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Spurred by the global expansion in LNG supply and trade, the growth of natural gas supply in absolute terms will outperform that of all other energy sources, notably coal and oil, CEDIGAZ said in its latest Medium and Long Term Natural Gas Outlook 2017. According to projections made by the Paris-based energy consultants, the share of gas in the world primary energy supply will rise from 21.2% in 2014 to 23.9% in 2035.

Supply-side overhang has made the energy component of the Standard and Poor’s Goldman Sachs Commodity Index (GSCI) shed 11% during the first half of 2017 – the largest drop in the index. Metals, lifestock and agriculture, by contrast, had higher end-of-June prices than those at the start of the year.

Acute fuel shortages have halted the operation of eight new-built power stations in Nigeria with a combined capacity of 4,201 MW. All affected plants had been built under the National Integrated Power Project (NIPP) set up by the former President Goodluck Jonathan. At 6 am on Sunday, the actual power output supplied to the grid by the eight fuel-constaint plants was just 2,979.90 MW – less than two third of their installed capacity.

Capacity-weighted average construction costs for many generator types have fallen in recent years throughout the United States. The average cost of natural gas generators installed in 2015 was $696/kW, a 28% decline from 2013. Nearly 75% of the natural gas capacity installed was combined-cycle units, which had an average installed cost of $614/kW.

Utilities in India will face the most disruption” when having to come to terms with the trend that by 2020, renewable power will be the cheapest form of new-build capacity in most of the world, according to Morgan Stanley Research. “We think the market for Indian utilities has yet to fully price in the impacts of solar power becoming the cheapest form of new generation,” analysts said, remarking “[this is] driving our downgrade of the Indian utilities industry to In-Line.”

Dubbed a ‘Test of German power’ by the Financial Times, the construction of the second pipeline arm of North Stream 2 has sparked protest by 13 EU member states but German energy majors, including BASF, Wintershall and E.on are adamant that implementation of the project is vital for Europe’s energy security. Boosting Russian gas exports to Greifswald may bolster the German-Russian relations but it looks going against the principle of the ‘Energy Union’, an aspirational project launched by the European Commission to diversify supply sources.

Spanish engineering group SENER has been embarking on a number of major turnkey construction projects in Mexico, such as the 770 MW Empalme I project. “The Energy Reform extends the market share for private enterprises and increases the value of the [state operator] CFE. This creates a lot of opportunities for our company,” Alejandro De la Rúa, Power, oil & gas director at the firm in Mexico said, forecasting energy demand in northern Mexico is set to grow by 3.6% per year.

Exports of natural gas from the United States have reached a record-high level, surging 30% to 2,315 Bcf in 2016. Pipeline exports to Mexico more than doubled since 2013 and are set to rise further, according to EIA projections, once the pipeline projects currently under construction are completed and demand from new natural gas-fuelled plants in Mexico ramps up.

Sharjah National Oil Co. (SNOC) is aiming to take a financial investment decision on a floating LNG terminal before the end of 2017 in an effort to end intermittent power shortages in that emirate, located just north of its affluent neighbour Dubai.  

No new coal-fired generating capacity is added to the U.S. power mix in all cases set out in the EIA’s Annual Energy Outlook 2017 (AEO2017). Analysts stressed, however, that actual production levels of hard coal and lignite depend on resource availability on technological advancement – not just on policy choices around the much-debated effects of the Clean Power Plan (CPP).

PennWell Corp. today launches ‘Electrify Europe’, a new event dedicated to the convergence of power generation and transmission which is driven by trends like digitization and decentralization. According to Glenn Ensor, head of PennWell International, it is an “entirely new concept designed to foster information exchange between established and new players for the creation of advanced solutions across an entire electricity value network.” The launch event will be held in Vienna, Austria, in June 2018.

As the energy mix across the United States continues to shift towards renewables and gas, the carbon intensity of the overall electric power sector is now lower than that of gas-fired power generation. After averaging near 60kg CO2/MMBtu for decades, the combustion-weighted carbon intensity in the electric power sector fell to 48kg CO2/MMBtu in 2016 – slightly lower than that of natural gas, which produces 53kg CO2/MMBtu.

Seeking to intensify political ties by playing on energy economics, the Managing Director of Yerevan power station Sassan Khachaturian has offered to step up electricity exports to Armenia’s gas-rich neighbour Iran in return for making a continuous flow of gas supply available. "Armenia is ready to export more electricity to Iran during the hot summer days," Khachaturian said, asking for more gas import from Iran in return to meet his country's winter demand.

British Gas parent company Centrica has contractually agreed to sell its Langage and South Humber combined-cycle gas turbine (CCGT) power plants, with a total capacity of 2.3 GW, to the Czech utility Energetický a Průmyslový Holding (EPH) for £318 million ($401 million). The divestment comes just a day after Centrica announced the closure of its Rough gas storage and is part of the company’s strategy to downsize its overall operation as margins shrink.

Reliance Power still faces uncertainty over the source of LNG supply for its 718-MW gas-fired power plant project in Bangladesh, and is awaiting a government decision on the matter. The Indian energy company is the first to build a power plant that will run on regasified LNG in neighbouring Bangladesh; but to operate the plant near full capacity Reliance needs around 110 million cubic feet per day (mmcf/d) of natural gas as fuel.