https://www.engineeringnews.co.za

Eskom tests market for supply of gas to Atlantis OCGT plant

16th September 2013

By: Terence Creamer

Creamer Media Editor

  

Font size: - +

South Africa’s coal-heavy power utility Eskom has issued a request for information (RFI) for the supply and delivery of conventional or unconventional gas to its Ankerlig power station, near Atlantis in the Western Cape.

The open-cycle gas turbine (OCGT) facility currently operates using imported diesel.

In 2012/13 the cost of operating the OCGT plants at Ankerlig and Gourikwa, in Mossel Bay, rose by more than 200% to around R3.6-billion as the utility employed the plants for longer periods to meet peak demand and create space for higher levels of planned maintenance.

Over the five-year period from April 1, 2013, to March 31, 2018, Eskom initially expected to spend over R12-billion to run the plants. But the regulator only approved R10-billion in a bid to deter Eskom from making use of the expensive facilities.

Work is, therefore, under way on the possible conversion of both Ankerlig and Gourikwa to gas.

Eskom is already working with national oil company PetroSA on the possible importation of liquefied natural gas (LNG) through a floating terminal offshore Mossel Bay.

PetroSA aims to make an investment decision on the $375-million to $510-million LNG import facility during the fourth quarter of 2014, and has indicated that the gas will be shared between its gas-to-liquids facility and the Gourikwa peaking power plant from 2018.

Through the new RFI, Eskom is testing whether there are companies that could feasibly supply Ankerlig with a minimum of around 40-million gigajoules yearly.

Earlier this year, gas exploration and development company Sunbird Energy, of Australia, indicated that it hoped to to make an investment decision in early 2015 on the development of the Ibhubesi gas project, off South Africa’s West Coast, which could supply Ankerlig.

The Phase 1 development concept includes the drilling of production wells to be tied back to a central processing facility with a 400 km export pipeline capable of delivering gas to sales points at Saldanha and Atlantis.

However, by opening the RFI to unconventional sources, Eskom could be signalling its willingness to accept gas produced using the controversial hydraulic-fracturing technique.

The utility is seeking responses by October 28.

Edited by Creamer Media Reporter

Comments

Showroom

Yale Lifting Solutions
Yale Lifting Solutions

Yale Lifting Solutions is a leading supplier of lifting and material handling equipment in Southern Africa. Yale offers a wide range of quality...

VISIT SHOWROOM 
John Deere (Pty) Ltd
John Deere (Pty) Ltd

In 1958 John Deere Construction made its first introduction to the industry with their model 64 bulldozer.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.092 0.144s - 174pq - 6rq
Subscribe Now