Page 6 - AfrElec Week 34

AfrElec GAS-FIRED GENERATION AfrElec
First regas plant for Equatorial Guinea
E GUINEA
AN LNG regasi cation and storage plant is set to be built in Equatorial Guinea – the rst such project in West Africa – as the country advances its plans to develop gas-to-power infrastructure.
The facility will be located at the Port of Akonikien, and will enable the transportation and storage of LNG from Equatorial Guinea’s LNG plant at the Punta Europa gas complex on Bioko Island to Akonikien on the mainland. From the regasi cation terminal, gas will be dis- tributed to smaller-scale power plants, as well as being exported to neighbouring countries.
eplantwillhavestoragecapacityof14,000 cubic metres, with 12 cryogenic bullet tanks, a truck-loading station and 12km of 10-inch (254-mm) gas and diesel pipelines. e tanks are reportedly the largest factory-built cryo- genic bullet tanks in the world, with a capacity of 1,228 cubic metres. ey are being constructed by US-based Corban Energy Group.
Equatorial Guinea has chosen local engi- neering contractor Elite Construcciones to lead construction of the terminal. Two German rms,
ESC Engineers and Noordtec, are working with Elite Construcciones on the design, develop- ment and construction of Akonikien LNG.
e project is the rst gas-to-power develop- ment within Equatorial Guinea’s LNG2Africa initiative. Other projects are anticipated to fol- low, according to Equatorial Guinea’s Minister of Mines and Hydrocarbons, Gabriel Mbaga Obiang Lima.
“LNG2Africa has a clear objective of devel- oping small-scale LNG projects to supply gas to countries and regions with limited infrastruc- ture,”saidObiangLimathisweek,whenthepro- ject was announced.
Earlier this year, Obiang Lima said the coun- try’s government would promote development of Noble Energy’s Alen gas and condensate eld o Bioko Island to justify construction of a mega- hub project for the Rio Muni Basin. e scheme would be fed by production from elds in Equa- torial Guinea, and later Cameroon. e Alen gas project was sanctioned by Noble in April and is expected to enter production in 2021.™
SBIDZ actively seeks new partners
SOUTH AFRICA
SALDANHA Bay Industrial Development Zone (SBIDZ) is moving closer to establishing itself as South Africa’s only oil and gas operations base operated exclusively by domestic companies. It has stepped up efforts to attract investors and tenants and will intensify its campaign in November.
Kaashifah Beukes, the acting CEO of SBIDZ, told Engineering News Online recently that her organisation was already in talks with 58 potential tenants of the special economic zone (SEZ). She did not name any of these prospects but said SBIDZ was particularly interested in working with companies involved in nine types of high-potential operations, including mainte- nance and repair for local and international oil and gas operations and fuel and lubricant supply.
She stated that the SEZ had recently achieved another important milestone. In July, she noted, the South African Revenue Service (SARS) cer- ti ed the SEZ as a customs-controlled zone over at least 70% of its area. With this SARS certi ca- tion in place, she explained, investors in the zone will have the right to apply for rebates on certain duties, including value-added tax (VAT).
is is sure to make the SBIDZ more attrac- tive to prospective clients, Beukes added. Previ- ously, she said, marine operators seeking repair services in Saldanha Bay had to decide whether they were willing to pay VAT withholding tax equivalent to 15% of the value of the vessel in
question. “Given that most vessels are valued at above $20mn, the tax has acted as a major disincentive to servicing a vessel or a rig in the SBIDZ,” she remarked.
Without the tax, she said, domestic oil, gas and marine service providers are likely to secure a larger share of the repair jobs now being car- ried out in South African shipyards. Currently, she said, only 5% of the 9,000 port calls made in South African harbours each year lead to the signing of repair and service contracts with domestic companies.
Beukes highlighted SBIDZ’s advantageous location, pointing out that the SEZ was within 24 hours of sailing time from the Horn of Africa trade route. She went on to say that SBIDZ was ready to accommodate a large share of the 30,000 vessels that pass through South African waters each year. Since Saldanha Bay is a deepwater port, it can accommodate ships of all sizes, she said. It is also prepared to establish additional berthing capacity, since it is a newly established facility, she added.
The government established SBIDZ on a 3.56-square km site in 2013. Since then, the gov- ernment of Western Cape has purchased addi- tional land for transfer to the SEZ. It has also concluded a lease agreement with the Transnet National Ports Authority (TNPA) to make more port-side real estate available to potential inves- tors in the zone.™
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w w w . N E W S B A S E . c o m Week 34 28•August•2019