Daily News

Saudi Arabia’s Acwa Power and Saudi Aramco have contributed nearly $3 billion in funding for an integrated LNG-to-Power project in Bangladesh. The 3,600 MW power plant and an integrated LNG regas terminal will be jointly build by the Bangladesh Power Development Board (BPDB) and its Saudi partners.

Bracing against the risk of wild-fires, the Californian utility Pacific Gas and Electric (PG&E) shut off electricity to hundreds of thousands of customers in 34 California counties. The impact of these shutoffs could have been buffered by supplying electricity from energy storage facilities.

Slovenian energy solution provider NGEN has invested over 15 million Euros to install the largest Tesla Powerpack storage system in Europe. The 12.6 MW/22.2 MWh battery energy storage system (BESS) is used for grid balancing and will soon be accompanied by a second, similar-sized unit.

Financing has been agreed for the $868 million Taweelah independent power and water desalination project, the world’s largest reverse osmosis facility. The Emirates Water & Electricity Company (EWEC) and ACWA Power will build the new plant at the Taweelah complex in Abu Dhabi.

Petronet, the operator of India’s Dahei and Kochi LNG import terminals, has managed to push down the price for LNG cargoes from the US Gulf Coast. Tellurian, developer of the Driftwood liquefaction terminal, agreed to deliver cargoes to India at a price of $6 per unit – a much lower price than the price cap for output from India’s Malampaya gas field.

Shell Eastern Trading will likely be Hong Kong’s first supplier of US LNG for use in the 2.5 GW Black Point and 3.7 GW Lamma Island power stations. CAPCO and Hong Kong Electric already struck an LNG supply deal with Shell which covers up to 1.2 million tonnes per annum for 10 years, starting from 2020.

Russia’s Gazprom seeks to end a dispute with Naftogaz Ukrainy before a crucial gas transit contract expires on December 31, 2019. Offering an out-of-court settlement, Gazprom chairman Alexey Miller said he could picture a “zero option” whereby all court proceedings would cease and all lawsuits would be withdrawn.

Siemens is applying its electrification experience in the marine industry to offshore oil and gas, focussing on reducing emissions and risk in harsh operational environments. BlueVault, Siemens’ advanced lithium-ion battery-based solution, is suited for both all-electric and hybrid energy-storage applications.

Emirates Water & Electricity Company (EWEC), part of Abu Dhabi Power Corp, has received six bids from potential developers of the 2,400-MW Fujairah F3 independent power project. The proposals are now being scrutinized and EWEC plans to announce the winning bidder in January 2020.

Kawasaki Heavy Industries has obtained Approval in Principle (AiP) from the classification society DNV GL for its floating LNG power plant, driven by a combined-cycle gas turbine. The approval is based on DNV GL’s latest ‘Gas Power Plant Rules.’

Anadarko’s recent FID on the $20 billion Mozambique LNG project will sweep substantial revenue into state coffers. From the early 2030s, royalties from Mozambique LNG alone will reach an estimated $3 billion per annum, doubling today’s state revenue and freeing up funds for integrated power projects.

Strike actions by workers at the French utility EDF in protest against the restructuring of the state-controlled company have curbed cumulative power output by 3.7 GW this morning. Production restrictions are expected to continue throughout the day.

Siemens AG, Europe’s largest engineering company, will create a new independent entity under the name ‘Siemens Energy’ that combines its conventional and renewable energy businesses. The spin-off will take effect as of April 2020 with a view to getting the new entity listed by September.

Flows of natural gas from the Appalachian Shale Basin to the rest of the U.S. surges as production reached over 16 billion cubic feet per day last month, pushing down prices in the Northeast. Meanwhile, demand rises in other states - both from the power sector and for liquefaction and export.

Russia’s Gazprom is preparing to feed first gas into the Power of Siberia pipeline for export to China. Production drilling is in full swing at the Irkutsk Region-based Kovyktinskoye field, which will start pumping gas into the 38 bcm/y gas interconnector with China in early 2023.

News in Brief

Brookfield invest $2bn in Cove Point LNG

Oct 22 – Brookfield Asset Management, an investor in energy infrastructure and power storage, has agreed to take a 25% stake in Cove Point LNG for just over $2 billion in cash. The alternative investor also owns assets in hydro (7.9 GW), wind (4.9 GW), solar (1.7 GW), distributed generation (400 MW) and energy storage (2.7 GW).

Ansaldo appoints new CEO

Oct 21 – Ansaldo Energia’s board of directors has appointed Giuseppe Marino as new CEO. Together with the chairman, Giuseppe Zampini, he will decide on the company’s strategy particularly relating to the new Chinese joint ventures.

Slow start of STT pipeline

Oct 18 – U.S. gas exports to Mexico have not picked up substantially despite the start of the Sur de Texas-Tuxpan (STT) pipeline. Exports are still below 6.0 billion cubic feet per day (bcf/d), although there no current postings regarding maintenance on the Sistrangas pipeline that feeds from NET Mexico.

EIB defers ban on fossil projects

Oct 17 – Luxembourg-based European Investment Bank (EIB) has bowed to pressure from Germany and the European Commission and deferred its decision to ban loans to fossil-fuel projects until mid-November. Germany wants the bank to keep financing gas-fired power projects as it views the cleaner-burning fossil fuel as a vital backup for renewable energy sources.

Brexit will not impact UK gas supply

Oct 16 – Security of power and gas supply in the UK will not be jeopardized this winter by the country’s imminent departure from the European Union, even in the event of a hard Brexit, National Grid said. In its assessment, the TSO factored in a halt to flows via the Belgium and Dutch gas interconnectors “from EU exit day one”, but said ongoing deliveries from Norway, the UK Continental Shelf and storage will continue as usual.

Ferrybridge C gets demolished

Oct 15 – Four cooling towers at the Ferrybridge Power Station have been taken down as the coal-fired power station will make way to a new, high-efficiency gas power station. Operator SSE shut down the 500 MW Ferrybridge C unit in March 2016 and now started to tear it down.

Global energy storage tops 10 GW by 2025

Oct 14 – The global market for grid-connected energy storage will grow by 6,900 MW, or 16.6% to reach over 10,500 MW by the end of 2025, according to Reportlinker.com. Germany will add over 267 MW energy storage installations over the next five to six years, while 330 MW will come from other European markets. These numbers are dwarfed by China, where up to 1,200 MW energy storage units could be connected to the grid by 2025.

Wärtsilä services EDL plant

Oct 11 – Energy Developments Ltd (EDL) of Australia has awarded Wärtsilä a service contract for gas engine-based baseload power plant at the McArthur River zinc mine in Northern Territory. The maintenance approach for the 53 MW onsite power plant is no longer pre-planned and scheduled but has been changed to condition-based and predictive maintenance, with an advisory contract.

EPH buys CCGT in Galway

Oct 10 – The Czech energy company EPH has received regulatory approval to purchase an 80% stake in the 400 MW Tynagh Energy combined-cycle gas power plant in Galway, Ireland. Mountainside Partners will continue to own the remaining stake in the CCGT, which operates based on a security-of-supply contract from the Irish TSO based on guaranteed power prices.

ITM gets £38m boost from Linde

Oct 9 – Sheffield-based ITM Power, maker of electrolysers for hydrogen production, has been boosted by a £38 million cash injection, as Linde acquired a 20% stake in ITM at 40 pence per share. Looking ahead, ITM said it is seeking to raise £14 million from new and existing institutional investors.

Drax to convert two power units

Oct 8 – Drax Group has received government approval to convert up to two coal-fired generating units at its power station in North Yorkshire to run on natural gas. With this ruling, the UK regulator overturned objections by ClientEarth, stressing some fossil power is vital for the UK to backup intermittent renewable power source.

Storage use tops 80% in key U.S. regions

Oct 7 – Gas storage utilization in the United States is rising in the autumn, with net injections topping 112 billion cubic feet (Bcf) in the first week of October. According to EIA figures, underground storages are at least 80% full in the East, Midwest, and South Central non-salt regions, allowing for seasonal withdrawals to help meet peak-day gas demand throughout the upcoming winter.

Maine, NY aspire to 100% clean energy

Oct 4 – Three U.S. states—Maine, New York, and Ohio—have updated their renewable portfolio standards (RPS), since May 2019. As a result, Maine and New York joined California, Hawaii, Nevada, New Mexico, and the District of Columbia in requiring 100% clean electricity by 2050.

TransAlta to built CHP in Alberta

Oct 3 – Canada-based Transalta and SemCAMS Midstream have agreed to develop, construct and operate a new cogeneration facility at the Kaybob South No. 3 sour gas processing plant in Alberta. To be built at a cost of some 105 million, the CHP will have an installed capacity of 40 MW. Start of commercial operation is targeted for late 2021.

GE’s 100th HA turbine sold in Greece

Oct 2 – Greek industrial firm Mytilineos has ordered a GE 9HA.02 gas turbine to be the heart of the 826 MW Agios Nikolaos combined-cycle gas power plant. This deal also marks the 100th unit of GE’s HA gas turbine sold. Construction of the CCGT is due to start before the end of the year.

ABB launches M4M analyzer

Oct 1 – Swiss technology firm ABB has launches its first Bluetooth-equipped network analyzers, called M4M. The system gathers data from distribution grids and connects them to a cloud-based control system, allowing users to react on energy consumption and on-site power generation trends.

Microsoft invests in wind power

Sept 30 – Microsoft and ENGIE have entered a long-term solar and wind energy power purchase agreement (PPA) in the United States. The deal will see Microsoft purchase a total of 230 MW from two ENGIE projects in Texas, bringing Microsoft’s renewable energy portfolio to more than 1,900 MW.