Daily News

Thüringer Energie AG (TEAG) has tasked MAN Energy Solutions and MMEC Mannesmann to build a new gas-engine driven cogeneration plant in Jena, Germany. The new CHP unit will expand an existing plant and is due to start operating in the 2021/22 heating period.

CNPC, Eni, Socar and commodities trader Trafigura are striving to win a LNG tender for 240 cargoes over 10 years from Pakistan LNG, which seeks to secure stable gas imports for power generation. Analysts said the tender is likely to cost up to $6 billion at today’s prices, or $25 million per cargo.

German Chancellor Angela Merkel has thrown her political weight behind the introduction of a price on CO2 emissions in the transport and buildings sector, although her climate cabinet will have the last say on September 20. “I advocate such a price,” Merkel said, stressing new paths had to be tried to reach the country’s climate targets.

Diversifying supply sources, Pakistan strives to secure attractively-priced LNG for power generation. Qatar is currently the country’s main supplier but the Pakistani government hopes to buy LNG from Australia and the U.S. at a price of around $3.5 per million British thermal units in the near future.

MAN Energy Solutions' new digital platform CEON collects and evaluates operating and sensor data to enables real-time monitoring of power-plant engines, turbines and compressors. Integrating data from MAN machinery and its operational environment, the new digital platform uses intelligent analysis tools for evaluation and forecasting.

China Energy Group has decided to build 6 gigawatts (GW) of ultra-low emission coal-fired capacity this year. In regions with poor renewables potential, the government supports the use of coal as a “practical measure,” the utility said, as “gas is still too expensive.”

In the Permian, the gas-to-oil ratio keeps rising at mature shale plays. The mismatch between surging gas production and constrained takeaway pipelines has pushed down gas prices into negative territory, forcing well shut-ins from producers like Apache and Chevron.

Chart Industries, the US LNG and energy equipment maker, has posted a rise in net income and revenues after receiving orders across all sectors from large liquefaction plants to small-scale LNG-to-Power installations and completed the acquisition of Harsco Air-X-Changers.

Mitsubishi Hitachi Power Systems (MHPS) has signed a preliminary deal with Uzbekistan’s energy ministry to expedite a Comprehensive Service and Maintenance Program (CSMP) for the country’s thermal power plants.

Wärtsila’s energy segment has lost market share as the performance in the second quarter was burdened by fewer power plant deliveries, as well as an unfavourable project and equipment mix. “We still need some orders to come through in the energy sector, but the sales pipeline is good and we expect those orders to be signed,” said Wärtsilä CEO Jaakko Eskola.

MAN Energy Solutions and China National Heavy Machinery Corporation (CHMC) have jointly won a contract to build a 200 MW power station in the Cambodian capital Phnom Penh. While CHMC will carry out engineering, procurement and construction, MAN will deliver and commission the plant’s eleven 18V51/60DF engines.

Switching from coal to existing gas-fired plants could help avoid up to 1.2 Gigatonnes (Gt) of carbon emissions, lowering global power sector emissions by 10%, the International Energy Agency finds. Most potential for fuel switching is seen in the United States and in Europe.

High carbon and low fuel prices in June gave Germany’s gas power plants a competitive edge over lignite-fired generation. According to Fraunhofer ISE findings, gas units’ fuel and carbon costs at €24-28/MWh outcompeted costs of lignite plants at €30-40/MWh, at a time when power prices averaged just under €32/MWh.

Rebuking EU sanctions, Turkey has vowed to step up its drilling activities offshore Cyprus and claimed it found natural gas. Ankara dismissed Brussels’ initial set of sanctions as “worthless” and announced it would send a new drilling ship in waters where Greek Cyprus has exclusive rights.

British roads will see some 35 million electric vehicles by 2050 which can be used to store excess electricity and enhance the grid flexibility. According to National Grid, these electric vehicles could store roughly one fifth of GB’s solar generation for when this energy is needed.

News in Brief

Bonny Train-7 to cost $6.5bn

Sept 16 – Nigeria LNG is preparing to add a seventh processing train to Bonny LNG, bringing total capacity from 22 million tons per annum (mtpa) to 30 mtpa. Estimated to cost $6.5 billion, Bonny Train-6 will include a new liquefaction unit, a storage and a condensate tank as well as three gas turbine generators.

Schneider to complete L&T takeover by early 2020

Sept 13 – Venturing into India, Schneider Electric hopes to finalise the Rs 14,000 crore acquisition of Larsen & Toubro's electrical and automation business by early 2020. After the transaction is completed, Schneider will have a 65% stake in L&T, while the remainder will be held by Temasek.

MHI to advice China on energy conservation

Sept 12 – Mitsubishi Heavy Industries Thermal Systems, part of MHI, has set up a joint venture withan affiliate of State Grid Corporation of China (SGCC) to perform technical consulting for energy conservation projects in China. The focus of SGCC lies on building new decentralized power stations, biomass-derived power gensets and energy saving solutions.

Tender extended

Sept 11 – Turkmengas has extended a tender for the overhaul of the gas turbine engines of the NK-12ST and NK-14ST brands. Bidders need to pay to receive the tender documents, and then submit a written application to Turkmenistan’s state gas company.

Gas power units to buffer Germany’s coal exit

Sept 10 – Electricity output of Germany’s fleet of gas-fired power plants has risen to a over 13,5 billion kilowatt-hours in the three months from June to August, Fraunhofer ISE figures show. These productivity gains put CCGTs in pole position to balance supply swings in connection with the German coal exit.

Power of Siberia gas flows to start on Dec 1

Sept 9 – Russian gas supplies to China via the eastern route are going to start on December 1, 2019, Gazprom chairman Alexey Miller told his counterpart at CNPC in Beijing. The huge Chayandinskoye field, containing some 1.2 trillion cbm of gas, had already been connected to the 38 Bcm per year ‘Power of Siberia’ gas pipeline in August.

Hurricane Dorian causes havoc in the Bahamas

Sept 6 – In the aftermath of Hurricane Doran, a Category 5 storm, Bahamas Power and Light has said there is a total blackout in New Providence, the most populous island of the archipelago. Dorian made landfall twice on Sunday, ripping off roofs and electricity lines. In most parts, electricity has not been restored.

LNG cargoes via Bab-el Mandeb decrease

Aug 30 – Northbound LNG shipments via Bab el-Mandeb, a sea route chokepoint between the Horn of Africa and the Middle East, have fallen over the past three years as Egypt imports less natural gas from the Persian Gulf. In 2015 and 2016, both Jordan and Egypt imported up to 1.4 Bcf/d of LNG into Red Sea ports but these shipments fell sharply following the development of large gas finds in the Mediterranean.

Hokuriku Electric buys LNG cargo

Aug 29 – Japanese utility Hokuriku Electric has purchased an LNG cargo for delivery in November as soaring temperatures drew down gas in storage for the autumn. The cargo is understood to be scheduled for delivery in the second half of November from Malaysia’s Petronas and may well be destined for Hokuriku Electric’s first LNG-fired power generation unit,  the Toyama Shinko plant.

Technip spins off LNG activities

Aug 28 – TechnipFMC, has decided to spin off its European-based engineering and construction operations into a separate business, leaving the American half of the firm as an equipment supplier to the oil and gas sector. The split is due to be completed in the first half of 2020.

FLNG power market to top $930m by 2023

Aug 27 – The global market for floating LNG power vessel is projected to reach $ 931.6 million by 2023, up from $ 860.1 million seen last year, according to ReportsnReports. Major vendors of FLNG power vessels are Siemens, MAN, Wärtsilä, Caterpilar and GE which are targeting to use the technology to supply decentralized power to island nations in Southeast Asia and along the coast of sub-Saharan Africa and the Americas.

EIA monitors grid hourly

Aug 26 – The U.S. Energy Information Administration (EIA) has launched a beta release of its hourly electric grid monitor. The enhanced version analyses hourly generation by energy source and hourly sub-regional demand for certain balancing authorities in the Lower 48 states.

Hiroshima waste-to-energy plant gets upgrade

Aug 23 – Mitsubishi Heavy Industries (MHI) has been chosen to upgrade and refurbish the combustion facilities at a waste to energy plant in Hiroshima. The Naka plant in Minamiyoshijima, Naka-ku, has a total waste treatment capacity of 600 tonnes per day and generates 15.2 MW of electricity to power the equipment in the factory, while selling the remainder to the grid.

China eases ban on coal power

Aug 22 – The Chinese National Energy Administration (NEA) has allowed 11 provinces to resume building coal power plants in a move that lies bare the country’s dependency on thermal coal even after several hundred billion dollars were invested cleaner energy sources, notable wind, solar and natural gas. Areas earmarked by NEA for new coal power plants include Qinghai, Chongqing, Guangxi, Guangdong, Yunnan, Guizhou and Henan.

Blackout after Didcot demolition

Aug 21 – Yet another blackout hit thousands of British households early Sunday after the demolition of cooling towers at the disused Didcot-A power station in Oxfordshire. Moments after the explosion at 7am to bring down the cooling towers some nearby electricity poles and overhead transmission lines caught fire, causing a sudden loss of electricity that lasted for one hour and twenty minutes.

Fuel cell vehicle market gathers speed

Aug 20 – Sales revenue from fuel cell vehicles will soar to $255.2 billion in 2032, up from just $400 million last year, driven by fast growth in China and wider Asia. Hydrogen fuel cells achieve an energy conversion efficiency of 50% to 60% amid zero emissions and a low maintenance cost thanks to the engine’s modular design.

Tohoku Electric tenders for LNG cargo

Aug 19 – Tohoku Electric Power, the fourth-largest electric utility in Japan in terms of revenue behind Tepco, Kepco and Chubu, is understood to be seeking an LNG cargo for delivery in September. A tender process is ongoing.