gas boiler switching programme, targeting 7.1 million homes, which makes gas demand more weather-sensitive this winter. Similarly, South Korea mandated the closure of 15 coal-fired plants since the start of December in an effort to reduce air pollution. Analysts expect this will accelerate the drawdown of LNG terminal inventories going into Q1-2021.

GE repowers oil field in Brazil

Dec 21 – GE Power Conversion has been awarded a contract by Sulzer Pumps UK to supply motors for four water injection pumps of a Floating Production Storage and Offloading (FPSO) vessel. The 8,000 kW, two pole motors will run at 3,600 rpm with a limitation of the starting current at 300%, enabling the oil and gas field operator to optimise the generator which supplies electricity on the FPSO.

VELO distributes Sapphire Metal 3D-Printers in the US

Dec 18 – California-based VELO3D has formed a distribution partnership with GoEngineer for Flow pre-print software, Sapphire metal AM printer, and Assure quality assurance and controls. GoEngineer will be VELO’s only distributor in the United States.

Indian electric boats to achieve zero emissions

Dec 17 – Cochin Shipyard, India’s largest shipbuilder, has asked Siemens Energy to equip India’s first fleet of 23 boats with electric propulsion drive train, integrated with batteries and vessel automation. Combining the electric propulsion drive trains, energy storage, and automation systems is expected to significantly reduce fuel consumption.

Terna BESS auction six times oversubscribed

Dec 16 – A pilot auction, held by the Italian TSO Terna, for battery energy storage systems (BESS) to provide reserve grid services has been six times oversubscribed. The auction was held with an expectation that around 230 MW would be on offer, but Terna received 1,327 MW worth of bids and eventually awarded contracts for 249.9 MW.

New £150m link to UK’s Easington terminal

Dec 15 – National Grid has completed a gas pipeline under the River Humber, build in 18 months and at a cost £150 million, as new link to the import terminal at Easington. Following commissioning, the pipeline is now operational and can now transport between 70 to 100 million cubic metres - around a quarter of Britain's gas needs.

House ad Jul2020