Press digest from last week

23.01.2017

 

Masdar, DEWA to break ground on 800MW phase in Dubai

UAE company Masdar announced Tuesday that construction on the 800MW phase three of the Mohammed bin Rashid Al Maktoum Solar Park in Dubai is expected to begin at the end of January 2017.

The announcement was made at Abu Dhabi Sustainability Week (ADSW) 2017 following the award of the engineering, procurement and construction (EPC) contract for the project.

A Masdar-led consortium was selected in June 2016 by Dubai Electricity and Water Authority (DEWA) to develop what will be the world’s largest solar park on a single plot upon completion.

The EPC contract agreement has been awarded to an international consortium led by specialist renewable energy contractor GranSolar of Spain, alongside Spanish specialist Acciona and Ghella of Italy.

Saeed Mohammed Al Tayer, MD & CEO of DEWA, said: “The agreement with Masdar supports the directives of His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE, and his brother His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to support the growth of the promising clean energy sector, and our efforts to achieve the Dubai Clean Energy Strategy 2050, launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum to diversify the energy mix so clean energy will generate 7% of Dubai’s total power output by 2020, 25% by 2030 and 75% by 2050.

“The directives of His Highness are the roadmap that guides our ambitious initiatives and development projects. The agreement also supports the Dubai Plan 2021 to promote sustainability and happiness in Dubai, and achieve the aspirations of its citizens and residents, and DEWA’s vision to become a sustainable innovative world-class utility.”

Construction of the 16 square-kilometre third phase expansion of the Dubai Solar Park will commence in three stages. The first 200MW stage is expected to be completed by the first half of 2018 and the next 300MW phase is due in 2019, with the final 300MW piece to come online in the first half of 2020.

The Mohammed Bin Rashid Al Maktoum Solar Park is expected to displace an estimated 6.5 million tonnes of carbon dioxide per year upon completion in 2030.

Mohamed Jameel Al Ramahi, CEO of Masdar, added: “This important milestone is a clear demonstration of the strong momentum behind the expansion of Mohammed bin Rashid Al Maktoum Solar Park, now including partnerships with GranSolar, Acciona and Ghella – respected international companies with a strong track record in renewables. At Masdar, we are proud to be supporting the UAE in realising its bold clean energy targets, and we are grateful for DEWA’s excellent leadership in this benchmark project.”

 

CONSTRUCTION UAE committee approves 420 projects worth $136m

The UAE President’s Initiatives Committee has endorsed 420 construction projects at a cost of AED500 million ($136m).

The projects will be implemented across the country, according to a statement carried by UAE state news agency WAM.

During its meeting held on Tuesday and chaired by Ahmed Juma Al Zaabi, Deputy Minister of Presidential Affairs, the committee also reviewed the progress of the Sheikh Mohamed Bin Zayed City project in Fujairah. It is an integrated city in Al Hail area, Fujairah, spread over land area of 2.15 million square metres, and houses 1,100 residential units.

The committee approved connecting the internal sewerage network of the city with the sewerage system of Tanqia Company in Fujairah. The project also includes construction of pumping stations and pipelines as well as the expansion of pumping lines at a total cost of AED37 million.

The committee also reviewed the rehabilitation of landfills in the UAE.

 

60% of TANAP construction completed

“First Azerbaijani gas will be transported to Turkey via the Trans Anatolian Natural Gas Pipeline (TANAP) in June 2018. Currently, 60 percent of works on TANAP project completed. First stage, the project cost estimated at $11.7 billion, however, this figure is amount to $8.5 billion. So, $3.2 billion saved,” said SOCAR Turkey Energy Director General Zaur Gahramanov.

“We are not concerned about Israeli gas. As a part of TANAP, we are ready to hold discussions with any company. We can also transport Israeli gas. If Turkey agrees, why not ?!,” he said.

“Turkish Stream project will not affect Azerbaijani gas. Azerbaijan has no difficulties regarding gas sale. We have signed contracts until 2046. Turkey is holding discussions with supplier countries related to the gas price. We are not included in these talks yet. But if the talks required, we will meet,” the SOCAR Turkey Director General said.

The 1,850 kilometre TANAP pipeline, which will transport gas from “Shah Deniz-2” field in Azerbaijan sector of the Caspian Sea to Europe, will run from the Turkish border with Georgia, beginning in the Turkish village of Turkgozu in the Posof district of Ardahan, will run through 21 provinces, until it ends at the Greek border in the İpsala district of Edirne. The pipeline is planned to be commissioned in 2018. It is planned to supply 6 billion cubic meters of gas to Turkey and 10 billion cubic meters — to Europe. By 2023, TANAP's capacity will rise to 23 bcm per year and then to 31 bcm by 2026. The project will require approximately 150,000 pieces of pipe and 1.2 million tons of steel pipes will be used in the project.

Since the beginning of 2020, TANAP will take gas from the South Caucasus Pipeline to Greece, Albania and to Europe via Italy, by joining the TAP pipeline. TANAP shareholders share in the project is as follows: Southern Gas Corridor CJSC - 58 percent, Botas - 30 percent and BP - 12 per cent.

 

OneSubsea bags EPC contract for Statoil’s Utgard development project

Schlumberger company OneSubsea has bagged a contract from Statoil to supply subsea production system for Utgard gas and condensate discovery in the Norwegian North Sea.

Financial terms of the engineering, procurement and construction (EPC) contract of the project were not disclosed.

The scope of OneSubsea’s contract includes two subsea wellheads, a subsea template manifold system, production control system, vertical monobore subsea trees, workover tooling and associated intervention.

Schlumberger OneSubsea president Mike Garding said: “We look forward to supporting Statoil in the commercial development of Utgard through the delivery of the subsea production system.

“In collaboration with Statoil, we are developing a new subsea wellhead system that is particularly suitable for the fairly shallow waters in the Utgard field; and we are committed to supporting Statoil in their drive to break the cost curve.”

The new contract for OneSubsea comes after the execution of a master service agreement with the Norwegian firm in January last year. Both of them had partnered to qualify a vertical monobore subsea tree as a standardized solution for the subsea developments of Statoil.

OneSubsea will assemble and test the vertical trees at its facility in Horsøy, Norway.

Formerly known as Alfa Sentral, Utgard is a gas and condensate field spread across the UK-Norway median line, located 21km from the Sleipner field. It was planned to be remote-controlled from the Sleipner A platform.

Production at the Utgard site is slated to begin by 2019 end. The Utgard wells are planned to have production capacity during peak times at nearly 7,000 Sm3 per day of oil equivalent.

Before exporting, the Utgard field produced gas and condensate will be transported for processing at the Sleipner field through a new pipeline.

 

Russia to build major power plant in Iran

Iran and Russia have signed an agreement worth billions of dollars for Russian companies to build a power plant in Iran and enhance the power generation capacity of another plant, said a senior official.

The Russians will improve the efficiency at Ramin Power Plant in Khuzestan Province to 50-55 per cent from the current 36 per cent, Alireza Daemi, Iranian deputy energy minister, was quoted as saying in an Iran Daily News report, citing Mehr News Agency.

He added that another Russian company will build a 1,400-MW power plant in Bandar Abbas, Hormuzgan Province.

Daemi noted that the details of the two contracts between Iran and Russia are worth several billion dollars and the details will be announced in the future.

 

GE wins $1.4bn power plant contracts in Iraq

General Electric (GE) has secured more than $1.4 billion in orders from Iraq’s Ministry of Electricity to set up power plants as well as provide technology upgrades and maintenance services.

The announcement further strengthens GE’s collaborations in Iraq to support the country’s power infrastructure and meet the growing need for electricity.

These new agreements that will add over two gigawatts (GW) of power and secure the delivery of ~1.75 GW of existing power to the national grid.

As per the deal, GE will set up the Samawa and Dhi Qar power plants, adding 1,500 megawatts (MW) to the grid. In the first phase of the project, the company will install four 9E gas turbines in simple cycle at each site by 2018.

The second phase will entail the combined cycle conversion of the 9E units.

GE will also be supplying advanced heat recovery steam generators (HRSG) and steam turbine technology besides serving as the engineering, procurement and construction (EPC) contractor for the projects.

Under Phase Two of the Power Up Plan – a plan with the Iraqi Ministry of Electricity (MoE) for critical electricity generation and maintenance projects throughout the country - GE will add over 580 MW to the national grid through upgrade and rehabilitation works at four power plants.

Additionally, under Power Up Plan Phase Two, the technology giant will sustain ~1.75 GW of existing power generation through the maintenance of 9E gas turbines across six different power plants in Iraq. The activities will help enhance the reliability and efficiency of Iraq’s installed base.

Steve Bolze, president and chief executive of GE Power, said the announcement builds on GE’s successful delivery of more than 700 MW of additional power through existing power generation infrastructure to the national grid last year as part of the Power Up Plan’s Phase One.

The company is already working with regional and international institutions to facilitate financing to help the Government of Iraq execute these and other projects.

Since 2016, it has helped the country secure $2 billion in financing for projects in the energy sector leveraging its global sourcing capabilities coupled with its strong relationships with lenders.

Musaab Al Mudarris, official spokesman, Iraqi Ministry of Electricity, said: "The announcement with GE is another strong statement on our commitment to strengthen the nation’s power infrastructure. We are focused on delivering reliable, uninterrupted and efficient electricity supply for both residential and commercial use."

"With demand for electricity increasing every year, a transformational approach is required that is led by new projects and technology upgrades," he noted.

“We are pleased to be working in collaboration with the Ministry of Electricity to continue to help provide power to the people of Iraq,” said Bolze.

“Using GE’s expanded portfolio of technologies and solutions, this project will provide more reliable and sustainable electricity for the country to help achieve better operations and higher levels of efficiency,” he added.

 


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