Tuesday, 24 April 2012 09:28

CHP plant proposed for South Hook LNG terminal

South Hook LNG terminal at Milford Haven; source: southhooklng.co.uk South Hook LNG terminal at Milford Haven; source: southhooklng.co.uk

 A new gas-fired combined heat and power (CHP) plant could be on the horizon for the Milford Haven waterway, South Hook LNG has confirmed. The news comes after the UK Government announced its backing for a major expansion in gas generated electricity to avert a looming gap in power generation capacity.

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News in Brief

DONG Energy mulls divesting oil and gas business

Oct 26 - DONG Energy is considering divesting its oil & gas business, which is not “considered a long-term strategic commitment” for the company, DONG said Wednesday.

The Danish utility is reviewing “strategic options” and J.P. Morgan has been “engaged to conduct a preliminary market assessment.”
DONG added its portfolio is to focus on “offshore wind, bioenergy and green distribution and customer solutions.”

EBRD launches Eur200 mil energy efficiency programme in Poland

The European Bank for Reconstruction and Development (EBRD) has launched a Eur200 million programme for improving residential energy efficiency in Poland and reduce its dependency on imports.

The residential sector consumes about 40% of the country’s primary energy.

“The Polish Residential Energy Efficiency Financing Facility (PolREFF) addresses this challenge by providing credit lines to local partner banks for on-lending” to a number of parties, EBRD said.
Eligible borrowers will be able to receive loans for projects such as insulation of walls, upgrades of heat supply systems, heat pumps, installation of solar thermal and PV systems.

So far Bank Zachodni WBK has signed up to the programme, with "a second institution expected (to join) shortly," EBRD said.

EU, Gazprom close to reaching deal over antitrust probe: FT

Oct 24 - The European Commission is close to reaching a draft settlement with Gazprom which would end a five-year probe into alleged overcharging, the Financial Times reported.

The EU's competition commissioner Margrethe Vestager and Gazprom's deputy chairman, Alexander Medvedev, are “expected to meet this week and agree draft terms or signal they are close” the FT reported Monday. “This could at least be the beginning of the end” one person familiar with the case told the financial newspaper.
Gazprom is accused of having imposed unfair charges for its gas supplies to eastern and central European countries.

France's RTE reports new generation outages

Oct 24 - A number of new power plants in France have been added to the list of expected outages of generating units by grid operator RTE.

The new outages include: the forced unavailability of the Emile Houchet 6 (coal), Emile Houchet 8 (gas) and Provence 5 (coal) plants from October 21 to 25; the planned maintenance of the Tricastin 4 (nuclear) between October 22 to December 19, Brennilis 3 (oil) from October 23 to November 7 and Aigle 6 (hydro) plants on October 24, this latter lasting just one day.

The unavailability of the first three is going to bring offline a total of more than 1.4 GW, while the second group of plants account altogether for some 1.2 GW.

Greece-Italy transmission capacity down to zero Oct 22-23

Oct 21 - The long-term allocated power transmission capacity for delivery date October 22 and 23 on the Greece-Italy interconnector has been reduced to 0%, the European auction platform Joint Allocation Office (formerly CASC.eu) announced on its website.
That was “due to Network Security as per request from the TSO” JAO said.

Switzerland-Italy capacity curtailed Oct 20

Oct 20 - The long-term allocated power transmission capacity for delivery date October 20 on the Switzerland-Italy interconnector has been reduced to 92%, the European auction platform Joint Allocation Office (formerly CASC.eu) announced on its website.

It added this was “due to Network Security as per request from the TSO.”

This is the last of a series of curtailment on the same interconnector in the past days, amid an uptick in power demand in Italy in day-ahead markets in the central two weeks of October.

German BAFA gas import prices above spot in August

Oct 19 - The average price for natural gas imported into Germany stood at Eur14.15/MWh in August. That was above spot levels recorded on the German NetConnect and Dutch TTF gas hubs over that period, price reporting agency Platts said.
The average day-ahead price at Germany's GASPOOL and NCG hubs in August was assessed by Platts at Eur12.217/MWH and Eur12.084/MWh respectively, some Eur1.93/MWh and Eur2.07/MWH below the price reported by export control agency BAFA.
The BAFA price is the monthly average price of natural gas on the border, based on a formula including long-term contracts linked to oil, spot gas and other mechanisms.

Jiangsu Etern signs $1.1 bn deal to develop Bangladesh's power grid

Oct 18 – China's Jiangsu Etern signed a $1.1 billion deal with the Power Grid Company of Bangladesh to develop Bangladesh's power grid.
The four-and-a-half year deal envisages the “expansion, alteration and upgrading” of Bangladesh's power grid, Etern said in a filing to the Shanghai Stock Exchange.

Russia's discount to Turkey might be linked to supply rise

Oct 17 - A discount on the price of Russian natural gas supplies to Turkey could be linked to the delivery of some 2 Bcm of additional volumes through the Trans-Balkan pipeline, Sputnik News reported, citing the Russian Kommersant newspaper last week.
The possibility of a discount was suggested by Russia's president Vladimir Putin after the signing of a deal between Russia and Turkey for a new gas pipeline.
Turkey has currently some 28 Bcm of gas contracted with Russia, it reported.

Elengy reaches 50th LNG cargo reload

Oct 17 - French LNG terminal operator Elengy and its subsidiary Fosmax LNG have reached their 50th LNG cargo reload since April 2012, Elengy said.
That was an average of nearly one per month, with cargoes directed to some 18 different countries, it said.
“This milestone illustrates the high level of adaptability and operational reliability of Fos Cavaou and Montoir-de-Bretagne LNG terminals, ideally located on two maritime coasts, Mediterranean and Atlantic” Elengy added.

Enlarged GEMTEC opened in Saudi Arabia

Oct 14 – GE has opened the second phase of its manufacturing and technology centre (GEMTEC) in Saudi Arabia. The enlarged facility, spanning a total of 26,000 sqm, will now have the ability to manufacture F-class and HA turbine. It will also offer services for gas turbine repair and the first balance of plant (BOP) tests.

Entergy proposes 993-MW CCGT in Texas

Oct 13 - Entergy Texas has filed plans to build a 993-MW combined-cycle gas power plant just north of Conroe, Texas, at an estimated cost of for a $937.3 million. If approved by the regulator, construction would start in early 2019 and for the CCGT to enter service in 2021.

Gauging profitability of gas CCS

Oct 13 – Britain’s Energy Technology Institute (ETI) has appointed the engineering and construction group SNC-Lavalin to develop a business case for a gas-fired power plant fitted with Carbon Capture and Storage (CCS). Both AECOM and the University of Sheffield’s Energy 2050 Institute are also involved in the nine month project, which will see the ETI invest £650,000 ($793,200).

S&P revises Edison rating on Hinkley Point approval

Oct 12 - Italy's Edison has seen its long-term credit rating revised by Standard & Poor's from BBB- to BB+, following approval of the Hinkley Point C project. The revision follows the similar action on EDF’s rating (downgraded to A- from A, stable outlook). S&P said it sees Edison as “highly strategic for EDF”, suggesting that new terms of its gas supply contracts are should help “mitigate pressure” on margins coming from the negative trend in electricity generation markets.

NAES sold to Calpine for $1.05bn

Oct 11 – Singapore-listed commodities trader Noble Group has divested its North American energy distribution unit to Calpine Corp for S$1.05 billion as it seeks to restructure its business to cut debt. The sale of Noble Americas Energy Solutions (NAES) is part of the group company’s $2 billion capital raising initiative.

Burns to carry out EPC for Texas plant

Oct 11 – Burns & McDonnell has won an EPC contract to build the 225 MW Denton Energy Center in Texas on behalf of the local municipality. The 225 MW gas-fired facility will be driven by twelve 18-cylinder Wärtsilä 18V50SG engines and is scheduled for commissioning by July 2018.

BP eyes shale assets in Argentina

Oct 10 – Revising its current engagement in the US Permian basin, the UK major BP is considering investing in Argentina’s Vaca Muerta shale fields instead. “There is enormous potential,” CEO Bob Dudley said with reference to recent reforms that made Argentina more attractive by simplifying the market entry of foreign companies.