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Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
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However, no warranty is given to the accuracy of its content. Page 1
NewBase Energy News 06 September 2019 - Issue No. 1275 Senior Editor Eng. Khaled Al Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502,Dubai, UAE
UAE: Dubai's Sustainable City to be strategic partner of Arab
International Investor Forum WAM/ /Rola Alghoul/Binsal AbdulKader
The Sustainable City in Dubai has signed a strategic partnership with the Arab International
Investor Forum, which will be held on 17th and 18th September at the UNESCO headquarters in
Paris.
The event aims to promote efforts of individuals and companies in supporting a greener future to
elevate Arab competitiveness to a global level. The presence of a celebrated mentor Professor
Farouk Al Baz who is President of the Board of Trustees of the Forum and President of the Board
of Trustees of the Arab Investor Award, is a major highlight of the Forum.
It will be the first international platform of its kind that brings together prominent names in various
fields of investment, science, arts, and business from across the Arab region, and will be hosted by
renowned Lebanese TV presenter George Kurdahi.
This platform will open opportunities for stakeholders in the region’s investment opportunities and
regulations, creating a strong network of promising business relationships. The Forum will host the
'Arab Investor Award' that recognises efforts of companies and individuals across six main
categories, such as innovation, investment impact, green applications, corporate social
responsibility, governance, and gender balance.
www.linkedin.com/in/khaled-al-awadi-38b995b
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 2
Professor Al Baz commented, "The Arab Investor Award celebrates innovators who have created
jobs in their sectors and encouraged others to educate and add these values to their communities.
The Award is an enabling platform that not only highlights such efforts but also inspires the people
behind them to do more."
"We acknowledge such organisations for their pivotal role in upgrading economies and supporting
research and scientific excellence in the Arab world," he added.
To ensure the integrity of the evaluation process, the jury of the Award constitutes several
distinguished academic figures from the University of Wollongong in Dubai. This year, the jury
reviewed and evaluated about 180 applications from all over the Arab world and selected final
candidates based on specific criteria in each category.
DESCRIPTION
Arab International Investment Forum was created with a clear vision and
specific goals. With a distinguished Board of Trustees which includes esteemed
members of the business, academic and political world, Arab International
Investment Forum provides the opportunity for collaboration and development in the
field of investment.
As the first global platform of its kind, Arab International Investment Forum aims
to support and enhance investment in a variety of fields of development throughout
the Middle East region. The forum allows participants to become familiar with the
realities and investment opportunities in the Arab world and beyond with the aim of
creating professional and promising working relationships.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 3
UAE: Adnoc and GIC complete $600m pipeline infrastructure deal
The National + NewBase
The Asian country's sovereign wealth fund will retain 6% in the newly formed entity Adnoc Oil
Pipelines
Adnoc closed its pipeline infrastructure investment with GIC marking the completion of the multi-
billion dollar oil pipeline infrastructure deal. Courtesy of Adnoc
Abu Dhabi National Oil Company (Adnoc) completed its $600 million (Dh2.2 billion) pipeline
infrastructure investment agreement with GIC, Singapore’s sovereign wealth fund, alongside
BlackRock, KKR and Abu Dhabi, Retirement Pensions and Benefits Fund (ADRPBF) as co-
investors, boosting the total deal value to about Dh18bn.
“The successful final closing of this landmark transaction is a clear vote of confidence by the global
investment community in both the UAE and Adnoc as attractive investment destinations," Ahmed
Jasim Al Zaabi, group director of finance and investment at Adnoc said in a statement on
Wednesday.
"The caliber of these leading global and domestic investors underlines the quality and
attractiveness of Adnoc’s infrastructure assets and our ability to efficiently structure and close
value-creating investment opportunities for our partners and investors.”
Adnoc has expanded its strategic partnership and co-investment model over the past two years
and created new investment opportunities across all areas of its value chain, while proactively
managing its portfolio of assets and capital.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 4
In July, GIC, which has more than $100bn in assets in 40 countries, said it is investing $600m in
the crude pipeline infrastructure. The follow-on investment will give GIC a 6 per cent stake in a
newly formed entity, Adnoc Oil Pipelines. BlackRock and KKR together hold a 40 per cent stake,
ADRPBF retains 3 per cent and state-controlled oil and gas major Adnoc owns the remaining 51
per cent.
In June, Adnoc completed a $4bn financing deal with BlackRock, the world's largest asset
manager, and global private equity firm KKR for its pipeline infrastructure. The deal, financed by a
group of international banks through the private equity companies, was oversubscribed during
syndication. The ADRPBF contributed $300m to the deal.
In exchange for receiving $4bn upfront from BlackRock and KKR, Adnoc is leasing 18 of its
pipelines that total 750 kilometres in length and have 13 million barrels per day capacity over 23
years.
Adnoc retains sovereignty and management of the pipelines, which transport stabilised crude and
condensate from its onshore and offshore fields to export and refining facilities.
Adnoc Oil Pipelines will receive a tariff from the state-owned company for how much crude and
condensate it transports. As part of the framework, minimum volume commitments have been put
in place.
New York-based KKR's investment in Adnoc's pipeline assets is the first direct investment it has
made in the Middle East through its $7.4bn Global Infrastructure Investors Fund, although it has
previously acquired pipeline assets in North and Central America. BlackRock, which has almost $6
trillion in assets under management, invested through its third Global Energy & Power
Infrastructure Fund.
The agreement marks the first time that leading international financial institutions were able to
make investments related to Adnoc's midstream assets following a competitive selection process
by the company.
The UAE accounts for 4 per cent of the world’s crude production, much of it from fields owned and
operated by Adnoc.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 5
Kuwait/Iraq: ERCE signs consultancy contract for cross-border
field development
ERCE’s Managing Director, Adam Law and Principal Reservoir Engineer, Adam Becis were in
attendance on the 2nd August 2019 for the signing of a Consultancy Contract for the cross-border
fields development between the Iraqi Ministry of Oil, the Kuwait Ministry of Oil and ERCE.
Under this Contract ERCE will perform technical and economic development studies whilst
preparing cross-border agreements on the Safwan-Al-Abdali and South Rumail / Al-Ratqa –
Ratqa oil fields. ERCE are looking forward to working with both Ministries on this historic project.
On 03/08/2019 .Kuwait and Iraq sign contract to exploit shared oilfields
KUNA
Kuwait and Iraq signed in the Jordanian capital a contract for conducting a technical study
for joint frontier oilfields. Both neighboring countries picked British energy advisory firm
ERC Equipoise (ERCE) to determine the optimal way to invest into and tap their shared
oilfields. The contract was inked by Acting Undersecretary of the Kuwaiti Oil Ministry
Sheikh Talal Nasser Al-Sabah and the Iraqi Oil Ministry’s petroleum contracts and
licensing directorate chief Abdulmahdi Al-Ameedi.
Speaking to KUNA following the signing, Sheikh Talal said the agreement came at the
behest of HH the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, who had instructed the
creation of vistas of cooperation with Iraq. He added the contract with the British advisory
firm aims at carrying out a technical study on the most effective way to capitalize on
oilfields, expecting the study to be completed in two and a half years at most.03/08/2019
03/08/2019
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AMMAN: Acting Undersecretary of the Kuwaiti Oil Ministry Sheikh Talal Nasser Al-Sabah
and Iraqi Oil Ministry’s petroleum contracts and licensing directorate chief Abdulmahdi Al-
Ameedi sign a contract on border oilfields on Friday. — KUNA
He said pursuant to the contract, the British company would conduct studies on border
oilfields between Kuwait and Iraq and technical and legal mechanisms for tapping and
investing in these oilfields. The Kuwaiti official spoke highly of the contract as the “fruit of
six years of efforts exerted by both countries’ working teams”.
On scheduled meetings by both sides and the British advisory firm yesterday, he said
these technical meetings are mainly intended to mull the scope and mechanisms of
working in shared frontier oilfields.
Ameedi said the meetings would be a significant step towards the determination of the
optimum means to capitalize on joint oilfields. Speaking to KUNA, the Iraqi official said the
available exploitation options include sole operator, national or foreign companies in both
countries as per the agreement.
Upbeat about the deal, Ameedi said thanks to it, both sides would usher in a fresh stage
of closer relations, especially in view of joint oil production, with both neighbors’
sovereignty and interests to be kept intact.
Also speaking to KUNA, Spokesman for the Iraqi Oil Ministry Isam Jihad commended the
agreement as an “unprecedented and significant step”, saying that the British advisory
firm was selected from among four multinationals.
He elaborated that the contract states that the firm would carry out technical studies for
Ratqa/Rumaila and Safwan-Abdaly oilfields. British energy advisory firm ERC Equipoise
(ERCE) is a specialist in oil and gas reservoir evaluation. –
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 7
Oman PDO firm up plans for wind power capacity in Q1 2020
Oman Observer - Conrad Prabhu
Majority Omani government-owned Petroleum Development Oman (PDO) says it is finalising a
strategy to add wind-based capacity to its rapidly expanding and diversifying renewable energy
programme.
PDO Managing Director Raoul Restucci (pictured) said the company’s first wind-based power
project is likely to come up within its Block 6 concession in a windswept part of Dhofar
Governorate.
“We are working on finalising (a strategy); we are scoping it out, and will announce timetables in
Q1 next year,” Restucci said. “We have also installed a number of (wind monitoring stations) to
optimise the designs. By early next year, you will see our plans in terms of our first 40, 50 or 60
MW project.”
The proposed wind farm will add to an increasing diverse portfolio of renewables based
investments that currently includes the mega solar plant — the Miraah project at PDO’s Amal
heavy oilfield — billed as among the largest of its kind in the world, as well as a 100 MW solar PV
based development at Amin, solar car park system, solar water heating, and solar street-lighting.
Work on Miraah — a joint initiative of PDO and GlassPoint of the United States – is progressing
well, said Restucci. Phase 2 of the giant scheme is nearing completion, although contractors have
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 8
had to replace around 20,000 screens damaged by Cyclone Mekunu when it struck southern parts
of the Sultanate in May last year.
Upon completion of Phase 2, steam generation will ramp up to 2,000 tonnes per day over the next
4 – 5 months, with the plant offering the equivalent of 300 megawatts of solar capacity, the
Managing Director said.
At the same time, more emphasis will be placed on storage issues before the project progresses
into the third and final phase. “It’s important that we maximise the ability to store some of that
energy because of the huge amount of incremental steam that we will provide on a daily basis, but
not on a 24 hourbasis,” he said.
In line with its ambitions to evolve into a full-fledged energy company, PDO is also looking at the
potential to add hydrogen to its energy portfolio. “We are experimenting with a few hydrogen
opportunities, exploring the market to see what we could do there,” said Restucci, noting that the
company is also weighing opportunities linked to the tenders floated recently for large-scale solar
PV projects.
PDO’s pioneering solar car-park project at its Mina Al Fahal headquarters is also set to be
expanded to a capacity of 10 MW,
effectively making it the largest
installation of its type within any
one campus in Oman’s oil and gas
industry.
“The economics of such initiatives
are really very good, not only in
terms of direct savings but also in
terms of the reduced cost of
energy, but also the ability to offset
gas requirements, reduce gas
consumption, which can then be
deployed in high value
propositions,” he added.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 9
Aramco to expand downstream investment in Chinese province
The national + Saudi Gazette
Latest agreement builds on the company's interest in acquiring 9 per cent stake in the Zhejiang
refining complex. Aramco has increasingly looked to acquire overseas downstream assets through
acquisitions in India and China. AFP
Saudi Aramco signed a preliminary agreement with China’s Zhejiang Free Trade Zone as the
company looks to acquire a 9 per cent stake in an integrated refining and chemicals complex in the
province, as part of its downstream push.
The memorandum of understanding will also include a long-term crude oil supply agreement and
allow Aramco to use the storage at the Zhejiang Petrochemical to supply clients in Asia.
Saudi Aramco, which produces and sells crude on behalf of the kingdom has begun to increasingly
deploy resources towards developing integrated refining and chemicals schemes at home as well
as abroad, as it looks to earn more from the sale of products, which have large markets in Asia.
The latest agreement strengthened Aramco’s participation in a 400,000 barrel-per-day Zhoushan
greenfield petrochemical scheme, while allowing for flexibility in investment across other areas of
the value chain, the company said in a statement.
Aramco will look at refining and chemicals, storage as well as trading in crude and natural gas in
the free zone.
During the visit of Saudi Prince Mohammed bin Salman to Beijing earlier this year, Aramco
signalled interest in entering China’s retail fuel segment following an agreement with Zhejiang
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 10
Energy, which includes building up a network over five years in the same province. The retail
segment will eventually be integrated with the Zhejiang Petrochemical complex.
The Zhejiang Petrochemical facility in which Aramco is invested includes a newly built 400,000 bpd
refinery with a 1.4 million tonne per annum ethylene cracker as well as a 5.2 million tonne per
annum aromatics unit.
Last month Saudi Aramco bought 20 percent stake in India’s Reliance Industries (RELI.NS) in its
oil to chemicals business, helping the Indian conglomerate to cut debt and giving Aramco better
access to a fast growing market. The increase of investment in China and buying stake in Indian
conglomerate is aimed at 8ncreasing Saudi Aramco’s participation in Asia.
The Indian deal will see Reliance buy up to 500,000 barrels a day of crude oil from Aramco,
doubling the volumes that Reliance currently purchases from Aramco.
The deal ties in with Aramco’s push to expand its refining and marketing footprint globally by
signing new deals and boosting the capacity of its plants to secure new markets for its crude oil.
Aramco is boosting its refining and petrochemicals business, particularly in Asia, and sees growth
in chemicals as central to its downstream expansion strategy to reduce risk as oil demand slows.
“This signifies perfect synergy between the world’s largest oil producer and the world’s largest
integrated refinery and petrochemicals complex,” said Reliance Chairman Mukesh Ambani, while
announcing the deal at the AGM in Mumbai on Monday.
Ambani, who is Asia’s richest man, said the deal would be the biggest foreign investment in the
history of Reliance and also one of the largest foreign investments ever in India.
Aramco declined to comment on the Reliance tie-up on Monday which coincided with its
announcement of a 12% decline in half-year net profit.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 11
Egypt: TGS and Schlumberger announce new 3D multi-client
reimaging project in Egyptian Red Sea … Source: TGS
TGS and Schlumberger have announced a new 3D seismic reimaging project in the Egyptian Red
Sea. The project will comprise reimaging data from three overlapping seismic surveys totaling
3,600 km² that was acquired between 1999 and 2008 - the only available 3D data in this part of the
Red Sea.
It includes the integration of all legacy seismic and non-seismic data and will apply advanced
imaging technologies to better define complex subsalt structures. The project, which is supported
by industry prefunding, will be carried out by TGS and Western Geco, the geophysical services
product line of Schlumberger.
Data will be available before the closing of Egypt’s offshore Red Sea international license round on
September 15, 2019.
Kristian Johansen, CEO at TGS, said: 'The Red Sea 3D reimaging project follows a multi-client 2D
seismic acquisition program that was completed in March 2018 as the initial step in mitigating the
complex salt imaging challenges in the area.” He concluded: “The underexplored offshore Egyptian
Red Sea area is made up of large, untested structures that offer growth opportunities for oil
companies.'
Maurice Nessim, president of WesternGeco, stated: 'Our comprehensive geological understanding,
innovative seismic imaging techniques and full integration of non-seismic methods will define new
exploration trends in this frontier basin.” He added: “This collaborative approach will help our
clients identify high-potential play segments, assess exploration risks and accelerate hydrocarbon
discovery.'
TGS and Schlumberger have a long-term commitment with the Egypt Ministry of Petroleum and
South Valley Egyptian Petroleum Holding Company (GANOPE) to acquire and process seismic
data and promote the prospectivity of the Egyptian Red Sea. GANOPE is responsible for managing
Egypt’s hydrocarbon resource potential under latitude line 28°.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 12
Iraq: Genel Energy provides update on Sarta PSC
Source: Genel Energy
Genel Energy has confirmed that Chevron Sarta, as operator of the Sarta field (Genel 30% working
interest), has signed a contract with OILSERV for the construction, installation, operation and
maintenance of a 20,000 bopd central processing facility ('CPF').
OILSERV has been contracted for the facility through a lease agreement. The commissioning of
the CPF and production start-up remains on track for the middle of 2020.
Phase 1A of the development represents a low-cost pilot development of the Mus-Adaiyah
reservoirs, designed to recover 2P gross reserves of 34 MMbbls. Crude will be processed through
the CPF and then transferred to a local facility for further distribution.
Subsequent expansion investment decisions will be based on production behaviour plus a
subsequent two to three well appraisal/development campaign. Unrisked gross mid-case resources
relating to the Jurassic Mus-Adaiyah reservoir alone are estimated by Genel at c.150 MMbbls,
similar in size to the Peshkabir field.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 13
NewBase September 06– 2019 Khaled Al Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE
Oil price stable with Brent above $60 for hope of end to US-China trade
Reuters + Bloomberg + Newbase
 Brent crude was up 17 cents, or 0.3%, at $61.12 a barrel by 0408 GMT.
 U.S. West Texas Intermediate (WTI) crude was up 16 cents, or 0.3%, at $56.46 a barrel.
Oil prices edged higher on Friday, with crude benchmarks poised for multi-week gains amid a
sharp draw down in U.S. crude inventories, while trade tensions eased after Washington and
Beijing agreed to hold high-level talks next month.
Brent is set to mark its fourth weekly gain, while U.S. crude is headed for a second weekly rise.
Beijing and Washington on Thursday agreed to hold high-level talks in early October in
Washington, cheering investors hoping for an end to the trade war between the world’s two biggest
economies that has brought tit-for-tat tariff hikes, chipping away at economic growth.
Oil price special
coverage
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 14
The prolonged dispute had a dampening effect on oil prices, although they have risen over the
year, helped by production cuts led by the Organization of the Petroleum Exporting Countries and
its allies, including Russia, to drain inventories.
“Upside potential for crude oil futures will remain limited, however, as strong U.S. production and
demand-side concerns cap bullish gains for the current term,” said Benjamin Lu, commodities
analyst at Phillip Futures in Singapore.
He also cited “subdued economic momentum, global trade uncertainties and rising market risks” for
reasons to expect that U.S. crude would be range-bound between $55-$60 over the third quarter.
U.S. crude and product inventories fell last week, with crude drawing down for a third consecutive
week despite a jump in imports, the Energy Information Administration (EIA) said. Crude stocks
dropped 4.8 million barrels, nearly double analysts’ expectations, to 423 million barrels, their lowest
since October 2018.
Oil prices on Thursday soared more than 2% after the EIA report, although they gradually trimmed
gains as investors are not entirely convinced that the Sino-U.S. trade talks will yield results.
Oil Set for Biggest Weekly Gain Since July as Stockpiles Slide
Oil is heading for the biggest weekly advance since mid-July as American crude stockpiles shrunk
more than forecast, while U.S.-China trade talks look set to continue in Washington next month.
Futures rose in New York, poised for a second weekly increase. American crude inventories slid by
4.8 million barrels last week, according to government data Thursday, more than double the draw
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 15
expected by analysts surveyed by Bloomberg. China and the U.S. said they would proceed
with face-to-face negotiations, amid skepticism on both sides that progress can be made.
Oil has been volatile in recent weeks as the tit-for-tat tariff war between the world’s top two
economies worsened, fueling concerns demand may be dented further. Still, the global economy
has showed improvement as strong American private payrolls data and a better-than-expected
reading on the services sector tamped down recession fears in the U.S.
“Oil bulls reveled in the afterglow of government data that reported a solid draw to crude
stockpiles,” said Stephen Innes, an Asia-Pacific market strategist at AxiTrader in Bangkok.
“Improving global economic data and the trade calming effect from the scheduled talks also are
fueling the optimism.”
West Texas Intermediate oil for October delivery added 15 cents to $56.45 a barrel on the New
York Mercantile Exchange as of 11:11 a.m. in Singapore. The contract is up 2.4% this week. It
climbed 4 cents Thursday to close at $56.30.
Brent for November settlement rose 12 cents to $61.07 a barrel on the ICE Futures Europe
Exchange. The contract is up 1% this week, set for a fourth weekly gain. The global benchmark
crude traded at a $4.75 premium to WTI for the same month.
U.S. oil inventories fell for a third week to about 423 million barrels in the period ended Aug. 30,
dropping to the lowest level in more than 10 months, according to data from the Energy Information
Administration. The median estimate in the Bloomberg survey forecast a 2 million barrel decline.
Chinese Vice Premier Liu He agreed to a visit in “early October” during a telephone call on
Thursday with U.S. Treasury Steven Mnuchin and Trade Representative Robert Lighthizer,
according to a statement from China’s Ministry of Commerce. A meeting would take place against
the threat of increasing U.S. tariffs on Chinese goods, as President Donald Trump’s administration
is set to ratchet up levies on Oct. 1 and in December
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 16
NewBase Special Coverage
News Agencies News Release Sep. 06-2019
U.S. construction costs for solar generation continue to decrease
Source: U.S. Energy Information Administration, Construction Cost Data for Electric Generators
According to 2017 data from the U.S. Energy Information Administration (EIA) for newly
constructed utility-scale electric generators in the United States, annual capacity-weighted average
construction costs for solar photovoltaic systems continued to decrease.
At the same time, costs for onshore wind turbines and natural gas generators increased slightly.
These three generation technologies accounted for more than 97% of total capacity added to the
grid in the United States in 2017.
Since 2013, average costs for
solar photovoltaic generators
have fallen by 37%, wind by
13%, and natural gas by 4.7%.
Total investment in U.S.
electric generating capacity in
2017 decreased by 27% from
the previous year.
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 17
Solar photovoltaic generators generally cost more to install than wind and natural gas generators
on a dollar-per-kilowatt basis. Solar photovoltaic generators accounted for a larger share of all new
electricity generation construction costs in the United States in 2017, accounting for 37% of total
investment.
In 2017, U.S. developers spent
nearly $12 billion in construction
costs on solar photovoltaic plants
and added 5.0 gigawatts (GW) of
electricity generating capacity. By
comparison, U.S. developers
invested less in constructing natural
gas and wind generators, but they
still added 10.5 GW and 5.8 GW of
capacity from those sources,
respectively.
The decrease in the cost of solar
photovoltaics was a result of falling
costs in crystalline silicon axis-
based tracking panels, which saw
their lowest average construction
cost of $2,135 per kilowatt (kW) in
2017. Crystalline silicon axis-based
tracking panels accounted for more
than half of the solar photovoltaic
capacity added in 2017 at 2.6 GW
of added generating capacity.
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However, no warranty is given to the accuracy of its content. Page 18
Total wind capacity additions were 34% lower for 2017, but average construction cost for onshore
wind farms were relatively stable at $1,647/kW. Within different size classes, nearly every category
had lower per-kilowatt costs in 2017, but average costs for all wind farms were similar to the 2016
average because fewer large farms were constructed in 2017.
Unlike onshore wind and solar photovoltaics, which had less capacity installed in 2017 than in
2016, total natural gas electric generator capacity additions in the United States increased by 11%
in 2017.
The growth in natural gas electric generating capacity was led by significant additions in new
capacity from combined-cycle facilities, which more than doubled in 2017. Although average
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 19
combined-cycle technology construction costs fell by 11% in 2017 to $896/kW, total natural gas
generator construction investment increased by 36% because of the increase in added capacity.
NewBase For discussion or further details on the news below you may contact us on +971504822502,Dubai, UAE
The Editor :”Khaled Al Awadi” Your partner in Energy Services
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 20
NewBase energy news is produced daily (Sunday to Thursday) and
sponsored by Hawk Energy Service – Dubai, UAE.
For additional free subscription emails please contact Hawk
Energy
Khaled Malallah Al Awadi,
Energy Consultant
MS &BS Mechanical Engineering (HON), USA
Emarat member since 1990
ASME member since 1995
Hawk Energy member 2010
www.linkedin.com/in/khaled-al-awadi-38b995b
Mobile: +971504822502
khdmohd@hawkenergy.net or khdmohd@hotmail.com
Khaled Al Awadi is a UAE National with a total of 28 years ofexperience in
the Oil& Gas sector. Currently working as Technical Affairs Specialist for
Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy
consultation for the GCC area via Hawk Energy Service as a UAE
operations base , Most of the experience were spent as the Gas Operations
Manager in Emarat , responsible for Emarat Gas Pipeline Network Facility &
gas compressor stations . Through the years, he has developed great
experiences in the designing & constructing of gas pipelines, gas metering &
regulating stations and in the engineering of supply routes. Many years were
spent drafting, & compiling gas transportation, operation & maintenance agreements along with
many MOUs for the local authorities. He has become a reference for many of the Oil & Gas
Conferences held in the UAE and Energy program broadcastedinternationally, via GCC leading
satellite Channels.
NewBase :For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE
NewBase 2019 K. Al Awadi
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 21
Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or
otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication.
However, no warranty is given to the accuracy of its content. Page 22
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Arab International Investment Forum promotes regional collaboration

  • 1. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 1 NewBase Energy News 06 September 2019 - Issue No. 1275 Senior Editor Eng. Khaled Al Awadi NewBase For discussion or further details on the news below you may contact us on +971504822502,Dubai, UAE UAE: Dubai's Sustainable City to be strategic partner of Arab International Investor Forum WAM/ /Rola Alghoul/Binsal AbdulKader The Sustainable City in Dubai has signed a strategic partnership with the Arab International Investor Forum, which will be held on 17th and 18th September at the UNESCO headquarters in Paris. The event aims to promote efforts of individuals and companies in supporting a greener future to elevate Arab competitiveness to a global level. The presence of a celebrated mentor Professor Farouk Al Baz who is President of the Board of Trustees of the Forum and President of the Board of Trustees of the Arab Investor Award, is a major highlight of the Forum. It will be the first international platform of its kind that brings together prominent names in various fields of investment, science, arts, and business from across the Arab region, and will be hosted by renowned Lebanese TV presenter George Kurdahi. This platform will open opportunities for stakeholders in the region’s investment opportunities and regulations, creating a strong network of promising business relationships. The Forum will host the 'Arab Investor Award' that recognises efforts of companies and individuals across six main categories, such as innovation, investment impact, green applications, corporate social responsibility, governance, and gender balance. www.linkedin.com/in/khaled-al-awadi-38b995b
  • 2. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 2 Professor Al Baz commented, "The Arab Investor Award celebrates innovators who have created jobs in their sectors and encouraged others to educate and add these values to their communities. The Award is an enabling platform that not only highlights such efforts but also inspires the people behind them to do more." "We acknowledge such organisations for their pivotal role in upgrading economies and supporting research and scientific excellence in the Arab world," he added. To ensure the integrity of the evaluation process, the jury of the Award constitutes several distinguished academic figures from the University of Wollongong in Dubai. This year, the jury reviewed and evaluated about 180 applications from all over the Arab world and selected final candidates based on specific criteria in each category. DESCRIPTION Arab International Investment Forum was created with a clear vision and specific goals. With a distinguished Board of Trustees which includes esteemed members of the business, academic and political world, Arab International Investment Forum provides the opportunity for collaboration and development in the field of investment. As the first global platform of its kind, Arab International Investment Forum aims to support and enhance investment in a variety of fields of development throughout the Middle East region. The forum allows participants to become familiar with the realities and investment opportunities in the Arab world and beyond with the aim of creating professional and promising working relationships.
  • 3. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 3 UAE: Adnoc and GIC complete $600m pipeline infrastructure deal The National + NewBase The Asian country's sovereign wealth fund will retain 6% in the newly formed entity Adnoc Oil Pipelines Adnoc closed its pipeline infrastructure investment with GIC marking the completion of the multi- billion dollar oil pipeline infrastructure deal. Courtesy of Adnoc Abu Dhabi National Oil Company (Adnoc) completed its $600 million (Dh2.2 billion) pipeline infrastructure investment agreement with GIC, Singapore’s sovereign wealth fund, alongside BlackRock, KKR and Abu Dhabi, Retirement Pensions and Benefits Fund (ADRPBF) as co- investors, boosting the total deal value to about Dh18bn. “The successful final closing of this landmark transaction is a clear vote of confidence by the global investment community in both the UAE and Adnoc as attractive investment destinations," Ahmed Jasim Al Zaabi, group director of finance and investment at Adnoc said in a statement on Wednesday. "The caliber of these leading global and domestic investors underlines the quality and attractiveness of Adnoc’s infrastructure assets and our ability to efficiently structure and close value-creating investment opportunities for our partners and investors.” Adnoc has expanded its strategic partnership and co-investment model over the past two years and created new investment opportunities across all areas of its value chain, while proactively managing its portfolio of assets and capital.
  • 4. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 4 In July, GIC, which has more than $100bn in assets in 40 countries, said it is investing $600m in the crude pipeline infrastructure. The follow-on investment will give GIC a 6 per cent stake in a newly formed entity, Adnoc Oil Pipelines. BlackRock and KKR together hold a 40 per cent stake, ADRPBF retains 3 per cent and state-controlled oil and gas major Adnoc owns the remaining 51 per cent. In June, Adnoc completed a $4bn financing deal with BlackRock, the world's largest asset manager, and global private equity firm KKR for its pipeline infrastructure. The deal, financed by a group of international banks through the private equity companies, was oversubscribed during syndication. The ADRPBF contributed $300m to the deal. In exchange for receiving $4bn upfront from BlackRock and KKR, Adnoc is leasing 18 of its pipelines that total 750 kilometres in length and have 13 million barrels per day capacity over 23 years. Adnoc retains sovereignty and management of the pipelines, which transport stabilised crude and condensate from its onshore and offshore fields to export and refining facilities. Adnoc Oil Pipelines will receive a tariff from the state-owned company for how much crude and condensate it transports. As part of the framework, minimum volume commitments have been put in place. New York-based KKR's investment in Adnoc's pipeline assets is the first direct investment it has made in the Middle East through its $7.4bn Global Infrastructure Investors Fund, although it has previously acquired pipeline assets in North and Central America. BlackRock, which has almost $6 trillion in assets under management, invested through its third Global Energy & Power Infrastructure Fund. The agreement marks the first time that leading international financial institutions were able to make investments related to Adnoc's midstream assets following a competitive selection process by the company. The UAE accounts for 4 per cent of the world’s crude production, much of it from fields owned and operated by Adnoc.
  • 5. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 5 Kuwait/Iraq: ERCE signs consultancy contract for cross-border field development ERCE’s Managing Director, Adam Law and Principal Reservoir Engineer, Adam Becis were in attendance on the 2nd August 2019 for the signing of a Consultancy Contract for the cross-border fields development between the Iraqi Ministry of Oil, the Kuwait Ministry of Oil and ERCE. Under this Contract ERCE will perform technical and economic development studies whilst preparing cross-border agreements on the Safwan-Al-Abdali and South Rumail / Al-Ratqa – Ratqa oil fields. ERCE are looking forward to working with both Ministries on this historic project. On 03/08/2019 .Kuwait and Iraq sign contract to exploit shared oilfields KUNA Kuwait and Iraq signed in the Jordanian capital a contract for conducting a technical study for joint frontier oilfields. Both neighboring countries picked British energy advisory firm ERC Equipoise (ERCE) to determine the optimal way to invest into and tap their shared oilfields. The contract was inked by Acting Undersecretary of the Kuwaiti Oil Ministry Sheikh Talal Nasser Al-Sabah and the Iraqi Oil Ministry’s petroleum contracts and licensing directorate chief Abdulmahdi Al-Ameedi. Speaking to KUNA following the signing, Sheikh Talal said the agreement came at the behest of HH the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, who had instructed the creation of vistas of cooperation with Iraq. He added the contract with the British advisory firm aims at carrying out a technical study on the most effective way to capitalize on oilfields, expecting the study to be completed in two and a half years at most.03/08/2019 03/08/2019
  • 6. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 6 AMMAN: Acting Undersecretary of the Kuwaiti Oil Ministry Sheikh Talal Nasser Al-Sabah and Iraqi Oil Ministry’s petroleum contracts and licensing directorate chief Abdulmahdi Al- Ameedi sign a contract on border oilfields on Friday. — KUNA He said pursuant to the contract, the British company would conduct studies on border oilfields between Kuwait and Iraq and technical and legal mechanisms for tapping and investing in these oilfields. The Kuwaiti official spoke highly of the contract as the “fruit of six years of efforts exerted by both countries’ working teams”. On scheduled meetings by both sides and the British advisory firm yesterday, he said these technical meetings are mainly intended to mull the scope and mechanisms of working in shared frontier oilfields. Ameedi said the meetings would be a significant step towards the determination of the optimum means to capitalize on joint oilfields. Speaking to KUNA, the Iraqi official said the available exploitation options include sole operator, national or foreign companies in both countries as per the agreement. Upbeat about the deal, Ameedi said thanks to it, both sides would usher in a fresh stage of closer relations, especially in view of joint oil production, with both neighbors’ sovereignty and interests to be kept intact. Also speaking to KUNA, Spokesman for the Iraqi Oil Ministry Isam Jihad commended the agreement as an “unprecedented and significant step”, saying that the British advisory firm was selected from among four multinationals. He elaborated that the contract states that the firm would carry out technical studies for Ratqa/Rumaila and Safwan-Abdaly oilfields. British energy advisory firm ERC Equipoise (ERCE) is a specialist in oil and gas reservoir evaluation. –
  • 7. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 7 Oman PDO firm up plans for wind power capacity in Q1 2020 Oman Observer - Conrad Prabhu Majority Omani government-owned Petroleum Development Oman (PDO) says it is finalising a strategy to add wind-based capacity to its rapidly expanding and diversifying renewable energy programme. PDO Managing Director Raoul Restucci (pictured) said the company’s first wind-based power project is likely to come up within its Block 6 concession in a windswept part of Dhofar Governorate. “We are working on finalising (a strategy); we are scoping it out, and will announce timetables in Q1 next year,” Restucci said. “We have also installed a number of (wind monitoring stations) to optimise the designs. By early next year, you will see our plans in terms of our first 40, 50 or 60 MW project.” The proposed wind farm will add to an increasing diverse portfolio of renewables based investments that currently includes the mega solar plant — the Miraah project at PDO’s Amal heavy oilfield — billed as among the largest of its kind in the world, as well as a 100 MW solar PV based development at Amin, solar car park system, solar water heating, and solar street-lighting. Work on Miraah — a joint initiative of PDO and GlassPoint of the United States – is progressing well, said Restucci. Phase 2 of the giant scheme is nearing completion, although contractors have
  • 8. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 8 had to replace around 20,000 screens damaged by Cyclone Mekunu when it struck southern parts of the Sultanate in May last year. Upon completion of Phase 2, steam generation will ramp up to 2,000 tonnes per day over the next 4 – 5 months, with the plant offering the equivalent of 300 megawatts of solar capacity, the Managing Director said. At the same time, more emphasis will be placed on storage issues before the project progresses into the third and final phase. “It’s important that we maximise the ability to store some of that energy because of the huge amount of incremental steam that we will provide on a daily basis, but not on a 24 hourbasis,” he said. In line with its ambitions to evolve into a full-fledged energy company, PDO is also looking at the potential to add hydrogen to its energy portfolio. “We are experimenting with a few hydrogen opportunities, exploring the market to see what we could do there,” said Restucci, noting that the company is also weighing opportunities linked to the tenders floated recently for large-scale solar PV projects. PDO’s pioneering solar car-park project at its Mina Al Fahal headquarters is also set to be expanded to a capacity of 10 MW, effectively making it the largest installation of its type within any one campus in Oman’s oil and gas industry. “The economics of such initiatives are really very good, not only in terms of direct savings but also in terms of the reduced cost of energy, but also the ability to offset gas requirements, reduce gas consumption, which can then be deployed in high value propositions,” he added.
  • 9. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 9 Aramco to expand downstream investment in Chinese province The national + Saudi Gazette Latest agreement builds on the company's interest in acquiring 9 per cent stake in the Zhejiang refining complex. Aramco has increasingly looked to acquire overseas downstream assets through acquisitions in India and China. AFP Saudi Aramco signed a preliminary agreement with China’s Zhejiang Free Trade Zone as the company looks to acquire a 9 per cent stake in an integrated refining and chemicals complex in the province, as part of its downstream push. The memorandum of understanding will also include a long-term crude oil supply agreement and allow Aramco to use the storage at the Zhejiang Petrochemical to supply clients in Asia. Saudi Aramco, which produces and sells crude on behalf of the kingdom has begun to increasingly deploy resources towards developing integrated refining and chemicals schemes at home as well as abroad, as it looks to earn more from the sale of products, which have large markets in Asia. The latest agreement strengthened Aramco’s participation in a 400,000 barrel-per-day Zhoushan greenfield petrochemical scheme, while allowing for flexibility in investment across other areas of the value chain, the company said in a statement. Aramco will look at refining and chemicals, storage as well as trading in crude and natural gas in the free zone. During the visit of Saudi Prince Mohammed bin Salman to Beijing earlier this year, Aramco signalled interest in entering China’s retail fuel segment following an agreement with Zhejiang
  • 10. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 10 Energy, which includes building up a network over five years in the same province. The retail segment will eventually be integrated with the Zhejiang Petrochemical complex. The Zhejiang Petrochemical facility in which Aramco is invested includes a newly built 400,000 bpd refinery with a 1.4 million tonne per annum ethylene cracker as well as a 5.2 million tonne per annum aromatics unit. Last month Saudi Aramco bought 20 percent stake in India’s Reliance Industries (RELI.NS) in its oil to chemicals business, helping the Indian conglomerate to cut debt and giving Aramco better access to a fast growing market. The increase of investment in China and buying stake in Indian conglomerate is aimed at 8ncreasing Saudi Aramco’s participation in Asia. The Indian deal will see Reliance buy up to 500,000 barrels a day of crude oil from Aramco, doubling the volumes that Reliance currently purchases from Aramco. The deal ties in with Aramco’s push to expand its refining and marketing footprint globally by signing new deals and boosting the capacity of its plants to secure new markets for its crude oil. Aramco is boosting its refining and petrochemicals business, particularly in Asia, and sees growth in chemicals as central to its downstream expansion strategy to reduce risk as oil demand slows. “This signifies perfect synergy between the world’s largest oil producer and the world’s largest integrated refinery and petrochemicals complex,” said Reliance Chairman Mukesh Ambani, while announcing the deal at the AGM in Mumbai on Monday. Ambani, who is Asia’s richest man, said the deal would be the biggest foreign investment in the history of Reliance and also one of the largest foreign investments ever in India. Aramco declined to comment on the Reliance tie-up on Monday which coincided with its announcement of a 12% decline in half-year net profit.
  • 11. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 11 Egypt: TGS and Schlumberger announce new 3D multi-client reimaging project in Egyptian Red Sea … Source: TGS TGS and Schlumberger have announced a new 3D seismic reimaging project in the Egyptian Red Sea. The project will comprise reimaging data from three overlapping seismic surveys totaling 3,600 km² that was acquired between 1999 and 2008 - the only available 3D data in this part of the Red Sea. It includes the integration of all legacy seismic and non-seismic data and will apply advanced imaging technologies to better define complex subsalt structures. The project, which is supported by industry prefunding, will be carried out by TGS and Western Geco, the geophysical services product line of Schlumberger. Data will be available before the closing of Egypt’s offshore Red Sea international license round on September 15, 2019. Kristian Johansen, CEO at TGS, said: 'The Red Sea 3D reimaging project follows a multi-client 2D seismic acquisition program that was completed in March 2018 as the initial step in mitigating the complex salt imaging challenges in the area.” He concluded: “The underexplored offshore Egyptian Red Sea area is made up of large, untested structures that offer growth opportunities for oil companies.' Maurice Nessim, president of WesternGeco, stated: 'Our comprehensive geological understanding, innovative seismic imaging techniques and full integration of non-seismic methods will define new exploration trends in this frontier basin.” He added: “This collaborative approach will help our clients identify high-potential play segments, assess exploration risks and accelerate hydrocarbon discovery.' TGS and Schlumberger have a long-term commitment with the Egypt Ministry of Petroleum and South Valley Egyptian Petroleum Holding Company (GANOPE) to acquire and process seismic data and promote the prospectivity of the Egyptian Red Sea. GANOPE is responsible for managing Egypt’s hydrocarbon resource potential under latitude line 28°.
  • 12. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 12 Iraq: Genel Energy provides update on Sarta PSC Source: Genel Energy Genel Energy has confirmed that Chevron Sarta, as operator of the Sarta field (Genel 30% working interest), has signed a contract with OILSERV for the construction, installation, operation and maintenance of a 20,000 bopd central processing facility ('CPF'). OILSERV has been contracted for the facility through a lease agreement. The commissioning of the CPF and production start-up remains on track for the middle of 2020. Phase 1A of the development represents a low-cost pilot development of the Mus-Adaiyah reservoirs, designed to recover 2P gross reserves of 34 MMbbls. Crude will be processed through the CPF and then transferred to a local facility for further distribution. Subsequent expansion investment decisions will be based on production behaviour plus a subsequent two to three well appraisal/development campaign. Unrisked gross mid-case resources relating to the Jurassic Mus-Adaiyah reservoir alone are estimated by Genel at c.150 MMbbls, similar in size to the Peshkabir field.
  • 13. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 13 NewBase September 06– 2019 Khaled Al Awadi NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE Oil price stable with Brent above $60 for hope of end to US-China trade Reuters + Bloomberg + Newbase  Brent crude was up 17 cents, or 0.3%, at $61.12 a barrel by 0408 GMT.  U.S. West Texas Intermediate (WTI) crude was up 16 cents, or 0.3%, at $56.46 a barrel. Oil prices edged higher on Friday, with crude benchmarks poised for multi-week gains amid a sharp draw down in U.S. crude inventories, while trade tensions eased after Washington and Beijing agreed to hold high-level talks next month. Brent is set to mark its fourth weekly gain, while U.S. crude is headed for a second weekly rise. Beijing and Washington on Thursday agreed to hold high-level talks in early October in Washington, cheering investors hoping for an end to the trade war between the world’s two biggest economies that has brought tit-for-tat tariff hikes, chipping away at economic growth. Oil price special coverage
  • 14. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 14 The prolonged dispute had a dampening effect on oil prices, although they have risen over the year, helped by production cuts led by the Organization of the Petroleum Exporting Countries and its allies, including Russia, to drain inventories. “Upside potential for crude oil futures will remain limited, however, as strong U.S. production and demand-side concerns cap bullish gains for the current term,” said Benjamin Lu, commodities analyst at Phillip Futures in Singapore. He also cited “subdued economic momentum, global trade uncertainties and rising market risks” for reasons to expect that U.S. crude would be range-bound between $55-$60 over the third quarter. U.S. crude and product inventories fell last week, with crude drawing down for a third consecutive week despite a jump in imports, the Energy Information Administration (EIA) said. Crude stocks dropped 4.8 million barrels, nearly double analysts’ expectations, to 423 million barrels, their lowest since October 2018. Oil prices on Thursday soared more than 2% after the EIA report, although they gradually trimmed gains as investors are not entirely convinced that the Sino-U.S. trade talks will yield results. Oil Set for Biggest Weekly Gain Since July as Stockpiles Slide Oil is heading for the biggest weekly advance since mid-July as American crude stockpiles shrunk more than forecast, while U.S.-China trade talks look set to continue in Washington next month. Futures rose in New York, poised for a second weekly increase. American crude inventories slid by 4.8 million barrels last week, according to government data Thursday, more than double the draw
  • 15. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 15 expected by analysts surveyed by Bloomberg. China and the U.S. said they would proceed with face-to-face negotiations, amid skepticism on both sides that progress can be made. Oil has been volatile in recent weeks as the tit-for-tat tariff war between the world’s top two economies worsened, fueling concerns demand may be dented further. Still, the global economy has showed improvement as strong American private payrolls data and a better-than-expected reading on the services sector tamped down recession fears in the U.S. “Oil bulls reveled in the afterglow of government data that reported a solid draw to crude stockpiles,” said Stephen Innes, an Asia-Pacific market strategist at AxiTrader in Bangkok. “Improving global economic data and the trade calming effect from the scheduled talks also are fueling the optimism.” West Texas Intermediate oil for October delivery added 15 cents to $56.45 a barrel on the New York Mercantile Exchange as of 11:11 a.m. in Singapore. The contract is up 2.4% this week. It climbed 4 cents Thursday to close at $56.30. Brent for November settlement rose 12 cents to $61.07 a barrel on the ICE Futures Europe Exchange. The contract is up 1% this week, set for a fourth weekly gain. The global benchmark crude traded at a $4.75 premium to WTI for the same month. U.S. oil inventories fell for a third week to about 423 million barrels in the period ended Aug. 30, dropping to the lowest level in more than 10 months, according to data from the Energy Information Administration. The median estimate in the Bloomberg survey forecast a 2 million barrel decline. Chinese Vice Premier Liu He agreed to a visit in “early October” during a telephone call on Thursday with U.S. Treasury Steven Mnuchin and Trade Representative Robert Lighthizer, according to a statement from China’s Ministry of Commerce. A meeting would take place against the threat of increasing U.S. tariffs on Chinese goods, as President Donald Trump’s administration is set to ratchet up levies on Oct. 1 and in December
  • 16. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 16 NewBase Special Coverage News Agencies News Release Sep. 06-2019 U.S. construction costs for solar generation continue to decrease Source: U.S. Energy Information Administration, Construction Cost Data for Electric Generators According to 2017 data from the U.S. Energy Information Administration (EIA) for newly constructed utility-scale electric generators in the United States, annual capacity-weighted average construction costs for solar photovoltaic systems continued to decrease. At the same time, costs for onshore wind turbines and natural gas generators increased slightly. These three generation technologies accounted for more than 97% of total capacity added to the grid in the United States in 2017. Since 2013, average costs for solar photovoltaic generators have fallen by 37%, wind by 13%, and natural gas by 4.7%. Total investment in U.S. electric generating capacity in 2017 decreased by 27% from the previous year.
  • 17. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 17 Solar photovoltaic generators generally cost more to install than wind and natural gas generators on a dollar-per-kilowatt basis. Solar photovoltaic generators accounted for a larger share of all new electricity generation construction costs in the United States in 2017, accounting for 37% of total investment. In 2017, U.S. developers spent nearly $12 billion in construction costs on solar photovoltaic plants and added 5.0 gigawatts (GW) of electricity generating capacity. By comparison, U.S. developers invested less in constructing natural gas and wind generators, but they still added 10.5 GW and 5.8 GW of capacity from those sources, respectively. The decrease in the cost of solar photovoltaics was a result of falling costs in crystalline silicon axis- based tracking panels, which saw their lowest average construction cost of $2,135 per kilowatt (kW) in 2017. Crystalline silicon axis-based tracking panels accounted for more than half of the solar photovoltaic capacity added in 2017 at 2.6 GW of added generating capacity.
  • 18. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 18 Total wind capacity additions were 34% lower for 2017, but average construction cost for onshore wind farms were relatively stable at $1,647/kW. Within different size classes, nearly every category had lower per-kilowatt costs in 2017, but average costs for all wind farms were similar to the 2016 average because fewer large farms were constructed in 2017. Unlike onshore wind and solar photovoltaics, which had less capacity installed in 2017 than in 2016, total natural gas electric generator capacity additions in the United States increased by 11% in 2017. The growth in natural gas electric generating capacity was led by significant additions in new capacity from combined-cycle facilities, which more than doubled in 2017. Although average
  • 19. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 19 combined-cycle technology construction costs fell by 11% in 2017 to $896/kW, total natural gas generator construction investment increased by 36% because of the increase in added capacity. NewBase For discussion or further details on the news below you may contact us on +971504822502,Dubai, UAE The Editor :”Khaled Al Awadi” Your partner in Energy Services
  • 20. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 20 NewBase energy news is produced daily (Sunday to Thursday) and sponsored by Hawk Energy Service – Dubai, UAE. For additional free subscription emails please contact Hawk Energy Khaled Malallah Al Awadi, Energy Consultant MS &BS Mechanical Engineering (HON), USA Emarat member since 1990 ASME member since 1995 Hawk Energy member 2010 www.linkedin.com/in/khaled-al-awadi-38b995b Mobile: +971504822502 khdmohd@hawkenergy.net or khdmohd@hotmail.com Khaled Al Awadi is a UAE National with a total of 28 years ofexperience in the Oil& Gas sector. Currently working as Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for the GCC area via Hawk Energy Service as a UAE operations base , Most of the experience were spent as the Gas Operations Manager in Emarat , responsible for Emarat Gas Pipeline Network Facility & gas compressor stations . Through the years, he has developed great experiences in the designing & constructing of gas pipelines, gas metering & regulating stations and in the engineering of supply routes. Many years were spent drafting, & compiling gas transportation, operation & maintenance agreements along with many MOUs for the local authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE and Energy program broadcastedinternationally, via GCC leading satellite Channels. NewBase :For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE NewBase 2019 K. Al Awadi
  • 21. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 21
  • 22. Copyright © 2018NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content. Page 22 For Your Recruitments needs and Top Talents, please seek our approved agents below