Weekly HEG Global Energy Digest

Energy Market:

Chinese, Greek Energy Giants Sign Cooperation Deal in Athens

Representatives of China Energy Investment Corporation and Greece’s Copelouzos Group shake hands during the signing ceremony of a strategic cooperation agreement in Athens, Greece, on July 5, 2018.

China Energy Investment Corporation, one of the world’s largest power company, signed a strategic cooperation agreement with Greece’s Copelouzos Group here on Thursday in the fields of renewable energy and conventional electricity.

 

Under the deal, the Chinese company will acquire a 75-percent participation in a significant pipeline of wind power parks constructed by Copelouzos Group in Greece, the Group’s President and CEO Dimitris Copelouzos said while addressing the celebratory event for the signing of the deal.

 

In addition, the two groups have expressed interest in acquiring Greece’s Public Power Corporation’s lignite units in Megalopoli in southern Greece and Meliti in northern Greece, a step which marks the beginning of their cooperation also in the conventional power plants, according to Copelouzos.

 

The cooperation deal envisages investments worth at least 3 billion euros (3.5 billion U.S. dollars) in the Greek market only, Copelouzos group sources said.

 

Spokespersons from both sides noted that the two groups aim to expand in both the Balkans and other European countries via their cooperation.

 

Ling Wen, President and CEO of China Energy Investment Corporation, also expressed his confidence in future cooperation at the event. “We firmly believe that we will have more profound cooperation and have more benefits for both countries which have great history and our common future will be much better.”

 

The event also saw the presence of several Greek ministers, who welcomed the deal by terming it as a new milestone in Sino-Greek win-win collaboration.

 

“It is a very important development given that Greece has a comparative advantage in renewable energy sources, as we know, an advantage that we have not exploited as much as we should have so far. Now there is a framework available to be able to move forward at fast pace,” Stergios Pitsiorlas, deputy minister of economy and development, said while delivering a speech during Thursday’s ceremony.

Article Source: http://www.energymarketprice.com/energy-news/chinese–greek-energy-giants-sign-cooperation-deal-in-athens

 

Oil:

Exxon, Total Win Tender To Explore For Oil And Gas Off Greece’s Crete

A consortium of U.S. Exxon Mobil , France’s Total and Hellenic Petroleum has been awarded a tender to explore for oil and gas off Greece, the energy ministry said on Tuesday.

The consortium will explore two sites off the western and northwestern shores of Crete. The areas cover 19,868 sq.km and 20,058 sq.km, respectively.

 

Greece launched the tender for the sites last year after expressions of interest by the consortium, in which Exxon and Total each have 40 percent. The group was the sole bidder.

 

The licences must be ratified by parliament before exploration work can begin.

 

Exxon and Total are currently exploring off Cyprus.

 

US Ambassador to Greece, Jeoffrey Pyatt hailed the decision by Greece, saying in a tweet that it is “big news” for Exxon Mobil.

Article Source: http://www.energymarketprice.com/energy-news/exxon–total-win-tender-to-explore-for-oil-and-gas-off-greece%E2%80%99s-crete

 

RENEWABLE:

Sweden to reach renewable’s target 12 years early on wind surge

Swedish utilities and power generators have already installed so many wind turbines that the Nordic nation is on course to reach its 2030 renewable energy target late this year.

By December, Sweden will have 3,681 wind turbines installed, lobby Group Swedish Wind Energy Association estimates. Together with second-half investment decisions, that will be more than enough capacity to meet a target to add 18 terawatt-hours of new renewable energy output by the end of next decade. Some new plants will be built by Norway, who Sweden share a renewable certificates market with.

 

The surge in new installations and investment decisions has become a concern for existing power producers, who rely on subsidies to make their projects financially viable. Forward prices in the renewable certificate market are 70 percent lower for 2021 than a year earlier because of all the new installations.

 

“For Sweden to remain interesting for investors ahead of markets with higher revenues but greater political risks, it is important for policy makers to show that they care about past investments,” Mattias Wondollek, a spokesman for Swedish Wind Energy Association, said in a statement. “This is done best by introducing a volume-based stop rule.”

 

Such a rule would mean that once the 2030 target is reached, new investors would not be able to get subsidies.

 

Final investment decisions for as many as 840 megawatts were taken in the second quarter, according to lobby group estimates and a total of 7,506 megawatts of wind capacity will be installed by December.

 

Most of the new capacity will be on land. A total of 2,609 megawatts of on-shore wind capacity will be added in 2018 and 2019, according to the latest forecast from the lobby group. That compares with 970 megawatts for the same period in the year earlier report.

Article Source: http://www.energymarketprice.com/energy-news/sweden-to-reach-renewables-target-12-years-early-on-wind-surge

 

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