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DMEA NEWS IN BRIEF DMEA

Siemens Energy to help the companies facilitated seamless them to death before the tanker burst into
communication and smooth negotiations
flame, This Day local website reported.
reduce emissions at NLNG virtually.” State Sector Commander of the Federal Road
Providing details on the incident, Kogi
Manufacturing, testing, and packaging
plant of the compression train will take place in Safety Corp Idris Fika Ali confirmed that 23
people were killed in the explosion while one
Duisburg, Germany, with a Free on Board
Nigeria LNG (NLNG) selected Siemens delivery slated for Q4 of 2021. child survived with injuries.
Energy to provide a cryogenic boil-off gas He went on to say that the occupants of the
(BOG) compression train for its Bonny 10 vehicles involved have been killed.
Island plant. The solution will play a key Glencore sues Cameroon’s
role in providing additional BOG handling
capability and spares for the existing system. Somara over unpaid oil Fitch affirms Saudi Aramco
The new BOG compression train will
be driven by a high-efficiency electric supplies long-term issuer default
motor and includes two Siemens Energy
centrifugal compressors. State-owned refinery Sonara was sued rating at A, outlook stable
Located in Finima, Nigeria, the Bonny before the High Court of Justice in London,
Island plant has been in operation since according to specialised news outlet Energies Fitch, a ratings agency, affirmed Saudi Arabian
1999. Siemens’ partnership with NLNG and Media, which quotes Law360, a website Oil Company’s (Saudi Aramco) long-term
the Bonny Island project can be traced back specializing in legal affairs and commercial issuer default rating at A, assigning it a
over two decades when the plant was first litigation. stable outlook. Saudi Aramco is the world’s
commissioned. Before this English court, Glencore largest oil producer. Its business profile is
“With more than 20 years of safe Energy UK Ltd (a subsidiary of Swiss characterised by large-scale production, vast
and reliable production, the NLNG commodities trader Glencore), via the law reserves, low output costs and expansion into
Bonny Island plant is a staple facility firm Ince Gordon Dadds, is demanding the downstream and petrochemicals.
in the global LNG industry,” said Arja payment of €14.7 million, i.e XAF9.6 billion. Saudi Aramco’s rating is driven by its
Talakar, Senior Vice President, Industrial According to Glencore, this amount conservative financial profile leaving it with
Applications Products for Siemens Energy. represents, for the most part, late payment a net cash position at end-2019. Saudi Arabia
“NLNG’s selection of our cryogenic BOG penalties in connection with a supply has agreed with other OPEC+ countries to
compression technology is a testament not contract where 1.6 million barrels of crude make significant production cuts in 2020-
only to the reliability and performance of oil were delivered to SONARA between 2022 to re-balance the global oil market. Fitch
our existing equipment at the plant but November 2012 and January 2015. The Swiss estimates Saudi Aramco’s liquids production
also to our focused service and ability to trader sued its partner for not paying their will fall by about 7% year on year in 2020
meet local content requirements through invoice within the contractual deadlines. before rebounding gradually in 2021-2022,
our in-country presence. The new BOG Most of the payment demanded is made but expects the company to benefit from
compression train will contribute to of interests Glencoe deemed entitled to, stabilised oil prices. The company was also
NLNG’s goal of reducing greenhouse gas however, Law360 adds. able to revise down its capex budget to $25bn-
emissions in a highly sustainable manner.” $30bn in 2020, compared with $33bn in 2019.
The order further establishes Siemens Saudi Aramco’s business profile is very
Energy’s leading role in LNG boil-off gas 23 dead in Nigerian fuel strong. According to Fitch, its lifting costs
compression. The company has a fleet of were $2.8 per barrel of oil equivalent (boe)
cryogenic BOG compressors that have tanker crash and upstream capex of $4.7 per boe in 2019,
accumulated more than 4.2mn hours in much lower than those of competitors.
service. At least 23 people were killed on September Saudi Aramco’s business profile also benefits
“Because of current restrictions 23 as a fuel tanker crashed in Nigeria’s central from a very large scale of production and
brought on by the COVID-19 pandemic, state of Kogi, local media reported. a vast proven reserve life in excess of 50
all discussions between Siemens Energy The incident took place on the Lokoja- years. However, it is more exposed to energy
and NLNG were conducted remotely via Abuja highway when a petrol tanker loaded transition risk than other oil majors, as it
virtual meetings,” said Matthew Russell, with premium motor spirit lost control and is less integrated into natural gas and is not
Head of LNG Industrial Applications rammed into five cars, three tricycles and two planning to diversify into renewables on a
Products for Siemens Energy. “In the end, motorbikes. large scale.
proactive planning, perseverance, and The tanker reportedly fell on one of the
the long-standing relationship between five cars which was carrying a family crushing

Week 38 24•September•2020 www. NEWSBASE .com P19