New base energy news 17 january 2019 issue no 1225 by khaled al awadi

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NewBase Energy News 17 January 2019 - Issue No. 1225 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:Masdar becomes first Abu Dhabi company to buy
renewables assets in North America
Clean energy company Masdar will acquire interests in two US wind farms, making it the first Abu
Dhabi company to invest in the renewables industry in North America.
Masdar, which will acquire the two assets from John Laing Group for an undisclosed sum, expects
to close the transaction in the first half of this year, it said on Tuesday. The deal is subject to the
consent of the government and financing partner.
“Extending our reach into the United States is a defining moment for Masdar’s clean energy
operations and a further step forward in our efforts to expand the company’s global renewable
energy portfolio, which now encompasses more than 25 countries,” said Mohamed Al Ramahi,
Masdar’s chief executive.
Masdar is expanding its renewables portfolio regionally and internationally and currently has energy
projects in the UAE, Jordan, Egypt, Morocco, Mauritania, the UK, Spain, Serbia and Montenegro.
The company is delivering more than 1.3 gigawatts of solar power and 1.4GW of wind energy
annually.

“The United States provides excellent commercial potential in the long-term, with a record 6.3 per
cent of the country’s electricity generated from wind in 2017,” said Mr Al Ramahi. “We aim to
increase our investments in the US in the next few years as we continue to strengthen our current
partnerships and explore new business opportunities.”
Under the terms of the deal, Masdar will acquire John Laing’s interest in the 149 megawatt
Rocksprings wind farm in Texas and the 29.9MW Sterling wind farm in New Mexico.
Following the completion of the transaction, Masdar will own interest in a partnership with French
renewable power producer Akuo Energy, with whom the Abu Dhabi company is already a partner
in the 72 Krnovo Wind Farm, Montenegro’s first wind energy project.
“This investment realisation with Masdar will release capital to recycle into new greenfield
opportunities in the US and internationally where we remain committed to our strategy investing in
renewable energy and other infrastructure,” said Olivier Brousse, John Laing's chief executive.
Separately, Masdar and Taaleri Energia, a Finnish wind and solar developer and fund manager,
signed an agreement for a joint venture to develop renewable energy projects in Central and Eastern
Europe. The Taaleri Energia SolarWind I fund has invested alongside Masdar in a 158MW wind
farm in Serbia, and in the Baynouna Solar Energy Company, which is constructing a 248MW solar
PV plant in Jordan, the largest in the country.

UAE: Taqa to have 10 per cent renewables in portfolio by 2030
The National + NewBase
After a profitable 2018, Taqa will look to pursue new opportunities following its four-year
transformation plan, Abu Dhabi Energy Company or Taqa will have 10 per cent of its portfolio
generated from renewable energy sources by 2030, as it looks to expand its footprint in the Middle
East, North and sub-Saharan Africa, according to a senior official.
“We would like to diversify our
portfolio and start getting more
projects from renewable energy,”
AbdulAziz Al Obaidli, vice president of
Taqa UAE, GCC and India, told The
National in Abu Dhabi.
"Our focus is the GCC countries,
Jordan and the sub-Saharan African
countries. The reason for this is that we position ourselves as the strategic partner for the
governments of the countries we work in."
Taqa, which has utilities regulator Abu Dhabi Water and Electricity Authority as a majority
stakeholder, had a profitable 2018 on the back of improved commodity prices. The energy company,
which has investments in North America, Europe and Iraq, swung to a Dh153 million profit in the
third quarter of 2018, recouping from a loss of Dh194m in the year-earlier period. The company,
which is traded on the Abu Dhabi Securities Exchange, also reported a fivefold increase in its 2018
second quarter net profit.
While declining to comment on profit outlook for the last quarter and the upcoming financial year,
Mr Al Obaidli noted that the company was realising results of the transformation plan implemented
between the years 2014 and 2017.
"After this transformation programme in the last three to four years, it’s time for us to step back in
the market and find opportunities, so we are actively now monitoring the market, especially the
markets in which we’re active in,” he said.
Taqa currently has 17GW of installed power capacity, which Mr Al Obaidli said would be increased
over the coming years through strategic acquisitions. As part of its strategy to look for opportunities,
Taqa is currently eyeing a 200MW power plant in Morocco, added Mr Al Obaidli.
"We supply up to 50 per cent of the power requirements in Morocco and that will be our hub to move
towards projects in the region,” he added. The company was also bullish about growth opportunities
in Saudi Arabia and Kuwait due to ongoing privatisation efforts in the countries’ utilities business.
"We have today eight power plants, which all have today water desalination facilities and these are
all in the UAE. Today, we're bidding for two opportunities in Kuwait, one in Saudi Arabia and in
Oman [and there are] several opportunities of course,” said Mr Al Obaidli.
Last year, Taqa saw gains of Dh86m from the handover of management control of its Indian entity
Himachal Sorang Power Limited to Greenko East Coast Power Projects. Taqa will continue to
“opportunistically” pursue growth opportunities in the Indian power sector, but it remains committed
to its core markets of the Middle East and North and sub-Saharan Africa.
"We don’t have today a clear decision to exit but on a continuous basis we assess the potential exit
of non-core assets [to see] if we can bring value and deploy the value somewhere else,” said Mr Al
Obaidli.

Saudi Arabia plans gas grid to connect with UAE, Oman, Kuwait
Gulf News + NewBase
Saudi Arabia’s energy minister Khalid Al Falih announced on Tuesday plans to develop the country's
gas resources and extending a grid to UAE, Oman and Kuwait.
“I am talking to my colleagues in Oman, Kuwait, UAE, about extending a gas grid in the region and
we hope to exchange gas and we also have excess of gas which we will be exporting,” he said while
speaking at the World Future Energy summit in Abu Dhabi.
“We are already interconnected in electricity. We are working on
interconnectivity with Egypt, with Jordan and Iraq but the GCC is well
interconnected so will be trading gas, trading electricity as we do already.”
We’ve already exported gas on a commercial basis to the UAE so more of this
interconnection in energy is going to take place and, importantly, also in trading
of knowhow in technology and development with renewables. We will be doing
a lot more of this with in the region, renewables development in cross-borders.
- Khalid Al Falih, Saudi Arabia’s energy minister
“We’ve already exported gas on a commercial basis to the UAE so more of this interconnection in
energy is going to take place and, importantly, also in trading of knowhow in technology and
development with renewables. We will be doing a lot more of this with in the region, renewables
development in cross-borders.”
Gas imports

UAE currently imports gas from Qatar through Dolphin project and that gas is also exported to Oman
through a pipeline.
Al Falih also said Saudi Arabia identified a lot of gas in the kingdom and the country is working to
eliminate burning of liquids in utilities by 2030 to enable the kingdom to export more oil.
“As a chairman of Saudi Aramco, I can tell plans to develop the gas and the gas will be backed up
by the infrastructure to get it across the country to displace the liquids. We will displace 600,000
barrels or more of liquids — more importantly, we will not allow it to grow.”
Speaking on renewables, he said the country is targeting about 60 gigawatts of the renewables by
2030 and it could go bigger due to the development of technology.

Oman: BP and Eni to agree to pursue major new exploration
Source: BP
BP and Eni have signed a heads of agreement (HoA) with the Ministry of Oil and Gas of the
Sultanate of Oman to work jointly towards a significant new exploration opportunity in Oman.
Under the HoA, the two companies will work with the Government of Oman towards the award of a
new exploration and production sharing agreement (EPSA) for Block 77 in central Oman. BP and
Eni will now enter discussions with the Ministry to finalise details of the EPSA.
Eni signs EPSA for Block 47
Eni and the state company Oman Oil
Company Exploration and Production
(OOCEP) have entered into
an Exploration and Production Sharing
Agreement (EPSA) for Block 47with the
Government of the Sultanate of Oman.
Block 47 is located onshore in the
Omani A’Dakhiliyah Governorate and
covers an approximate area of 8,524 sq
km. The Block was awarded to Eni and
OOCEP following their joint bid as part
of the 2017 Oman Licensing Round. Pursuant the EPSA, Eni is the Operator of block and with a
90% participating interest and OOCEP holds the remaining 10% participating interest. Exploration
operations are expected to commence in 2019.
In addition, Eni has signed with the Ministry of Oil & Gas and with BP a Head of Agreement (HoA)
that sets up the principles for the acquisition of the Exploration and Production rights of Block
77 onshore, with an acreage of 3.100 sqkm, 30 km east of the BP-operated Khazzan Field.
Under the Agreement, Eni and BP hold 50% each with Eni acting as operator during the exploration
phase. Following the signature of the HoA, the Exploration and Production Sharing
Agreement (EPSA) will follow shortly.
The signature of Block 47 EPSA and Block 77 HoA, represents a further step in Eni’s strategy to
reinforce its presence in The Sultanate of Oman and strengthen the collaboration with OOCEP,
which is Eni’s partner also in Block 52.
Eni operates in Oman through its subsidiary Eni Oman. In the Middle East, Eni is also present in
the United Arab Emirates, Lebanon and Iraq.
Bernard Looney, BP chief executive upstream said:
'This would represent a further deepening of BP’s important position in Oman, building on our
successful delivery of the major Khazzan project in 2017 and its second phase of development that
is currently under construction. We look forward to continuing to explore and efficiently develop the
country’s resources, working in close partnership with Eni and Oman to underpin our commitment
to delivering long-term gas production for Oman.'

Block 77, with a total area of almost 3,100 km2, is located in central Oman, 30 km east of the BP-
operated Block 61 which contains the already-producing Khazzan gas project as well as the
Ghazeer project, currently under development.

NewBase 17 January 2019 Khaled Al Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE
Record U.S. crude production weighs on oil prices
Oil prices dipped on Thursday as U.S. crude production quickly approached an unprecedented 12
million barrels per day (bpd) just as worries about weakening demand emerge. U.S. West Texas
Intermediate (WTI) crude futures CLc1 were at $52 per barrel at 0140 GMT, down 31 cents, or 0.6
percent, from their last settlement.
International Brent crude oil futures LCOc1 were down 34 cents, or 0.6 percent, at $60.98 per barrel.
American crude oil production C-OUT-T-EIA reached a record 11.9 million bpd in the week ending
Jan. 11, the Energy Information Administration (EIA) said on Wednesday, up from 11.7 million bpd
last week, which was already the highest national output in the world.
U.S. output has soared by 2.4 million bpd since January 2018, stoking fears of a supply glut.
Oil price special
coverage

The EIA also said gasoline stockpiles USOILG=ECI climbed 7.5 million barrels last week, far
exceeding analyst expectations in a Reuters poll for a 2.8 million-barrel gain. At 255.6 million barrels,
gasoline stocks were at their highest weekly level since February, 2017.
“While (U.S. crude) inventories fell slightly more than expected, there was a large build in gasoline
inventories. This stoked fears of weak demand in the U.S.,” ANZ Bank said in a note.
Distillate stockpiles USOILD=ECI, which include diesel and heating oil, rose by 3.0 million barrels,
versus expectations for a 1.6 million-barrel increase, the EIA data showed.
U.S. EXPORTS SURGE, OPEC CUTS
Along with the surge in U.S. crude output, exports from the United States are also rising, hitting a
record 3.2 million bpd by the end of last year. “Crude oil exports from the U.S. have strongly
increased during the last few years and the trend is expected to remain positive,” shipping brokerage
Banchero Costa said in a note.
Norbert Ruecker, head of commodity research at Swiss Julius Baer, said “the United States is
moving forward towards energy independence and is set to become a petroleum net exporter next
year thanks to rising shale output”.
Soaring U.S. supply comes amid concerns over stuttering demand-growth due to a global economic
slowdown, which some analysts believe will turn into a recession.
To stem a lurking petroleum glut, the Middle East-dominated Organization of the Petroleum
Exporting Countries (OPEC) and non-OPEC producer Russia are leading efforts to cut supply.
This has prevented crude prices from falling much lower despite softening demand and the surge
in U.S. output.

NewBase Special Coverage
News Agencies News Release 17 January 2019
Will energy from waste be the key form of bioenergy in Asia?
IEA - Analysis from Renewables 2018
Energy from Waste (EfW) is undoubtedly becoming more important in Asia, as rising municipal solid
waste (MSW)1 production in many countries means cities must rapidly develop new waste
management solutions. However, while China is rapidly rolling out EfW technology, its potential is
underexploited in other Asian countries. When undertaken in a best-practice manner, EfW facilities
can deliver environmental, health and energy benefits, offering a valuable waste management
solution.
MSW production is growing in developing and emerging Asian economies
The combination of urbanisation and economic growth in many Asian countries means that solutions
are needed to dispose of increasing volumes of MSW. Urban population growth increased 8% in
China, 7% in Thailand, 5% in Indonesia and 4% in Viet Nam over 2010-16 (World Bank, 2018).
Urbanisation in India and Pakistan is also on the rise, although at a lower rate. Considering
population growth, this trend resulted in an additional 160 million city-dwellers in these countries
over the same period. In terms of economic growth over 2010-16, gross domestic product (GDP)
increase in all these countries exceeded the global average.
MSW production per capita has increased as a result of these larger urban populations and the
higher living standards afforded by GDP growth. Over 2010-15, annual MSW production in China,
Thailand, Viet Nam, India and Pakistan combined grew by an estimated 60 Mt, to over 300 Mt;
China accounted for over half of this increase.
Combined waste from these countries could more than double during 2015-25, resulting in over
600 Mt of MSW annually by 2023.

If not correctly managed, MSW impacts human health and the environment in a range of ways.
Health hazards result from ground and surface water contamination by leachate, and from air
pollution from informal waste burning.
Ineffective collection and disposal of waste also attracts vermin and insect infestations that spread
disease, and MSW decomposition produces methane, which has a significantly higher global-
warming potential than CO2.2 For these reasons, the impetus for cities to provide effective waste
management is strong.
Status and outlook for EfW deployment in these Asian countries
China has the largest installed EfW capacity globally (7.3 GW), with 339 plants in operation at the
end of 2017. EfW has grown by 1 GW per year on average in the past five years, and now represents
the largest form of bioenergy capacity, capable of managing just over 100 Mt of solid waste per year
(almost 40% of national production).
Capacity in China grew at an annual average growth rate of 26% over the past five years, compared
with 4% in OECD countries over 2010-16. Consequently, EfW capacity in China is now equivalent
to 40% of that installed in all OECD countries combined. It has been expanding more slowly in the
other five Asian countries mentioned, however, at an average rate of 16% annually.
Note: Selected Asian countries refers to India, Indonesia, Pakistan, Thailand and Viet Nam. Biomass refers to fuels from
agricultural and forestry sources.Sources: IEA (2018b), Renewables Information 2018, www.iea.org/statistics; IRENA
(2018a), “Renewable capacity statistics 2018”.
Government targets indicate that EfW capacity will continue to expand in China: under its 13th FYP,
10 GW of the 23-GW bioenergy target for 2020 is allocated to EfW, which will account for more than
50% of MSW treatment nationwide.
Within the Renewables 2018 main case forecast, therefore, EfW capacity in China grows to over
13 GW by 2023, and by 2025 it could manage 260 Mt of MSW. However, there have been incidents

of public opposition to EfW on air quality and health grounds, so realising projected growth will
require sensitively conducted public consultations and the use of best available technologies.
Several policies are spurring EfW capacity deployment: first, a FIT of RMB 0.65/kWh
(USD 95/MWh) has been in place since 2010, and local municipalities also support EfW through
waste disposal fees, low-cost loans and fiscal support. In addition, the 13th FYP allocates more
than USD 40 billion of funding to new facilities. This combination of measures makes EfW
development economically attractive.
EfW deployment in India has been slow: just under 300 MW of capacity had been installed at the
end of 2017, and the country’s largest plant (24 MW) was commissioned in New Delhi just last year.
Factors favouring further EfW deployment include the availability of tipping fees, tax incentives and
financial de-risking measures. In addition, states have been directed to procure all electricity
generated from EfW projects, and national waste management rules encourage waste segregation
and require that non-recyclable waste of high calorific value be used for energy. Conversely, low
rates of processing and treating collected MSW hinder sector expansion.
Thailand is also in the early stages of EfW deployment. Several projects are in development and
capacity could grow to over 200 MW by 2021, and a longer-term target of 550 MW by 2036 is in
place under the Alternative Energy Development Plan. A FIT of USD 155/MWh to USD 190/MWh
currently supports deployment, but development is being scrutinised by community groups to
ensure projects meet the necessary construction and operation standards.
In Indonesia, Viet Nam and Pakistan, EfW deployment is hampered by several key challenges:
 Underdeveloped waste collection services, segregation infrastructure and recycling.
 Welfare considerations for “waste pickers” whose livelihood depends on landfill sites.
 Low waste-disposal fees and the prevalence of “open dumping” practices.
 High financing costs for facilities, given that the track record for EfW plant development is
limited.
 Lack of public acceptance.
 Administrative barriers related to permitting.
However, policy support in all three countries is gaining strength. Pakistan introduced an EfW tariff
of USD 100/MWh in 2018, and projects are in development in Lahore and Islamabad. Viet Nam has
introduced fiscal tax exemptions, a guaranteed power offtake, and a tariff of USD 73/MWh to
USD 105/MWh to encourage EfW projects, and the Asian Development Bank has made loan
funding available for EfW plants in the Mekong Delta. In Indonesia, a national strategic project has
been announced to develop EfW plants in 12 major cities with a purchase tariff of USD 133/MWh.
Is EfW a valid solution to growing MSW production?
Best-practice energy recovery, compared with landfills, can deliver both sanitary and environmental
benefits. EfW technology considerably reduces the volume of waste produced, so EfW facilities
require far less land area than landfill sites do.
In addition, waste disposal sites in many counties do not meet sanitary landfill standards by fully
isolating waste from the surrounding environment, and uncontrolled burning often happens when
waste collection and disposal are inadequate, which negatively impacts air quality. The use of EfW

plants with controlled high-temperature combustion and pollution control technology is a superior
solution.
EfW is primarily a waste management rather than energy solution, as it can process a high share
of municipal waste but supplies a relatively low share of city energy demand. Nevertheless, it does
deliver electricity and, when there is a suitable offtaker, heat at the point of demand.
This can help offset rising energy demand from an increasingly urban population with higher
standards of living. Also, since waste is domestically sourced, EfW supports energy supply
diversification.
However, EfW should only be deployed as part of the wider waste management hierarchy of
prevention, preparing for reuse, recycling, (energy) recovery and disposal. This requires that
municipal governments undertake integrated waste management planning to maximise the reuse
and recycling potential of materials prior to energy recovery. Furthermore, sufficient collection and
source-segregation infrastructure is needed so that refuse-derived fuel (RDF) with suitable energy
and moisture content can be provided to EfW facilities.
Several other factors are important to ensure best practice and economical EfW development:
 Application of best available pollution control technologies.
 Monitoring to ensure emissions to air and water, as well as noise and odour,
remain within regulatory limits.
 Stakeholder consultation with local communities to gain public confidence.
 Waste disposal fees (i.e. charges levied upon waste received at a processing
facility), possibly in the form of landfill taxation or gate/tipping fees.

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
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Khaled Malallah Al Awadi,
Energy Consultant
MS & BS Mechanical Engineering (HON), USA
Emarat member since 1990
ASME member since 1995
Hawk Energy member 2010
Mobile: +97150-4822502
khdmohd@hawkenergy.net
khdmohd@hotmail.com
Khaled Al Awadi is a UAE National with a total of 28 years of experience 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 broadcasted internationally, via GCC leading satellite Channels.
NewBase : For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE
NewBase January 2019 K. Al Awadi

New base energy news 17 january 2019 issue no 1225 by khaled al awadi

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New base energy news 17 january 2019 issue no 1225 by khaled al awadi