Utility E-Alert Tracks Billions of Dollars of New Coal-fired Power Plants on a Weekly Basis
Here are some headlines from the Utility E-Alert.
UTILITY E-ALERT
#1259 – February 12, 2016
Table of Contents
COAL – US

• TVA completes Scrubber installation at Gallatin, TN Power Plant
• B&W awarded $18 Million Contract for Reheater Replacement at Coal-fired Pawnee Generating Station
• Regulator fines Duke Energy nearly $7 Million for Coal Ash Spill

COAL – WORLD

• ICVL launches Tender for 200 MW Pit-head Power Project in Mozambique
• SSE may close Three Units at Fiddler’s Ferry Coal-fired Power Plant
• Coal-fired Power Station expansion in Jerada, Morocco
• Safi 1,386 MW Coal-fired Power Station under Construction in Cap Ghir Safi, Morocco
• Dr. Narla Tata Rao 800 MW Power Plant Expansion in Andhra Pradesh, India
• Proposed 552 MW Coal-fired Power Station in Lanao del Norte Province, Philippines
• Adani's Coal Mine clears Australia Environmental hurdle
The 41F Utility E-Alert is issued weekly and covers the coal-fired projects, regulations and other information important to the suppliers. It is $950/yr. but is included in the $3020 42EI Utility Tracking System which has data on every plant and project plus networking directories and many other features.
Daily Project Posting in McIlvaine Oil, Gas, Refining Supplier Program
Oil/Gas/Shale/Refining E-Alert

January 2016 – No. 1
This alert is being issued twice per month for suppliers in flow control and treatment who are coordinating market research with targeted pursuit of the larger and longer term orders.
PROJECTS
The following projects each will result in millions of dollars of orders for flow control and treatment products. Each project has been rated. The opportunity size is rated from 1-10 with 1 being small and 10 being very large. The timing for flow and treatment orders has been provided by year e.g., T 16 = timing of order is 2016.
Israel Approves Natural Gas Exports to Egypt
Israel's government has given the go ahead to begin exporting natural gas to Egypt, signaling a potential improvement in relations between two countries which have been at loggerheads over energy supplies.
Chile's ENAP, Japan's Mitsui to Partner on $3.1 Bln Natural Gas Generation (08)
Chile's state oil company ENAP said on December 23 that it has inked an agreement with Japan's Mitsui & Co to develop two natural gas power generation projects that will have a combined installed capacity of some 1,200 megawatts. Investment in both projects that will be developed in Chile will total around $1.3 billion ENAP said. In late October, ENAP's chief executive Marcelo Tokman told Reuters that the state-owned company was aiming to pick a strategic partner before year end to develop natural gas power generation projects.
Nigeria's NNPC Issues 2016 Crude Oil Contracts worth $13.5 Bln (08)
Nigeria's NNPC has issued its 2016 crude oil term contracts to 21 companies, going directly to international refineries, trading houses and local downstream firms, according to a list obtained by Reuters. The contracts cover 991,000 barrels per day (bpd) of oil, worth $13.5 billion at current crude oil prices, which is roughly half of Nigeria's crude oil production of just under 2 million bpd. The list includes refiners such as Spain's Cepsa, Italy's Saras, India's IOC and ENOC of the Emirates, as well as trading houses Trafigura, Mercuria and Vitol and international oil companies ENI, Total, Exxon and Shell. The remainder are Nigerian downstream and NNPC trading companies. The list is pared down from the final 2015 contract list, which comprised 43 companies and did not include any global traders.
UK's Coryton Oil Storage to Open in 2016 with Global Glut Boost
The Thames Oilport terminal near London will open next spring, its operator Greenergy said on December 21, as a rising glut in oil supplies has made storage one of the industry's most attractive investments.
Finland and Estonia to Start Planning Gas Pipeline (06, T17)
The European Commission, Finland and Estonia signed a deal on December 22 to start planning for a gas pipeline between the two countries, the Finnish government said. The pipeline, called Balticconnector, will improve energy security in Finland, which now totally depends on pipeline gas imports from Russia, he added. The Commission and the two countries have signed an agreement on a 5.4 million euros grant for studies needed to launch construction works of the undersea gas pipeline across the Gulf of Finland. European Commissioner for Climate Action and Energy Miguel Arias Canete said the deal marked an important step for connecting the gas markets of the eastern Baltic Sea region with the rest of the EU. Finland and Estonia agreed in October to submit a joint funding application for a pipeline estimated to cost 250 million euros, and expects it to be built by 2019. The pipeline will allow the transportation of gas in both directions and, together with a planned gas link from Lithuania to Poland, will help end the isolation of the Finnish gas market, the Commission said in a statement. Once completed, the two links will allow Finland and the Baltic states to diversify their gas sources and deal with any potential supply shortages in the future, it added. While the Baltic States have access to global liquefied natural gas (LNG) markets via an import terminal opened in Lithuania last year, Finland remains an isolated market. The Polish-Lithuanian link is planned to start operations by end-2019.
Thai PTT Plans to Invest $8.2 Bln over the Next Five Years (08)
Thailand's biggest energy firm PTT Pcl plans to spend 297 billion baht ($8.2 billion) over the next five years, mainly on building infrastructure such as natural gas pipelines, its chief executive said on December 25. The board has approved the five-year investment plan, which does not include a budget for potential acquisitions, Tevin Vongvanich said. The investment budget for next year is 50.8 billion baht, he added, broadly similar to the company's 2015 spending of about 50 billion baht. "Over the next three years, the volumes of oil and gas will be lower in line with a fall in oil prices while demand will continue to grow," he said. "There will be oversupply until 2017," he added. Domestic demand for energy is expected to increase by 2 percent next year, with Thai GDP growth seen at 3.7 percent next year - up from 2.8-3.0 percent this year, the CEO said. PTT's core subsidiaries include PTT Exploration and Production, PTT Global Chemical and Thai Oil.
Argentina Signs $500 Mln Gas Production Deal with Dow Chemical (07, T16)
Argentina's state-run energy company YPF said on December 15 it has entered a $500 million joint venture with Dow Chemical to drill for natural gas next year in the Vaca Muerta shale formation in Patagonia. A spokesman for the company said the investment will be split evenly between Dow and YPF during 2016. Production will come from Vaca Muerta's El Orejano field. "By the end of 2016, production at El Orejano could triple to reach an average 2 million cubic meters per day," a YPF statement said, adding that the investment comes atop an earlier $350 million joint venture between the two companies. YPF estimates the Vaca Muerta deposit contains 661 billion barrels of oil and 1,181 trillion cubic feet of natural gas, making it one of the biggest shale reserves in the western hemisphere.
CB&I to Provide Construction Services for Lake Charles MEG Plant (07, T17)
CB&I announced on December 21 it has been awarded a contract valued in excess of $365 million by Lotte Chemical Louisiana, LLC to provide construction services for a monoethylene glycol (MEG) facility in Lake Charles, Louisiana. The MEG facility will be located adjacent to the ethane cracker, as announced by a joint venture between Axiall Corporation and Lotte Chemical Corporation. "This project is the second of two important petrochemical initiatives Lotte Chemical is developing in the region, and CB&I is pleased to have been selected for both projects," said Philip K. Asherman, CB&I's President and Chief Executive Officer
China Sets CO2 Reporting Standards Ahead of Market Launch
China issued national standards for industrial firms to report their greenhouse gas emissions as part of the country's plan to launch a national carbon market in 2017. The new standards, issued by the National Development and Reform Commission (NDRC) on December 23, will enable the China to create a statistical system for greenhouse gas emissions and support the establishment of a national carbon trading scheme.
New LNG Supply to Create Structural Changes in Asia-Pacific Gas Market
Last month, Goldman Sachs cut its forecast for next year's liquefied natural gas (LNG) prices in Asia by 13 percent, stating that LNG prices will likely drop a further 23 percent by 2018.
China's Record Fuel Exports Are Bearish for Oil Markets
It's tempting to view the growth in China's crude oil imports this year as mainly a result of increased strategic stockpiling, but that overlooks the rising importance of refined product exports. The stockpiling matters to crude oil markets as every barrel put into storage is ultimately positive for demand, as that barrel is effectively consumed insofar as it is taken out of the market. However, every barrel refined in China and exported as fuel is simply a barrel that isn't bought elsewhere, as Chinese exports compete and replace fuel produced in other refining centers, such as India, Singapore and the Middle East.
These projects are covered in more detail and are integrated in a database which is part of Oil, Gas, Shale and Refining Markets and Projects. This semi-monthly report is available as part of this service or as a stand-alone subscription.
The Oil/Gas/Shale/Refining E Alert is issued twice per month to registered subscribers. It is not to be resent to others. Each subscriber must be registered. The first subscription is $950/yr. and additional subscribers are $90/yr. The newsletter is free for those who subscribe to N049 Oil, Gas, Shale and Refining Markets and Projects.
There is a 30 percent discount for those building an Opportunity Creation package with one or more of the market reports and one or more of the E Alerts.

Fossil Fuel-fired Power Plants can be a Positive rather than a Negative Contributor to Water Quality
Operators of coal-fired power plants and gas turbine combined cycle power plants can utilize municipal wastewater for cooling and other needs. When they also eliminate discharges through zero liquid discharge (ZLD) technology they become positive rather than negative contributors to water quality. Water lost through evaporation can be greatly reduced by heat extraction from the flue gas before it reaches the scrubber. This also reduces total CO2/MW and makes the plant greener in every sense.
The markets and technology for this approach will be discussed in a free webinar on February 25th at 10:00 a.m. CST.
The various geographical markets will be analyzed. China is embracing ZLD in its power plants as well as its coal-to-chemical facilities. Gas turbine combined cycle power plant developers in the U.S. are selecting ZLD not only in arid areas but generally to avoid the need to obtain water discharge permits. ZLD is the preferred option in Saudi Arabia and surrounding countries.
The availability and cost of treated municipal wastewater will be reviewed. In general, power plants are near enough to municipal treatment plants to make the use practical.
Technologies to minimize evaporation losses will also be discussed. The potential is being increased by new developments such as catalytic filtration at 850oF.
China is making the largest investment in ZLD. Huaneng Group, China’s largest power producer, has constructed a 1.3 GW state-of-the-art ultra-supercritical coal-fired power plant at the Changxing Power Station in Zhejiang Province.

• The plant uses Oasys’ technology to treat the wastewater from flue gas desulfurization (FGD).
• The system treats up to 650 cubic meters of wastewater a day. Startup was early 2015.
• The system uses forward osmosis separation technology.
Aquatech has supplied ZLD systems for a number of power plants and coal-to-chemicals plants. Enel has purchased several systems from Aquatech for its Italian coal-fired power plants. Aquatech has a Zero Liquid Discharge (ZLD) plant in a coal-to-chemicals facility in Inner Mongolia. The ZLD plant incorporates HERO™ (High Efficiency Reverse Osmosis) and a Thermal Brine Concentrator. The plant will treat 2400 m3/day of wastewater and reuse 92.5 percent of it, producing 2000 m3/day of process water and 220 m3/day of distilled water for various end user applications.

China has some ZLD systems using evaporators but is leaning toward the cheaper route of using flue gas to evaporate liquid in the sludge. The spray drier approach is being offered by Mitsubishi, URS and other international companies.
The various approaches for evaporation of water from slurries will be analyzed. One option is a falling film evaporator (inside the brine concentrator vessel) that is seeded with calcium sulfate to minimize scale formation.
Mechanical vapor recompression (MVR) is the method by which a blower, compressor or jet ejector is used to compress, and thus, increase the temperature of the vapor produced. In this way, the vapor can serve as the heating medium for the ZLD solution being concentrated. The efficiency and feasibility of this process lies in the efficiency of the blower or compressor and the heat transfer co-efficient attained in the heat exchanger contacting the condensing vapor and the boiling ZLD liquid. Several different blower and compressor options will be reviewed.
The discussion will also include the co-combustion of sewage sludge and the use of gasified sludges as reburn fuels in coal-fired boilers.
Click Here to Register
A full review of the options for coal-fired power plants is provided in 44I Power Plant Air Quality Decisions. A full review of options for gas turbines is part of Gas Turbine and Combined Cycle Decisions. Both of these services are free of charge to power plants and by subscription for others.

Bob McIlvaine
President
847-784-0012 ext. 112
rmcilvaine@mcilvainecompany.com
www.mcilvainecompany.com