New base special 15 april 2014

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NewBase 15 April 2014 Khaled Al Awadi

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

UAE support for oil price as demand picks up April Yee , The National

Oil prices approaching US$110 a barrel are “acceptable” for producers and consumers, and Opec does not need to change its output target, said the UAE’s deputy energy chief. The group is scheduled to next meet in June in Vienna to debate its 30 million barrel per day (bpd) production ceiling, which has remained unchanged since December 2011.

“I don’t think there will be any change in the quota,” said Matar Al Neyadi, the undersecretary of the UAE Ministry of Energy. “The market is stable, the supply is stable. The price is acceptable and comfortable for the producing countries and the consuming countries.” Brent futures for delivery next month ticked up half a per cent yesterday to US$107.82 a barrel as concerns of conflict between Ukraine and Russia were stoked by a confrontation between Ukrainian and Russian forces in Slovyansk. Russia called for an emergency UN Security Council Meeting.

Last month the group pumped 29.6 million bpd, slightly below its quota, because of cuts in Iraq and Libya and reductions in Saudi Arabia, according to the International Energy Agency, the consumers’ watchdog. The IEA raised its estimate of how much Opec supply the world needs by 350,000 bpd to 30.6 million bpd for the second half of this year.

Prices remain below the level that Opec members Nigeria and Venezuela require to break even on their budgets, according to recent data from Deutsche Bank. The South American country, home to the world’s biggest oil reserves, needs an average price of $121 a barrel this year.

Opec has yet to decide on individual quotas for members, which it eliminated with the last production ceiling in 2011, or on a new leader for the organisation. “We need to see,” said Mr Al Neyadi. “No need to anticipate anything, the meeting will be in two months and I am sure at the meeting anything could happen.”




‘Oman Natural gas demand set to grow by 10-15% in 2014’ BYA E JAMES , TIMES OF OMAN

Oman's natural gas demand growth is seen by 10-15 per cent this year, mainly driven by power projects, gas-based industries, enhanced oil recovery (EOR) projects and new ventures coming

up in Duqm. "Last year we produced about 90 million cubic metres per day of natural gas and this year, we are expecting gas production at 110-115 million cubic metres a day," Salim bin Nasser bin

Said Al Aufi, undersecretary at the Ministry of Oil and Gas, told journalists here yesterday. He was talking to the media on the sidelines of ninth annual asset integrity management summit jointly organised by IQPC and Global Exhibitions and Conferences here on Monday

He said the demand for natural gas from power sector is growing at the rate of 8-11 per cent, while the growth in demand for gas from industries is in the region of 5-6 per cent a year. "Of course, the growth in demand from power projects (for gas) will continue as the authorities are considering new projects. The industrial sector is also growing and gas demand is expected from Duqm area," explained Al Aufi The undersecretary also noted that Iran would be interested in utilising the spare capacity of Oman's LNG trains. "(However), the question is whether the owner of the LNG plant would like a deal to go ahead with it or they would like more things from the deal. That discussion is yet to take place," Al Aufi clarified Al Aufi also said that the government may continue to increase the price of natural gas supplied to major industries. "In the agreement that we signed, there is a clause which allows increase in gas price every year," he said, adding; "The percentage of increase depends on an index." Referring to the progress in implementing a sub-sea pipeline to import natural gas from Iran, Al Aufi said that the agreement is just a memorandum of understanding and a lot of work needs to be carried out. "We need to inspect the route, conduct a feasibility analysis, understand a lot of things in terms of the size of the pipeline, tapping point and landing point. This is not an easy project and we have never done such projects." He said the discussion is for importing one trillion cubic feet of natural gas from Iran, which is equivalent to one third of the country's present gas production. Al Aufi also said that the Sultanate may continue to import natural gas from Dolphin gas, even after Iranian gas reaches Oman. "If we can continue to import it at a reasonable price, we will do so. However, if we can produce gas at a lower cost, we will not import more expensive gas. If we have more gas, we will turn down some of the field to use it in the future." The undersecretary said that the enhanced oil recovery (EOR) projects contribute 18 per cent of the country's crude oil production, which will go up to 30 per cent by 2020. The EOR projects are more expensive. "The average cost of primary crude oil production is $4-5 per barrel, secondary production at $7-8, and EOR projects cost $10-12 per barrel. At the moment, 18 per cent of crude oil production is coming from EOR and therefore, the bill is getting more," he added.




Alstom wins $312m gas turbine deal in Iraq Source : Alastom - news

Alstom has been awarded a contract worth approximately €225 million(1) to provide power generation equipment for the Al-Anbar gas-fired combined-cycle power plant being built in the Anbar province in Iraq. A consortium of Metka SA and Metka Overseas Ltd is building the power plant for the Ministry of Electricity of Iraq.

The 1,642 MW power plant, due to be commissioned in 2016, will add much needed electricity to

the Iraqi grid. Once in operation, it will be one of

the largest and most efficient combined-cycle

power plants in Iraq. Under the scope of the

contract, Alstom will supply four highly efficient

GT26 gas turbines, four Heat Recovery Steam

Generators (HRSG’s), two steam turbines and six

air-cooled turbogenerators.

Commenting on the contract, Steve Meszaros,

Senior Vice-President of Alstom’s Gas business

said: “The Middle East is the most promising

market for gas-fired generation and we are

extremely pleased at expanding our presence in this region. Alstom has been a steady partner in

the reconstruction of Iraq’s energy infrastructure and we are confident that our superior technology

will make Al-Anbar a flagship project for the country”.

Alstom is currently constructing the Al-Mansuriya (728MW) gas-fired power plant in the Diyala

Governorate, northeast of Baghdad and has also recently signed the 740 MW Zubair contract with

ENI Iraq B.V. These plants are based on the GT13E2 gas turbine. Alstom has also supplied the

gas turbine for the Al-Najaf power plant that went into operation last year. Alstom continues to

support the rehabilitation of Iraq’s existing installed base including unit 1 of the Najaf gas-fired

power station, 160 km south of Baghdad.




Malta Oil & Gas orders two jack-up rigs from Drydocks World Source: Drydocks World, April 14, 2014

Drydocks World, a UAE-based international service provider to the maritime, oil & gas and

energy sectors, today announced that it has signed an Agreement with Malta Oil & Gas Ltd.

for building two unique new jack-up drilling rigs based on Gusto MSC CJ54-X135-A design.

The Agreement was signed by His Excellency Khamis Juma Buamim, Chairman of Drydocks World & Maritime World and Paul Robert Thomson of Malta Oil & Gas Ltd.

His Excellency Buamim said, “There is a great demand for new offshore drilling rigs in the rapidly evolving upstream oil & gas sector. Our strategy to contribute to the growth of this sector has paid rich dividends. We are delighted to have made definite inroads into sophisticated engineering and construction to support this sector. Increasingly sophisticated and highly specialized drilling rigs are being used for deepwater exploration and development and this is the latest requirement of the sector and we are fully geared to meet the increasing demand.”

The Unit has dimensions of 76m x 76m and leg length 180.6m and is intended for operation in water depths up to 450 ft. It consists of a triangular shaped hull with three open truss legs, rack and pinion type elevating systems and leg-to-hull fixation systems. The rig will be capable of drilling HPHT (High Pressure High Temperature) wells. It is equipped with a permanent accommodation for 150 persons, a heli-deck suitable for the use of a S61N or S92 helicopter and a retractable X-Y type cantilever carrying the drilling derrick.

Drydocks World is undertaking a strategic development in its rig business from repair & refurbishment and rehabilitation to new building. The company is taking advantage of the presence of a highly-experienced management team and the ready availability of a strong dedicated engineering team to implement changes to original basic design, which holds the key to successful delivery. In addition, the Operational Excellence cycle is adhered to at all levels of




production and the rig will be constructed in accordance to the cycle. The operation excellence initiative, which started with preliminary meetings involving clients has helped in understanding the rig’s operational requirements.

Operational Excellence introduced within the organization has changed the philosophy of leadership, and management of tasks at various levels resulting in continuous improvement throughout the organization by focusing on the needs of the customer and optimizing existing activities in the process. This approach has helped the shipyard achieve an incident-free workplace and safety milestones on all its key projects – 7.2 million (7,220,425) man hours without Lost Time injury has been achieved in the first quarter of 2014 – promote a healthy workforce, identify and mitigate environmental and safety risks, provide high quality and reliable services and optimize the efficient use of resources. Constant and sustained efforts have been made to achieve and maintain a culture of excellence over time.

Drydocks World has processes based on industry best practices that lay out the requirements and procedures for meeting safety, health and environmental objectives. The company has been doing pioneering work to introduce safer & greener environmentally friendly initiatives in all areas of the business. These initiatives have received widespread recognition & greatly enhanced the reputation of DDW as an organization that is environmentally responsible. Numerous clients have emulated the company’s practices in their businesses after having seen its success in these areas. Green technologies will be introduced wherever applicable to make the rig environment friendly. Drydocks World is committed to adding value to all its projects by incorporating new technologies, which will reduce operating cost and improve energy efficiency.

About Malta Oil & Gas Ltd ( MOG ) :

MOG was established in 2006MOG was established in 2006MOG was established in 2006MOG was established in 2006 primarily as an oil and gas exploration company and has been in negotiation with

governments through out Europe and Africa…. MOG completed evaluations of favorable prospects and continue

negotiations with the Governments and will commit to complete 3D seismic of the areas. The company also boasts a

consultancy department and conducts exploration programmes for mid to large Exploration and Production

corporations. The company is strategically placed in the Mediterranean and operates on a global scale. The company

has networking partners across 5 continents and is an established Oil & Gas Exploration and Production Company.

Recent Projects :-

Project North Sea:Project North Sea:Project North Sea:Project North Sea: Malta Oil & Gas consulted as Drilling Management. Involved in a farm out agreement

between two operating companies whilst remaining in control Semi-sub. Supervised the transition between

the contracts and continued with the drilling program which included 3 x productions wells for an

operating company in the Northern North Sea Accountable for the timely delivery of the wells, whilst also

responsible for the cost effective execution of all programmes both drilling, completion and production.




BP awards South Caucasus Pipeline engineering job to CB&I Press Release,

CB&I has been awarded a contract valued in excess of $85 million by a consortium led by BP for engineering and project management services for the development of the South Caucasus Pipeline Expansion (SCPX) project, part of the Stage 2 development of the Shah Deniz field located in the Azerbaijan sector of the Caspian Sea.

The South Caucasus Pipeline is a pipeline that transports gas from the Shah Deniz field to Turkey via Azerbaijan and Georgia. “This award builds on the successful relationship between CB&I and BP and is a testament of the customer’s confidence in our experience and ability to engineer this critical infrastructure,” said Patrick K. Mullen, President of CB&I’s Engineering, Construction and Maintenance operating group.

Shah Deniz Stage 2

Shah Deniz Stage 2, or Full Field Development (FFD) is a giant project that will add a further 16 billion cubic meters per year (bcma) of gas production to the approximately 9 bcma produced by Shah Deniz Stage 1.

Around $28 billion capital investment will be required to produce the gas and transport it to the Georgia-Turkey border. From there additional pipeline systems are planned to deliver 6 bcma of gas to Turkey and a further 10 bcma of gas to markets in Europe. Shah Deniz Stage 2, one of the largest gas developments in the world, will help increase energy security of European markets through the opening of the new Southern Gas Corridor.




The current concept for Shah Deniz Stage 2 includes:

• two new bridge-linked offshore platforms. • 26 gas production wells which will be drilled with 2 semi-submersible rigs. • 500 km of subsea pipelines will link the wells with the onshore terminal. • upgrade of the offshore construction vessels • expansion of the Sangachal terminal to accommodate the new gas processing and

compression facilities.

Transportation of Shah Deniz gas from the Caspian Sea across 3,500 kilometres to Europe requires enhancement of some existing infrastructure and development of a chain of new pipelines.

• South Caucasus Pipeline (SCP) will be expanded with a new parallel pipeline across Azerbaijan and Georgia.

• In Turkey, Shah Deniz gas will be transported through a new Trans Anatolian Pipeline (TANAP).

• In Europe, Trans Adriatic Pipeline will be built to take gas through Greece and Albania to Italy.

First gas is targeted for late 2018, with sales to Georgia and Turkey; first deliveries to Europe will follow approximately a year later.

The expansion of the South Caucasus Pipeline is part of the Shah Deniz Full Field Development project. This expansion will involve the laying of new pipeline across Azerbaijan and the construction of two new compressor stations in Georgia. This will triple the gas volumes exported through the pipeline to over 20 billion cubic metres per year. At the border between Georgia and Turkey, the pipeline will link into other new pipelines to provide gas into Turkey and the European Union. A Final Investment Decision on the SCP expansion project was taken on 17 December 2013, coincident with Shah Deniz Stage 2. During 2014 it is planned to award a series of contracts

including the early works and pipeline facilities as well as for pipeline construction in Azerbaijan. The first shipment of line pipe is expected to arrive in Azerbaijan later this year.




FMC Technologies confirms Shah Deniz deal worth $332M

FMC Technologies, Inc. announced today that it has received an order from BP to supply subsea systems for its Shah Deniz Stage 2 project in the Caspian Sea. The order has an estimated value of $322 million in revenue.

FMC Technologies’ scope of supply includes subsea manifolds, associated controls and connection equipment as well as key controls and connection components for subsea production trees. The Shah Deniz field is located in the Azerbaijan sector of the Caspian Sea, 43 miles (70 kilometers) southeast of Baku.

“This award culminates three years of pre-engineering work between FMC Technologies and BP on this project,” said Tore Halvorsen, FMC Technologies’ Senior Vice President, Subsea Technologies. “This close cooperation will accelerate the transition to the manufacturing stage and enable reduced lead time delivering the project.”




Malaysia :Final decision on Pengerang Integrated Petroleum Complex (PIPC) http://www.2b1stconsulting.com/final-decision-on-pengerang-integrated-petroleum-complex-pipc/

In making the final investment decision (FID) on the Pengerang Integrated Petroleum Complex (PIPC), the Malaysia national oil company (NOC) Petronas is triggering the execution phase of the Refinery And Petrochemical Integrated Development (RAPID) project in the south Johor next to Singapore.

With RAPID as master piece, the Pengerang Integrated Complex project is the fish bone of

Malaysia Economic Transformation Programme. As most of the developing countries in Asia, Malaysia is willing to value its oil and gas resources primarily to increase its local transformation activities and correlated employment. This strategic choice is boosting the oil and gas exploration production in order to feed the refinery and petrochemical integrated complex.

In addition it requires to build a crude oil and liquefied natural gas (LNG) import terminal and regasification as Malaysia may turn to become in the same time importer and exporter of hydrocarbon products.

Located at the south-east end of the Malaysia Peninsula the Pengerang Independent Deepwater Petroleum Terminal (PIDPT) will benefit from a direct access to international shipping lines with the proximity of Singapore Jurong Island hub.

The local Dialog Group and the Dutch Royal Vopak are currently completing the Pengerang Terminal Phase-1 and are already working on the Phase-2 in targeting five million cubic meters capacity by the year 2020 to secure the feedstock supply of Petronas RAPID project.

Petronas RAPID to involve Evonik, Itochu, Versalis




In 2013, Petronas signed licence agreements with international petrochemical and engineering companies to optimize the critical processes of Pengerang Integrated Petroleum Complex (PIPC).

While Technip completed the front end engineering and design (FEED) for the 300,000 barrels per day (b/d) refinery and the petrochemical complex, CB&I Lummus provided Petronas with the licences and basic design for the steam cracker to produce the:

- Benzene , - Butadiene , - Ethylene, - Isobutylene , - MTBE

In parallel Jacobs designed the sulfur recovery units.

With the German chemical company Evonik Industries AG (Evonik) , Petronas is planning to build:

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

- 220,000 t/y of isononanol

- 110,000 t/y of 1-butene

As a world leader of the production of elastomers, Versalis, the chemical branch of Italian national oil company Eni, established a joint venture with Petronas for the synthetic rubber production units in RAPID.

In total the Rapid project should contain more than 28 different production units.

Planned to start operations in 2016 or 2017, the RAPID project met some delays because of the infrastructures required to support Malaysia largest ever project.

To power Petronas RAPID project and all related facilities, the Pengerang Integrated Petroleum Complex will include a:

- 1,300 MW gas-fired power plant - Dam with 88 kilometers pipeline to supply soft water to the complex.

After aligning all the packages to allow the final investment decision on the Pengerang Integrated Petroleum Complex, Petronas and its partners, Evonik, Itochu and Versalis, are expecting the RAPID project to come on stream by 2019.

Refinery And Petrochemicals Integrated Development

(RAPID) Project Images




Pipeline pre-commisioning gig for Barakah Offshore

Malaysia’s Barakah Offshore Petroleum Berhad has through its subsidiary PBJV Group

Sdn Bhd received a pipeline contract from GOM Resources Sdn Bhd, a Malaysia-based

offshore installation contractor.

The contract is for the provision of pre-commissioning services for 28” x 282km pipeline from onshore Kerteh Terengganu towards the border of Malaysia/Thailand Joint Development Area. The work for the contract is expected to start in the third quarter of 2014. The job is expected to be completed by the first quarter of 2015.




Papua New Guinea approves Horizon Oil to develop Stanley gas project Source: Horizon Oil

Horizon Oil has been formally notified of the decision of the PNG National Executive Council (NEC) to approve the Stanley gas condensate development project, in Western Province.

In association with its approval of the Stanley Project, the NEC:

1. has authorised Minister Duban to sign the Gas Agreement with Horizon Oil’s subsidiary company, Horizon

Oil (Papua) Limited and its fellow licensees (1), on behalf of PNG. The Gas Agreement prescribes key rights

and obligations of the State and licensees in respect of the Stanley Project, including the project fiscal terms

and commitments to local content.

2. has approved the benefit sharing arrangements amongst project area landowners and authorised the

commencement by the Minister of the development forum required under the PNG Oil and Gas Act (the

Act).

Horizon Oil further advises the licensees have received notification of the Minister’s intention to grant a petroleum development licence (PDL 10) and pipeline licence (PL 10) in respect of the Stanley

Project and, in accordance with the Act, Horizon Oil and its fellow licensees have requested the Minister grant such licences.

The Minister has requested the licensees attend a formal ceremony for signing of the Stanley Gas Agreement on 17 April 2014. Under the terms of the Gas Agreement, the Minister will grant Horizon Oil and its fellow licensees Stanley PDL 10 and PL 10 within two weeks of its execution. Grant of PDL 10 is the final step to completion of Horizon Oil’s sale of 40% of its

PNG asset to Osaka Gas and will trigger transfer to Horizon Oil of the balance of the sale proceeds plus adjustments of approx. US$77 million in total.

The participants are:-

Horizon Oil (Papua) Limited (operator) 30% (a wholly owned subsidiary of Horizon Oil Limited (HZN:AU))

Osaka Gas 20%

Talisman Niugini Pty Limited 40% (a wholly owned subsidiary of Talisman Energy Inc (TLM:US))

Mitsubishi Corp 10%




Kenya: BG Group's Sunbird-1 intersects hydrocarbon zone offshore Source: Pancontinental Oil & Gas

• Sunbird-1 has intersected a gross hydrocarbon column of approx. 44m in the Sunbird Miocene Reef

• Recovered Gas and Liquids samples continue to be analysed and assessment of the discovery zone is

ongoing

• Results highlight the strong potential of Pancontinental’s extensive offshore Kenyan acreage

JV partner Pancontinental Oil and Gas has advised that the BG Group-operated Sunbird-1 well off the southern Kenyan coast has been completed and the well has intersected a hydrocarbon-bearing zone in the top of the Sunbird Miocene Pinnacle Reef. Analysis of the zone itself and recovered hydrocarbon samples are continuing. Analysis of the wireline log data and the fluid samples recovered from the limestone reservoir is complex due to the large volume of drilling fluid, seawater and cement lost to highly porous and permeable zones in the Sunbird Reef, including into the hydrocarbon bearing zone. Both gas and liquid samples have been recovered. In addition to the recovered gas, the nature of the liquid samples and whether or not these contain naturally occurring hydrocarbon liquids (oil or condensate) remains to be determined by further analysis.

The top of the Sunbird Miocene Pinnacle Reef was reached at 1,583.7m subsea. The water depth is 723m. The 43.6m gross hydrocarbon bearing zone is currently assessed to contain a net pay thickness of 27.8m. In this case, net pay is defined as the cumulative thickness of zones having porosity of 10% or greater. Zones with porosity lower than 10% are not included in the net pay assessment. At this stage, due to its estimated

size, the Sunbird discovery itself is considered unlikely to be commercial.




Pancontinental has an 18.75 percent interest in the well and Block L10A. The Operator of the Block L10A Petroleum Sharing Contract, BG Group, is continuing to assess the results for the L10A consortium and will recommend a follow-up program.

A further statement regarding the discovery will be made once the remaining analyses have been completed. Sunbird-1 has now been 'plugged and abandoned' in accordance with the planned drilling program, meaning that the well has been made safe in such a way that it can be left permanently without further intervention. These measures are designed to ensure that there is no danger of leakage of oil or gas within the well or to the sea floor.

Pancontinental’s Chief Executive Officer Barry Rushworth said the implications for regional exploration were very positive.

'The drilling operation using the Deepsea Metro 1 drillship has been completed, with the well drilling into a hydrocarbon-bearing carbonate reef reservoir that was highly porous and permeable' Mr Rushworth said. 'We await the results of the continuing analysis of the data acquired from the well. We encountered a thick and effective seal over the top of the Sunbird Reef, which was an initial risk for us, and the regional follow-on implications are truly great. Porosity, permeability and seal for the reservoir were all better than Pancontinental expected. While the high quality of parts of the reservoir, in terms of porosity and permeability, resulted in the loss of quantities of drilling fluids and consequently the analysis of the hydrocarbon column has been made difficult, we expect to have a conclusive result after further analysis'. 'We look forward to receiving the full and final Sunbird results and we believe that we are now in an excellent position to explore for larger volumes of gas and oil over our very extensive portfolio of prospects and leads offshore Kenya'.

Future Exploration

The L10A joint venture is considering follow-up exploration activities after the Sunbird-1 discovery. The Sunbird discovery is expected to yield important details of the hydrocarbon system in the Lamu Basin, including the age of the source rock and the timing of generation. L10A covers a variety of play types, prospects and leads. Many of the prospects have been defined using the two 3D seismic surveys carried out by the joint venture. The Sunbird Prospect is one of an inboard cluster of Miocene reefs. Outboard prospects include Tertiary and Cretaceous channels, large anticlinal complexes and series of Cretaceous and Tertiary fault bounded prospects.

Other offshore Kenyan activity includes an exploration well to be drilled by Anadarko, as recently announced for later in 2014.

L10A Consortium

The Kenya L10A consortium consists of: BG Group (Operator) 50.00%; PTTEP 31.25%; Pancontinental 18.75%.




Angola to launch tender for 10 new onshore oil blocks on May 30 Source: Reuters

Angola will start the tender process for onshore oil exploration at 10 new blocks in the Congo Basin and

Kwanza Basin on May 30, state oil firm Sonangol said on Monday. Companies that want to take part in the tender must submit documentation on their business structures, activities and finances by April 30 to enter the pre-qualifying stage, Sonangol said in a statement. Angola, Africa's biggest oil producer after Nigeria,

extracts nearly all its crude from offshore fields, but is seeking to develop its onshore potential. Sonangol said in February that the 10 blocks may hold, on average, reserves of 700,000 barrels of oil each. The government puts Angola's total reserves at just under 13 billion barrels. Seven of the new blocks are in the Kwanza basin and three in the Congo Basin.

Angola produced 1.73 million barrels

of oil per day on average last year, with major international firms such as France's Total, Britain's BP and Chevron of the United States among the leading operators. Sonangol said on Monday that firms already operating in Angola would not be exempt from submitting documents for the pre-qualifying stage for the new onshore blocks.

Luanda ,Angola’s Capital




US Jordan Cove LNG project received non-FTA countries approval Press Release – Veresent Inc.

The Canadian midstream company Veresen Inc. (Veresen) took a leap in receiving from the US Department of Energy (DOE) the precious approval for exporting to the non-free trade agreement (non-FTA) countries liquefied natural gas (LNG) from its Jordan Cove LNG Export Terminal project in Oregon, on the West Coast of USA.

With most of its gas pipelines activities concentrated in British Columbia and Alberta, the Calgary-based Veresen had originally planned the Jordan Cove LNG project as an import terminal as an extension of its transportation systems in the south in order to supply the US market before the shale gas revolution.

Since this original plan, the shale gas revolution has expended to British Columbia and Alberta in addition to the existing production of heavy crude oil associated gas generating multiple LNG projects on the West Coast of Canada. Because of this historical heritage, Jordan Cove LNG is one of the very few LNG Export Terminal projects with Oregon LNG on the West Coast of the USA as all other projects are concentrated on the US Gulf of Mexico. In reducing by 50% the shipment lead time to Asia markets compared with the Gulf of Mexico and saving the costs to come across Panama Channel, Veresen intends to increase its market leadership. In this perspective Veresen obtained the Canada National Energy Board approval to export gas supply to USA in order to supply Jordan Cove LNG in the most competitive conditions.




On the US side the DOE gave its approval for the import of this Canada sourced gas for up to 1.55 billion cubic feet per day (cf/d). Only the Federal Energy Regulatory Commission (FERC) approval is missing to allow Veresen to start Jordan Cove LNG Export Terminal construction.

Veresen and Williams in Pacific Connector Gas Pipeline

To supply Jordan Cove LNG Terminal with Canadian gas, Veresen established the Pacific Connector Gas Pipeline LP 50/50 joint venture together with the US midstream company Williams Companies LP

(Williams) to design and build a 370 kilometers gas pipeline to connect Canadian Veresen pipeline system to existing Williams US pipeline system reaching the Port of Coos Bay in Oregon where Jordan Cove LNG Terminal lies. According to the commercial agreements in place, Veresen is planning to build two LNG trains of 3 million tonne per year (t/y) each in a first phase but it owns the licence for a third LNG train to export up to 9 million t/y LNG.

Since Veresen completed the front end engineering and design (FEED) for the first phase of the Jordan Cove LNG project, it will move ahead for the construction as soon as the FERC approval has been granted. While the construction of the Jordan Cove LNG Export Terminal Phase-1 will start on second half of 2014, Veresen expects to extend its binding commercial agreements to secure the capacity required to initiate the Jordan Cove LNG Export Terminal Expansion project by 2015.

The Oregon International Port of Coos Bay has promoted the terminal as a source of jobs and economic development for a region still struggling to overcome downturns in the timber industry. Construction of the Ruby Pipeline has brought gas from Wyoming to Southern Oregon, where it is sent to California. Construction of a new pipeline would link Ruby with Jordan Cove.




U.S. renews ConocoPhillips' permit for Alaska LNG exports Source: Reuters via Yahoo! Finance

The U.S. Energy Department on Monday renewed ConocoPhillips' permit allowing the company to export liquefied natural gas from Alaska to all countries. The approval was largely expected, as the U.S. government has long allowed LNG exports from Alaska's Kenai terminal, issuing its first permit allowing the shipments in 1967.

With the latest permit, ConocoPhillips will be able to export up to 40 billion cubic feet of LNG from Kenai over the next two years. ConocoPhillips' previous permit lapsed in March 2013 amid concerns about falling gas output in the Cook Inlet region. Last September, Alaska's Department of Natural Resources asked ConocoPhillips to resume LNG exports to help support local natural gas production and provide natural gas supply security in Southcentral Alaska.

'Today's announcement by DOE ... highlights the growth that's occurring in Cook Inlet, where there is now ample gas supply to both meet local needs and help out our friends overseas,' said Senator Lisa Murkowski of Alaska, the top Republican on the Senate energy committee.

The recent push to export substantial amounts of LNG from the lower 48 states has faced opposition from some heavy industrial companies concerned that exports may cause shortages and price spikes. However, Alaskan gas exports have not been a major source of controversy because the state's geographic isolation means not much of its gas goes to the lower 48.

Japan has typically been the main buyer of Alaskan LNG.




200 delegates to attend Kuwait SPE event

More than 200 delegates are set to attend the first SPE Oilfield Water Management Conference

and Exhibition, which will offer a focused technical programme in Kuwait next week.

The event, organised by the Society of Petroleum Engineers, will take place on April 21 and 22 at

the Hilton Kuwait Resort, under the theme ‘Full Cycle Water Management Challenges and

Solutions.’

Hassan Bunain, conference chairman and deputy CEO (West Kuwait) of Kuwait Oil Company, said: “This two-day event will provide oil and service companies, both regional and international, the opportunity to demonstrate their current capabilities, state-of-the-art technologies, and exchange expertise for the demanding development of water management in petroleum business activities.”

The event will include an executive plenary session on the first day deliberating the conference theme and a panel session on the second day entitled ‘A Vision for the Future of Water Management and an Integrated Approach to Water Management from Production to Re-Utilisation.’

The speakers at the panel sessions will use case studies from their own companies to demonstrate the challenges faced and strategies used to find optimum resolutions.

The exhibition, which will run alongside the conference, will showcase advanced technologies from companies including Advanced Sensors, Al Kout Industrial Projects, Aquatech International Corporation, Baker Hughes, Kuwait Oil Company, Miox Corporation, NOV Mono, ProSep, Schlumberger, Sumitomo Electric Industries, and WaterTectonics Middle East. -

It has been reported that worldwide average production of oil-produced water was in the range of 210 million

barrels per day, or about 77 billion barrels per year, giving an average water-oil ratio of approximately 3 to 1

(10 to 1, in some cases).




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 Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al 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 Technical Affairs Specialist for Technical Affairs Specialist for Technical Affairs Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for

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

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

great experiences in the designing & constructinggreat experiences in the designing & constructinggreat experiences in the designing & constructinggreat experiences 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 routes. Many years routes. Many years routes. Many years were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs for were spent drafting, & compiling gas transportation , operation & maintenance agreements along with many MOUs 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

inteinteinteinternationally , via GCC leading satelliternationally , via GCC leading satelliternationally , via GCC leading satelliternationally , via GCC leading satellite ChannelsChannelsChannelsChannels . . . .

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NewBase 15 April 2014 K. Al Awadi

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