“In today’s world ... industries need focus, they need to be pure play in their own distinct sector,” Sen told the BNEF Summit in London. The Siemens Energy spin-off com-bines the current Siemens Gas & Power operating unit,

Siemens’ power transmission operation and will also own the 59% of wind turbine manufacturer, Siemens Gamesa Renewable Energy.

On a pro-forma basis, Siemens Energy generates about €27 bil-lion in revenue and has some 88,000 employees worldwide as well as an order backlog of €70 billion.

Embracing different views The new management team of the new entity comes together from different position within the wider Siemens conglomerate. In addi-tion to his current role as Chief Operations Officer (COO), Tim Holt will become Labor Director of Siemens Energy. Jochen Eickholt, who

chairs the Portfolio Companies (POC) of Siemens AG, is a new mem-ber of the Siemens Energy management team. Eickholt succeeded, among other things, in getting Siemens Mobility back on track.

“I’m genuinely convinced that better outcomes are based on hav-ing different perspectives and experience profiles within the team,” said the designated Siemens Energy CEO. Determined to progress “rapidly and decisively”, Sen outlined his determination to turn Siemens Energy into “a leading force in the energy markets and further drive the decarbonization of energy systems worldwide.”

Today, 20%of the world’s energy supply is already based on Siemens technology, and the spin-off is aimed to target customers across the oil and gas, power generation and power transmission

Weekly News 1 November 2019

AGENDA

INVESTMENT Gazprom lowers 2019 investments by streamlining projects 2

ENERGY STORAGE Highview takes cryogenic storage from demo to commercial scale 3

SUPPLY LNG about to reach U.S. power producers by rail 4

HYDROGEN Ansaldo, Equinor collaborate on hydrogen turbine tests 5

COMPANIES Tokyo Gas boosts utility income through higher electricity sales 6

PROJECTS Siemens, Harbin built CCGT unit at Bin Qasim complex in Karachi 7

Siemens AG has presented the new management team of

Siemens Energy – a spin-off combining its conventional and

renewable energy units. CEO-designate Michael Sen

stressed he will focus on “pure-play energy business” and

strive to get the spin-off listed as a separate entity by

September 2020.

Lithium-ion technologies on track for record annual investment

Demand for bat-teries grows while prices keep falling

mainly due to manufactur-ing ramp-up, improved en-ergy density of batteries and better commercializa-tion, finds Wood Macken-zie's 'Global energy storage outlook, Q3 2019'.

“Since 2018 the market has seen significant invest-ments in advanced lithium-ion technologies from automotive giants and oil companies alike. Invest-ments have focused on developing batteries that are cobalt-free and use alternate electrode mate-rials or solid-state electrolytes.

“While not all these technologies will become successful, several of them will make their way into the electric vehicle (EV) and storage markets in the coming years,” said WoodMac analyst Mitalee Gupta.

continues on page 2

2019 will be a record year for investment in advanced lithium-ion batteries with over $350

million already spent in the first half of the year, notably by automotive giants and oil com-

panies. This figure indicates that full-year 2019 investment will be higher than the last year’s

$600 million.

continues on page 2

Siemens Energy CEO-designate Michael Sen

Siemens Energy CEO wants to focus on “pure-play" business

Reversed pricing differential Batteries made from nickel-manganese-cobalt oxide (NMC) used to me more ex-pensive than lithium iron-phosphate (LFP) batteries – but today the opposite is true. The pricing differential keeps shrinking as NMC price declines are driven by the electric vehicle industry and energy density improvements.

NMC batteries outperform LFP batteries

in terms of energy density, and the high de-mand for nickel, mangan and cobalt used to outstrip supply has created a delivery constraints. “As lead times for NMC avail-ability grew and prices stayed flat, LFP ven-dors began tapping into NMC-constrained markets at fairly competitive prices,” Gupta observed and this trend “makes LFP batter-ies attractive for both power and energy application.” n

l INVESTMENT GTP Journal 1 November 20192

Continued from page 1

The monies unspent will mostly be used to improve Gazprom’s equity capitalization, and support the strate-gic acquisition of non-current assets,

the company’s board of directors stated. The revised and approved 2019 budget are said to “fully cover company's liabilities with-out a deficit.”

When first announcing its 2019 budget, Gazprom said the investment will split strategically and designated for gas produc-tion centers in the Yamal Peninsula and eastern Russia, the gas transmission system in the northwest of the country, construc-tion of the Power of Siberia gas pipeline and the second start-up complex of the Sakhalin – Khabarovsk – Vladivostok gas pipeline, and the implementation of the Nord Stream 2 and TurkStream projects.”

The Russian energy minister, Alexander Novak, pointed out Gazprom would be ready to ensure gas deliveries under long-

term contracts to its European offtakers even in the absence of a new gas transit agreement with Ukraine by December this year.

Eager to end a smoldering dispute with Naftogaz Ukrainy, Gazprom has offered an ‘out-of-court settlement’ before a crucial gas transit contract expires on December 31, 2019.

Behind Gazprom’s reconciliatory steps to-wards Naftogaz lies the fact that Russian gas supplies to its traditional European buyers are in decline as LNG is gaining attractiveness for utility buyers. Gazprom’s exports fell to 152.6 Bcm of natural gas, down 2.5% on the record year 2018, hence the Russian gas giant wants to reinstate supplies to Ukraine and gas transit towards southeastern Europe. n

Gazprom lowers 2019 investments by streamlining projects Russia’s Gazprom has revised downward its investment program and budget for this year, slashing expenses by 3.142 bil-

lion Rubles ($49m) to 1,322.582 billion Rubles ($20.7bn) thanks to “project optimization”. Most capital-intensive are

Gazprom’s upstream projects in the Yamal Peninsula and eastern Russia, as well as the Power of Siberia pipeline to China.

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segments, including the related service activities.

Restructure and resize Joe Kaeser, CEO of Siemens AG, initiated the restructuring of Siemens Power & Gas in November 2018 after fourth quarter rev-enue came in below target, and profits plunged 40%. For years, Siemens and its competitors have been seeing a steady de-

cline in orders for large turbines owing to a booming renewable segment.

Looking for ways to cut costs, Siemens in August 2018 reduced the number of oper-ating divisions from five to three – ‘Gas & Power’, ‘Smart Infrastructure’ and ‘Digital In-dustries.’ By streamlining its business, Siemens said it would increase the return-on-sales at its industrial business by 2% in the near-term future.

All the while, talks were being held to sell the gas turbine business to some foreign in-vestor. However, finding a buyer proved a tricky task given that Siemens’ rivals are fac-ing similar issues in their large turbine seg-ment. Hence, the management board ultimately decided to spin off the loss-mak-ing gas and power unit, together with parts of renewable business, with a view of get-ting it listed at an attractive price. n

Continued from page 1, top story

Kharasaveyskoye gas field on the Yamal Peninsula

1 November 2019 GTP Journal ENERGY STORAGE l 3

The CRYOBattery is meant to be built on the site of a disused fossil power plant in England, and could potential replace the output of that unit. The

system is scalable to multiple Gigawatts of energy storage and can supply from 20MW/80MWh to more than 200MW/1.2GWh and has a lifespan of up to 40 years.

Partnering with Citec of Finland, High-view has already set up a standard configu-ration of 50 MW/500 MWh can be easily, and cost-effectively, scaled up to multiple Gigawatt-hours. The system has black start capability and can add synchronous inertia to the grid.

Replacing gas peakers The use of CRYOBatteries allows power grid operators to maximize renewable penetra-tion without needing fossil fuel generation to make up for intermittency. “This makes replacing gas peaker power plants with a combination of solar, wind, and energy stor-age a viable reality,” said Highview Power CEO, Javier Cavada.

The cryogenic technology uses excess electricity from renewable sources to liquefy air, by cooling it down to -196 °C, and store that liquid in insulated, low-pressure vessels until the electricity is needed. At that point, the liquid air is allowed to evaporate and ex-pand through a turbine, where its latent en-ergy of vaporisation is turned back into peakload power.

Storing energy for weeks, not hours Highview claims its CRYOBattery can store electricity for weeks - not just hours or days as battery storage does. Lithium-ion batter-ies typically offer a range of 4-8 hours of en-ergy storage. Low costs are another clear advantage: The levelized cost of a cryobat-tery is about £110/MWh for a 10-hour and £200MW/2GWh system.

“Long-duration technologies such as cryogenic energy storage will become in-creasingly necessary for an electricity sys-tem to transition from a primary reliance on conventional fossil fuel generation to a grid dominated by variable renewable generation from solar and wind,” said Alex Eller, senior research analyst with Navigant Research.

Rising deployment of wind and solar power sources in Europe, North America and Asia require giga-scale energy storage to make these intermittent sources of power reliable enough to become baseload. “Not only does our CRYOBattery deliver this reli-ability and allow scalability – it is proven, cost-effective, and available today,” the Highview CEO stressed. n

Highview Power is about to switch on the world’s first cryogenic, or liquid air, energy storage at a decommissioned ther-

mal power station in the north of England. Provided developers can secure a stable, contracted return, the 50 MW/250

MWh CRYOBattery will start operation by 2022.

Highview takes cryogenic storage from demo to commercial scale

Dominion embraces solar and storage Dominion Energy South Carolina has signed contracts for more than 1,000 MW of solar capacity. About half of that capacity has entered service. To complement intermittent solar energy supply, Dominion earlier announced several energy storage projects. Wärtsilä downgrades outlook for its energy business Wärtsilä has downgraded the outlook of its Energy Business from “soft” to “weak” amid low equipment demand, although the its services activity “re-mains sound.” The current order book for 2019 deliveries is 1,708 million Euros, comprised mainly of equipment deliveries, Wärtsilä stated today when posting mixed Q3 results. Looking ahead, the company said its operating result for full-year 2019 will be ap-proximately 100 million Euros lower than in the 2018 result of 577 million Euros. Ansaldo appoints new CEO Ansaldo Energia’s board of directors has appointed Giuseppe Marino as new CEO. Together with the chair-man, Giuseppe Zampini, he will decide on the company’s strategy particularly relating to the new Chinese joint ventures.

NEWS NUDGES

Long-duration technologies such as cryogenic energy storage will become increasingly necessary for an electricity system to transition from a primary

reliance on conventional fossil fuel generation to a grid dominated by variable renewable generation from solar and wind

“” - Alex Eller, senior research analyst, Navigant Research

l SUPPLY GTP Journal 1 November 20194

Eager to get cheap domestic shale gas transported to decentralized power producers, the U.S. Depart-ment of Transportation is pushing to

establish regulations for shipping the LNG by rail. If adopted, the move could boost the market for ISO container exports from ports not already served by the coast-based LNG production expansion.

President Donald Trump has thrown his political weight behind the ‘LNG on Rail’ ini-tiative by issuing an executive order earlier this year to speed up the opening of the rail-road network to LNG rail tankers. With this move, Trump recognized the continued rise in cheap domestic shale gas production in the U.S. which is high in demand both at home and abroad.

In Europe, Chart Industries together with Germany-based VTG has already built the first LNG tank car (pictured) – the units keep the natural gas in a liquefied state and can be leased or purchased.

Trains compete with pipelines Observers noted that LNG transportation by rail could be a “viable alternative to pipelines,” which are not always able to

meet the demand of, or reach, certain areas in the United States that are accessible by rail.

LNG can currently only be transported via rail in a portable tank with a special approval from the U.S. Federal Railroad Administra-tion (FRA) but the Transport Department has singled out rail transport as a “safe, re-liable, and durable mode of transportation” for LNG.

Other potential benefits of transporting LNG by rail include the high safety levels in-herent to rail transport and the use of ap-

proved tank cars, fuel efficiency, fuel acces-sibility to remote regions, increased US en-ergy competitiveness, and fewer emissions, said the Department’s Pipeline and Haz-ardous Materials Safety Administration (PHMSA).

“Safety is the Department’s number one priority and during the comment period,” it stressed and the agency noted it will con-tinue to collect and analyze data on rail cars, ensuring that any rulemaking will uti-lize the latest data in establishing safety standards. n

LNG about to reach U.S. power producers by rail Rail tankers will soon transport LNG to power generators across the United States, as the regulator seeks to advance the

use of this cleaner-burning fuel in decentralized location like the Midwest. Trucks and ships are currently the only means

of transport for liquefied natural gas.

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1 November 2019 GTP Journal HYDROGEN l 5

The GT36 H-class gas turbine combus-tor can already today be operated with volumetric hydrogen content in natural gas of 0 to 50%. Latest full-

scale high-pressure tests showed the feasi-bility of operating up to 70% hydrogen without power or efficiency de-rating and the possibility to burn up to 100%.

Seeking to further enhance this fuel flex-ibility capability, Ansaldo Ener-gia and Equinor now signed a cooperation agreement.

The upcoming series of full-scale, full pressure combustor validation tests is aimed to advance the hydrogen combus-

tion technology. In focus are the optimiza-tion for ultralow NOx emissions, operational flexibility and minimization of engine de-rating at very high

hydrogen contents.

Equinor agreed to co-fund these tests as the Norwegian energy giant seeks to

create long-term value

from a low carbon future, notably from

the use of clean hydrogen use for

power generation. Equinor also is a

world leader in carbon capture and storage (CCS)

whereby carbon dioxide is remove from gases and exhaust and store safely un-derground – a technology seen as a precur-sor to producing CO2-free hydrogen from natural gas. n

Ansaldo, Equinor collaborate on hydrogen gas turbine tests Italian turbine manufacturer Ansaldo Energia and the Norwegian energy company Equinor have joined forces on validi-

tation tests for the use of hydrogen for gas-fired power plant turbines. Equinor agreed to co-fund full scale, full pressure

combustor tests on Ansaldo’s GT36 and GT26 turbines.

The project’s location at Murchison House Station, just north of the coastal town of Kalbarri, is “one of the most cost-effective” spots in Australia

to produce clean energy, the HRA said in a statement.

The project will be developed in stages: first hydrogen will be provided for transport fuels, then it will be blended with natural gas in the nearby Dampier-to-Bunbury pipeline. The third project phase will be an expansion to produce hydrogen for export to Japan and South Korea.

Targeting fully capacity by 2028 Total investment in the 5 GW wind and solar farm is estimated to amount to about A$10 billion ($6.75 billion). Eager to reap quick returns, HRA seeks to ramp up the project to full capacity by 2028. By then it could be supplying as much as 10% of Asia’s hydro-

gen demand, CEO Terry Kallis said. Muchison is the latest hydrogen projects

launched in Australia, as the country seeks to monetize its renewable energy potential. The HRA-led project follows a 15 GW wind and solar hub at Pilbara, developed by the Asian Renewable Energy Hub.

The government in Cranberry expects the

hydrogen industry could contribute over $1 billion to the economy annually by 2030. Dar-ren Miller, head of the Australian Renewable Energy Agency (ARENA) has high hopes that Australia could one day support up to 700 GW of large scale wind and solar if the renew-able hydrogen industry replaces the current LNG market in a decarbonised economy. n

Siemens backs 5 GW renewable hydrogen project in Australia Hydrogen Renewables Australia (HRA) is partnering with Siemens to develop a 5,000 MW wind and solar farm in West-

ern Australia. Siemens electrolysers will convert the renewable power into low-cost renewable hydrogen for export to

Asian markets.

GT36 Sequential Combustor

l COMPANIES GTP Journal 1 November 20196

Tokyo Gas, Japan's largest natural gas utility, has posted a 9.4% rise in fiscal half-year net sales in the face of tough com-

petition in the country’s liberalized energy market. The effects of a 1.7% drop in city-gas sales were compensated by a stark

rise in Tokyo Gas’ customer base for electricity sales.

First-half revenue came in at 910.58 billion yen ($8.36 billion) compared with 832.3 billion yen in the same period in 2018. Ordinary profit

surged 145.4% to 48,347 billion yen while profits attributable to owners of the parent were up 5.3% at 28,349 billion yen, Tokyo Gas said in a filing to the Nagoya Stock Ex-change today.

Reversing its gas import strategy, Tokyo Gas has been joining like-minded Asian gas importers and strives to renegotiate long-term LNG purchases. The utility has a tolling agreement share in the Dominion En-ergy’s Cove Point liquefaction plant in Mary-land and is also participating in upstream projects in the Eagle Ford and Barnett Shale Basins in Texas.

At home, Tokyo Gas saw a slight decline

in its city-gas sales to industrial customers which came to 3.34 Bcm, down 1.2% com-pared with 3.38 Bcm in the 2018 first half. Falling gas sales volumes were largely caused by a 6.8% drop in the utility’s cus-tomer base to 9.4 million.

On the positive side, Tokyo Gas managed to increase its foothold in the electric power retail market and that is also opened up and its customer numbers grew by 47.8% to 2.05 million this year, up from 1.38 million. Electricity sales in the first half in-creased by 27.6% to 9,109 million kilowatt hours from 7,136 kWh in the first half of 2018.

Tokyo Gas forecast full-year net sales 1,840 billion yen ($16.9bn), a 4% rise on the previous fiscal year. Full-year net profits for the fiscal year ending in March 2020 are expected to rise by 11.7% to 60 billion yen ($551.3m) and with 135.63 yen of earnings per share. n

Tokyo Gas increases utility income through higher electricity sales

IEnova reported a 3% drop in earnings to $231.2 million but was quick to point out that the second Mexico interconnector is bound to brighten up matters. Gross

earnings, in contrast, increased due to bet-ter operating results of Termoelectrica de Mexicali power plants. Third-quarter net profits fell to $110.8 million, down from $112.1 million in the 2018 quarter.

Analysts noted U.S. gas exports to Mex-ico have not picked up substantially despite the start of the South Texas-Tuxpan pipeline (STT). Exports are still below 6.0 billion cubic feet per day (bcf/d), although there no current postings regarding maintenance on the Sistrangas pipeline that feeds from NET Mexico.

The 2.6 bcf/d pipeline had initially been

promoted as a “crucial outlet for US natural gas” and was deemed essential to cover de-mand in the southeast of Mexico. The inter-connector crosses part of the Gulf of Mexico and was built at a cost of $2.5 billion. In Texas, the STT pipeline is linked to the 168 mile Valley Crossing Pipeline, running from the Agua Dulce hub in Texas to the Gulf of Mexico east of the port of Brownsville.

Rapid rise in Mexico’s gas imports Mexico has benefitted importing compara-tively cheap American shale gas by pipeline, with gas flows exceeding 1,862 billion cubic feet per day (Bcf) last year, according to the U.S. Energy Information Administration (EIA). In addition, Mexico has also become the second-largest destination for U.S. LNG ex-ports last year, behind only South Korea. n

IEnova asprires to higher profits through new Texas-Mexico pipeline Sempra Energy affiliate IEnova antic-

ipates reaping profits from the com-

mercial start of a new Texas to

Mexico gas pipeline. The company

saw Q3 earnings slide despite the

September start-up of the South

Texas-Tuxpan interconnector which

supplies gas to power stations in

Tamaulipas and Veracruz.

1 November 2019 GTP Journal PROJECTS l 7

Two Karpowerships are supplying 26% of Ghana’s total electricity needs. Ini-tially in operation offshore Tema since 2015, the ‘Osman Khan’ had been uti-

lizing heavy fuel oil (HFO), but with the de-

ployment to the Sekondi Naval Base over the summer it will switch to run on domes-tic natural gas.

To supply feedgas to ‘Osman Khan’, Ghana Gas has laid new pipelines of

approximately 8 kilometer onshore and the 1.3 km off-shore. Before commission-ing, hydrogen was pumped through these pipelines at high pressure to flush them and ensure there were no leakages.

Once cleared and tested, the pipelines will be opened for the free flow of gas. When running at full capac-

ity the ‘Osman Khan’ Karpowership will re-quire a daily supply of up to 90 million cubic feet of natural gas per day.

All electricity produced by the 450 MW Karpowership will be sold to Electricity Com-pany of Ghana (ECG) for 10 years and fed directory into the national grid.

The ‘Osman Khan’ has been chartered from Turkey’s Karendeniz Energy Group for a period of 20 years. Istanbul-headquar-tered Karendeniz owns and operates a fleet of powerships with more than 3.100 MW in-stalled capacity globally.

In addition to ‘Osman Khan’, the smaller Karpowership ‘Aysegul Sultan’ (235 MW) has been also deployed to Ghana, operating out of Tema Fishing Harbor. n

Ghana Gas starts supplying gas to Karpowership Ghana National Gas Company (GNCC) will start feeding first gas from the Atuabo Gas Processing to a Karpowership later

today. The 470 MW Karendeniz Powership ‘Osman Khan’ is scheduled to commence full operation on October 31.

Karpowership Ozman Khan

Engine-driven power units are the most efficient way of turning natural gas into electricity for duration of 4 hours or less. According to Aurora

Energy Research, these recip engine units will be the predominant source of backup power in the UK for rising renewable energy supply.

The British government has set out a tar-get to reach net zero carbon emissions by 2050 which will see utility-scale additions of wind and solar power sources with inher-ently intermittent supply. Grid balancing will consequently become increasingly challeng-ing and require fast-ramp generation as well as energy storage.

By 2050, nearly 50TWh of back-up power will be needed to support renewables which will account for about 9% of the energy mix, according to Aurora Energy Research. Na-tional Grid states in its Future Energy Sce-nario analysis that gas will play a key part in meeting this requirement.

Outcompeting CCGTs for short runs Statera’s six 50 MW engine-driven power plants will help meet peak demand and are well placed to compete combined-cycle power plants (CCGT). The recip engine used will be MAN 35/44G TS models that can reach full capacity from standby within around five minutes, versus 60 minutes

minimum for a CCGT. The manufac-turer MAN has also optimize the engine design o be the most efficient way of turning gas to elec-tricity for short runs of 4 hours or less.

Each of the new plants consists of four MAN 20V35/44G TS-type gas engines that can be introduced to – or removed from – service as required, offering customers optimal operational and market-oriented flexibility. The MAN 20V35/44G TS is a spark-ignited, two-stage turbocharged gas-engine. Engines with two-stage tur-bocharging come with both a low-pressure and high-pressure compressor, which work connected in series to deliver improved power density and efficiency.

Analysts expect that the most common back-up power requirement to support re-newables will be for under 4 hours, hence the new recip power units are essential to meet this changing need.

Balancing renewables The UK’s ambitious carbon and sustainabil-ity targets require a fundamental rethink of the way energy is produced, stored, and

used. “Renewables will be the dominant source of power in the future, and while batteries balance the grid for daily fluctua-tions, flexible gas generation play a crucial role in guaranteeing security of supply for prolonged periods when there is low re-newable generation” said Tom Vernon, man-aging director of Statera Energy.

Statera has been looking for gas genera-tion technology where the best flexibility and response times can be delivered. The 6 new 50 MW recip engine-driven power units are meant to replace less efficient and less responsive gas power units and allow fur-ther development of renewables.

Studies expect syngas production will ramp up significantly over the next 10-15 years, hence Statera’s new plants have the potential to contribute to a fully decar-bonised economy. n

Statera Energy, developer of fast-ramp power plants and energy storage, has contracted MAN Energy Solutions to deliver

24 reciprocating gas engines that will supply a total of 300 MW backup power to the UK grid. The recip engines will power

six 50 MW plants to be built in the coming 18 months.

MAN to deliver recip engines for six new 50 MW Statera power plants

Rendering of Statera's new engine-driven power plants

l PROJECTS GTP Journal 1 November 20198

Pakistan’s K-Electric has contracted Siemens and Harbin Electric to build a new 900 MW combined-cycle power unit within

24 months at the Bin Qasim power complex in Karachi. Works on the CCGT unit, to be powered by two F-class gas turbines,

will start before the end of this year.

K-Electric’s total investment for the project, known as Bin Qasim Power Station 3 (BQPS-III), is $650 million.

The electricity output from the new CCGT unit at Bin Qasim is deemed es-sential in meeting Karachi's future en-ergy demands. Once operational, the BQPS-III plant will help bridge the shortfall in K-Electric’s power network that serves 15 million people in Karachi.

“The aim is to commission the project in the fastest possible time,” Moonis Alvi, CEO, K-Electric stressed, adding “we are confident that with the right facilitation from all quar-ters, power from the plant may be added to our supply as soon as summer of 2021.”

Karim Amin, CEO of Siemens Power Gen-eration business unit said he is “proud of the partnership with K-Electric and Harbin Elec-tric and the determination to make this pro-ject a successful landmark for the people of Pakistan.”

The F-class turbines installed at the BQPS-III unit will be the first Siemens tur-bines to be added to K-Electric’s power gen-eration fleet. In addition, the equipment order includes steam turbines, generators and condensers.

Siemens’ SGT5-4000F gas turbine is known for its high performance, low power generation cost, long intervals between in-spections and service-friendly design. More than 350 units have been sold worldwide, with more than 17 million fired hours. n

Siemens, Harbin built new CCGT unit at Bin Qasim complex in Karachi

The CCGT unit will be built at the Bin Qasim coal power complex

APM sensors will be installed not only on the seven aeroderivative turbines, but also on their associ-ated generators and gear boxes

to predict and accurately diagnose issues with greater accuracy before they occur. The contract between Dangote and GE Power also extends the service agreement by 50,000 operating hours for the seven GE LM6000PC aeroderivative gas turbines in-

stalled at Dangote’s manufacturing sites. “Power supply is both a key input and a

major cost in our manufacturing process,” said Ravi Sood, operations director at Dan-gote Cement. “Operational performance is crucial to our cement plant’s overall pro-ductivity, directly affecting end products.” The introduction of digital solutions is not only expected to improve efficiencies and reduce downtime but will also help Dango-

tee become more self-sufficient in power production.

Dangote Cement run fully inte-grated quarry-to-customer operations with a production capacity of up to 45.6 million tonnes per annum (Mta). Headquartered in Lagos, the company has manufacturing sites in Cameroon, Congo, Ethiopia, Ghana, Senegal, Sierra Leone, South Africa, Tanzania and Zambia. n

Nigeria: Dangote Cement turns to GE for more efficient power supplyDangote Cement has asked GE to modernize seven LM6000PC aeroderivative

gas turbines and install its Asset Performance Management (APM) at Dangote’s

cement plants in Obajana and Ibese, Nigeria. The upgrade will enhance perfor-

mance of the onsite power station and help reduce unplanned downtime.

Dangote's cement factory in Nigeria

BENAS builds Germany’s largest biogas CHP Biogas pioneer BENAS has enlarged its combined heat and power plant in Lower Saxony by adding two Jenbacher J620 gas engines. The new 3.05 MW engines add to the five installed J320 engines (5.24 MW each) and turn the complex into the largest biogas-based CHP in Germany.

With the engine upgrade, BENAS has not only increased the electrical efficiency of its plant by 7.2%, but also reduced its raw material needs and cut the required crop acreage and transport costs by 19.5%. In absolute terms, the CHP’s en-ergy corn demand, which provides part of the plant’s biogas supply, has been cut by around 15,500 tonnes per year.

The Ottersberg CHP is operated solely using renewable raw materials and dried poultry manure. Following the engine ad-ditions, the plant can now generate 28,000 MWh of electricity annually. This will be both fed into the grid and em-ployed to heat a fiber processing plant.

Making use of agriculture byproducts Biogas is flammable and results from

the fermentation of residues containing biomass such as sewage sludge, livestock manure or plant waste. The average heating value of a cubic meter of biogas is roughly equal to that of 0.6 liter of fuel oil. Therefore, 1 ton of organic waste ma-terial and 3 tons of liquid or solid manure can generate an amount of biogas with a heating value equivalent to that of 60 liters of fuel oil or 120 kWh of electricity. At the same time, carbon dioxide emis-sions are reduced by 200 kilograms.

Biogas achieves its maximum electrical efficiency and thus its optimum carbon footprint, when by means of CHP it is em-ployed simultaneously for the production of both heat and power. Methane is its most valuable constituent and at a maxi-mum can represent 60% of biogas volume. According to INNIO, this is important, as the energy level of the gas increases in line with its methane content. n

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