new base special 20 january 2014

17
Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content . Page 1 NewBase 14 January 2014 Khaled Al Awadi NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE Mubadala Petroleum expands operations in Malaysia http://gulfnews.com/business/oil-gas/mubadala-petroleum-expands-operations-in-malaysia-1.1279265 Abu Dhabi: Mubadala Petroleum has signed an agreement with Shell to swap equity in two exploration blocks offshore Malaysia. Under the agreement, from January 1 Mubadala Petroleum gained a 20 per cent interest in the deepwater Block 2B while Shell will gain a 20 per cent interest in Block SK320. Deepwater Block 2B is operated by Shell, Mubadala Petroleum operates Block SK320. Petronas Carigali Sdn Bhd is a participant in both blocks. In addition, the current exploration drilling campaign in Block SK320 has yielded two new gas discoveries, Pegaga and Sintok, to add to the existing M5 discovery. Maurizio La Noce, CEO, Mubadala Petroleum, commented, “The equity swap agreement is an important step for Mubadala Petroleum’s growth strategy in Malaysia and marks our first partnership in Southeast Asia with Shell, an important player in deepwater exploration. In relation to our recent exploration success, we need to do further work to determine the full extent and commercial viability of those discoveries, but coupled with the new partnership with Shell, we are moving our business in Malaysia in a positive direction.” Mubadalapetroleum.com

Upload: khaled-al-awadi

Post on 28-Jan-2018

120 views

Category:

Economy & Finance


2 download

TRANSCRIPT

Page 1: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 1

NewBase 14 January 2014 Khaled Al Awadi

NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE

Mubadala Petroleum expands operations in Malaysia http://gulfnews.com/business/oil-gas/mubadala-petroleum-expands-operations-in-malaysia-1.1279265

Abu Dhabi: Mubadala Petroleum has signed an agreement with Shell to swap equity in two exploration blocks offshore Malaysia.

Under the agreement, from January 1 Mubadala Petroleum gained a 20 per cent interest in the deepwater Block 2B while Shell will gain a 20 per cent interest in Block SK320. Deepwater Block 2B is operated by Shell, Mubadala Petroleum operates Block SK320. Petronas Carigali Sdn Bhd is a participant in both blocks. In addition, the current exploration drilling campaign in Block SK320 has yielded two new gas discoveries, Pegaga and Sintok, to add to the existing M5 discovery.

Maurizio La Noce, CEO, Mubadala Petroleum, commented, “The equity swap agreement is an important step for Mubadala Petroleum’s growth strategy in Malaysia and marks our first partnership in Southeast Asia with Shell, an important player in deepwater exploration. In relation to our recent exploration success, we need to do further work to determine the full extent and commercial viability of those discoveries, but coupled with the new partnership with Shell, we are moving our business in Malaysia in a positive direction.”

Mubadalapetroleum.com

Page 2: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 2

Quality assurance, safety skills 'in high demand' TradeArabia News Service

Quality assurance, safety training and energy risk engineering are the top three skills in demand in the energy and resource sector, according to a study. Quality assurance is more in demand for an entry level candidate, safety training on middle level, whereas energy risk engineering was in high demand at a senior level, said the Dubai International Academic City (DIAC) Workforce Planning Study done ahead of the World Future Energy Summit (WFES), opening in Abu Dhabi tomorrow. The survey of over 2,400 students across 17 markets in MEA and Asia and a cross section of companies was held in conjunction with leading consultancy firm Deloitte. It is the region’s most comprehensive, independent study regarding workforce skills gaps that currently exist within emerging markets, said a statement. Dr Ayoub Kazim, managing director of DIAC and Dubai Knowledge Village, said: “With the high economic and population growth rates that the UAE has been witnessing, the UAE’s energy consumption increased tremendously over the past decades, recording one of the highest - 10 times of average energy consumption rate per capita in the world, according to Energy Information Administration. In order to effectively address all the challenges facing in the energy sector, we should seriously look into recruiting the right human capital that will support and contribute to the industry.” In line with the Government of UAE’s vision to transform the country into a knowledge-based economy, the UAE is making forays into driving the country’s economic growth in diverse sectors, which resulted in a huge demand for specialized programmes and niche courses. DIAC & DKV are playing a leading role by providing the right infrastructure needed for international universities and institutes to provide high quality education and training in this region, not only in regular disciplines but also in niche areas that are gaining increased importance, the statement said. This includes the energy sector, as the UAE plans to invest over $100 billion in renewable and clean energy technology in the next five years.The study also revealed manpower projections that estimate an increase in manpower by 7 per cent by 2015 in the UAE. Key trends identified in the study include that the GCC markets are keen to encourage diversification away from dependence on oil and gas and invest in renewable sources of energy such as solar power. According to the Mena Renewables Status Report 2013, more than 100 renewable energy projects including solar, wind and biomass are currently under development in the region .

Dr Ayoub Kazim

Page 3: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 3

Libya PM to remove protesters http://www.upstreamonline.com/live/article1349509.ece

Libya plans to remove protesters who have seized eastern ports vital for lucrative oil exports within the

next few days, Reuters reported on Monday. Prime Minister Ali Zeidan said on Sunday he would remove

them but he did not say whether force would be used, reportedly telling Libya's al-Ahrar news channel

that he did not want the country to plunge into civil war.

A group of heavily-armed demonstrators has occupied three eastern oil ports which account for 600,000 barrels per day of exports. “In the next days we're about to clear the ports of the protesters unless they leave them,” Zeidan reportedly said.

He also said tribal leaders were still holding talks to try to end the standoff peacefully. Tribal chiefs have failed to persuade the group’s leader Ibrahim Jathran to end the siege of the ports, which has contributed to a halving of oil production since August.

The government has warned it will be unable to pay public salaries if the demonstrations continue. Several deadlines set by Zeidan have passed without any action. Authorities are struggling to rein in militias and tribesmen who helped topple Muammar Gaddafi in a NATO-backed uprising in 2011.

Page 4: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 4

OPEC predicts Kazakhstan’s oil production growth at 90,000 bpd in 2014 By Aygun Badalova, http://en.trend.az/capital/energy/2231485.html Kazakhstan's oil production will increase by 90,000 barrels per day (bpd) to 1.73 million bpd in 2014, according to OPEC's January oil market report.

On a quarterly basis in 2014, OPEC predicts Kazakhstan's oil production at 1.69 million bpd, 1.68

million bpd, 1.73 million bpd and 1.81 million bpd respectively. The country's oil production averaged

1.64 million bpd in 2013, which is 60,000 bpd more than in 2012, according to OPEC estimations.

Kazakhstan produced its highest historical level of oil output at 1.69 million bpd in the fourth quarter,

the report said. Kazakhstan's Tengiz field expansion is expected to boost crude production to around

800,000 bpd by 2019 from just less than 550,000 bpd last year.

Kazakhstan's production comes mainly from five onshore fields - Tengiz, Karachaganak, Aktobe, Mangistau, and Uzen - and two offshore fields - Kashagan and Kurmangazy, both located in the Caspian Sea.

Tengiz and Karachaganak produce about 50 pecent of Kazakhstan's total production. Supply growth over the medium-term will mainly come from Kashagan (Phase 1), the Tengiz expansion, and the Akote and Fedorovskiy blocks. First oil production from Kashagan started on 11 September 2013, but it keeps facing technical problems and delays.

Page 5: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 5

Chevron and PTTEP prepare tenders on Thailand Ubon offshore project http://www.2b1stconsulting.com/chevron-and-pttep-prepare-tenders-on-thailand-ubon-offshore-project/

The California-based company Chevron and its partners, PTTEP from Thailand, Hess from USA and Mitsui Oil (Mitsui) from Japan are preparing the calls for tender for the main engineering, production and construction (EPC) contracts to be awarded for the development of the offshore Ubon project in Thailand.

This Ubon project results from Chevron and PTTEP decision to proceed to the full field development of the Block 12/27 in the Pailin Basin of the Gulf of Thailand. As the largest operating company in Thailand, Chevron produced in 2011 65,000 barrels per day (b/d) of crude oil and condensate and 867 million cubic feet per day (cf/d) of natural gas.:

Covered by the Contract 4 concession, the interests in the Block 12/27 are shared between :- - PTT Exploration and Production Public Company (Ltd) (PTTEP) 45%

- Chevron 35% is the operator

- Hess 15%

- Mitsui 5%

Since all the contractors identified Ubon as one of the largest projects in Gulf of Thailand, the qualification process took some time from the first extensive list of pre-qualified companies down to the current short list.

In addition, this qualification process came after some uncertainty on the final concept of the project causing some delay to the front end engineering and design (FEED). During the feasibility study, Chevron and its partners investigated with Technip two different options:

1) Combine a floating, production storage and offloading (FPSO) vessel with a wellhead platform 2) Tie-up a central processing platform with a floating storage and offloading (FSO) unit

Finally Chevron and its partners PTTEP, Hess and Mitsui opted for the second scenario cheaper and easier to implement through a large offer of shipyards with corresponding capabilities. In that respect Ubon central processing platform is designed for 115 million cf/d of natural gas capacity and to host 140 workers in the living quarter.

From a total weight of 20,000 tonnes, the topsides of this Ubon central processing platform represent approximately 6,000 tonnes. During the FEED stage, the FSO has been sized for a storage capacity of 700,000 barrels of natural gas liquids (NGL).

Page 6: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 6

Chevron and PTTEP made two short lists for Ubon

Chevron and its partners, PTTEP, Hess and Mitsui qualified the contractors specifically for each EPC package.

For the Ubon central processing platform, five contractors remain in competition:-

- Daewoo Shipbuilding & Marine Engineering (DSME)

- Malaysia Marine Heavy Industries (MMHE)

- McDermott

- Samsung Heavy Industries (SHI)

- SMOE

For the FSO, the list of the qualified contractors came down even shorter , nailed down to:

- Daewoo Shipbuilding & Marine Engineering (DSME)

- Hyundai Heavy Industries (HHI)

- Samsung Heavy Industries (SHI)

Chevron and its partners are intended to call for tenders theses EPC contracts on the first quarter of this year so that the Ubon central processing platform and FSO could be awarded on second half 2014. In these conditions, Chevron, PTTEP, Hess and Mitsui are targeting to turn Ubon full field development into commercial operations in 2018.

Page 7: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 7

Mexico's Pemex and Guatemala to build $1.2 bln gas pipeline By Mike McDonald http://uk.reuters.com/article/2014/01/18/mexico-pemex-guatemala-idUKL2N0KS0K220140118

Jan 18 (Reuters) - Mexican state oil company Pemex and Guatemala will build a $1.2 billion, 600-kilometer (370-mile) gas pipeline linking the two countries and giving local manufacturers access to cheaper energy, a Guatemalan presidential spokesman said on Saturday

Presidents from both countries will sign a bilateral accord at the World Economic Forum in Davos next week agreeing to the construction of the pipeline, between Salina Cruz, Mexico and the southern department of Escuintla, Guatemala, said Francisco Cuevas, a spokesman for the Guatemalan presidency.

Pemex will build 420 kilometers and Guatemala will build the remaining 180 kilometers, Cuevas said, adding that Guatemala plans to open the project to bidding this year and that the pipeline should be operational by 2016.

"The construction puts the focus on the transport of gas from Mexico to Guatemala," Cuevas said. "It's a fundamental step for the country." Pemex declined to comment.

Home to roughly 15 million people, Guatemala does not produce natural gas. Cuevas said the pipeline will give Guatemalan manufacturers access to cheap Mexican gas, allowing them to become more competitive.

Guatemala's energy sector is small, but the government has been looking to expand it. Last year, on a visit to Guatemala, Mexican billionaire Carlos Slim expressed an interest in investing in oil and natural gas exploration in the Central American country.

Mexican President Enrique Pena Nieto last month signed a bill into law that ended the country's 75-year-old oil and gas monopoly. Under the new legislation, which is still being mapped out, foreign companies will be able to enter the sector, bringing expertise and efficiency to the ailing Pemex.

Page 8: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 8

NewBase Missing news of 19th

January 2014

Exxon Mobil pulls staff from Abu Dhabi’s Concession http://gulfnews.com/business/oil-gas/exxon-mobil-pulls-staff-from-abu-dhabi-s-concession-1.1278731

Abu Dhabi: Exxon Mobil Corp has pulled its staff from Abu Dhabi’s onshore oil fields after its concession agreement with state-run Abu Dhabi National Oil Company, or Adnoc, expired earlier this month, Energy Intelligence reports Friday.

Exxon’s actions break with fellow majors BP PLC, Royal Dutch Shell PLC and Total SA, which have kept their crews in place since the 75-year onshore concession expired on January 11, Energy Intelligence said.

The local offices of Exxon and Adnoc were unavailable for comment. Abu Dhabi is in the process of selecting a new foreign partnership to operate the onshore fields. All the foreign partners in the concession, excluding Partex, were invited to bid for a new agreement, according to Adnoc and company executives.

Abu Dhabi has also given approval to US-based Occidental Petroleum Corp, China National Petroleum Corp, Inpex Corp of Japan, Korea National Oil Corp, Norwegian oil company Statoil ASA, Italy’s Eni and Russia’s OAO Rosneft to bid.

Page 9: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 9

Saudi leads the way as Arabian Gulf countries embrace renewable energy Dania Saadi at http://www.thenational.ae/business/energy/

The UAE’s Arabian Gulf neighbours have announced various renewable energy plans aimed at reducing their reliance on oil and gas for power and water generation, with Saudi Arabia leading the way with an ambitious programme, as the drop in solar energy prices encourages governments. “Governments are well aware that our oil and gas resources are not infinite and require careful management,” said Gus Schellekens, Middle East sustainability leader, and Hannes Reinisch, senior manager for sustainability and renewables, at PricewaterhouseCoopers. “There is a crossover point where our own domestic economies will use more of the hydrocarbon production than is exported, reducing the revenues we can derive from international markets.

“Prices have dropped dramatically over the past year for certain renewable technologies, most notably solar photovoltaic. The business case for pursuing solar projects is now stronger than ever.’’ For example, Saudi Arabia, the world’s biggest oil exporter, plans to generate 54,000 megawatts (MW) from renewable energy by 2032, with 41,000MW coming from solar, 9,000MW from wind, 3,000MW from waste-to-energy and 1,000MW from geothermal power.

The kingdom is expected to spend more than US$100 billion to reach these figures over the next two decades and has indicated that it will favour local producers.

“Solar enables the governments to not only diversify their fuel mix, but to introduce a new sector for job creation and therefore it is doubly attractive and we are seeing more governments introduce local requirements so that they do not import the energy by importing the solar panel, they are instead manufacturing the energy domestically,’’ said Vahid Fotuhi, the head of strategic advisory at the consultancy Access Advisory.

Saudi Electricity, a state-owned utility, has invited companies to build, own and operate Saudi Arabia’s first fossil-fuel fired power plant to use solar energy to cut carbon emissions. The utility’s plan is for the 550MW integrated solar combined cycle plant to run on natural gas, but rely on solar thermal energy to boost fuel efficiency.

“Having announced ambitious generation targets for solar and wind in Saudi Arabia, it will be important that a number of pilot projects are delivered successfully at the start,’’ Mr Schellekens

Page 10: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 10

and Mr Reinisch said. “This will both help to develop the local skills and experience needed to deliver the larger projects, and reassure international players that the procurement and delivery of new capacity is proceeding in line with international standards and expectations.’’

Kuwait, for example, wants to produce 15 per cent of its power from renewable energy by 2030. Last year, it invited proposals for the first phase of a 2,000MW clean energy park that will be located west of Kuwait City and completed by 2030. Phase one of the Shagaya energy park is

expected to produce 70MW of electricity, including 50MW from solar-thermal plant, a 10MW solar p hotovoltaic facility and 10MW from wind.

In Qatar, the world’s biggest exporter of liquefied natural gas expects to have about 1,800MW of solar power by 2020. Meanwhile, Oman has used solar energy as an enhanced oil recovery technique to help boost its oil production.

But the use of renewables, mainly solar, to produce energy presents a set of problems for Gulf states. “There are some technical challenges

in knowing where to put your site and which technology to use. There are operational challenges with regard to maintaining the system and making sure it is clean,’’ said Mr Fotuhi.

“There is some reluctance both from the regulators and banks to fund and finance these projects because there is no track record and banks are conservative by nature and they don’t like new things.’’ Other challenges include the continued energy and electricity subsidies that make renewable energy not as attractive as conventional energy.

“If countries have a demand that needs to be met for electricity or water and there is a proven relatively low cost way of delivering that, history suggests that they will stick with that approach rather than try a newer, slightly more expensive option,’’ Mr Schellekens and Mr Reinisch said. “There is an institutional inertia that will need to be overcome — not only because there is no pre-existing manufacturing and capability already in place to make this happen, but also because this by its very nature, developing renewable capacity and capability, is a journey with a long target horizon beyond the delivery of individual projects.”

Page 11: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 11

UAE renewable energy projects bring the future into view Dania Saadi at www.thenational.ae

The UAE is leading the Arabian Gulf region in renewables projects, driven by ambitious targets to diversify the energy mix in Abu Dhabi and Dubai.

Across the region, governments are undertaking these renewables projects to free up oil and gas for export and use in other industries, and to meet rising demand for power and water. These plans, and the issues that underlie them, are sure to come up for discussion and analysis at the World Future Energy Summit, which runs tomorrow through Wednesday in Abu Dhabi.

The total value of renewables projects and master plans, either completed or under execution, in the GCC states is US$4.5 billion, split between $1bn for hydro projects (all of which are in Saudi Arabia) and $3.5bn for solar, according to figures from Meed Projects. The UAE is currently the biggest renewables market in the GCC with $1bn worth of projects under execution or operational.

Looking ahead, the total value of projects and master plans due for award between now and 2025 is $162bn, with the biggest long-term market being Saudi Arabia. Kuwait, Qatar and Oman also are undertaking important projects to produce clean energy.

“Usage of renewables would present multiple benefits to these countries, the highest ranking being the ability to reduce dependence on hydrocarbons,’’ said Abhay Bhargava, the regional head of energy and power systems at the consultancy Frost & Sullivan. “Additional benefits are the potential to develop a local industry, freeing up of hydrocarbons for usage in industry or other applications like refining, employment benefits and industry development through the creation of a new industry.’’

In the UAE, Abu Dhabi is leading the renewables drive with a target to derive 7 per cent of its energy from renewables by 2020. The capital is also home to the International Renewable Energy Agency (Irena), the multilateral organisation set up in 2009 to promote renewables. Abu Dhabi has also set up the green-energy firm Masdar, which is building a low-carbon, zero-waste city and has a number of renewable energy projects in the UAE and abroad.

Last year, Masdar and its partners – the French energy company Total and the Spanish energy-infrastructure company Abengoa – launched the 100-megawatt (MW) concentrated solar power (CSP) plant Shams 1 in the UAE’s Western Region, Al Gharbia. Shams 1 generates enough electricity to power 20,000 homes in the UAE.

Page 12: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 12

This is Masdar’s second solar plant, after launching a 10MW solar photovoltaic (PV) power plant to provide electricity to Masdar City, with excess power fed to the Abu Dhabi grid. Masdar is awaiting approval from the Abu Dhabi Executive Council to go ahead with a 100MW solar PV plant in Abu Dhabi. Masdar might also build a 30MW wind farm on Sir Bani Yas island.

CSP plants produce power by concentrating sunlight, usually through mirrors that heat liquids and generate steam to run turbines for power generation. PV plants use solar panels, which convert sunlight directly to electricity. “PV is a proven technology for investors and very quick to install,” said Gus Schellekens, Middle East sustainability leader, and Hannes Reinisch, senior manager for sustainability and renewables, at PricewaterhouseCoopers.

“From a cost point of view, PV technologies have shown the largest reduction in overall installed cost, and can be developed to meet a particularly type of need, eg as a utility scale solar farm to deliver power during the day meeting peak demand in the UAE and more widely across the GCC,. “You don’t build small CSP plants, you tend to build larger [50MW-plus] CSP plants. CSP also provides you with the opportunity for storage and as a result can fulfil a very different need to PV.’’

In addition to its local projects, Masdar has stakes in a number of renewable projects around the world, including the world’s largest offshore wind farm, the 630MW London Array.

Page 13: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 13

Iraq 'taking action' against Turkey REUTERS/SCANPIX and http://www.upstreamonline.com/live/article1349426.ece

Iraq is reported to be preparing legal action against the Ankara government over Kurdish exports of allegedly “smuggled” oil via a new pipeline to Turkey and has also vowed to punish foreign companies.

Revealing the move on Friday, Iraqi Oil Minister Abdul Kareem Luaibi said his government would blacklist any companies dealing with oil piped to Turkey from Iraq's autonomous northern region without permission from Baghdad, Reuters reported.

The Kurdistan Regional Government said last week that crude had begun to flow through the pipeline, and exports were on track to start at the end of January, inviting bidders to register with the Kurdistan Oil Marketing Organisation.

Luaibi said it was not in Turkey's interest to jeopardise bilateral trade worth $12 billion a year, saying Baghdad would consider boycotting all Turkish companies and cancelling contracts with them if the oil exports went ahead.

He also said the Finance Ministry had been told to calculate how much should be deducted from Iraqi Kurdistan's 17% share of the federal budget if the region failed to meet a government-set export target for this year of 400,000 barrels per day via the State Oil Marketing Organisation.

Preparations were under way, Luaibi said, "to raise a lawsuit against the Turkish government for allowing Kurdistan to pump oil through the export pipeline without the approval of the Iraqi central government, which represents… a clear violation of the agreement signed between the two countries… governing the export of Iraqi oil through Turkey".

Turkey’s Energy Minister Taner Yıldız Kurdistan's natural resources

minister Ashti Hawrami

Iraq's Oil Minister

Hussain al-Shahristani

Page 14: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 14

PGNiG writes down Libyan investment http://www.upstreamonline.com/live/article1349450.ece

Polish gas monopoly PGNiG has taken a $136 million writedown equal to its entire investment in a Libyan

gas and oil exploration project hit by delays and military conflict, according to a report.

In addition to the 420 million zloty writedown, equal to the value of capital of the Polish Oil and Gas

Company Libya BV (POGC), a fully-owned subsidiary of PGNiG, the company created a 137 million zlotys

($44.61 million) reserve, Reuters reported. PGNiG said the difficult geopolitical situation in Libya and

uncertainty regarding the extension of the concession that expires in September 2014 were key factors

behind its decision.

Libya is still plagued by violence more than two years after Muammar Gaddafi was ousted. Militants,

militias and former rebels often use force to impose demands on the fragile government. PGNiG also said it

had taken the decision on the POCG project, which launched in 2008, after reassessing forecasts of

hydrocarbon deposits in its concession situated in the Libyan Murzuq area and projected future investment

needs.

PGNiG has been looking for new sources of natural gas as Poland seeks to diversify away from Russian

supplies. It has invested in exploring for shale gas in Poland, signed a deal with Qatar for the delivery of

liquefied natural gas and invested in gas extraction from conventional deposits in Poland.

Discovery in Libya's Murzuq basin while drilling the F1 147/03 new field

Page 15: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 15

Eni says audit shows it was not involved in illegal conduct in Algeria UPI.com

External audits into Italian oil company Eni's business activities in Algeria, which are the subject of a corruption probe by Italian and Algerian authorities, have found no evidence of illegal conduct by the group, Eni said on Thursday.

Oil service group Saipem, which is 43-percent owned by Eni, is under investigation for allegedly bribing intermediaries to secure contracts in Algeria worth around $11 billion. State-controlled Eni and its CEO Paolo Scaroni are also under investigation in the same probe. Eni, Scaroni and Saipem deny any wrongdoing.

"The results of the audits revealed neither evidence of illegal or corrupt conducts of Eni, nor the existence of intermediary contracts between Eni and the third parties under investigation," Eni said in a statement. The audits, which will be forwarded to judicial authorities, were carried out by third parties at the behest of Eni, the oil major said.

Saipem carried out a similar audit which was examined by external consultants and was concluded in July. This found no proof of payments to Algerian public officials. The probe by Italian and Algerian prosecutors is continuing. Eni, which has been operating in Algeria since 1981, has extensive interests in the gas-rich country and holds a series of gas exploration and development licenses.

In 2012, Algeria was Italy's second-biggest gas supplier after Russia. Italian prosecutors' allegations that Saipem executives paid bribes worth 197 million euros ($268 million) to win contracts with Algerian state-owned energy group Sonatrach have already led to the ousting of senior managers at both Saipem and Eni.

Scaroni, who has reiterated his innocence on several occasions, has been at the helm of Eni since June 2005 and is one of Italy's most prominent business executives. His mandate at Eni, Italy's biggest listed company, comes up for review later this year. Scaroni has indicated his willingness to stay on.

Page 16: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 16

L&T Hydrocarbon Secures Wellhead Platform Order (India) http://www.offshoreenergytoday.com/lt-hydrocarbon-secures-wellhead-platform-order-india/#.UtuEzJ1fpI0

L&T Hydrocarbon has recently secured new orders USD 160 million from the domestic

market in its offshore and onshore business sectors.

Panna production platform, India

The contract, won against international competitive bidding, encompasses total Engineering Procurement Construction and Installation of one wellhead platform and subsea pipe laying (30 Kms), spread over the Panna-Mukta fields of joint venture – ONGC-RIL-BGEPIL.

The project, part of the joint venture’s strategy to boost production to meet India’s rising energy demands, is scheduled to be completed by March, 2015. In addition to conventional wellhead facilities, the scope also includes installation of piggy back pipeline on the infield pipeline from an existing PPA Host Complex.

In the onshore sector, L&T Hydrocarbon has also won an additional order of USD 75 millions300 crores for construction, from a leading refinery in India.

L&T Hydrocarbon provides complete design-to-build engineering and construction solutions for the oil and gas sector. In-house expertise, extensive experience and collaborations with strategic business partners enable it to deliver end-to-end solutions for every phase of a project – from front-end design engineering through fabrication, project management, procurement, construction and installation to commissioning.

Page 17: New base special  20 january 2014

Copyright © 2014 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 endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 17

NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE

Your partner in Energy Services

Khaled Malallah Al Awadi, MSc. & BSc. Mechanical Engineering (HON), USA ASME member since 1995 Emarat member since 1990

Energy Services & Consultants Mobile : +97150-4822502

[email protected] [email protected]

Khaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 years of experience in theof experience in theof experience in theof experience in the Oil & Gas sector. Currently working as Oil & Gas sector. Currently working as Oil & Gas sector. Currently working as Oil & Gas sector. Currently working as

Technical Affairs Specialist for Technical Affairs Specialist for Technical Affairs Specialist for Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for

the GCC area via Hawk Energy Service as a UAE operations base , Most of the experience were spent as the Gas Operations the GCC area via Hawk Energy Service as a UAE operations base , Most of the experience were spent as the Gas Operations the GCC area via Hawk Energy Service as a UAE operations base , Most of the experience were spent as the Gas Operations the GCC area via Hawk Energy Service as a UAE operations base , Most of the experience were spent as the Gas Operations

Manager in Emarat , responsible for EmaManager in Emarat , responsible for EmaManager in Emarat , responsible for EmaManager in Emarat , responsible for Emarat Gas Pipeline Network Facility & gas compressor stations . Through the years , he has developed rat Gas Pipeline Network Facility & gas compressor stations . Through the years , he has developed rat Gas Pipeline Network Facility & gas compressor stations . Through the years , he has developed rat Gas Pipeline Network Facility & gas compressor stations . Through the years , he has developed

great experiences in the designing & constructinggreat experiences in the designing & constructinggreat experiences in the designing & constructinggreat experiences in the designing & constructing of gas pipelines, gas metering & regulating stations and in the engineering of supply of gas pipelines, gas metering & regulating stations and in the engineering of supply of gas pipelines, gas metering & regulating stations and in the engineering of supply of gas pipelines, gas metering & regulating stations and in the engineering of supply

routes. Many years routes. Many years routes. Many years routes. Many years were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for

the local authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE andthe local authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE andthe local authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE andthe local authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE and Energy program broadcasted Energy program broadcasted Energy program broadcasted Energy program broadcasted

inteinteinteinternationally , via GCC leading satelliternationally , via GCC leading satelliternationally , via GCC leading satelliternationally , via GCC leading satellite ChannelsChannelsChannelsChannels . . . .

NewBase : For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE

NewBase 14 January 2014 K. Al Awadi