Sunday, August 18, 2013

SAUDI ARABIA: Saudi Aramco orders US$967 million worth of components for 4,000MW gas-fired power plant at Jazan

(EnergyAsia, August 19 2013, Monday) — Germany's Siemens said it has secured a large order of components for the construction of a 4,000MW gas-fired combined-cycle power plant in Saudi Arabia.

State energy firm Saudi Aramco placed the US$966.8 million order for the plant which is expected to start up in 2016 to power up the industrial city including a 400,000 b/d refinery in the south-western city of Jazan. Comprising five units, the Jazan power plant will be fuelled with gasified refinery residues that will help preserve the country's energy resources.

The plant's first two units will start up in the spring of 2016, with the rest to follow in the second half of 2017.

Siemens said it will supply 10 gas turbines, including six to be manufactured in Saudi Arabia, that are designed to use synthesis gas (syngas) and diesel fuel for what will be one of the world's largest power plants.

The German firm, which said the SGT6-5000F gas turbine model has a successful track record of more than nine million operating hours, will also supply five steam turbines, 15 generators and 10 heat recovery steam generators.

"This is not only the largest order to date for Siemens from Saudi Aramco, but also a significant milestone in our successful cooperation with the biggest oil company in the world, and is proof of the success of our regionalization strategy," said Michael Suess, CEO of Siemens' Energy Sector and member of the Siemens AG managing board.

Nabil Aldabal, managing director of Aramco Overseas Company, a Saudi Aramco subsidiary, said:

"This new highly efficient combined cycle power plant is an important part of our major project in the new economic zone in Jazan, and for this we must have efficient and reliable technology. We are looking forward to working with Siemens on this strategic project."

Saudi Arabia, with its large oil and natural gas reserves, is the largest economy in the Gulf region with significant potential to grow demand for efficient fossil power generation. For the rest of the decade, the kingdom's power demand is projected to increase by six percent per year while its population is expected to increase from about 28 million to 34 million in 2020. The government is planning to increase the kingdom's installed power generation capacity from 67 gigawatts in 2012 to 140 gigawatts in 2020.

Siemens said it is investing in this growth market by constructing a facility in Dammam city to manufacture and service gas turbines and related equipment.





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Thursday, August 15, 2013

SINGAPORE: Sembcorp expands waste-to-energy capacity with S$250 million new steam production plant

(EnergyAsia, August 16 2013, Friday) — Sembcorp Industries said it plans to invest more than S$250-million to build a plant on Singapore that has the capacity to produce 140 tonnes per hour of steam using industrial and commercial waste while emitting 50% less carbon dioxide compared with a coal-fired facility. (US$1=S$1.26).

Located on Jurong Island's Sakra sector, the two-boiler plant is slated to start up in 2016 and will use 1,000 tonnes per day of industrial and commercial waste collected by Sembcorp's solid waste management operations. That amount equals roughly 14% of the daily total tonnage of waste incinerated in Singapore.

The company said the project, its second waste-to-energy (WTE) project, is in line with its objective to offer "the best and most competitive solutions" to its petrochemical plant customers on Jurong Island while helping them reduce their carbon footprint.

The investment will be funded through a combination of bank borrowings and internal sources.

Sembcorp Industries Group President and CEO Tang Kin Fei said:

"This new energy-from-waste plant increases our supply of energy from alternative fuel. It will reduce our cost of energy production on Jurong Island and enable us to provide our customers a competitively priced, environmentally-friendly source of steam.

"Sembcorp is also taking the lead in supporting the government's efforts to promote a greener, more sustainable Jurong Island."

Ng Meng Poh, Sembcorp's executive vice president and head of utilities, said:

This new investment demonstrates Sembcorp's unceasing focus on offering the best solutions for our customers. It will provide a reliable supply of steam to serve their needs and takes our investment in facilities to serve Jurong Island customers to nearly S$3 billion. In addition, this facility will also be environmentally-friendly and help our customers to reduce their carbon footprint."

Sembcorp's first WTE project in Singapore started up last year using woodchips from construction and demolition waste to fuel a steam boiler on Jurong Island.

The company, which has also developed WTE and renewable energy plants In the UK and China, has decided to delay the construction of a second 400 MW cogeneration plant on Jurong Island amid signs that Singapore is facing an oversupply of power generation capacity.





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