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 11 May 2014 Khaled Al Awadi NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE Qatar Petroleum to invest $11bn in offshore oil field By Reuters State-owned Qatar Petroleum (QP) said it would invest over QR40 billion ($11 billion) to redevelop the Bul Hanine offshore oil field to prolong its life and increase its output. The field off Qatar's east coast currently produces around 40,000 barrels per day (bpd) of crude oil, and QP hopes to more than double output to 90,000 bpd by 2020, industry sources told Reuters earlier this year. "The magnitude of this investment reflects the extent of project scope that includes new offshore central production facilities and a new onshore gas liquids processing facility at Mesaieed. This will be marked by a massive drilling campaign of about 150 new wells between now and the year 2028," the company said in a statement on Friday. It added that new wells would be drilled from the existing and modified well- head jacket, as well as from 14 new well-head jackets. The project includes the expansion of a QP-owned gas processing plant at Mesaieed to help collect about 900 million cubic feet of sour gas per day. The gas will go through a new 150 km subsea pipeline and be used to make jet and vehicle fuels. The dry gas will then be pumped back under the Gulf to boost field recovery rates. Over the past few years QP has been receiving technical advice from French energy major Total on how to get more out of the ageing Bul Hanine field, which began production in 1972. Friday's statement made no mention of the involvement of any international oil companies, however. It said that QP would be in charge of the implementation and management of the project.

New base special 11 may 2014

Embed Size (px)

Citation preview

Page 1: New base special  11 may  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 11 May 2014 Khaled Al Awadi

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

Qatar Petroleum to invest $11bn in offshore oil field By Reuters

State-owned Qatar Petroleum (QP) said it would invest over QR40 billion ($11 billion) to redevelop

the Bul Hanine offshore oil field to prolong its life and increase its output.

The field off Qatar's east coast currently produces around 40,000 barrels per day (bpd) of crude oil, and QP hopes to more than double output to 90,000 bpd by 2020, industry sources told Reuters earlier this year. "The magnitude of this investment reflects the extent of project scope that includes new offshore central production facilities and a new onshore gas liquids processing facility at Mesaieed. This will be marked by a massive drilling campaign of about 150 new wells between now and the year 2028," the company said in a statement on Friday.

It added that new wells would be drilled from the existing and modified well-head jacket, as well as from 14 new well-head jackets. The project includes the expansion of a QP-owned gas processing plant at Mesaieed to help collect about 900 million cubic feet of sour gas per day. The gas will go through a new 150 km subsea pipeline and be used to make jet and vehicle fuels. The dry gas will then be pumped back under the Gulf to boost field recovery rates. Over the past few years

QP has been receiving technical advice from French energy major Total on how to get more out of the ageing Bul Hanine field, which began production in 1972.

Friday's statement made no mention of the involvement of any international oil companies, however. It said that QP would be in charge of the implementation and management of the project.

Page 2: New base special  11 may  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

UAE's Masdar awards deals for desalination pilot project By Andy Sambidge – Arabian Bussiness

UAE green energy pioneer Masdar has awarded four companies with contracts to each start the construction of a desalination plant as part of its pilot project in Abu Dhabi.

First announced in January 2013, the project aims to develop and demonstrate energy-efficient seawater desalination technologies efficient enough to be powered by renewable energy.

The new technologies are expected to allow the implementation of cost-competitive large-scale seawater desalination plants powered by renewable energy in the UAE and abroad.

In a statement, Masdar said it had awarded contracts to Abengoa, Degrémont, Sidem/Veolia and Trevi Systems. The pilot programme is a direct result

of a call to action by Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces. The UAE's rapidly increasing population and economic growth make the development of more advanced desalination innovations necessary to address the country's long-term water security.

"We look forward to working with these four leading companies as they break ground on new desalination technologies," said Dr Sultan Ahmed Al Jaber, chairman of Masdar. "Seawater desalination is an energy intensive process that if left unchecked will become unsustainable over time. We must innovate and discover commercially viable solutions to meet our long-term water needs.

He added: "Water security is one of the most pressing issues around the world but with the Gulf region's climate we have limited natural options. Combining best-in-class desalination technologies with our abundant solar resources is a logical step toward securing our country's water supplies."

Each company will build and operate its own test plant to develop and demonstrate desalination technologies over the course of 18 months. All of the four test plants will demonstrate innovations in advanced membrane technologies, such as reverse osmosis and forward osmosis, which are more energy efficient processes than the thermal processes currently in use in most of the desalination plants throughout the UAE.

As part of the pilot project, each of the four companies will collaborate with the Masdar Institute of Science and Technology, a research-driven, graduate university in Abu Dhabi. The entire pilot project test facility will be located in Ghantoot, 90km northwest of Abu Dhabi. Masdar said during the course of the project, the test plants will also provide 1,500 cubic meters of potable water per day to Abu Dhabi's water infrastructure, enough to meet the water requirements for around 500 homes.

(Photo for illustrative purposes only)

Page 3: New base special  11 may  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

Saudi FAS inks big solar power deal in Nigeria http://www.nigeriansreport.com/

Saudi-based FAS Energy and Canada's SkyPower Global have signed agreements with both Nigerian government and the Delta State of Nigeria Government for the development of 3,000 megawatts (MW) of utility-scale solar photovoltaic (PV) projects in the country.

FAS Energy is a subsidiary of Fawaz Alhokair Group, one of the leading groups of companies in the Kingdom of Saudi Arabia focusing on retail and real estate business sectors. As per the deal, these facilities within Nigeria and the Delta State of Nigeria will be built over the next five years.

These foundational agreements represent a monumental renewable energy milestone, which entails a multi-phase development and build schedule that will result in

production of clean, sustainable, cost-effective energy to support the growing energy needs of Nigeria.

The agreements were signed at the World Economic Forum on Africa during a historic ceremony for a Foreign Investment Promotion and Protection Agreement (FIPA) between the Canadian and Nigerian governments. Representing the nations at the forum were Olusegun Olutoyin Aganga, Minister of Trade and Investment for Nigeria and Christian Paradis, Minister of International Development for Canada.

SkyPower FAS Energy said it is committed to work closely with both governments for the planning, financing, and construction of 3,000 MW of utility-scale solar PV energy projects for the Nigerian power grid, which are expected to reach commercial operation in phases starting in 2015. “This is truly a proud moment for SkyPower FAS Energy. Global partnerships such as these are key to bringing together extensive expertise from around the world,” remarked Kerry Adler, the president and CEO of SkyPower Global.

"The signing of these landmark agreements demonstrates the shared vision of a partnership that will further stimulate the vibrant, fast-growing Nigerian economy and substantially impact the state and country’s GDPs, resulting in increased employment and skills training," he stated. Christian Paradis said the signing of the Foreign Investment Promotion and Protection Agreement marks a significant milestone. "It sends a clear signal to Canadian businesses that they can work in Nigeria with confidence, and to Nigerians that they can do the same in Canada," said the Canadian minister.

"Our government is looking to new approaches that deliver real results. The private sector has a crucial role to play in creating shared prosperity," he added.

SkyPower is the largest and one of the most successful developers and owners of solar energy projects in the world, while Saudi-based FAS Energy is committed to providing renewable energy solutions for the Middle East with a focus on developing alternative energy capacity.

Page 4: New base special  11 may  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

In affiliation with one of the leading construction companies in the Middle East, FAS Energy advises government associations on how to build industry-leading solar parks.

With branches in the Mena region, namely Jordan, Egypt, and Morocco, as well as the Gulf Cooperation Council (GCC) countries and sister companies in Africa, FAS Energy’s projects include approximately 2,400 MW of pipeline in development. These foundational agreements represent a monumental renewable energy milestone, which entails a multi-phase development and build schedule that will result in production of clean, sustainable, cost-effective energy to support the

growing energy needs of Nigeria. SkyPower FAS Energy is committed to work closely with both governments for the planning, financing, and construction of 3,000 MW of utility-scale solar PV energy projects for the Nigerian power grid, which are expected to reach commercial operation in phases starting in 2015.

The agreements were signed at the World Economic Forum on Africa during a historic ceremony for a Foreign Investment Promotion and Protection Agreement (FIPA) between the Canadian and Nigerian governments. Representing the nations at the forum were the Honourable Olusegun Olutoyin Aganga, Minister of Trade and Investment for the Federal Republic of Nigeria and the Honourable Christian Paradis, Minister of International Development for Canada.

"The total capital requirement for these projects is an estimated US$5 billion, which will be financed through a combination of bank debt, development bank financing, and equity partners. Over the life of the projects, it is estimated that more than 30,000 jobs will be created in Nigeria," said Stephen Bordes, Chief Financial Officer of SkyPower Global.

"It is with great pride that we announce the signing of these agreements," commented Sabri Asfour, the General Manager of SkyPower FAS Energy. "This is a historic day, as the signing of these agreements and commencement of these groundbreaking projects in Nigeria clearly demonstrate Nigeria's commitment to clean, renewable energy. SkyPower FAS Energy's combined expertise in infrastructure development and construction will generate a large number of new jobs, support skills development, and increase prosperity in the regions of the country where these solar projects will be built."

"The Nigerian Government is pleased to partner with SkyPower FAS Energy and we look forward to creating more power and more jobs for the people of Nigeria," commented Permanent Secretary, Federal Ministry of Power, Ambassador (Doctor) Godknows Boladei Igali. "Foreign investment in Nigeria helps build the economy and strengthen international ties with a well-respected and viable partner such as SkyPower FAS Energy."

"Delta State is pleased to sign this agreement with the world's largest solar developer, SkyPower FAS Energy," said Doctor Emmanuel Eweta Uduaghan, Governor, Delta State of Nigeria. "It represents a continued effort to provide even more clean and renewable energy that can be sustained for decades to come. Delta State: Beyond oil into solar."

SkyPower FAS Energy believes in being strongly rooted in the local business community and plans to work closely with local Nigerian businesses and other local partners.

Page 5: New base special  11 may  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

About SkyPower FAS Energy In August 2013, SkyPower entered into a joint venture agreement with FAS Energy, a subsidiary of Fawaz Alhokair Group. SkyPower brings 11 years of experience developing utility-scale renewable projects around the world. FAS Energy brings an unprecedented amount of knowledge in real estate and construction from its extensive experience and presence in the MENA region. The joint venture's sole strategic focus is to develop and build Utility-Scale Solar PV parks across the MENA region.

About SkyPower (http://www.skypower.com)

SkyPower is the largest and one of the most successful developers and owners of solar energy projects in the world. SkyPower's international team of experienced professionals, power project specialists, and partners have built, assembled and acquired an extensive pipeline of over 25,000 megawatts worldwide. This development portfolio of large utility-scale solar PV projects makes SkyPower the world's largest solar development company.

With over 300 MW of awarded power purchase contracts, SkyPower has built strategic global partnerships with local developers, international leaders, financiers, suppliers, local communities, and indigenous peoples to produce over 219 million kilowatt hours of clean electricity to date. Established in 2003, SkyPower has grown to over 135 employees, consultants, and advisors in 35 global offices, supporting development activities in more than 60 countries.

SkyPower sources, develops, finances, owns, and operates all of its solar energy projects, from the initial discovery stages through to commercial operation. SkyPower's finance team brings a long track record of raising funds for investment in utility-scale solar power generation, closing on over US$2.5 billion in renewable energy transactions since 2003. SkyPower has successfully raised US$250 million in project financings, and has arranged for corporate debt facilities totaling US$100 million. SkyPower has secured contracts representing over US$4 billion worth of energy sales to tilities around the world.

SkyPower is majority owned by CIM, a transformational urban real estate and infrastructure investment firm founded in 1994 with over US$14.7 billion in assets under management. (http://www.cimgroup.com) About FAS Energy (http://www.fawazalhokair.com)

FAS Energy is committed to providing renewable energy solutions for the Middle East with a focus on developing alternative energy capacity. In affiliation with one of the leading construction companies in the Middle East, FAS Energy advises government associations on how to build industry-leading solar parks. With branches in the MENA region, namely Jordan, Egypt, and Morocco, as well as the Gulf Cooperation Council (GCC) countries and sister companies in Africa, FAS Energy's projects include approximately 2,400 MW of pipeline in development.

FAS Energy is a subsidiary of Fawaz Alhokair Group, one of the leading groups of companies in the Kingdom of Saudi Arabia focusing on retail and real estate business sectors. The Group expanded its business operations beyond the borders of the Kingdom and invested in retail and real estate sectors across the Middle East and North Africa (MENA) region, USA and Commonwealth of Independent States (CIS) region. FawazAlhokair Group had a turnover in excess of SAR6 billion (US$1.6 billion) for 2012-2013.

Page 6: New base special  11 may  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

DNO first-quarter profit falls as Kurdish oil exports stuck Source: Bloomberg

DNO said first-quarter profit fell 21 per cent as oil exports to Turkey were stuck in storage amid a dispute over revenue sharing. Net income fell to US$23.7 million from $30.1m a year before as sales grew 9.2 per cent to $112.8m, said the Norwegian oil producer focused on Iraq’s northern Kurdish region in a statement. The profit missed the $46m average of eight analyst estimates compiled by Bloomberg.

DNO, the first foreign company to drill for oil in Iraq after the US-led invasion in 2003, has been caught in a dispute between the semi-autonomous Kurdistan region and the central government in Baghdad over oil-export revenue sharing, contracts and land. The Kurds were still negotiating with Iraqi authorities as exports began from northern Iraq to Turkey, including from DNO and partner Genel Energy’s Tawke field.

Earnings “were weaker than we and consensus had expected due to no revenue recognition for its export volumes,” Swedbank First Securities analyst Teodor Sveen Nilsen said by e-mail. “Financials were hit by substantial inventory effects, which probably will be reversed when (or if) the Tawke partners get paid for the Q1 export volumes.”

While the company more than tripled its production from Kurdistan to 35,600 barrels of oil equivalent a day on a working-interest basis in the first quarter from a year earlier, more than 20 percent of those volumes were piped to the Turkish port of Ceyhan and kept in storage. DNO had 700,000 barrels of oil held there at the end of the quarter with no revenue booked.

Total production increased by almost 60 percent to 45,700 barrels a day, even as output from Oman was almost halved. Deliveries to Ceyhan from Tawke, which DNO operates with a 55 percent stake, have averaged a gross 100,000 barrels a day in the past 10 days from a total field output of 120,000 barrels.

DNO maintained its goal of raising production capacity at Tawke to 200,000 barrels of oil a day by the end of the year. Output reached a record 129,000 barrels on March 5.

Page 7: New base special  11 may  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

Sabic and Mitsubishi evaluate bids on Saudi Jubail Methyl Methacrylate

The Spanish engineering company Tecnicas Reunidas completed the front end engineering and design (FEED) of the world largest methyl methacrylate (MMA) production unit planned by Saudi Basic Industries Corporation (Sabic) and Mitsubishi Rayon Company (MRC) at the Al-Jubail Industrial City in the Eastern Province of Saudi Arabia.

This project is part of Sabic strategy to grow on the higher added value petrochemical products and it comes in a context where Saudi Arabia is itself willing to develop the manufacturing industries in the Kingdom.

MMA is well known to produce paints, adhesives and transparent resins for all kinds of applications.

As monomer, MMA is the building block to produce the polymer PMMA.

In its turn, PMMA is commonly called acrylic used for automotive plastics parts, fibers, construction chemicals or even acrylic gasses.

Because of MMA and PMMA multiple applications, Saudi Arabia has reached the economical size to become self-sufficient in building a world-scale facility.

In 2009, Sabic and MRC had signed a letter of intend (LOI) to co-operate in this MMA – PMMA project in Saudi Arabia.

In 2011, they established an equally-owned joint venture to support the project and they selected

Sabic existing facilities in the Al-Jubail Industrial City to locate these MMA and PMMA production units.

They also agreed to use the proprietary Alpha technology owned by Mitsubishi Rayon.

In 2012, Sabic and Mitsubishi selected the Spanish engineering company Tecnicas Reunidas to carry out the FEED work for these MMA and PMMA facilities.

Four bidders for Sabic – MRC Jubail MMA EPC contract

According to this FEED, the Al-Jubail MMA and PMMA project should have the production capacities of:

- 250,000 tonnes per year (t/y) of MMA

- 40,000 t/y of PMMA

During this FEED work, Sabic, MRC and Tecnicas Reunidas had to overcome some challenges related to the implementation of the Alpha technology licence and to costs cutting.

Page 8: New base special  11 may  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

Because of the multiple processes to produce MMA and PMMA, Sabic and Mitsubishi took some time to align on the best use of the Alpha technology.

Then the first costs estimates were pushing this Al-Jubail MMA and PMMA project close to $1 billion capital expenditure.

These issues had to be clarified during this FEED phase to qualify the potential bidders for the engineering, procurement and construction (EPC) contract.

Therefore the call for tender of the Al-Jubail MMA and PMMA EPC contract could only be released on mid 2013.

After the technical clarifications, four engineering companies were left in competition.

In this tendering process, the final bidders were expected to submit their commercial offer end of April 2014.

With the costs estimates revised down to $500 million capital expenditure, Sabic and Mitsubishi Rayon should reach the final investment decision (FID) on mid of 2014 in targeting the first commercial operations by 2017.

Page 9: New base special  11 may  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

Indonesia: Petroleum Geo-Services completes Indonesia-Australia MegaProject Source: PGS

PGS, in conjunction with Spec Partners, Horizon, and MIGAS, has announced the completion of the Abadi-Arafura-Aru (AAA) MegaProject. This unique cross-border seismic study, which extends from Eastern Indonesia through the northern margin of Australia, is based on the integration of several seismic surveys and full tectono-stratigraphic interpretation of 26,500 line km of modern long offset, MultiClient 2D seismic data, largely acquired using PGS GeoStreamer technology.

The survey ties the main structural elements from East Timor and the Petrel Basin in the west, to the Seram Trough and Arafura Basin in the east, and provides a much improved understanding of regional stratigraphy and basin development. Large parts of the area remain underexplored and poorly understood. The cross-border AAA MegaProject helps fill that knowledge gap. It reveals the petroleum system along the southern and southeastern margin of Indonesia by tying key wells and discoveries along the northern margin of

Australia, which is more mature in terms of exploration.

The project has been the basis for detailed geological analyses by Horizon. These include tectonic and palinspastic reconstructions from Permian to present, geochemical modeling of all potential source rocks in the area, well failure analyses, play fairway mapping, and prospectivity assessment. The AAA MegaProject is a comprehensive regional seismic and prospectivity package which will help oil companies gain a better understanding of the petroleum systems in this vast, underexplored area, helping them to identify exploration 'sweet spots' with increased confidence.

Page 10: New base special  11 may  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

Philippines: Gas2Grid provides update on program at Malolos- Cebu Source: Gas2Grid

Gas2Grid has advised that the packer and completion assembly have been run into the hole and the packer set in place immediately above the upper oil bearing sandstone. The swabbing unit is now being set up over the well and oil production testing will likely commence over the weekend. The extended oil production testing program aims to gather sufficient technical information to

confirm commerciality of the Malolos oil field to justify the Department of Energy awarding a 25 year production period and leading to full field appraisal and development. Proving commercial production at Malolos oil field will have a very significant impact on the value of the Company and will benefit the Philippine economy.

On the 29th January, 2014 the Company reported a 'Contingent Resource' of oil in the two productive

sandstones for the Malolos oil field between a 'Low Estimate' (1C) of 6.8 million barrels and a 'High Estimate' (3C) of 68.1 million barrels, with a 'Best Estimate' (2C) of 20.4 million barrels of 'Total Oil Initially in Place'. This Contingent Resource is in addition to the Unrisked Prospective Resources released to the ASX on the 29th January, 2014.

Page 11: New base special  11 may  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

The Philippines DOE offers 11 exploration blocks www.offshoreenergytoday.com/

The Philippines Department of Energy has today offered eleven offshore blocks for exploration.

“Through the 5th Philippine Energy Contracting Round, we created an equal playing field for all interested

parties, in which the government ensures that all service contracts and offered areas are in accordance with

existing Philippine laws and policies,” Energy Secretary Carlos Jericho Petilla said in his opening message at the official launching ceremony held at the Intercontinental Hotel Manila, Makati City.

Submission of applications from the interested companies will start on 02 June 2014 and will end on 27 February 2015 (11:00 AM, PST). The archipelagic country, located between Taiwan in the north and Borneo in the south, is offering offers eleven areas for petroleum exploration mostly located in Luzon.

The Department of Energy will be conducting international roadshows to encourage more energy players abroad to join the contracting round: South East Asia Petroleum Exploration Society (SEAPEX) event on 10-14 June 2014 in Singapore; North America Prospect Expo South (NAPE South) on 20-22 August 2014 in Houston, Texas; and AAPG International Conference and Exhibition on 14-17 September 2014 in Istanbul, Turkey.

The DOE will also conduct a series of information, education, and communication (IEC) campaigns in the host communities and areas near the exploration areas starting this month. The IEC for petroleum will be in Palawan, Mindoro, Iloilo, and Sulu, while the IEC for coal will be in Isabela, Albay, Cebu, Davao, and Zamboanga.

Page 12: New base special  11 may  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

Saudi Aramco extends two rig contracts with Noble Corp. Offshore Energy Today Staff

Noble Corporation has secured contract extensions for two of its offshore jack-up drilling rigs

in the Middle East.

Saudi Arabian oil company Saudi Aramco has decided to exercise its option to extend the contracts for the rigs Noble Joe Beall and Noble Getie House which have been on contract with the company since November 2011.

The contract for the Noble Joe Beall will now last until November 2015 at $81,000 per day. The Noble Getie House contract will now expire in late November 2015 at the same, $81.000 per day rate.

Page 13: New base special  11 may  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

Ex-BP boss Hayward is Glencore chairman Press Release – Glencore Xstrata

Glencore Xstrata confirmed Tony Hayward (pictured) as permanent chairman of the mining and commodities trading group, sealing the former BP chief executive’s comeback from the worst offshore oil spill in US history. Hayward, who is also chief executive of London-listed oil company

Genel Energy Plc, has been Glencore Xstrata’s interim chairman since last May, when his predecessor Sir John Bond was ousted by shareholders.

At the time, Glencore Xstrata said Hayward would return to his role as a senior independent director once a chairman was found. Other leading candidates for the role were former Vale boss Roger Agnelli and ex-BG CEO Frank Chapman, sources said. The final decision was made after consultation with shareholders.

Hayward’s confirmation as chairman of one of the world’s largest mining groups completes his return to the corporate big league after he was forced out of BP following the 2010 Gulf of Mexico oil spill. He was severely criticised for his handling of the disaster that killed 11 people and left huge stretches of sea and coast fouled with oil.

“Tony Hayward’s experience at BP, including resolving the TNK-BP dispute and his subsequent success at Genel mitigate the negatives that surrounded his departure from BP,” Nomura analysts said in a note to clients, referring to BP’s then Russian joint venture.

Page 14: New base special  11 may  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

He is expected to eventually step down as chief executive of Genel, the oil and gas explorer he has invested in alongside British-born financier Nat Rothschild, a source close to the matter said. Genel, which focuses on producing oil in the autonomous Iraqi region of Kurdistan, declined to comment on whether Hayward would leave.

“Tony Hayward is and continues to be CEO of Genel Energy and will continue to do both roles, as he has done successfully for the past 12 months,” a Genel spokesman said in a statement.

Glencore Xstrata is one of the world’s largest global diversified natural resource companies and is one of the biggest companies within the FTSE 100 Index. The Group’s industrial and marketing activities are supported by a global network of more than 90 offices located in over 50 countries. Our diversified operations comprise of over 150 mining and metallurgical sites, offshore oil production assets, farms and agricultural facilities. We employ approximately 190,000 people, including contractors.

The combination of a leading integrated producer and marketer of commodities with a leading portfolio of industrial assets enables us to capture value at every stage of the supply chain from sourcing raw materials deep underground to delivering products to an international customer base.

We are a major producer and marketer of over 90 commodities that are transformed into products used in everyday life, such as mobile phones, bicycles, cutlery, plastics and electricity, to customers in industries ranging from automotive to food processing and power.

Our company is structured into three distinct business segments:

• Metals and Minerals: focusing on copper, nickel, zinc/lead, alloys, alumina/aluminium and iron ore. We have interests in both controlled and non-controlled industrial assets that include mining, smelting, refining and warehousing operations;

• Energy Products: focusing on oil and coal. Our Energy Products businesses include controlled and non-controlled coal mining and oil production operations and investments in strategic handling, storage and freight equipment and facilities; and

• Agricultural Products: focusing on grains, oils/oilseeds, cotton and sugar. Our Agricultural Products group is supported by both controlled and non-controlled storage, handling and processing facilities in strategic locations.

Page 15: New base special  11 may  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

Recycling is the primary energy efficiency technology for aluminum and steel manufacturing , Source : eia.gov

The production of iron, steel, and aluminum is a highly energy-intensive process, accounting for 10% of total manufacturing energy use. The use of recycling in the manufacturing process of these metals has been a main driver of improvements in energy efficiency within the industry.

Primary production, in which steel is made from iron ore and aluminum from bauxite ore, is energy intensive. However, secondary production, which involves the use of recycling scrap to make steel and aluminum, is much more energy efficient. The Environmental Protection Agency estimates that secondary steel production uses about 74% less energy than the production of steel from iron ore, while the U.S. Department of Energy reports that secondary aluminum production requires 90% less energy than primary production.

Secondary production accounts for nearly 60% of U.S. aluminum production (counting both old and new scrap), while primary production accounts for almost 40%. Similarly, recycling is used in most steel production. According to the U.S. Geological Survey (USGS), 40% of U.S. steel production in 2011 came from basic oxygen furnaces (BOF), whose inputs are almost 80% pig iron (molten iron), whereas 60% of production came from electric arc furnaces (EAF), which use more than 90% scrap.

Primary production of steel usually involves using a blast furnace to produce molten iron from iron ore, coal, and coke, using fluxing agents such as limestone to remove impurities. The molten iron (pig iron) is then converted into steel by a BOF. Secondary production facilities typically use an EAF, with scrap providing the main input. In an EAF, scrap is melted using electric arcs, which can be supplemented with natural gas-fueled combustion.

Page 16: New base special  11 may  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

The high energy use of a blast furnace is eliminated by secondary production, with the exception of small quantities of pig iron used as an input along with scrap.

Another alternative to using a blast furnace to produce pig iron is using direct reduced iron (DRI), a process typically fueled by natural gas. Scrap continues to be the primary raw material used in EAFs, but DRI may become a larger component in the raw materials mix.

Iron and steel scrap is classified as home, old, and new scrap. Home, or mill, scrap is generated in the steel mill during production and is recycled in the same facility. Old scrap is postconsumer scrap. The largest source of old scrap is discarded automobiles, along with appliances, machinery, worn out railroad cars and tracks, demolished steel structures, and other steel products. New scrap is produced during the manufacturing process.

In addition to domestic use in steel production, iron and steel scrap trade is significant. In 2011, USGS reported that the United States exported 24.3 million metric tons of scrap, while importing 4 million metric tons.

Page 17: New base special  11 may  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 Khaled Khaled Khaled Al Awadi is a UAE National with a total of 24 yearsAl Awadi is a UAE National with a total of 24 yearsAl Awadi is a UAE National with a total of 24 yearsAl 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 Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for

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

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

great exgreat exgreat exgreat experiences in the designing & constructingperiences in the designing & constructingperiences in the designing & constructingperiences 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 were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many Mroutes. Many years were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many Mroutes. Many years were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many Mroutes. Many years were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUOUOUOUs for s for s for s 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

internationally , via GCC leading satelliteinternationally , via GCC leading satelliteinternationally , via GCC leading satelliteinternationally , via GCC leading satellite ChannelsChannelsChannelsChannels . . . .

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

NewBase 11 May 2014 K. Al Awadi