Projects & Finance

Novatek is evaluating projects aimed at introducing LNG as a fuel for distributed power generation, as well as motor fuel for maritime, automotive transport and mining equipment in Chukotka, situated in the Russian Far East. To this end, the Russian gas company signed an agreement with the government of the Chukotka autonomous area during this week’s Vladivostok Eastern Economic Forum.

Japan’s Tokyo Gas and Kyushu Electric Power (Kepco) have formed a company aimed at building a gas-fired power station at Sodegaura in Chiba, near Tokyo. This move comes after the two companies and Idemitsu Kosan ditched a plan in January to build a 2 GW coal-fired power station on the same site, saying it was not economically feasible.

Siemens has been awarded an order worth approximately €450 million to build a combined cycle power plant as a turnkey project at Landivisiau, western France, and operate the plant for 20 years. With an installed capacity of 446 MW, the power plant will help to cover Brittany’s growing demand for electricity.

Philippine-based engineering concern, First Gen Corp. has chosen Japan’s JGC Corp. to handle the engineering, procurement and construction (EPC) for its LNG terminal project in Batangas City.

China's private-owned gas distributor and terminal operator, ENN Energy has started construction of a subsea natural gas pipeline connecting the mainland with its Zhoushan LNG receiving terminal.

UK gas supplier, Flogas Britain has added liquid biomethane (Bio-LNG) to its off-grid energy supply. The new Bio-LNG, which is now available, is being marketed to businesses running continuous, energy-intensive manufacturing or industrial processes, as well as the transportation industry.

The No 1 unit of the new Moka gas-fired power station located in Tochigi Prefecture, north of Tokyo, will start trials on 12th September, Kobe Steel told newswires. However, the start up of commercial operations has not been determined thus far.

Construction engineering company Argan’s subsidiary, Gemma Power System, has received permission to proceed with a 1.8 GW natural gas-fired power plant to be located in Guernsey County, Ohio, US.

The ‘Maria Gleta’ power plant near Cotonou, a large port city at the south coast of Benin, has been commissioned by MAN Energy Solutions and the BWSC. Powered by seven MAN 18V51/60DF gensets, the plant is now fully operational and supplies 127 MW of electrical output to the grid.

The Polish refinery Orlen has selected GE Steam Power to carry out a life-cycle upgrade of its onsite refinery power plant. Płock CHP, the largest of its kind in Poland, supplies 414 MW of electric power to the refinery and 2149 MWt of heat to the neighboring city.

General Electric has completed the upgrade to the entire fleet of LM6000 turbines at the Ubungo power plant ahead of schedule. The plant, operated by Sonagas, provides over 20% of the grid-connected electricity supply in Tanzania.

The Japanese government has granted a $44 million loan to Mozambique to finance retrofits and maintenance works at a gas-fired power plant in the capital Maputo. Due to be upgraded by 2020, the plant will add 110 MW to the national grid which is hoped to end crippling electricity shortages.

The Lebanese government is preparing to open tenders in September, inviting bidders to compete for EPC contracts to build four gas-fired power plants on a turnkey basis. The new independent power projects (IPPs) are meant to be built in the cities of Zahrani and Selaata.

Ansaldo Energia has been selected by the German utility Uniper to build an open-cycle power plant on a turnkey basis. The 300 MW plant, driven by an AE94.3A gas turbine, will be installed in Irsching, southern Bavaria, for grid balancing purposes. EPC works are about to start.

The first of 14 industrial gas turbines have been shipped to Bolivia to expand the capacity of the Entre Rios combined-cycle plant. The Bolivian government has tasked Siemens, and its Spanish consortium partner TSK, to increase the country’s power generation capacity by more than 1 Gigawatt.

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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.