Tokyo Gas sets 3-pronged LNG investment target
Following the letter of intent (LOI) sent from Tokyo Gas Co. Ltd. to the Philippine government, the natural gas provider has announced its new three-pronged approach towards targeted ventures.
During an interview at the 2017 World LNG Summit held in Lisbon, Portugal, the Executive Director of Tokyo Gas, Kunio Nohata said that the company could position itself in three different ways.
The company could place itself as engineering, procurement and construction (EPC) contractor, or operation and maintenance (O&M) service provider, or finally as front-end engineering designer (FEED).
“We would like to invest in projects in LNG. We can be O&M, FEED or EPC – it depends on the local partner in the Philippines – on their requirement, we are very, very flexible,” Mr Nohata commented.
The Executive Director also reported on their stance on entering the Philippine market, saying that they would be interest in gas-to-power projects.
In October last year, the Japanese company submitted an LOI to the Philippine Energy Secretary, Alfonso G. Cusi, increasing investment plans in the country.
When the President of Tokyo Gas, Michiaki Hirosi, signed the LOI, the company stated that it wanted to “develop LNG value chain by building its first LNG terminal in the Philippines.”
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.