NewBase 29 April 2024 Energy News issue - 1720 by Khaled Al Awadi_compressed (1).pdf

Copyright © 2024 NewBase 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 endeavors 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 29 April 2024 No. 1720 Senior Editor Eng. Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Up to $450 billion in investment is needed for critical mineral
mining projects by 2030: UNCTAD
UNCTAD +NewBase
Global investments in critical energy transition minerals are not keeping pace with escalating
demand. Current production levels are inadequate to meet the needs required to limit global
warming to 1.5°C, in line with the Paris Agreement.
UN Trade and Development (UNCTAD) has identified 110 new mining projects worldwide, valued
at $39 billion, with $22 billion invested in 60 projects in developing countries. Yet to achieve the
2030 net-zero emission targets, the industry may need around 80 new copper mines, 70 new lithium
and nickel mines each, and 30 new cobalt mines.
The investment needed between 2022 and 2030 ranges from $360 billion to $450 billion, potentially
leaving a gap of $180 billion to $270 billion. The most significant shortfalls are in copper and nickel,
accounting for 36% and 16% of the total gap, respectively.
As the climate emergency intensifies, demand is surging for minerals that are critical for renewable
energy technologies like solar panels, wind turbines and electric vehicles (EVs).
ww.linkedin.com/in/khaled-al-awadi-80201019/

UN Trade and Development (UNCTAD) projections based on data from the International Energy
Agency indicate that by 2050, for example, lithium demand could rise by over 1,500%, with similar
increases for nickel, cobalt and copper.
The booming demand poses significant opportunities and challenges for developing countries rich
in critical energy transition minerals, especially those grappling with commodity dependence – when
60% or more of a country's merchandise export revenue comes from raw materials.
Such dependence hinders economic development and perpetuates inequalities and vulnerabilities
across sub-Saharan Africa, South America, the Pacific and the Middle East.
It currently affects 95 developing countries, almost half of the UN’s membership. A total of 29 out of
the 32 nations classified as having low human development in 2021 were commodity dependent.
“Commodities and commodity dependence are issues at the heart of the past and especially the
future of trade and development,” UN Trade and Development Secretary-General Rebeca
Grynspan says.
The new critical mineral mining projects needed offer opportunities for many developing
countries, especially in Africa. The continent boasts over a fifth of the world's reserves for a dozen
metals essential to the energy transition, including 19% of those required for electric vehicles.But to
fully capitalize on their mineral wealth, developing countries must go beyond merely supplying raw
minerals and advance up the value chains.

Critical minerals: Harnessing data key to unlocking hidden treasures
An UNCTAD solution for developing countries to digitalize and share data on natural resources gains
renewed significance amid soaring demand for minerals vital for the transition to clean energy.
 Clean energy systems are expected to raise copper demand from 23% to over 42% of total
demand by 2050.
 Technology and data can help developing countries unlock their mineral resources treasure
chest.
 UNCTAD has a solution for digitalizing and sharing data to facilitate the discovery of new
natural resources.

The global quest for a cleaner energy system has escalated the demand for critical energy
transition minerals such as lithium, cobalt, nickel and copper.
These minerals play a crucial role in renewable energy technologies such as solar photovoltaic
cells, wind energy, battery storage and electric vehicles. For example, the demand for copper in
clean energy systems is forecast to increase from 23% of total demand across all applications to
over 42% by 2050, according to UNCTAD calculations based on data from the International Energy
Agency.
But if copper’s production continues at its current rate, the burgeoning demand won’t be met,
creating a significant gap that needs to be addressed to keep global warming to no more than 1.5°C,
in line with the Paris Agreement on climate change.
Tech can help unlock hidden mineral treasures
To meet the increasing demand, countries need to explore new resources abundant in high-grade
mineral ores and attract investments into the sector, among other essential measures.

They can use technology and data to identify resources that traditional geologists might overlook
and assist miners in determining optimal drilling locations. For example, in Zambia, a private
company has used artificial intelligence to generate geological maps of the Earth’s crust, resulting
in the discovery of a large-scale high-grade copper deposit.
It did so by applying algorithms to analyse multiple data streams, ranging from historical drilling data
to satellite imagery, enhancing the identification of potential new deposits. The breakthrough in
Zambia’s exploration of new copper resources shows how developing countries can use innovative
approaches to discover new reserves of critical minerals and help bridge the gap between supply
and demand.
“Countries need better data to benefit more from these minerals, while protecting the planet,” said
Miho Shirotori, head of UNCTAD’s international trade division. Many developing countries lack the
reliable data needed to attract investments into their undiscovered minerals.
A network solution
One key solution, first proposed by UNCTAD in 2009 and gaining renewed urgency amid the global
energy transition, is the creation of an international network for digitalizing and sharing data to facilitate
the discovery of new natural resources.
UNCTAD's initiative, known as the Natural Resources Information Exchange (NRIE), aimed to create a
repository of digital information, focusing on geoscientific historical data.
The initiative previously stalled due to technical gaps in some of the potential beneficiary countries and
the complexities of legal frameworks and regulations relating to data ownership, access rights and
confidentiality.
UNCTAD is now revamping the initiative with an emphasis on strengthening the capacity of countries
to manage their wealth of data.
The new initiative could assist mineral-rich countries in Africa and elsewhere to create their own
natural resource data banks to capture the untapped value from geosciences information to optimize
natural resource development and management.
These data banks would include a range of digitalized historical mineral data, such as:
 Old maps and information on rock formations, mineral composition and geological structures.
 Exploration data comprising drilling results, geophysical surveys and geochemical analysis.
 Production data detailing quantities extracted, grades of ore and production methods.
 Environmental data such as water quality assessment, air quality monitoring and biodiversity
surveys.
The initiative would enable developing countries to harness the power of technology to compile and
analyse vast amounts of data, empowering them to make informed decisions about their mineral
reserves responsibly and inclusively.
Inclusive approach
UNCTAD advocates for a collaborative and inclusive approach involving governments, companies and
institutions with geoscientific archives working together to develop natural resources data banks.

It will support beneficiary countries in developing their capacity to digitalize and organize their
historical mineral data. The initiative would facilitate easy access, search and retrieval of archived
information through digital databases and artificial intelligence as demonstrated in recent efforts in
Zambia.
It will also enhance the efficiency of data governance by providing more comprehensive and precise
datasets. This could improve decision-making among policymakers, government agencies and
industry stakeholders regarding resource allocation.
Furthermore, developing countries can bolster their capacity to attract investments, which could spur
economic growth and contribute to meeting the global demand for critical energy transition minerals in
a sustainable manner.
According to UNCTAD, it’s also essential to ensure the soaring demand for critical energy transition
minerals doesn’t further entrench countries’ dependence on commodities for their export earnings.
Such dependence leaves countries vulnerable to market price fluctuations and global economic
shocks. It’s also linked to lower socioeconomic development.

Japan’s Jera Looks to Invest in Middle East Hydrogen Projects
Bloomberg + NewBase
Japan’s biggest utility, Jera Co., is looking to invest in low-carbon hydrogen and ammonia projects
in the Middle East, in addition to buying their output.
Jera has established a division for investing in such plants. Tsuyoshi Oyama, who heads the unit’s
Australia and Middle East activities, said facilities that can produce around 1 million tons a year of
“blue” ammonia are attractive targets, as well as smaller “green” hydrogen projects.
Some of the world’s biggest planned blue ammonia plants, which capture carbon dioxide emitted in
the production process, are located in the Middle East. The hydrocarbon-dependent region hopes
that sequestering emissions will mean it can continue to produce fuels from oil and gas despite
growing demand for cleaner fuels.
The Japanese firm signed preliminary agreements with Saudi Arabia’s Public Investment Fund and
Abu Dhabi National Oil Co. to work together on clean ammonia and hydrogen. It recently agreed to
work with CF Industries Holdings on an ammonia plant in Louisiana.
Japan is expected to be one of the biggest buyers of clean hydrogen and ammonia. Jera
is testing the use of ammonia as a substitute for coal in its Hekinan power station in an effort to
reduce its greenhouse gas emissions.
JERA signs deal with CF Industries to develop 1.4 mil mt/year US ammonia project by 2028
Energy transition highlights: Our editors and analysts bring you the biggest stories from the industry
this week, from renewables to storage to carbon prices.
 Japan is testing the use of ammonia as
power plant feedstock
 Firm will jointly develop a low-
carbon ammonia plant in the M.E,
India & US

Japan's largest power generation company, JERA has agreed with US-based CF Industries to
explore the development of a 1.4 million mt/year low-carbon ammonia project at the latter's Blue
Point Complex in Louisiana, with the plan to start production in 2028.
Under a joint development agreement, JERA is considering taking a 48% stake in the project as
well as procuring more than 500,000 mt/year of ammonia to meet low-carbon fuel demand in Japan.
JERA and CF Industries aim to make a final investment decision "within a year" for the project,
which will capture CO2 from production and use it for carbon capture and storage, according to a
JERA spokesperson. JERA has pledged to commercialize its ammonia co-firing power generation
by 2030 as part of its aim to start using 100% ammonia as fuel in the 2040s for its 2050 carbon
neutrality target.

Egypt: TAG Oil commences flow back of BED4-T100 horizontal well
Source: TAG Oil
TAG Oil has successfully pumped all twelve planned stages of its multistage hydraulic frac on
its BED4-T100 well location within the Badr Oil Field ('BED-1'). Stages one through three, which are
located across the heavily fractured and more permeable section of the well, received a
concentrated acid stimulation while stages four through twelve were mechanically fracture
stimulated with proppant.
At least 50 tonnes of sand were used per stage in the mechanically propped fracture stages with
over 1,000,000 pounds successfully pumped across the 308-metre lateral section.
The fracture equipment has been moved off location, and a coiled tubing unit is in the process of
drilling out the ball seats used to separate the fracture stages that will be followed with the flow back
operations in the next several days.
TAG Oil’s technical team is assuming approximately 7-10 days of flow back before it expects to see
consistent clean oil flows. Stabilized flow rates are expected approximately 10 days after consistent
oil rates are achieved. Accordingly, the Company expects to be able to release flow rates on the
T100 well at some point during the month of May.
A further update will be provided in due course on the well tie-in and facilities configuration after
production volumes have been established.

Ukraine Endures Missile Barrage, Strikes Russian Refinery
Bloomberg News
Ukraine sustained a heavy Russian missile barrage overnight aimed at gas infrastructure and other
targets, while striking back a Russian oil refinery with drones.
Moscow reported a Ukrainian drone attack on the Slavyansk oil refinery in the Krasnodar region,
the first such strike since early this month.
The state-run news agency Tass said the strike caused a fire, which partially suspended refinery
operations. The plant was hit by 10 drones, Tass said, citing the refinery’s representative. Russia’s
defense ministry said 66 drones were intercepted and downed over the Krasnodar region.
UAVs from the Security
Service of Ukraine targeted
the Kushchevsk military
airfield and the Slavyansk
and Ilsky refineries in the
Krasnodar region, according
to a person with knowledge
of the operation who wasn’t
authorized to speak publicly.
Russian officials and media
haven’t referred to the Ilsky
facility.
The Slavyansk refinery is
capable of processing 4
million tons of oil a year and
is one of the closest facilities
to war zone in eastern
Ukraine. It was previously hit
by drones in March along with
many other large Russian refineries. Some of the affected facilities are still processing less than
before the attacks.
US warned Ukraine that attacks on Russian oil refineries were impacting global energy markets and
urged Kyiv to focus on military targets. The most recent drone attack on a Russian oil refinery
happened on April 2.
Russia’s defense ministry said in a statement that recent strikes, including the overnight barrage,
had targeted energy and defense facilities and railway infrastructure in response to Kyiv’s attempts
to “damage Russian energy and industrial facilities.”
Targets fired at by Kremlin troops included energy facilities in the Lviv and Ivano-Frankivsk regions
in the west, and the Dnipropetrovsk region in central Ukraine, the national grid operator Ukrenergo
said in statement on Facebook.
State-run Naftogaz said gas infrastructure facilities came under attack but that service to clients and
to Ukrainian consumers weren’t interrupted.
“Hits on power plants in Kryvyi Rih, Dnipro, Lviv and Ivano-Frankivsk put thousands of Ukrainians
in the dark,” Bridget Brink, the US ambassador to Ukraine, said on X. “Other cities were hit as well,
including damage to a Kharkiv hospital.”

Exxon and Chevron Output Booms in World’s Hottest Oil Patches
Bloomberg
If you want to understand why the two largest US oil companies are together spending in excess of
$100 billion on acquisitions right now, look no further than the amount of crude they’re extracting
from the two hottest oil fields on the planet.
Exxon Mobil Corp. and Chevron Corp., which reported earnings Friday, are both predicting their
production in the Permian Basin — the US region that already supplies more oil than Iraq — will
increase by 10% this year.
Exxon also revealed that production from its massive oil development in Guyana in the first quarter
surged 70% from a year earlier. That’s enough to supply almost a fifth of the global demand growth
this year that’s forecast by the International Energy Agency.
Guyana and the Permian stand out for relentless levels of production growth in a industry that has
otherwise struggled to find new, low-cost resources in recent years. Now Exxon and Chevron are
racing to cement their positions, outpacing their biggest European peers in the process. Exxon is
set to become the Permian’s biggest producer once it closes its $64 billion acquisition of Pioneer
Natural Resources Co. while Chevron is spending $52 billion on Hess Corp. to gain a 30% share of
Guyana’s prolific Stabroek Block.
The Permian and Guyana “are big growth drivers at both companies,” said Neal Dingmann, an
analyst at Truist Securities. “There are definitely fears on US inventory and shortages worldwide
because of lack of investment in the group over several years now.”
After years of reduced investment in oil and gas as fossil-fuel companies focused on returns and
reducing emissions, crude supplies are once again starting to look tight. Brent oil earlier this month
traded above $90 a barrel for the first time since the fall, with tensions in the Middle East threatening

to send prices even higher. For all the efforts to transition to greener sources of energy, oil demand
is forecast by the IEA to grow by about 1.3 million barrels a day this year to a new record.
European supermajors Shell Plc and BP Plc, who are set to report over the next two weeks, are in
a very different position. Shell walked away from Guyana months before Exxon drilled its first
discovery in 2015, and sold its Permian position to ConocoPhillips in 2021. BP’s presence in the
Permian is much smaller than either of the US majors.
Furthermore, Shell and BP had in recent years sought to push into renewables. They’re now pivoting
back toward bolstering oil and gas production. But that’s easier said than done, and both have
anemic growth profiles out to 2030 compared with their US rivals — assuming the Pioneer and Hess
deals are completed.
For Exxon and Chevron, both of committed to fossil fuels during the initial wave of ESG investing,
targeting the Permian and Guyana will not just grow production but also lower their overall cost of
supply. Both regions can produce oil at a profit for less than $35 a barrel.
While sitting on two big growth engines, the two companies must be mindful on spending because
investors still see capital discipline and a strong balance sheet as a “top priority,” according to Nick
Hummel, an analyst at Edward D. Jones & Co. That’s because OPEC still has 5 million barrels a
day “sitting on the sidelines” that could come back into the market at some point, he said.
For now, both Exxon and Chevron are stuck in a holding pattern, waiting to close the acquisitions
of Pioneer and Hess. The former is waiting approval from the Federal Trade Commission while the
latter is tied up in arbitration because Exxon claims it has a right of first refusal over Hess’s 30%
stake in Guyana. Even so, both say they expect to complete their respective deals by the end of the
year.
“These are big deals that will definitely impact the overall growth trajectory for both companies,”
Hummel said. “The focus will be on execution over the next few quarters.”

South Africa's renewable energy transition with an intensive
construction programme .. EDF is building 1.2GW of renewables across SA
Staff Writer, Bizcommunity.com
EDF Renewables is driving South Africa's renewable energy transition with an intensive construction
programme. The company is building nearly 1.2GW of low-carbon power capacity, including wind,
solar, and battery storage, across eight sites in the Northern and Eastern Cape.
"Our projects will contribute towards meeting the energy needs of South Africans, both through
government programmes and through private channels for Anglo American mines via our joint trader
Envusa Energy," said Tristan de Drouas, CEO of EDF Renewables.
"These constructions will have a visible impact on the current power shortage, which is very good
news for the country, and a source of pride for the teams. They are a tangible illustration of the EDF
Group's capabilities to deliver low-carbon energy solutions in South Africa."
This massive program, developed with key partners, reached financial agreements between
November 2022 and February 2024. EDF Renewables' projects are rapidly moving forward to help
ease South Africa's crippling energy deficit.
Koruson 1:
A cluster of three wind farms (Phezukomoya, San Kraal, and Coleskop) with a total capacity of
420MW, developed in partnership with H1 Holdings, GIBB-Crede, and a local community trust.

Koruson 2:
A collaboration with Anglo American via their joint venture Envusa Energy. This project includes
wind and solar farms with 520MW total generation capacity, with investments from Pele Green
Energy and a local community trust.
Umoyilanga Hybrid Power Plant: A partnership with Perpetua Holdings. This innovative "virtual
power plant" will combine 115MW solar, 63MW wind, and 75MW battery storage over two
geographically separate sites delivering 75MW of dispatchable power.
Accelerating energy progress
The combined investment across these projects totals R34bn. This influx of resources has quickly
mobilised construction, targeting commercial operation between 2024 and 2026. Once complete,
these power plants are expected to provide close to 4TWh of low-carbon power to the national grid
annually.
For context, Eskom, South Africa's power utility, reported a 14.4TWh energy shortage in 2023. This
new renewable capacity demonstrates a significant acceleration of renewable energy deployment
after less than 1GW of utility-scale projects were commissioned since 2020.
These projects directly create jobs, stimulate small businesses, and utilise South African goods and
services where possible. They also reserve a portion of revenue to fund socio-economic
development in nearby communities.

U.S. natural gas-fired electricity generation consistently
increased in 2022 and 2023 .. U.S. Energy Information Administration, Hourly Electric Grid Monito
Electricity generation from units that primarily consume natural gas in the U.S. Lower 48 states has
increased for all hours of the day since 2021, according to data reported on Form EIA-930, Hourly
and Daily Balancing Authority Operations Report.
 Increased electricity generation from natural gas was due mostly to coal retirements,
increases in natural gas-fired electricity generating capacity, and low natural gas prices in
2023.
 Off-peak natural gas-fired generation rose about 22% between 2021 and 2023, according to
our data, displacing coal-fired units as an overnight source of electricity.
 Note: The chart series reflect the average electricity generation for a given hour across an
entire year; they are reported in 24-hour increments for the U.S. Lower 48 states, based on
local time.
Note: The chart series reflect the average electricity generation for a given hour across an entire year; they
are reported in 24-hour increments for the U.S. Lower 48 states, based on local time.
Balancing authorities, the organizations responsible for maintaining the U.S. electric grid, report the
volume of electricity from electric generators by primary fuel source on Form EIA-930. Balancing
authorities may not know actual fuel consumption. We collect actual fuel consumption for electricity
generation on other EIA surveys and report these data in the Electric Power Monthly, with a longer
data lag and by month.

NewBase April 29 -2024 Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Oil Declines as US Steps Up Efforts to Secure a Truce in Gaza
Oil slipped as the US pushed to broker a peace deal between Israel and Hamas that would reduce
geopolitical tensions in the Middle East.
Oil prices fell in early Asian trading on Monday, erasing gains from Friday as Israel-Hamas peace
talks in Cairo eased fears of a wider conflict in the Middle East and U.S. inflation data further dimmed
the prospects of interest rate cuts anytime soon.
Stepped-up efforts to mediate a ceasefire between Israel and Hamas moderated geopolitical
tensions and contributed to the weak opening on Monday, IG market analyst Tony Sycamore said.
A Hamas delegation will visit Cairo on Monday for peace talks, a Hamas official told Reuters.
Israel's foreign minister said on Saturday a planned incursion into Rafah, where more than one
million displaced Palestinians are sheltering, could be put off in the event of a deal that involves the
release of Israeli hostages.
Oil price special
coverage
Brent crude futures fell by as much as $1, or 1.1% to $88.50 a barrel before ticking
back up to $88.75 at 0649 GMT. West Texas Intermediate (WTI) futures were down
67 cents, or 0.8%, at $83.18 a barrel.

A White House spokesperson said Israel had agreed to listen to U.S. concerns about the
humanitarian effects of the potential invasion. Markets are also on watch for the U.S. Federal
Reserve's May 1 policy review.
"Also playing a part are some nerves ahead of this week’s Federal Open Market Committee meeting
which is expected to come with a more hawkish tone," Sycamore said.
U.S. inflation rose 2.7% in the 12 months through March, data on Friday showed, above the Fed's
target of 2%. Lower inflation would have increased the likelihood of interest rate cuts, which would
stimulate economic growth and oil demand.
"The sticky U.S. inflation sparks concerns for 'higher-for-longer' interest rates", leading to a stronger
U.S. dollar and putting pressure on commodity prices, independent market analyst Tina Teng said.
The dollar strengthened on the prospect of higher-for-longer interest rates. A stronger dollar makes
oil more expensive for those holding other currencies.
Further weighing on the outlook for oil demand, China's industrial profit growth slowed down in
March, official data showed on Saturday, in the latest sign of frail domestic demand in the world's
second largest economy.
The market brushed aside potential supply disruptions stemming from Ukranian drone strikes on
the Ilsky and Slavyansk oil refineries in Russia's Krasnodar region over the weekend. The Slavyansk
refinery had to suspend some operations after the attack, a plant executive said.
Brent crude traded below $89 a barrel after gaining 2.5% last week, while West Texas Intermediate
dropped toward $83. US Secretary of State Antony Blinken will step up efforts to secure a truce in
Gaza during a visit to the region. The White House said Israel has agreed to hear out its concerns
and hold off invading Rafah until meeting with the Americans.
Crude has risen this year on OPEC+ supply cuts and heightened tensions in the Middle East — the
source of about a third of the world’s oil. Meanwhile, shifting expectations for US monetary policy

are weighing on the demand outlook, and traders will look to a Federal Reserve meeting on
Wednesday to gauge the prospects for rate cuts this year.
Despite the uncertain outlook, timespreads continue to signal bullishness. The gap between the two
nearest Brent contracts was still more than $1 a barrel in backwardation. While the figure has come
off slightly from last week’s highs, it’s still more than double what it was a month ago.
“Geopolitical risks have eased considerably,” said Warren Patterson, head of commodities strategy
for ING Groep NV in Singapore. While the bank still expects a “deep deficit” this quarter, “the outlook
for the second half of the year is less clear with it largely depending on OPEC+ policy,” he said.
Russia attacked Ukraine over the weekend with a heavy missile barrage aimed at natural gas
infrastructure and other targets. Kyiv struck back with drones targeting an oil refinery in the
Krasnodar region, with state-run news agency Tass reporting that the Slavyansk plant had partially
suspended operations because of a fire.
US Shale Drilling-Rig Usage Plunges by Most in Five Months
The US shale-oil sector experienced the biggest plunge in drilling activity in more than five
months as explorers keep a tight hold on spending.
The number of US rigs drilling for oil fell by five to 506, marking the biggest slide since Nov. 3,
according to data released by Baker Hughes Co. on Friday. This week’s move reverses last
week’s five-rig increase.
After better-than-expected output from fewer rigs in 2023, US shale executives now are in the
midst of slowing down amid a shrinking inventory of top-tier drilling locations, weak natural gas
prices, and industry consolidation. Total spending by North American explorers is forecast to
 Hawk Energy Sees Oil at $85-$100 This Year With Strong Demand Growth
 That’s a ‘ foreseeable & sensible range,’ Hawk Energy CEO M. Al Shihabi says
 Demand set to grow to 104 MBD up by 2.0 MBD, in 2024: Al Awadhi says

NewBase Specual Coverage
The Energy world –April 29 -2024
CLEAN ENERGY
Taiwan: Ørsted inaugurates the Asia-Pacific region’s largest
offshore wind farms
Source: Ørsted
Ørsted is proud to announce the inauguration of the Greater Changhua 1 and 2a offshore wind
farms in Taiwan. Inauguration of the Greater Changhua 1 & 2a offshore wind farms. From the left:
1. Kuo Tsi-san, Deputy Director of Economic and Renewable Energy Development Department.
Changhua County 2. Christy Wang, Chair of Ørsted Taiwan 3. Lee Chun-li, Deputy Director General,
Energy Administration, Ministry of Economic Affairs 4. Per Mejnert Kristensen, CEO of Region
APAC at Ørsted 5. Wang Mei-hua, Minister of Economic Affairs 6. Mads Nipper, Group President
and Chief Executive Officer of Ørsted 7.
Taiwan President Tsai Ing-wen 8. Patrick Harnett, Chief Operating Officer at Ørsted 9. Shen Jong-
chin, Senior Advisor to the President 10. John Faye, Chair of Mercury Taiwan Holdings Limited 11.
Lee Chang-ken, President, Cathay Financial Holdings 12. Jeff Chang, Chair of Cathay PE 13. Chou
Yu-hsin, Deputy Director General of Industrial Development Administration, Ministry of Economic
Affairs
With a total installed capacity of 900 MW, the two offshore wind farms are in operation and fully
connected to the grid, making them the largest of their kind in Taiwan and in the Asia-Pacific region.

Today’s inauguration is a major milestone, as the Greater Changhua 1 and 2a offshore wind farms
have not only doubled Taiwan’s offshore wind capacity; they have also successfully catalysed
Taiwan’s offshore wind ecosystem.
President Tsai Ing-wen thanked Ørsted for investing in Taiwan and bringing renewable technologies
to Taiwan. She recalled that eight years ago, she went to see the first two demonstration wind
turbines at Formosa 1, which is located off the coast of Miaoli County.
Soon after that, Ørsted came to Taiwan and started further development of Formosa 1 and the 128
MW project, which was inaugurated in 2019 as Taiwan’s first commercial-scale offshore wind farm.
Today, she congratulated Ørsted once again for completing the 900 MW Greater Changhua 1 and
2a offshore wind farms with the support of its investors, CDPQ and Cathay PE. This is currently the
largest offshore wind project in the Asia-Pacific region.
President Tsai Ing-wen says: 'It took us eight years to turn the words 'energy transition' in our policy
papers into actual wind farms in operation. Taiwan now has Asia-Pacific's largest offshore wind farm
and our own offshore wind supply chain.'
Mads Nipper, Group President and CEO of Ørsted, says: 'With today’s inauguration, we’re
celebrating a landmark achievement for Ørsted and for Taiwan. Greater Changhua 1 and 2a are
our first gigawatt-scale offshore wind farms outside of Europe.
They’re also Taiwan’s first utility-scale far-shore wind farms and the largest of their kind in APAC,
reaffirming Taiwan as the frontrunner in the region. In 2024, Ørsted has a record 7.6 GW of offshore
wind projects under construction worldwide, including our next big project in Taiwan, the 920 MW
Greater Changhua 2b and 4. We’re committed to creating a world that runs entirely on green energy
and enabling long-term benefits to the economies and societies where we operate.'
Per Mejnert Kristensen, CEO of Region APAC at Ørsted, says: 'Greater Changhua 1 and 2a is a
flagship project of historic significance. This project has spearheaded the establishment of the local
offshore wind industry as well as contributed significantly to Taiwan’s energy transition and net-zero
goals.
I’d like to express gratitude to the relentless efforts of our team and to the support from the
authorities and our partners, suppliers, and contractors. We’ve built a strong talent pool, including
our industry-first operations and maintenance ‘Taiwan team’, dedicated to ensuring a stable energy
output for decades to come. Together, we look forward to delivering more world-class wind farms
in Taiwan.'

Ørsted began offshore construction in March 2021 and recently announced the successful
installation of all 111 Siemens Gamesa SG 8.0-167 DD wind turbines, which are now supplying
renewable energy to Taiwan’s electricity grid.
The 605.2 MW offshore wind farm Greater Changhua 1 is co-owned by Ørsted (50 %) and Mercury
Taiwan Holdings, a consortium of CDPQ, a global investment group, and Cathay PE, with a
combined ownership stake of 50 %. The 294.8 MW Greater Changhua 2a is 100 % owned by
Ørsted.
Emmanuel Jaclot, Executive Vice-President and Head of Infrastructure at CDPQ, says: 'Today’s
inauguration of the Greater Changhua 1 Offshore Wind Farm marks a significant milestone for
Taiwan and for our collaboration with Ørsted and Cathay PE.
CDPQ is committed to advancing the energy transition in Asia Pacific, and we continue to explore
investment opportunities in renewables and transition assets across the region.'
Jeff Chang, Chair of Cathay PE, says: 'Today’s event is of great significance to Taiwan’s energy
transition, and Cathay PE is glad to be part of the achievement, contributing to Taiwan’s low-carbon
future.'
The 900 MW wind farms inaugurated today are part of Ørsted’s Greater Changhua offshore wind
zone, which also comprises Greater Changhua 2b, Greater Changhua 3, and Greater Changhua 4.
The zone has a combined capacity of approximately 2.4 GW.

Greater Changhua 1 and 2a alone can produce enough renewable energy to power one million
Taiwanese households a year, equivalent to 1.75 million tonnes of carbon dioxide reductions
annually.
Ørsted is dedicated to delivering stable and large-scale renewable energy in Taiwan. The company
is currently constructing its next large-scale project, the 920 MW Greater Changhua 2b and 4
offshore wind farms. Together with Taiwan’s first commercial offshore wind farm, Formosa 1 (128
MW), Ørsted is operating and constructing nearly 2 GW of offshore wind capacity in Taiwan.
The day before the inauguration Ørsted announced its ’Green energy for Taiwan, powered by
people‘ case study on the Greater Changhua 1 and 2a offshore wind farms, which analyses the
economic value for Taiwan as well as the long-term social and environmental benefits.
About Ørsted in Taiwan and the Greater Changhua 1 and 2a offshore wind farms:
Key milestones for the Greater Changhua 1 and 2a offshore wind farms:
 April 2018: Ørsted awarded 900 MW grid capacity for offshore wind
 April 2019: Ørsted took final investment decision on Changhua 1 and 2a offshore wind farms
 December 2020: Ørsted brought in investors, CDPQ and Cathay PE, for Greater Changhua 1
Offshore Wind Farm
 March 2021: Ørsted kicked off offshore installation
 February 2022: Onshore substations switched on
 April 2022: First power generated by Greater Changhua 1 and 2a
 August 2022: Inaugurated largest operations and maintenance hub in APAC
 August 2022: Completed foundation installation
 April 2024: First power from all 111 wind turbines
 25 April 2024: Inauguration of Greater Changhua 1 and 2a offshore wind farms
Operational wind farms in Taiwan
Formosa 1
 Ørsted is the biggest shareholder and co-owner of Taiwan’s first commercial-scale offshore
wind project, Formosa 1, which was extended from a capacity of 8 MW to 128 MW in 2019.
Greater Changhua 1 and 2a
 The Greater Changhua 1 and 2a offshore wind farms are located 35-60 km off the coast of
Changhua County, have a capacity of approx. 900 MW, and can provide renewable energy
to one million households.
 The 605 MW Greater Changhua 1 is co-owned by Ørsted (50 %) and Caisse de dépôt et
placement du Québec (CDPQ) and Cathay PE, with a combined ownership stake of 50 %.
 Greater Changhua 1 hosts the world-first pilot ReCoral by ØrstedTM, a project
that sets out to discover whether offshore wind turbine foundations could provide an
additional new home where corals have the potential to flourish.

Wind farms under construction
Greater Changhua 2b and 4
 Ørsted was awarded the 920 MW Greater Changhua 2b and 4 offshore wind farms in June
2018. A corporate power purchase agreement was signed with Taiwan Semiconductor
Manufacturing Company Limited (TSMC) in July 2020. The Greater Changhua 2b and 4
offshore wind farms are expected to be completed by the end of 2025.
Development projects
 Ørsted is developing a leading portfolio of offshore wind sites and has secured approvals of
environmental impact assessments for them that can compete in future tenders in Taiwan.
 The development projects include the Xu Feng and Greater Changhua 3 projects located off
the coast of Changhua County as well as the Wo Neng projects situated off the coast of
Taichung.
As the world leader in offshore wind, Ørsted has installed more than 1,900 offshore wind turbines
at sea. By the end of 2023, Ørsted had 8.9 GW of offshore wind capacity installed, 6.7 GW of
capacity under construction, and a further 3.7 GW of capacity awarded, resulting in a firm capacity
of 19.2 GW. This aligns with the company’s ambition of reaching 35-38 GW in installed renewable
energy capacity by the end of 2030.

NewBase Energy News 29- April - Issue No. 1720 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.

NewBase 29 April 2024 Energy News issue - 1720 by Khaled Al Awadi_compressed (1).pdf

Recommended

Recommended

More Related Content

Similar to NewBase 29 April 2024 Energy News issue - 1720 by Khaled Al Awadi_compressed (1).pdf

Similar to NewBase 29 April 2024 Energy News issue - 1720 by Khaled Al Awadi_compressed (1).pdf (20)

More from Khaled Al Awadi

More from Khaled Al Awadi (20)

Recently uploaded

Recently uploaded (20)

NewBase 29 April 2024 Energy News issue - 1720 by Khaled Al Awadi_compressed (1).pdf