Weekly HEG Global Energy Digest


Russia, China ink four nuclear deals in Bejing

Russia and China signed the biggest package of contracts in the history of the two countries’ nuclear partnership, according to Russia’s state nuclear company Rosatom on Friday.

The package consists of four deals that envisage the construction of four Gen 3+ VVER-1200 reactor units at the Xudabao and Tianwan sites, cooperation in the CFR-600 fast reactor pilot project, and supply of the Radioisotope Thermoelectric Generator (RITEG) parts for China’s lunar exploration program.


The deal was signed in Beijing in the presence of Russian President Vladimir Putin and the People’s Republic of China President Xi Jinping.


“The signing of these agreements is the best confirmation of our partnership with our Chinese friends,” Rosatom CEO Alexey Likhachev was quoted as saying.


“We developed a framework for joint design and construction at the Tianwan site by both Russian and Chinese specialists. We continue to jointly build the most modern Gen 3+ units in China. Moreover, today we agreed to start the construction of VVER-1200 power units at a greenfield site,” Likhachev added.


The construction of the four new units – two at the greenfield site of Xudabao and two at unit 7 and 8 at the Tianwan plant will feature Russia’s latest Gen3+ VVER-1200 reactors, which Rosatom will develop and supply, along with other necessary equipment to the nuclear island.


The third deal involves the supply of equipment, fuel, and services for the China National Nuclear Corporation-developed CFR-600 fast reactor pilot project.


The last deal was signed for the supply of radionuclide heat units (UHR) which will be used as parts of radioisotope thermoelectric generators to power equipment in China’s space program, for use in particular in lunar exploration.

Article Source: https://www.energymarketprice.com/energy-news/russia–china-ink-four-nuclear-deals-in-bejing

Oil Market:

Norway green lights Johan Castberg project in the Barents Sea

The Norwegian Ministry of Petroleum and Energy has approved Equinor’s plan for development and operation of the Johan Castberg field in the Barents Sea.

“Today we have a solid project that will be central in the further development of the northern regions,” said Margareth Øvrum, Equinor’s executive vice president for Technology, Projects and Drilling.


With first oil scheduled for 2022, the field could remain in production for 30 years. Equinor estimates capex at NOK49 billion ($6.12 billion), and recoverable resources in the range of 450-650 MMboe.


The development will feature a production vessel connected to 30 subsea wells distributed on 10 templates and two satellite structures. This is the most extensive scheme for any subsea field presently under development globally, the company pointed out.


In 2014, the original capex figure was more than NOK100 billion ($12.48 billion) and the break-even oil price was above $80/bbl.


However, with the help of suppliers and partners, Equinor altered the concept and found new solutions for a development that is set to be profitable at an oil price less than $35/bbl.


There will be a dedicated supply and helicopter base in Hammerfest, northern Norway, and an operations organization in Harstad. Opex costs are estimated at NOK1.15 billion ($143 million)/year.


Equinor and operators of other oil fields in the Barents Sea are also considering an oil transfer arrangement at Veidnes in Finnmark County, including both a downscaled terminal solution and ship-to-ship transfer.


Partners in Johan Castberg are Equinor (operator 50%), Eni Norge (30%), and Petoro (20%).

Article Source: https://www.energymarketprice.com/energy-news/norway-green-lights-johan-castberg-project-in-the-barents-sea


Tata Power wins 150-MW solar project in Maharashtra

The renewable energy business of Indian utility Tata Power Co Ltd (BOM:500400) has won a 150-MW solar photovoltaic (PV) project in the state of Maharashtra, the company said on Monday.

Tata Power Renewable Energy Ltd (TPREL) got the letter of award to develop the scheme and anticipates to ink a 25-year power purchase agreement (PPA) with the Maharashtra State Electricity Distribution Co Ltd (MSEDCL). The latter invited bids for 1,000 MW of grid-connected solar capacity.


The signing of the contract is pending clearance from the Maharashtra Electricity Regulatory Commission (MERC).


TPREL’s current operating capacity amounts to 1,664 MW, which includes 530 MW of wind and 1,134 MW of solar capacity in Maharashtra, Gujarat, Madhya Pradesh, Andhra Pradesh, Telangana, Punjab, Bihar, Tamil Nadu, Karnataka and Rajasthan.


Tata Power aims for 35% to 40% of its generating capacity to come from non-fossil fuel sources by 2025.

Article Source: https://www.energymarketprice.com/energy-news/tata-power-wins-150-mw-solar-project-in-maharashtra


Natural Gas:

Italian Snam forms new joint venture for Albania’s gas pipelines 

The Italian natural gas transmission system operator Snam and the Albanian gas infrastructure operator Albgaz signed an agreement to form a joint venture for the operation and maintenance of gas pipelines in Albania, the company announced on Monday.

The joint venture, 75 percent owned by Albgaz and 25 percent by Snam, aims to provide related services to Albania’s gas pipelines.


The signing of the joint venture contract follows the conclusion of an international tender called by Albgaz to select a qualified partner to support the company.


“It [the joint venture] would also facilitate potential future technical collaboration for the development of the Albanian gas market,” the statement read.


Albgaz was created in January 2017 and is responsible for the construction and management of Albania’s gas market infrastructure.

Article Source: https://www.energymarketprice.com/energy-news/italian-snam-forms-new-joint-venture-for-albania-s-gas-pipelines



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