South Africa Procurement News Notice - 36340


Procurement News Notice

PNN 36340
Work Detail An Australian gas explorer and developer focused on advanced shallow conventional gas and coal bed methane opportunities in South Africa is about to start its Amersfoort gas-to-power (GTP) Project in Mpumalanga. Kinetiko Energy Ltd has provided an update on its production developments following its Korhaan project drilling success and licence approval. The company is working with Gas-To-Power partners Vutomi Energy (Pty) Ltd. The programme entails using existing wells at Amersfoort in Mpumalanga to produce gas for an in-field containerised generator linked to the country’s existing grid. The first phase of commissioning and testing will be undertaken to target 1MW of output. Further phases are planned for the upgrading of conductors and transformers to enable scalable modular increased output to 5MW. Kinetiko CEO Nick de Blocq said the overall gassy sandstone geology evidenced by logging and testing the three new Korhaan wells has given them the confidence that they have long-term feedstock support for the Amersfoort Gas to Power project, with further cluster development available to supply increasing power output to an extremely energy-hungry nation. “This conviction has also spread to achieving maiden gas reserve certification and we have now engaged Sproule BV to undertake this assessment and certification,” explained Blocq. The gas-to-power project is planned to be operated in three phases: Phase 1: Proof of drive, involving gas from a single well to the generator and conduct commissioning of equipment for a few days to undertake load and compliance testing and prove reliability of the equipment and machinery. Phase 2: Connect and supply to the existing community electricity grid with an initial output of 1MW, which is already conceptually sold on a domestic spot price basis to an off-taker in nearby Mpumalanga. Phase 3: Advance infrastructure and add machinery modules to enable a 500% increase in output (already Eskom approved). Eskom has issued electricity production licences and their design approvals for both levels of power output. Final permits to proceed are expected imminently. The Vutomi generator is undergoing a full service and function testing programme and will be ready to move to the site within the early fourth quarter of 2022. The Company is finalising negotiations to procure a gas collection separator, a dehydrator system and an in-field water treatment solution to enable controlled gas flow to the Vutomi infrastructure versus their engine intake specifications.
Country South Africa , Southern Africa
Industry Oil & Gas
Entry Date 16 Aug 2022
Source https://www.esi-africa.com/industry-sectors/business-and-markets/sa-amersfoort-gas-to-power-project-is-ready-to-kick-off/

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