Saudi Aramco could create synergy with Russian energy entities
Saudi Aramco CEO and President, Amin H. Nassar, announces potential plans to partner with Russian companies.
At the Saudi-Russian Business Investment Forum Nasser commented on the potential synergy between the Kingdom of Saudi Arabia and the Russian Federation through business and operational initiatives driven by technology, research, and innovation.
The Forum was jointly held by the Saudi Arabian General Investment Authority (SAGIA), the Council of Saudi Chambers, and the Russian Direct Investment Fund (RDIF).
During the panel, Nasser talked of the plan Saudi Vision 2030 – the kingdom’s economic pillars and the development and diversification foreseen for the future of Saudi Arabia.
The areas specifically open to collaboration with Russia were industrial localisation; international gas; downstream petrochemicals; technology, research and innovation; trading; and climate change and carbon management.
Nasser also commented on the synergy focusing on alternative energy, such as gas and downstream or chemicals, which would complement oil’s existing pre-eminence.
“We have already established eight research centres around the world that complement our main research facilities in Saudi Arabia,” he said.
“Considering Russia’s considerable strengths in science and technology, as well as highly talented researchers, scientists and engineers, we are exploring collaboration in R&D field.”
According to Nassar, trading would be integral to a potential strategic alliance with Russian companies, involving refined product swaps, trading logistics, shipping and storage facilities, and new market venturing.
Aremco also signed five Memoranda of Understandings (MOUs) with Russian energy entities during the Royal Visit to Russia that was held in conjunction to the forum.
The MOUs covered topics such as: Investment in Energy Services and Manufacturing; Gas Collaboration; Trading Collaboration; Technology and R&D Collaboration; and Strategic Marketing for Petrochemicals.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.