Increased Energy Production News

While the Nordic countries are among the most advanced in terms of clean electricity generation, their consumption of energy per capita is also among the highest in the world due to cold climate and a sparse population distribution. To meet growing electricity demand and accompany increased energy production, BKK Nett AS, one of Norway’s largest power companies, decided to install the Kollsnes-Mongstad power line to strengthen the electrical grid in Western Norway. After the manufacturing and installation of two submarine cables for Kollsnes-Mongstad connection, BKK Nett AS has awarded Nexans with a contract worth approximately 37 million euros for delivery of the third and last submarine cable to complete the Modalen-Mongstad connection.

Classification society ClassNK has released its Guidelines for Compressed Natural Gas (CNG) Carriers. Global economic and population growth is bringing about increased energy production and consumption. In its latest forecast, CEDIGAZ, an international not-for-profit association dedicated to natural gas information, predicts that global natural gas demand will grow by 1.8 percent a year from 2013 to 2035 with the largest portion of this growth coming from Asia-Oceania and the Middle East. Natural gas share in world primary energy supply is projected to increase from 21.3 percent to 23.6 percent over the same period. As the demand and supply of natural gas increases, the volume of transportation of natural gas will also expand.

Expanded U.S. liquefied natural gas exports would mean a modest price increase for domestic consumers, but the higher costs would be offset by a boost to the economy, the U.S. Energy Information Administration said on Wednesday. Residential natural gas prices would likely be 5 percent higher than otherwise would be the case between 2015 and 2040 if U.S. LNG exports rose to 20 billion cubic feet per day, said the EIA report. Growth of LNG exports would be supported mainly by more shale gas production, according to the report, which was commissioned by the U.S. Energy Department. "Increased energy production spurs investment, which more than offsets the adverse impact of somewhat higher energy prices," the EIA said.

Shell and Statoil announced a plan to use carbon dioxide to increase offshore oil recovery in the North Sea. Carbon dioxide (CO2) would be captured from power generation and pumped into an underground reservoir to enhance oil recovery, resulting in increased energy production with lower CO2 impact. The project was estimated to cost about $1.4 billion dollars. The project, due to be phased in between 2010 and 2012, comprises a gas-fired power plant and methanol production facility at Tjeldbergodden near Trondheim in central Norway, which would provide CO2 to the Draugen and Heidrun offshore oil and gas fields. Operations in the Draugen field began 1993 and production was projected to run through 2013. The new project could extend production several years.