NewBase 21-November -2022 Energy News issue - 1567 by Khaled Al Awadi_compressed.pdf

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NewBase Energy News 21 November 2022 No. 1567 Senior Editor Eng. Khaed Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Finland, Denmark and Sweden leading on the green revolution
Rystad Energy + NewBase
Long considered pioneers in renewables, the Nordic region is preparing to further grow its
renewable capacity and become a major powerhouse for Europe. Thanks to wind power, hydrogen
electrolyzer, nuclear power and carbon storage initiatives, Rystad Energy has identified Sweden,
Finland and Denmark as leaders in the green revolution offering solutions, with lessons for the rest
of Europe as it looks to rapidly decarbonize its energy system.
On onshore wind and utility scale solar PV generation, Rystad Energy expects capacity in these
three countries to grow from a collective 30 gigawatts (GW) in 2022 to 74 GW by 2030. With
electricity output expected to exceed their need, these countries will export large volumes of green
power to Europe, helping provide the region with stable supply at low prices.
Almost 40 green hydrogen projects are poised to start-up in the region by 2030 or earlier, giving
Denmark, Sweden and Finland a combined 18% of Europe’s electrolyzer capacity for green
hydrogen production. This, combined with Denmark’s potential to store carbon in the North Sea, will
go a significant way towards helping Europe decarbonize heavy industries such as steel and
cement.
'The Nordics at present produce over 90% of their power (including nuclear) via renewables and
are significant electricity exporters to the rest of Europe. That trend will intensify as geography,

technology and managerial experience in the region will see renewable investment and generation
increase. This will be welcome news to heavy industries in the region as Europe seeks to cut
emissions', says Francesca Bjørnflaten, senior analyst, renewables at Rystad Energy.
Past, present and future energy mix
All five countries in the Nordic region - Norway, Sweden, Finland, Denmark and Iceland - have set
targets to source even more power from zero-carbon sources, with some aiming to become major
exporters of clean energy. With most power in Norway and Iceland generated by hydropower (75%)
and the fact that these two countries are not set to deploy a substantial amount of wind energy in
the future, they have been excluded from this analysis.
For decades, the Nordic region has been at the forefront of the energy transition and now has some
of the cleanest energy mixes in the world. However, there are large country-specific differences in
the way in which these countries are handling the energy transition.
The chart below shows the historical power generation mix for Sweden, Finland and Denmark over
the last 20 years, together with Rystad Energy’s current base case forecast towards 2030. This
highlights the large country differences both in size and composition of their power mixes, as well
as the expected growth for different sources going forward.
Sweden has by far the largest power generation capacity in the Nordic region and is the sixth largest
in Europe behind Germany, France, the UK, Italy and Spain. Sweden’s power mix has historically
been dominated by nuclear and hydropower. In recent years, onshore wind has grown strongly and
is now the nation’s third-largest source of electricity. Sweden’s large nuclear fleet is starting to age,

with the newly elected government proposing to expand capacity to replace or complement its six
operational reactors spread across three sites: Ringhals, Forsmark and Oskarshamn. Sweden was
the largest electricity exporter in Europe for the first three quarters of 2022, selling over 20% of its
total generation to neighboring countries. Huge, planned expansion of generation capacity will
enable it to continue being a powerhouse for Europe, exporting clean and cheap power.
Wind power dominates renewables mix
Denmark, Sweden and Finland are planning to add to their renewable generation capacity
considerably in the years to come. In the three countries combined, Rystad Energy expects onshore
wind and utility-scale solar PV alone to grow from 32 GW in 2022 to 74 GW by 2030. Onshore wind
will be the dominant energy source, accounting for 61.5 GW of the installed capacity with the
remaining 12.8 GW to come from solar PV:
 Sweden is set to install 30 GW of onshore wind by 2030, part of its plan of becoming a
significant energy exporter, with just 3 GW of solar PV expected to be added over the period.
Long term, Sweden aims to source 65% of its generation capacity from renewables by 2030
compared to 23% presently, rising to 100% by 2040.
 Finland is set to ramp up onshore wind capacity from 5 GW in 2022 to 20 GW by 2030. Only
0.8 GW of new installed capacity is expected to come from solar PV. By 2030, Finland is
aiming for 51% of its power generation to be renewables-based compared to 17% at present.
 Denmark’s power mix already consists of mainly renewable energy (70%) and is now aiming
for renewables to hold a 55% share of its overall energy consumption by 2030. In terms of
renewable energy sources, Denmark will grow onshore wind capacity by 11.5 GW and solar
PV by 9 GW up to 2030. Offshore wind capacity will rise from 2.3 GW presently to 8.8 GW
by the end of this decade.
Off the coast but on the grid
Denmark is one of the pioneers of offshore wind technology, leveraging its technical prowess with
available acreage in the North Sea and Baltic Sea. It is now one of the five largest offshore wind
markets in Europe, with further capacity additions likely in the coming decades to help meet
Europe’s low carbon power needs.
This year, the Danish government set a new target to deploy 12.9 GW of offshore wind capacity by
2030, a 4 GW increase from the previous mark. It follows Denmark’s pledge to contribute to the

Esbjerg Declaration alongside Germany, the Netherlands and Belgium. This aims for 65 GW of
offshore wind to be installed by the four countries by 2030 and 150 GW by 2050.
The below graph shows that the combined capacity forecast for these four countries only amounts
to about 50 GW by 2030, with Denmark reaching some 9 GW by the same year, meaning that more
additions will need to come online this decade. Denmark is also participating in the Marienborg
Declaration via which eight countries in the Baltic Sea have committed to installing almost 20 GW
of offshore wind capacity by 2030. Rystad Energy expects seven nations (excluding Latvia since
the commissioning of an offshore wind farm there is unlikely before 2030) to surpass the 19.6 GW
mark. The Marienborg Declaration has also been signed by Sweden and Finland, which are forecast
to install a combined 6 GW of offshore wind capacity by 2030.
Sea of hydrogen opportunities
While two energy islands in Denmark have been dedicated to offshore wind, islands dedicated to
producing ‘green’ hydrogen could also become a reality. Denmark, Sweden and Finland have
announced almost 40 separate green hydrogen projects with start-up scheduled for 2030 or earlier.
The combined share of electrolyzer capacity for green hydrogen production in the three countries
will comprise about 18% of the European market by 2030. This is based on current announcements,
showcasing the importance of the Nordic countries - especially Denmark (12% share in 2030) and
Sweden (5% share in 2030) – for Europe’s uptake of green hydrogen.
Sweden is seeking to decarbonize the steel industry by replacing coal with renewable energy and
green hydrogen to produce ‘green’ steel. The manufacturing process will use green hydrogen as a
feedstock to directly reduce iron ore, creating ‘sponge iron’ as an intermediate product. Steel will be
produced by melting sponge iron, resulting in a reduction in emissions. According to Swedish steel

maker H2 Green Steel, it is possible to reduce CO2 emissions by 95% when producing green steel,
compared with traditional, coal-based steel-making techniques.
In 2021, H2 Green Steel announced plans to produce up to 5 million tonnes per annum (Mtpa) of
green steel by 2030 using total electrolyzer capacity of around 800 MW. At the time of writing, this
is the largest announced hydrogen electrolyzer in Sweden.
Swedish joint venture HYBRIT is also looking to produce 1.2 Mtpa of crude steel as early as 2026
through the ‘HYBRIT demonstration project which is supported by the EU Innovation Fund.
Currently, HYBRIT is operating a pilot plant in north Sweden (Luleaa) to produce green steel using
a 4.5 MW alkaline electrolyzer supplied by Norwegian company NEL.
As part of the HYBRIT pilot project, a hydrogen storage facility in Luleaa was commissioned in
September. It will initially operate for two years and consists of a 100-square meter rock cavern able
to store green hydrogen at maximum pressure of 250 bar.
Denmark also looking to CCS
In 2020, Denmark, Finland and Sweden accounted for about 4% of the EU’s greenhouse gas
emissions, excluding emissions from land use, land use change and forestry (LULUCF). Emissions
come primarily from industrial sources, such as iron and steel manufacturing facilities which are
mainly located in Finland and Sweden.
It also includes emissions from hard-to-abate industries, such as cement, which have few options
to decarbonize apart from carbon capture and storage (CCS). Denmark has significant storage
availability from onshore saline aquifers, but the country is also extremely well suited for CO2
storage within the North Sea. With easy access to the North Sea and the rest of mainland Europe,
high storage volumes with low point source emissions coupled with the high demand for CO2
storage in the surrounding areas, Denmark has great potential for becoming a main storage hub in
Europe as the EU strives to meet its climate targets.

Saudi $30bn investment MoUs signed at Saudi-Korea forum
TradeArabia News Service
The Saudi Korean Investment Forum hosted in Seoul on Thursday (November 17) witnessed the
signing of 26 investment agreements and memoranda of understanding (MoUs)with a combined
value of about SR112.7 billion ($30 billion).
The forum was part of the official visit by HRH Mohammed Bin Salman Al-Saud, Crown Prince and
Prime Minister of the Kingdom of Saudi Arabia, to the Republic of Korea ans was hosted by the
Saudi Ministry of Investment.
The forum, which was supported by leading members of the Saudi Federation of Chambers and the
Korean Chambers of Commerce and Industry, was attended by Khalid Al-Falih, the Saudi Minister
of Investment, Faisal Al Ibrahim, Saudi Minister of Economy & Planning, Dr Lee Chang-yang,
Korea’s Minister of Trade, Industry and Energy, as well as related government entities and leading
private sector companies from both countries.
The MoUs covered sectors such as chemicals and petrochemicals, green hydrogen production,
auto sector, shipbuilding, pharmaceuticals and biopharma, transportation, metal casting and
forging, information technology and artificial intelligence, electronic games and promotional video
and music production, as well as venture investment.
Among the most important agreements signed was an engineering, procurement and construction
contract awarded for S-OIL’s second phase petrochemical expansion project, Shaheen Project. It
is Korea's largest refining/petrochemical plant construction contract worth SR25.5 billion ($$6.8
billion). The Shaheen Project includes the world’s largest steam cracker (ethylene 1,800KTA).
Armed with cutting-edge technologies, it converts crude oil into petrochemical feedstock and
polymer to further produce petrochemicals as feedstock for plastics and other synthetic materials.
Construction of this project will start in 2023 and target completion is 2026.

The Saudi Public Investment Fund (PIF) has also signed two non-binding MoUs with Korean
companies. The first MoU aims to develop a green hydrogen production project in the Kingdom for
export purposes, building on an agreement signed in January 2022 by PIF, Samsung C&T and
Posco, by adding new partners Kepco, KNOC and Kospo as potential investors and offtakers.
The second MoU is with Samsung C&T to explore the opportunities through cooperation to increase
and accelerate the adoption of modular construction technology in Saudi Arabia.
Other Korean entities that signed agreements with Saudi entities during the Forum included Hyundai
Rotem, Doosan, BIFIDO, Y Data & Service, the Korea Venture Investment Corporation, and Shift
Up to name just a few.
Commenting on the official visit by HRH Crown Prince Mohammed Bin Salman Al-Saud to South
Korea, and on the Saudi Korean relations, Al-Falih said: “The trade links between Korea and Saudi
Arabia are strong and run deep, dating back to the 7th century. Today, as this historic visit takes
place, the Kingdom is leading the world as the fastest growing major economy, while Korea under
the leadership of President Yoon represents the world’s 10th largest economy.
Driven by the private sector, Korea’s successful economy and the global positioning of so many
Korean companies, which are household names, are testament to Korea’s strategy’s success. The
Korean model has been a benchmark for Saudi Arabia’s Vision 2030 and National Investment
Strategy, which aim to increase the private sector’s contribution to the economy to 65% of GDP by
the end of this decade.

“As proud as we are of the historic links, we are now shifting our focus to the next six decades of
our partnership — and beyond. The goal of the Kingdom is to grow and diversify the economy away
from oil, and we’re swiftly transitioning from a solely hydrocarbon-based economy to one
spearheading fuels and technologies of the future. Vision 2030 marks the transformation of the
Kingdom of Saudi Arabia into a diversified, modern economy led by multiple new sectors built
through innovation, technology, and partnerships around the world, including with the Republic of
Korea.”
The main presentation and discussion topics of the Saudi-Korean Investment Forum included
Energy and sustainability, with a panel session on ‘Future Clean Energy’. Furthermore, the Forum
also discussed Saudi Arabia’s economic diversification, localization, and privatization efforts as well
as manufacturing.
To expand the horizon further, the forum held discussion panels on ‘Global Projection of Supply
Chain and Fostering Innovation’ and ‘Growth for Future Generations’, which set the tone for
discussions on innovation, technology, and entrepreneurship.
The forum also witnessed the signing of a wide variety of Government-to-Business and Business-
to-Business agreements and Memoranda of Understanding to boost mutual investments and further
study and develop the potential of investment opportunities in established or newly developing
sectors in the Saudi Arabia.
The Investment agreements signed during the Forum further highlight the momentum that Saudi
Arabia has established as it becomes increasingly competitive on the global stage, reflecting the
strong growth Saudi Arabia has seen in foreign direct investment (FDI) in recent years as the
Kingdom’s economic reforms have unlocked a broad range of opportunities for international
investors.
Last year net FDI growth increased by an unprecedented 257.2%, with inflows totalling almost
SAR75 billion (USD $20bn) for the year – the highest they have been in 10 years. This momentum
continued into 2022, with underlying inflows, excluding a major one-off transaction in 2021, growing
26% on a year-on-year basis in the first half.
According to the International Monetary Fund, Saudi Arabia is expected to be the fastest-growing
G20 economy this year, due in part to sweeping pro-business reforms, with gross domestic
product expected to expand by around 8 percent, the fastest growth in almost a decade.

U.S N. gas stocks end refill season near previous 5-year average
U.S. Energy Information Administration, Weekly Natural Gas Storage Report
Working natural gas stocks reached 3,644 billion cubic feet (Bcf) as of November 11, 2022,
according to the Weekly Natural Gas Storage Report, nearly matching the five-year average, and
exceeded the year-ago level for this time of year.
The deficit to the five-year average totaled 7 Bcf (0.2%) as of November 11—its lowest level since
last January. An increase in injections during the final weeks of the refill season (April 1–October
31) reversed what had been a below-average year for storage injections.
Two factors increased injections of natural gas into storage this refill season:
 Growth in U.S. dry natural gas production exceeded growth in domestic natural gas
consumption plus exports.
 The fire and resulting shut-in at the Freeport liquefied natural gas (LNG) facility in
June reduced exports.
Start of the refill season—April 1
On April 1, working natural gas stocks were 17%, or 285 Bcf, lower than the five-year average. Net
injections into working natural gas fell short of the five-year average during most of the weeks that
followed. As a result, the deficit to the five-year average grew to 367 Bcf during the week ending
August 12, amid high temperatures and high demand for cooling. Increasing dry gas production
during the summer and moderate temperatures since September 9, however, led to rapid change
in the natural gas storage balance; weekly net injections exceeded their previous five-year averages
in eight of the nine following weeks.
End of the refill season—October 31
The refill season ended 3% below year-ago and five-year averages. Injections this season, at
2,150 Bcf, were 16% higher than one year ago and 9% higher than the five-year average, which
reduced the deficit.
Although the end of the refill season is October 31, the effective end of the refill season occurs in
mid-November because injections generally continue during the first few weeks of the heating
season. Moderate temperatures during the first couple of weeks in November contributed to
continued larger-than-average injections.

NewBase November 21 -2022 Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Oil Sinks as China’s Struggle With Covid Blights Demand Outlook
Bloomberg + NewBase
Oil sank again following the biggest weekly decline since August as China tightened anti-Covid
Global benchmark Brent fell toward $87 a barrel after retreating by almost 9% last week. The country
saw its first Covid-related death in almost six months on Saturday and another two were reported
on Sunday, sparking fears of a further wave of restrictions in the world’s biggest oil importer just as
a city of 11 million near the capital asked residents to stay home amid an outbreak.
Goldman Sachs Group Inc. lowered its fourth-quarter forecast for Brent crude by $10 a barrel to
$100, according to a note, with the reduction driven in part by the possibility of further anti-virus
measures in China as cases climb.
Crude has erased the gains made at the start of the quarter, when the Organization of Petroleum
Exporting Countries and allies including Russia agreed to reduce production by 2 million barrels a
day. A looming European Union ban on Russian seaborne flows and Group of Seven price-cap plan
are clouding the outlook, with officials possibly set to announce the cap’s level on Wednesday as
they step up their response to Moscow’s invasion of Ukraine.
Oil price special
coverage

“The market is right to be anxious about forward fundamentals due to significant Covid cases in
China and a lack of clarity on the implementation” of the price cap, Goldman analysts including
Callum Bruce said. Still, for longer-term investors, the drop provides an opportunity to add length,
they said.
The market’s weakness is reflected in rapidly softening differentials. Brent’s prompt spread -- the
gap between its two nearest contracts -- was 42 cents a barrel in backwardation, down from more
than $2 a barrel a month ago. The same gauge for West Texas Intermediate has flipped into
contango, a bearish signal that indicates ample near-term supply.
Commodity investors also are concerned that further aggressive monetary tightening will lead to a
global economic slowdown, hurting energy consumption. Traders this week will look to minutes of
the most recent Federal Reserve policy meeting for more clues on the course of rate hikes.
“With record high Covid cases and falling mobility data in China, it’s hard to find a bull in the
paddock,” said James Whistler, managing director of Vanir Global Markets Pte. “Oil markets just
can’t shake the bear.”

NewBase Specual Coverage
The Energy world –November -21 -2022
CLEAN ENERGY
The World’s Failure to Deliver on Climate Action in Five Charts
Bloomberg - Nilushi Karunaratne
There are plenty of reasons to be hopeful about the energy transition -- more drivers are switching
to electric cars, the deployment of renewable sources of power continues to grow, and the US may
have finally gotten serious about climate action with the Inflation Reduction Act.
But while the general direction of travel may be correct, the pace needs to pick up dramatically. The
world is getting uncomfortably close to running out of time to limit global warming to 1.5 degrees C
above pre-industrial levels, one of the key goals of the Paris Agreement.
In fact, the latest annual Global Carbon Budget report concludes there is a 50% chance this
threshold will be breached within the next nine years if the current rate of emissions persists.
A game-changing outcome from the COP27 climate summit in Sharm el-Sheikh, Egypt, is unlikely
to come to the rescue, and to make matters worse, a potential global recession, coupled with the
lasting effects of Russia’s invasion of Ukraine, means there is much uncertainty ahead.
Here are five charts from BloombergNEF on some of the latest headwinds for the race to net zero.
BNEF estimates probability of success at COP27 is
just 33%
Early-stage climate-tech funding drops three
quarters in a row

1. Odds of a successful COP27 get bleaker by the day
With the COP27 summit now in its second week, the odds of making meaningful progress toward
the goals of the Paris Agreement are waning. BNEF estimates the talks now have just a 33% chance
of being a success, down from 43% in mid-October.
This assessment is based on the nine most important areas where advances need to be made,
such as the ambition of parties’ 2030 emissions targets and delivery of the elusive $100 billion of
annual climate finance to developing countries.
Gloomy Outlook
The average probability of success at COP27 across nine key metrics has dropped from
43% to 33%
Source: BloombergNEF, Note: Pre-COP estimate is from Oct. 12, 2022. For metrics with only a red circle, the
probability of success has not changed from BNEF's pre-COP estimate.
Only one metric has seen positive movement: the prospect of creating a dedicated funding facility
for the loss and damage caused by climate change.
But this is simply because the topic made it into the COP27 agenda after lobbying from developing
nations and non-governmental organizations. BNEF is still skeptical that an actual agreement will
be reached given resistance from the likes of the US and the European Union.
Following what BNEF’s Head of Global Policy Victoria Cuming called “a damp squib” of a World
Leaders Summit, disappointing emissions targets, and a lack of consensus on carbon market
mechanisms, the “Implementation COP” looks like it may not end up implementing all that much.

2. Africa is being left behind in the race to net zero
With Egypt as the host of this year’s COP, a spotlight has been placed on the energy transition in
Africa. Despite the continent’s abundance of natural resources (such as solar) and growing
electricity demand, investment in renewable energy hit an 11-year low in 2021, with just $2.6 billion
of capital deployed on new projects. To put that figure into context, it represented a mere 0.6% of
the $433 billion spent worldwide last year.
Clean Energy Capital Collapse
Investment in renewable assets in Africa slumped to an 11-year low in 2021
Source: BloombergNEF, Note: Asset finance includes equity and debt.
While annual clean energy investment levels have been trending upward in the rest of the world,
they have been highly inconsistent in Africa and concentrated in just a handful of countries -- South
Africa, Egypt, Morocco and Kenya account for nearly 75% of the investment seen since 2010.
The key barriers that need to be overcome to unlock more capital include a lack of consistent clean
power procurement practices, poor planning around electricity access and grid expansion, and a
shortage of both domestic and international investors.
In the meantime, Africa remains reliant on fossil fuels and exposed to commodity price shocks. Gas,
coal and oil powered 75% of the region’s electricity generation in 2021.
South Africa has a particular affinity for coal and is looking to kick its habit through its Just Energy
Transition Investment Plan. The strategy identifies the need for $98 billion over the next five years
to fund the country’s shift away from coal, of which $8.5 billion has been pledged by international
partners such as the US and Germany. It could serve as a template for future coal-to-clean deals,
although there are large question marks over whether the structuring of these agreements will
exacerbate debt burdens.

3. Lagging policy could undermine climate goals
Europe has typically been at the forefront of setting climate targets and deploying low-carbon
solutions such as wind and solar power. Indeed, more ambitious national emissions goals were
agreed by the European Parliament and Council of the EU last week to help achieve the objectives
of the Fit for 55 legislative package.
Yet, these targets could prove to be little more than hot air in the absence of adequate policy support.
Based on data submitted to the European Environment Agency, the projected 2030 emissions of
member states across both the carbon market (known as the EU Emissions Trading System) and
sectors outside of it (which fall under the purview of the so-called Effort Sharing Regulation) will be
above the levels proposed by Fit for 55.
The Fit for 55 package aims for ESR emissions to fall by 40% by 2030 versus 2005 levels, and ETS
emissions to decline by 61%. With existing policy measures, the ESR and ETS emissions of the
EU-27 would only drop by 21% and 36%, respectively. Even when looking at the scenarios countries
have produced that account for the impact of planned policy measures, the bloc’s emissions would
still be too high.
BNEF has explored the fundamental misalignment between national policy and the reality of the
targets agreed at the EU-level in this week’s Carbon Weekly.

4. Climate-tech investment hits the brakes amid economic slowdown
On top of policy, transitioning to net zero will require continued investment in the development of
new technology to help tackle the climate crisis -- everything from nuclear fusion to alternative
proteins. While startups working on climate solutions are still attracting billions of dollars, capital
flows appear to have succumbed to the wider global economic malaise.
Early-stage funding for climate-tech startups increased steadily across 2021, culminating in a
bumper fourth quarter that pulled in $19.6 billion. Since then, 2022 has seen three consecutive
quarters of decline, with investment dropping to $10.7 billion in the third quarter.
Climate-Tech Slowdown
Early-stage funding for climate-tech startups fell to $10.7 billon in 3Q 2022, marking three
consecutive quarters of decline
Source: BloombergNEF, Pitchbook, CB Insights, news sources.
Note: Includes funding from accelerators, angel investors, seed funds, venture capitalists and private equity
firms. Excludes mergers and acquisitions, and special purpose acquisition company (SPAC) and initial public
offering (IPO) fundraising.
Funding for energy-related startups, such as those working on solar power and energy storage has
remained resilient. But money directed toward transport firms, including electric vehicle makers and
charging companies, has been squeezed significantly.
It’s worth noting, however, that this drop off may not be entirely down to weak macroeconomic
conditions. Investors may simply be holding onto their firepower until startups reach the desired
stage of development.

5. Cost-competitive low-carbon options still lacking in hard-to-abate sectors
Technological progress will be key to lowering emissions from so-called hard-to-abate sectors like
shipping. Right now, seaborne trade is heavily dependent on oil to power the vessels that transport
goods around the world. The industry accounts for more than 5% of global oil demand and is
responsible for about 2.5% of CO2 emissions.
While the use of oil is set to drop as shipping companies look to decarbonize, BNEF still expects it
to represent almost 60% of marine fuel consumption in 2050. This comes as clean alternatives,
such as methanol and ammonia derived from hydrogen, are forecast to remain more expensive
than fossil fuels and make only limited headway.
Amid a lack of cost-competitive green options, the shipping industry is instead turning to liquefied
natural gas as a transition fuel. BNEF estimates LNG will meet 30% of marine fuel demand by mid-
century, from just 1% at present. This will be driven by higher uptake among bulk carriers, container
ships and tankers, for which there has already been a significant increase in orders for new LNG-
powered vessels.
LNG Trumps Green Fuels
The shipping industry is expected to lean on LNG as a replacement fuel for oil as cleaner
alternatives remain expensive
Note: Green fuels include methanol, ammonia and biofuel. For LNG and green fuels, the volume is based on oil displaced.
Continued reliance on fossil fuels, as well as growing demand for ocean freight, means the shipping
industry is likely to fall well short of the International Maritime Organization’s target to lower
emissions by 50% by 2050 compared to 2008 levels.
BNEF anticipates just a 13% reduction will be achieved. Further progress will hinge on more
shipping companies setting net-zero ambitions and carbon pricing to bridge the cost gap between
green fuels and oil and gas.

World Satellite Images Show Methane Cloud Near Waste Site
Bloomberg + NewBase
Scientists say reducing emissions of methane, which has 84 times the warming power of carbon
dioxide during its first two decades in the atmosphere, is one of the fastest and cheapest ways to
cool the planet. Throughout COP27, Bloomberg Green will exclusively publish new satellite images
of methane releases around the world, in collaboration with emissions monitoring firm GHGSat Inc.
Near Amman, Jordan, Nov. 10, 1:58 pm local time
A methane plume was spotted near Jordan’s capital of Amman. GHGSat attributed the plume to the
waste sector and estimated its emissions rate at 4,876 kilograms an hour.
Garbage and landfills can generate the potent greenhouse gas when organic material such as food
scraps break down in the absence of oxygen. Landfills and wastewater are responsible for about
20% of the methane emissions generated from human activity, and failing to curb releases from the
sector could derail global climate goals.
Jordan’s Ministry of Environment didn’t immediately respond to an email seeking comment.
The growth of South Asian megacities has spawned regional methane hotspots linked to landfills.
GHGSat attributed the latest observation, outside of Lahore, to the waste sector and estimated the
plume’s emissions rate at 1,403 kilograms per hour.

The source of emissions in South Asia observed by satellite are different from major emitters such
as the US or Russia, where the lion’s share of releases are linked to oil, gas and coal operations.
Last year, more than half of all methane emissions measured globally from landfills by GHGSat
were in Asia.
The Pakistan Environmental Protection Agency didn’t immediately respond to an email sent outside
normal business hours over the weekend. A spokesperson for the Ministry of Climate Change
acknowledged a WhatsApp message seeking comment but did not immediately provide one.
Diverting food scraps and other organics before they enter a landfill is crucial to limiting future
emissions. The impact of legacy dumps can be mitigated through aerating piles of trash and gas
capture systems.
Eastern Turkmenistan, Nov. 10, 2:21 pm local time
A large methane cloud has been observed in the Central Asian country of Turkmenistan, a global
hotspot for the potent greenhouse gas. GHGSat attributed the plume to the nation’s oil and gas
sector and estimated the emissions rate at about 8,501 kilograms per hour.
Turkmenistan has the world’s fourth largest natural gas reserves and offers one of the biggest global
opportunities to cut back on leaks of methane. Earlier this year, researchers identified 29 pieces of
oil and gas infrastructure spewing enough methane each year to rival the annual emissions from all
the cars in the US state of Alabama. The report found that the releases were mostly the result of
poorly maintained or leaky equipment — and largely avoidable.

The country’s fossil fuel production is dominated by two state-owned companies, Turkmennebit and
Turkmengaz. Neither company, nor its Ministry of Foreign Affairs, immediately responded to emails
requesting comment outside of normal business hours over the weekend.
Methane emissions are routinely observed in Turkmenistan’s western Caspian basin leaking from
old Soviet infrastructure, and in the nation’s east, which is home to the large Galkynysh gas field,
and where China National Petroleum Corp. has built new infrastructure to ship the fossil gas to the
world’s most populous country.
Methane is the primary component of natural gas and responsible for about 30% of the Earth’s
warming. Turkmenistan has so far declined to join the Global Methane Pledgee, a group of more
than 120 countries that are aiming to cut releases of the gas 30% by the end of this decade from
2020 levels.
A cloud of methane was observed near a suburb of Montreal that GHGSat attributed to the waste
sector. The satellite company estimated an emissions rate for the plume of 1,185 kilograms per
hour.
Environment and Climate Change Canada spokesperson Cecelia Parsons acknowledged a
Bloomberg email asking if the agency was doing anything about the release and said she was

looking into it. A spokesperson for Quebec’s ministry of environment also acknowledged a request
for comment.
The release offers yet another disconnect between Canada’s climate ambitions and its emissions.
Prime Minister Justin Trudeau has pitched the country as a global environmental leader but the
nation’s methane and carbon dioxide releases have climbed more than any other G-7 country,
relative to a 1990 baseline, according to European Commission data through early 2021.
Last month Bloomberg News reported on a methane plume near oil and gas production and
pipelines that Canadian regulators said they were unaware of. Environment Minister Steven
Guilbeault has said the country is on track to cut methane emissions more than 40% by 2025,
relative to a 2012 baseline.
Diverting food scraps and other organics before they enter a landfill is crucial to limiting future
emissions. The impact of legacy dumps can be mitigated through aerating piles of trash and gas
capture systems.
Pszczyna County, Poland, Nov. 8, 1:25 pm local time

Two distinct methane plumes were observed in southern Poland near the border with the Czech
Republic by a GHGSat satellite on Nov. 8. The emissions monitoring firm attributed the
concentrations of methane to the coal sector and estimated the combined rate for the two plumes
at 3,410 kilograms per hour.
Poland’s Ministry of Climate and Environment didn’t immediately respond to an emailed request for
comment sent outside normal business hours.
Methane can leak from coal mines when sedimentary rocks are crushed or coal seams are exposed.
Miners often attempt to drain methane from coal seams before mining the fossil fuel to reduce the
risk of explosions and fires. The sector is responsible for about 30% of the total emissions of the
potent greenhouse gas coming from the energy sector. Halting intentional venting of methane and
accidental leaks from coal mines and oil and gas infrastructure is viewed by scientists as some of
the lowest hanging fruit in the fight against climate change.
Both plumes were near Poland’s KWK Pniówek coal mine, according to Global Energy Monitor, a
San Francisco-based non-profit that catalogs global fossil fuel infrastructure. Vents for large
underground mines can be several kilometers from where coal is coming is coming out of the
ground.
The KWK Pniówek mine was highlighted in a 2015 report from the U.S. Environmental Protection
Agency as part of its Coalbed Methane Outreach Program that works with mines in the U.S. and
internationally to encourage the economic use of coal mine methane that is otherwise vented to the
atmosphere.
Poland remains heavily reliant on coal for home heating and the country is home to 40 of the 100
cities with the worst air quality in the European Union. The nation has one of the continent’s highest
prevalence of premature deaths linked to contaminated air.
A GHGSat satellite observed methane emissions near fossil fuel facilities Nov. 6 in a remote corner
of Fars Province, in southern Iran. The emissions monitoring company attributed the plume to the
oil and gas sector and estimated methane was spewing at a rate of 795 kilograms an hour at the
time of the observation.
Officials with the National Iranian Oil Co., the country’s government-owned oil and natural gas
producer, didn’t immediately respond to an email sent outside normal business hours.
The emissions occurred near the Arsanjan-Kheirgoo Gas Compressor Station. The site’s three
compressors help ship as much as 110 million cubic meters of gas a day from the South Pars field
1,050 kilometers (650 miles) north to Tehran and were designed to increase transmission capacity
during the winter heating season, according to a promotional video from the site's operating
subsidiary Sekafco.
National Iranian Oil spews more methane than any other global energy producer, according to a
report by Global Energy Monitor. The non-profit group found that that just 30 fossil fuel companies
account for nearly half of the sector’s emissions of the potent greenhouse gas.
Methane is the primary component of natural gas and responsible for about 30% of the Earth’s
warming. Leaks can occur during extraction and transport of the fossil fuel.
The potent greenhouse gas, which has 84 times the warming power of carbon dioxide during its first
two decades in the atmosphere, is also routinely generated as a byproduct of oil or coal production
and if operators don’t have infrastructure to get the gas to market they may release it into the
atmosphere. The International Energy Agency has called for oil and gas operators to halt all non-
emergency methane venting.

A GHGSat satellite observed methane emissions near a coal mine Nov. 6 in New Mexico that the
emissions monitoring firm said was coming from a mine vent. The company estimated the release
was spewing at a rate of 440.4 kilograms per hour.
Operational coal mines often vent methane to reduce the risk of explosion. Closed or abandoned
coal mines can leak methane for years if they aren't properly sealed.
GHGSat said they first detected emissions from the site through a demonstrator satellite in 2016.
An official with the New Mexico Environment Department said Westmoreland Mining LLC is the
operator of the facility near the plume. An official at Westmoreland didn't immediately respond to a
request for comment after normal business hours.Matthew Maez, a spokesperson for the New
Mexico Environment Department said that fugitive emissions from coal mines are not subject to the
department’s air quality rules.
Near Lucknow, India, Nov. 5, 1:28 pm local time
The satellite image was taken on Nov. 5 and shows a plume of methane that GHGSat attributed to
a landfill in India. The estimated emissions rate was 1,328 kilograms per hour of methane. Landfills
tend to be persistent emitters, according to the Montreal-based company.
The detection highlights how waste is triggering some of the world’s strongest and most persistent
methane emissions.

In India, more than 60% of waste is composed of organics that often originate from markets where
vegetables, meat and poultry and other food are sold, according to the non-profit group Global
Alliance for Incinerator Alternatives, known as GAIA. Prime Minister Narendra Modi’s Clean India
campaign aims to spend 41.52 billion rupees ($519 million) to clean up legacy waste at landfills in
more than 600 cities by 2026.
Near Daqing, China, Nov. 4 at 1:15pm local time
On Nov. 4 a satellite identified six methane releases in northeast China near the Daqing oilfield,
according to GHGSat. Estimated emissions rates ranged between 446 and 884 kilograms per hour
and the cumulative rate was 4,477 kilograms an hour. If the releases lasted for an hour at that rate
they would have the same short-term climate impact as the annual emissions from about 81 US
cars.
The detections highlight the rapidly expanding ability of satellites to identify and track methane
almost anywhere in the world that is driving a new era of climate transparency in which greenhouse
gases will be quantified and attributed in near real-time to individual assets and companies.
More companies and institutions are launching multi-spectral satellites that can detect methane’s
unique signature. GHGSat has six satellites in orbit now dedicated to monitoring industrial methane
and aims to launch another five by the end of next year. US non-profit Environmental Defense Fund
plans to launch its MethaneSAT in 2023 and a consortium including Carbon Mapper, the state of
four decades ago, according to the World Meteorological Organization.

NewBase Energy News 21 November 2022 - Issue No. 1567 call on +971504822502, UAE
The Editor:” Khaled Al Awadi” Your partner in Energy Services
NewBase energy news is produced Twice a week and sponsored by Hawk Energy Service – Dubai, UAE.
For additional free subscriptions, please email us.
About: 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 over 30 years of experience in the Oil & Gas
sector. Has Mechanical Engineering BSc. & MSc. Degrees from leading U.S.
Universities. Currently working as self leading external Energy consultant for the GCC
area via many leading Energy Services companies. Khaled is the Founder of the
NewBase Energy news articles issues, Khaled is an international consultant, advisor,
ecopreneur and journalist with expertise in Gas & Oil pipeline Networks, waste
management, waste-to-energy, renewable energy, environment protection and
sustainable development. His geographical areas of focus include Middle East, Africa
and Asia. Khaled has successfully accomplished a wide range of projects in the areas
of Gas & Oil with extensive works on Gas Pipeline Network Facilities & gas compressor
stations. Executed projects in the designing & constructing of gas pipelines, gas
metering & regulating stations and in the engineering of gas/oil supply routes. Has drafted
& finalized many contracts/agreements in products sale, transportation, operation & maintenance
agreements. Along with many MOUs & JVs for organizations & governments authorities. Currently dealing
for biomass energy, biogas, waste-to-energy, recycling and waste management. He has participated in
numerous conferences and workshops as chairman, session chair, keynote speaker and panelist. Khaled is
the Editor-in-Chief of NewBase Energy News and is a professional environmental writer with over 1400
popular articles to his credit. He is proactively engaged in creating mass awareness on renewable energy,
waste management, plant Automation IA and environmental sustainability in different parts of the world.
Khaled has become a reference for many of the Oil & Gas Conferences and for many Energy program
broadcasted internationally, via GCC leading satellite Channels. Khaled can be reached at any time, see
contact details above.

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