Sep 11, 2017

India renegotiates 20-year Australian LNG deal with Exxon Mobil

India
Jonathan Dyble
2 min
Exxon Mobil
Indian Oil Minister, Dharmendra Pradhan, has revealed the renegotiation of the price of liquefied natural gas (LNG) imported from Australia’s Gorgo...

Indian Oil Minister, Dharmendra Pradhan, has revealed the renegotiation of the price of liquefied natural gas (LNG) imported from Australia’s Gorgon project, making the fuel commodity more affordable to domestic consumers.

“Indian customers will receive (Gorgon) LNG volumes at an amicable price soon. This is done in a similar way to what we did with LNG from Qatar,” Pradhan said in a tweet.

India’s biggest gas importer, Petronet LNG, signed a 20-year deal with Exxon Mobil Corp to buy 1.5mn tonnes of LNG each year at a price of 14.5% of the Brent oil price, plus freight shipping costs. This equates to about $11-$13 per mn British thermal units, almost double that of domestic Asian LNG prices.

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However, Petronet and Exxon Mobil have now reached the agreement on terms of a new deal that will see Petronet take another 1mn tonnes of LNG at 12.5% of the Brent oil price, with the original supply reduced from 14.5% of the Brent price to 13.9%. The new deal will also shift shipping costs on to Exxon.

The move is the latest sign that India is developing itself into a global energy powerhouse, with the aim of gaining more leverage over suppliers in order to secure lower prices for domestic companies. The deal follows a similar one made with Qatar-based Rasgas in 2015, with India having renegotiated with the company to buy LNG at half the price that was previously paid.

The lower price can also be attributed to the decline of the industry, with a prolonged fall in oil prices forcing many suppliers to act accordingly in order to try and retain their market share.

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Jul 26, 2021

Form Energy receives funding power for iron-air batteries

Energy
batteries
grid
Renewables
Dominic Ellis
3 min
Startup Form Energy receives $200 million Series D financing round led by ArcelorMittal’s XCarb innovation fund to further develop iron-air batteries

Form Energy believes it has cracked the conundrum of commercialising grid storage through iron-air batteries - and some of the biggest names in industry are backing its potential.

The startup recently announced the battery chemistry of its first commercial product and a $200 million Series D financing round led by ArcelorMittal’s XCarb innovation fund. Founded in 2017, Form Energy is backed by investors Eni Next LLC, MIT’s The Engine, Breakthrough Energy Ventures, Prelude Ventures, Capricorn Investment Group and Macquarie Capital.

While solar and wind resources are the lowest marginal cost sources of electricity, the grid faces a challenge: how to manage the multi-day variability of renewable energy, even in periods of multi-day weather events, without sacrificing energy reliability or affordability.

Moreover, while Lithium-ion batteries are well suited to fast bursts of energy production, they run out of energy after just a few hours. Iron-air batteries, however, are predicted to have theoretical energy densities of more than 1,200 Wh/kg according to Renaissance of the iron-air battery (phys.org)

The active components of Form Energy's iron-air battery system are some of the cheapest, and most abundant materials: iron, water, and air. Iron-air batteries are the best solution to balance the multi-day variability of renewable energy due to their extremely low cost, safety, durability, and global scalability.

It claims its first commercial product is a rechargeable iron-air battery capable of delivering electricity for 100 hours at system costs competitive with conventional power plants and at less than 1/10th the cost of lithium-ion and can be optimised to store electricity for 100 hours at system costs competitive with legacy power plants.

"This product is our first step to tackling the biggest barrier to deep decarbonisation: making renewable energy available when and where it’s needed, even during multiple days of extreme weather, grid outages, or periods of low renewable generation," it states.

Mateo Jaramillo, CEO and Co-founder of Form Energy, said it conducted a broad review of available technologies and has reinvented the iron-air battery to optimise it for multi-day energy storage for the electric grid. "With this technology, we are tackling the biggest barrier to deep decarbonization: making renewable energy available when and where it’s needed, even during multiple days of extreme weather or grid outages," he said.

Form Energy and ArcelorMittal are working jointly on the development of iron materials which ArcelorMittal would non-exclusively supply for Form’s battery systems. Form Energy intends to source the iron domestically and manufacture the battery systems near where they will be sited. Form Energy’s first project is with Minnesota-based utility Great River Energy, located near the heart of the American Iron Range.

Greg Ludkovsky, Global Head of Research and Development at ArcelorMittal, believes Form Energy is at the leading edge of developments in the long-duration, grid-scale battery storage space. "The multi-day energy storage technology they have developed holds exciting potential to overcome the issue of intermittent supply of renewable energy."

Investors in Form Energy's November 2020 round included Energy Impact Partners, NGP Energy Technology Partners III, and Temasek.

In May 2020, it signed a contract with Minnesota-based utility Great River Energy to jointly deploy a 1MW / 150MWh pilot project to be located in Cambridge, MN. Great River Energy is Minnesota's second-largest electric utility and the fifth largest generation and transmission cooperative in the US.

Last week Helena and Energy Vault announced a strategic partnership to identify additional opportunities for Energy Vault’s waste remediation technologies as the company begins deployment of its energy storage system worldwide. It received new investment from Saudi Aramco Energy Ventures (SAEV) in June.

Maoneng has revealed more details of its proposed 240MWp / 480MWh Battery Energy Storage System (BESS) on Victoria’s Mornington Peninsula in Australia (click here).

The BESS represents hundreds of millions of dollars of investment that will improve electricity grid reliability and network stability by drawing energy from the grid during off-peak periods for battery storage, and dispatching energy to the grid during peak periods. 

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