Page 8 - GLNG Week 26 2021

GLNG AFRICA GLNG

DFFE rejects Karpowership’s applications

for LNG-to-power projects

PROJECTS & SOUTH Africa’s Department of Forestry, Fish- in each port. (The powerships were to have a
COMPANIES eries and the Environment (DFFE) has decided combined generating capacity of 1,220 MW.)
against giving Karpowership (Turkey) per- DMRE selected Karpowership within the
mission to go ahead with three LNG-to-power framework of an emergency effort to alleviate
projects. South Africa’s ongoing electricity shortages. This
DFFE announced its decision in a statement effort, known as the risk mitigation independent
dated June 24. “The competent authority in the power producers programme, was designed to
department has decided, after due consideration make another 2,000 MW of generating capacity
of all relevant information presented as part of available within a short period. However, DFFE’s
the environmental impact assessment process ruling may prevent the Turkish company from
for all three applications in question, to refuse meeting its obligation as a preferred bidder to
the applications for the environmental author- wrap up agreements by the end of July.
isations,” it said. It explained the ruling by saying A spokesperson for Karpowership told Reu-
that Karpowership had not yet had the time to ters last week that her company intended to
assess the environmental impact of the projects. appeal against DFFE’s decision. She also asserted
The Turkish company began seeking envi- that Karpowership had been the target of a “mis-
ronmental approvals for the establishment of information campaign” that had raised undue
LNG-to-power facilities in the ports of Coega, concerns about the risks of the LNG-to-power
Richards Bay and Saldanha last October, when projects.
it was chosen by the Department of Mineral “Karpowership SA conducted a robust
Resources and Energy (DMRE) to execute pro- public participation process, met all South
jects at these three sites. In its applications, it out- Africa’s stringent environmental require-
lined plans for anchoring paired floating storage ments and is confident that it will win the
and regasification units (FSRUs) and powerships appeal,” she declared.™

AMERICAS

Delfin requests delay to FLNG plan

PROJECTS & US-BASED Delfin LNG has asked federal which Delfin says bolsters its chances of entering
COMPANIES energy regulators for more time, until September into long-term LNG offtake contracts.
2022, to bring the onshore facilities related to its The company added in its FERC filing that it
proposed floating LNG (FLNG) export project was “confident that it will secure commercialisa-
off the coast of Louisiana into service. This would tion in the coming year”.
be the third extension for the project, which had Delfin’s FLNG project would use existing off-
initially been authorised to enter service by Sep- shore pipelines to supply gas to up to four vessels
tember 2019. that could produce up to 13mn tonnes per year
Delfin asked for its first extension in June (tpy) of LNG. The plan is one of several proposed
2019, and had requested to have until March for the US Gulf Coast, but is the only offshore
2023 to complete the project. However, the US project among the proposals.
Federal Energy Regulatory Commission (FERC) The company’s request for a further exten-
only gave Delfin a one-year extension, until Sep- sion comes as momentum appears to be pick-
tember 2020. ing up for some of the other LNG projects in the
Delfin then succeeded in receiving another region that have yet to reach the final investment
one-year extension in June 2020, giving it until decision (FID) stage. For example, Tellurian
September 2021 to finish the project. However, announced this week that it had signed a long-
delays have continued to plague Delfin’s plans. term lease with the Lake Charles Harbor and
This time, when asking for this third extension, Terminal District in Louisiana for the site of its
the company talked up what it believes to be proposed Driftwood LNG terminal. Signing the
improved prospects for its project. It cited the lease had recently been identified by Tellurian’s
global recovery from the coronavirus (COVID- executive chairman, Charif Souki, as one of the
19) pandemic and said that spot and short-term key remaining steps the company had to take
markets for LNG had “significantly improved”, prior to reaching an FID on Driftwood.™

P8 www. NEWSBASE .com Week 26 02•July•2021