Top Story of the Week: RI to woo US to invest in shale gas development
TOP STORIES
- Indonesia has a plan to ask for help from the US government as the former OPEC member seeks to access shale gas in its territory. Energy and Mineral Resources Minister Jero Wacik has expressed plans to import US technology for the extraction of shale gas into Indonesia.
- A new report from Greenpeace speculates that by the year 2050 up to 70 percent of the energy used in ASEAN could be considered green. This move toward sustainable energy in Southeast Asia stands to bring in in $2.8 trillion worth of investment, $2.7 trillion in fuel-cost savings and 1.1 million jobs by 2030, according to the report.
- The 21 member economies of APEC agreed this week to engage in joint efforts to shift to the use and development of sustainable energy. The transition comes as the APEC economies found difficulties in lowering the costs of green energy and attracting investment for projects on their own.
ASEAN
ASEAN region has potential for 70 percent green energy UPI 26 Sep 2013
A new Greenpeace report says that by 2050 green energy could account for 70 percent of the electricity generation for the 10 countries comprising the Association of Southeast Asian Nations. That boost in green energy could also result in $2.8 trillion worth of investment, $2.7 trillion in fuel-cost savings and 1.1 million jobs by 2030, the report says. Greenpeace launched the report, "Energy [R]evolution: A Sustainable Asean Energy Outlook," at the 31st annual meeting of ASEAN energy ministers in Bali, Indonesia this week, the Jakarta Globe reports. The Asean countries are: Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Myanmar, Cambodia, Laos and Vietnam. About 28 percent of the region's total population, or approximately 160 million people, still had no access to electricity, the Greenpeace report says. Making solar panels assessable, for example, could result in electricity generation for remote or deprived Southeast Asian communities currently unconnected to electricity grids, Greenpeace says. Noting that energy demand in the region was growing at an unprecedented rate, Sven Teske, renewable energies director at Greenpeace International said the ASEAN countries "have more than enough natural resources to become a leading player for clean, renewable energies."
Laos prepares to host 2014 Asean energy meeting Asia One 27 Sep 2013
Laos will promote hydropower connectivity when it hosts the 32nd ASEAN Ministers on Energy Meeting (AMEM) next year, according to a senior government official. Deputy Minister of Energy and Mines Viraphonh Viravong made the statement when giving an interview to Vientiane Times at the 31st ASEAN Ministers on Energy Meeting, which opened in Bali, Indonesia, on Wednesday. Viraphonh represented Laos at the meeting in the absence of his minister Soulivong Daravong, who was unable to attend the gathering. He said Laos was ready to host the next AMEM, having successfully hosted similar events in previous years. "We hosted a similar meeting in 2006," Viraphonh said. "Today Laos has more facilities so I think we are more than ready." "Our intention for the next meeting is to promote energy connectivity, particularly in terms of hydropower." About 20 delegates from Laos attended the AMEM in Bali, which took place under the theme 'Energy Sustainability for ASEAN Prosperity'. The theme demonstrates the commitment of ASEAN energy ministers to work together and achieve mutual progress towards the sustainable generation and use of energy in order to bring prosperity to the ASEAN region. ASEAN ministers recognise the volatility in worldwide energy demand due to economic uncertainty in several countries and the global economic slowdown. The ministers reaffirmed their commitment to strengthening energy cooperation to address major energy challenges and ensure a secure and reliable energy supply in ASEAN. Laos is blessed with abundant natural resources, especially water, forests and minerals.
APEC agrees to joint efforts to develop renewable energy Jakarta Post 1 Oct 2013
Members of the Asia Pacific Economic Cooperation (APEC) agreed on Monday to establish joint efforts for the development of renewable energy in the 21 member economies. The agreement was achieved during the first day of the three-day conference on clean, renewable and sustainable use of energy being hosted by Indonesia, this year’s APEC chair, in Nusa Dua, Bali. The agreement will be presented to the APEC senior official meeting Oct. 1 to Oct. 2 for approval. Lead shepherd of the APEC Energy Working Group, Phyllis Genther Yoshida, said that the 21 economies had struggled to significantly lower the cost of alternative energy and to attract investment for new renewable energy projects, two main challenges they faced in green development. “Our recommendation will be to move to a more strategic approach, in which we look at all of the different issues within a system rather than individually,” she told The Jakarta Post on the sidelines of the conference. The agreed upon joint efforts will include exchange of information, joint studies and the transfer of technology in the development of renewable energy.
Investment and partnership for Cool Planet Energy Bio Fuels International 2 Oct 2013
Singapore-based Concord Energy has signed an agreement with Cool Planet Energy Systems to establish a joint-venture in the Asia Pacific region. The partnership will develop commercial production facilities for the conversion of non-food biomass into biofuels and soil enhancing biochar. 'We believe Cool Planet has developed a technology that will revolutionise the production of biofuels, and we are delighted they have chosen us as its partner,’ says John Stuart, CEO of Concord’s Asset Group. Concord Energy has also made a financial investment into Cool Planet, joining other global investors such as BP, Google Ventures, Energy Technology Ventures and the Constellation division of Exelon
Brunei
Find more gas to regain LNG market share, Brunei told Brunei Times 25 Sep 2013
Successful oil and gas exploration works would allow Brunei to regain its market share in the liquified natural gas (LNG) sector amid expectations that demand for natural gas would double by 2025, said Shell's executive vice president yesterday. Speaking to an assembly of reporters on the sidelines of the Shell Malaysia Innovation Summit, Maarten Wetselaar, the vice president for Upstream International Integrated Gas, said Brunei is among the pioneers of the global LNG industry. He also said that as the industry broadens and the energy market demand doubles, the sultanate's share in the LNG field has gone down.
Filinvest seeks LNG supply from Brunei Manila Standard Today 25 Sep 2013
FDC Utilities Inc., the power generation unit of tycoon Andrew Gotianun’s Filinvest Development Corp., and Brunei National Petroleum Company Sendirian Berhad, the state-owned oil and gas subsidiary of Brunei, are in talks for a possible liquefied natural gas supply agreement. Energy Secretary Carlos Jericho Petilla told reporters at the sidelines of the Energy Department’s budget hearing at the Senate Tuesday FDC Utilities was interested in the supply after PetroleumBrunei started work on a regasification facility at the Phividec Industrial Estate in Villanueva, Misamis Oriental province.
'No plan to build Shell gas-to-liquids plant in Brunei' Brunei Times 26 Sep 2013
Shell does not have concrete plans to establish a gas-to-liquids (GTL) plant in Brunei at the moment as the government still needs to assess the viability of the project, said Royal Dutch Shell's projects and technology director. Matthias Bicshel told a press conference on the final day of the Shell Malaysia Innovation Summit that the Dutch oil and gas company had always looked at the opportunities of implementing the GTL technologies on a global scale. GTL technology involves converting natural gas to liquid products used for transport fuel, lubricants and the raw materials for chemicals and detergent.
Indonesia
Indonesia rejects gasoline cargoes on high mercaptan sulfur, weakening market: sources Platts 18 Sep 2013
Indonesian national oil company Pertamina over the past month has turned away at least three MR tankers carrying gasoline, due to high levels of mercaptan sulfur, a foul-smelling compound that can cause fuel-injection systems in vehicles to corrode, industry sources familiar with the matter said this week. It's not immediately clear how many cargoes Pertamina has rejected so far in total, besides the three that were shipped from Singapore, the sources said. A source with direct knowledge of the matter confirmed that Pertamina has turned away cargoes for failing the 'Doctor test,' which is commonly used to detect the presence of mercaptans in gasoline and kerosene. The executive declined to provide further details.
Indonesia to have major influence on global gasoline trade by 2018: WoodMac Platts 19 Sep 2013
Indonesia is expected to have a major influence on global gasoline trade flows and prices as the Southeast Asian country's gasoline deficit widens and it becomes the world's largest importer of the fuel -- a position held by the US and Mexico combined in the last decade. From 2012 to 2018, Indonesia's gasoline deficit will grow from 340,000 b/d to around 420,000 b/d, energy consultants Wood Mackenzie said Thursday. The US and Mexico combined will see deficits fall from 560,000 b/d to about 60,000 b/d over the same period and will move to a surplus in subsequent years, the Edinburgh-based consultants said. As Asia Pacific moves from a gasoline surplus to a deficit situation, it will require imports from other regions and this will provide opportunities for refiners in the US and Europe to find a market for their surplus gasoline, Sushant Gupta, WoodMac's Asia Pacific head of downstream research, said in a statement.
Solar Energy in Indonesia: "All Eyes focused on the tender" IT Business Net 23 Sep 2013
(Investorideas.com renewable energy stocks newswire) "When it comes to solar energy in Indonesia , all eyes are focused on the tender of the Ministry of Energy and Mineral Resources," says Thijs Sablerolle, founder of Solinvest. His company handles the financing of solar projects and oversees installations. The Ministry of Energy has issued a tender for the construction of solar installations at 80 locations in Indonesia , most of them located in the eastern part of the country. The solar energy will be bought by PLN for a maximum rate of $0.25 cents per kilowatt hour, according to the Indonesian media. "PLN sees solar energy as a cost-saving measure, as it will enable them to switch off costly diesel generators in parts of the country. For investors, it's an interesting opportunity because they can supply solar energy to PLN for a period of 20 years. We see a lot of interest for the allocation of investment funds, private equity and pension funds," says Sablerolle. He hopes the tender will have a positive effect on the application of solar energy in Indonesia . "The private sector can gain experience with solar and start its own projects. That's our hope."
RI weighs limit on coal-export terminals Jakarta Post 24 Sep 2013
Indonesia may restrict the number of terminals allowed to export coal as it seeks to control shipments and boost revenue, Bloomberg reported. "Coal can currently be exported from any loading point, which makes it difficult for us to control," Edi Prasodjo, the coal director at the Energy and Mineral Resources Ministry, said in an interview at an industry meeting in Bali on Monday. "We're discussing restricting exports in the future to certain ports or shipping points to avoid illegal deliveries." Most Indonesian miners use barges to ship coal over a network of rivers before loading the fuel into bigger vessels. There are 56 million metric tons of coal production annually that can't be verified, resulting in potential losses to the state of as much as Rp 5.5 trillion (US$493 million), according to a Sept. 9 study by the Indonesian Coal Mining Association. The government should oversee coal terminals and transportation facilities, Edi said in a separate presentation in Bali. The government is still studying whether the planned policy would include private terminals, he said. Companies such as PT Bumi Resources, Indonesia's largest coal producer, and PT Adaro Energy have their own terminals and trans-shipment points to move coal. Indonesia may produce 391 million tons this year, rising from 386 million tons in 2012, according to Edi.
Lion Energy dials into South East Asian unconventional oil & gas sector Proactive Investors 25 Sep 2013
Lion Energy (ASX: LIO) is transforming from a small Indonesian conventional oil producer to a potentially well-funded first mover in the unconventional oil & gas area, supported by a team with extensive in-country experience. Lion is proceeding with an acquisition which will leverage synergies in conventional exploration, infrastructure and market access into the emerging Sumatran shale area. Post the transaction, it could deliver to Lion a significant footprint of acreage in Sumatra, covering an aggregate area of around 17,000 square kilometres onshore Indonesia with multi–tcf unrisked potential. Lion's Indonesian asset portfolio could include: - Two unconventional applications in prolific mixed HC phase North Sumatra Basin, and - Two unconventional applications in prolific oil prone Central Sumatra Basin.
Indonesia, S. Korea move ahead on joint economic cooperation People Daily 25 Sep 2013
Indonesia and South Korea made progress on joint economic cooperation during the third meeting of a joint committee made up of delegations from both sides on Wednesday in Seoul. The Indonesian delegation is led by Coordinating Minister for Economy Hatta Rajasa, and the South Korean team is led by Trade and Energy Minister Yoon Sang-jick in Seoul, according to a statement released by the Indonesia coordinating ministry for economy. The working group made progress during their meeting on a series of issues, including cooperation on the establishment of special economic zone, ship building, renewable energy use, infrastructure development, rice farming modernization, and production of eco-friendly car.
Fuel Subsidy Rises Again Next Year Tempo 26 Sep 2013
The budget committee of the House of Representatives has agreed on the national oil-based fuel subsidy expenditure of Rp210.7 trillion in the basic assumptions of the 2014 State Budget (APBN). Committee spokesman Ahmadi Noor Supit said the budget was set for a total oil-based fuel quota of 48 million kiloliters. “So we have agreed on this,” he said during a meeting at the House building on Wednesday, September 25, 2013. The oil-based fuel subsidy in the state budget next year rose by 0.37 percent from last year’s Rp209.915 trillion. The figure was also a 5.42 percent increase compared to the budget in the basic assumptions of the 2013 State Budget Revision with a total quota of 47.6 million kiloliters. Ahmadi said in the oil-based fuel subsidy next year the government assumed the rupiah would be traded at Rp10,500 per US dollar while the Indonesian Crude Price (ICP) stood at US$105 per barrel.
RI to woo US to invest in shale gas development Jakarta Post 27 Sep 2013
Indonesia, a former member of the Organization of the Petroleum Exporting Countries (OPEC), plans to encourage the US government to embark into shale gas exploration in Southeast Asia’s biggest economy. Energy and Mineral Resources Minister Jero Wacik said on Friday that the country expected the US to transfer technologies to develop shale gas following the unconventional natural gas boom in the country. Shale is becoming an important source of natural gas, particularly in the US, where stories on the shale gas boom dominated news headlines last year. The shale gas boom in the US is expected to make them one of the world’s largest gas exporters by 2018.
Oil and gas contractors demand tax breaks Jakarta Post 27 Sep 2013
Oil and gas firms in Indonesia, a former member of the Organization of the Petroleum Exporting Countries (OPEC), urged the government on Thursday to remove land and building taxes for offshore exploration across the archipelago. Indonesian Petroleum Association (IPA) chairman, Lukman Mahfoedz, said in Jakarta the current fiscal policy on taxes for contractors in the exploration stage was not in line with Indonesia’s goal of boosting oil and gas exploration. “This is a major concern for petrol companies in the upstream sector. The amount of land and building taxes is sometimes higher than the exploration budget the firms must spend in their respective blocks,” he said in an e-mail.
Jakarta Administration: Do not Limit Fuel Consumption Tempo 27 Sep 2013
Jakarta City Administration stated that the Ventral Government's plan to limit fuel consumption by using control cards in cooperation with several banks is not realistic and too complicated. "Limiting fuel consumption is complicated," said Andi Baso, Chief of Jakarta Industry and Energy Office. Moreover, Andi said that limiting fuel consumption will not be effective because the (consumption) data will be difficult to retrieve. In addition, he believed that fuel limitation will only resulted in cases of fuel hoarding. Instead of limiting fuel consumption, he argued that the government should increase the price of every type of fuel. According to the Central Government, fuel consumption can be reduced up to 15 percent by using control card. As a result, the government does not have to add more fuel quota.
Indonesia ripe for U.S. investment in shale gas? UPI 30 Sep 2013
Indonesia is encouraging the United States to invest in shale gas exploration in the Southeastern Asian country. Energy and Mineral Resources Minister Jero Wacik said the government hopes the United States will transfer technology to develop shale gas, following on the success of the U.S. natural gas boom, The Jakarta Post reports. "The U.S. government has successfully developed shale gas. Indonesia also possesses potential reserves of shale gas; thus, we are asking them to launch shale gas exploration in our country," Jero said in a statement Friday. Indonesia has estimated shale gas resources of 574 trillion cubic feet in Sumatra, Kalimantan, Papua and Java, the ministry says. State-owned oil firm Pertamina in May was awarded the country's first shale gas project, the Sumbagut block in North Sumatra, estimated to contain 18.56 trillion cubic feet of shale gas. The company has committed to spend $7.8 billion for exploration of the block. Pertamina President Director Karen Agustiawan, in signing the contract, said shale could support the government's efforts for energy diversification by reducing the country's dependence on oil.
Laos
Laos prepares to host 2014 Asean energy meeting Asia One 27 Sep 2013
Laos will promote hydropower connectivity when it hosts the 32nd ASEAN Ministers on Energy Meeting (AMEM) next year, according to a senior government official. Deputy Minister of Energy and Mines Viraphonh Viravong made the statement when giving an interview to Vientiane Times at the 31st ASEAN Ministers on Energy Meeting, which opened in Bali, Indonesia, on Wednesday. Viraphonh represented Laos at the meeting in the absence of his minister Soulivong Daravong, who was unable to attend the gathering. He said Laos was ready to host the next AMEM, having successfully hosted similar events in previous years. "We hosted a similar meeting in 2006," Viraphonh said. "Today Laos has more facilities so I think we are more than ready." "Our intention for the next meeting is to promote energy connectivity, particularly in terms of hydropower." About 20 delegates from Laos attended the AMEM in Bali, which took place under the theme 'Energy Sustainability for ASEAN Prosperity'. The theme demonstrates the commitment of ASEAN energy ministers to work together and achieve mutual progress towards the sustainable generation and use of energy in order to bring prosperity to the ASEAN region. ASEAN ministers recognise the volatility in worldwide energy demand due to economic uncertainty in several countries and the global economic slowdown. The ministers reaffirmed their commitment to strengthening energy cooperation to address major energy challenges and ensure a secure and reliable energy supply in ASEAN. Laos is blessed with abundant natural resources, especially water, forests and minerals.
The Myth of Indonesia's Resource Nationalism WSJ 1 Oct 2013
Lately, the Indonesian government has unleashed an array of policies that are keeping mining and oil executives awake at night across this vast and geologically rich archipelago. The unpopular new regulations, aimed at reforming the mining and oil industries, are promoted in the name of "national interest." Yet left uncorrected, they will inevitably lead to a dramatic decline of output in Indonesia's extractive industries, damaging foreign investment and economic growth. Particularly hard-hit will be some of Indonesia's less-developed regions such as Kalimantan and Papua, where oil and mining play major economic roles.
Malaysia
Formulate plan for fair transportation prices, SPAD urged The Star 22 Sep 2013
Fomca has suggested that the Land Public Transport Commission (SPAD) come up with a formula to determine transportation charges based on changing fuel prices. Fomca secretary-general Muhammad Sha’ani Abdullah said such a formula or mechanism was sorely needed to ensure fair pricing in the transportation industry. “Whenever the fuel price increases or decreases, SPAD should already be able to calculate a fair rate,” he said, adding the Malaysian Competition Commission (MyCC) should assist SPAD in this matter. On a related matter, Muhammad Sha’ani welcomed a recent MyCC decision to revoke a 15% increase for transportation charges planned by the Pan-Malaysia Lorry Owners Association (PMLOA).
Malaysia launches US$100mil Clean Energy Fund The Star 24 Sep 2013
Malaysia and Japan-based Asian Energy Investments Pte Ltd. have launched a $100 million venture capital fund to invest in clean energy projects in South East Asia. Malaysia's Prime Minister Najib Razak announced the launch of the fund on Monday at a meeting of sustainable development experts in San Francisco in the United States. Malaysian fund management company Putra Eco Ventures Inc. will channel the fund's investments into small and medium-sized companies and technologies such as wind, solar or tidal energy. It will also help find cheaper biodiesel feedstocks for Malaysian biodiesel plants which have been idled because they rely on expensive crude palm oil.
Malaysia’s oil and gas services looking farther afield Oxford Business Group 30 Sep 2013
Companies servicing Malaysia’s oil and gas sector are using the experience and expertise gained during collaborative ventures with foreign firms as a launchpad for overseas expansion. Four decades of developing solutions for Malaysia’s operational environment, under the state-owned hydrocarbons producer, Petronas, have put local outfits on a solid footing to enter the rapidly expanding global oil services industry. However, the fast pace of growth has also produced challenges for firms embarking on international expansion, including project delays and equipment shortages, which are taking their toll on margins. Production on the rise At home, Malaysia’s oil sector services providers have benefited from Petronas’s efforts to galvanise production in recent years, spearheaded by a $30bn investment aimed at ramping up output, developing new offshore reserves and extending the production life of existing fields. The country is looking to return oil and condensate production to more than 600,000 barrels per day (bpd) equivalent, having reversed a decline which saw output fall to a 20-year low in 2011 of 569,000 bpd. Malaysia is also aggressively developing its natural gas resources. The country is now the world’s second-largest liquid natural gas (LNG) exporter behind Qatar. Like most of its oil fields, the majority of Malaysia’s gas reserves are located offshore, offering many growth opportunities for service providers. With their overseas expansion well on track, key Malaysian firms now rank among the largest serving the international oil and gas sector. SapuraKencana has evolved to become a major provider of support platforms for drilling rigs after expanding its fleet to 24.
Malaysia sets out a plan to reverse its oil output slide Peal Oil 30 Sep 2013
Malaysia recently achieved a significant milestone in its attempt to reverse a decline in crude oil production with the completion of the Tapis-R platform—a 23,500 mt mega structure for the enhanced oil recovery (EOR) project at the aging Tapis field located offshore Terengganu in Peninsular Malaysia. With the EOR project, Petronas and ExxonMobil are aiming to recover an additional 180,000 barrels of crude oil from the field, which was discovered in 1969, and extend its life by another 30 years. The field is currently producing around 5,000 b/d and, by using EOR, production is expected to reach a peak of around 30,000 b/d by 2016-2017. The field began production in 1978 and so far 400 million barrels of oil have been produced. The Tapis EOR project has many feats associated with it—it is one of the world’s largest water-alternating-gas EOR projects to be implemented offshore; it is one of the largest offshore EOR projects in Southeast Asia; and it is Malaysia’s first large- scale EOR project.
Myanmar
Myanmar Approves New Foreign Investments in Power and Garment Sectors Eleven Myanmar 15 Sep 2013
Myanmar Investment Commission (MIC) gave approval to some new foreign businesses to carry out hundred-percent foreign investments in power production and garment manufacturing. Singapore-based power companies, UPP Holdings Ltd and UPP Greentech Pte Ltd, were given approval for producing and selling electricity as wholly-owned businesses at Ywama power station in Yangon Region. Two garment factories, one from Hong Kong and another from the UK, were also approved as hundred-percent foreign investments to engage in cutting, making and packing (CMP) clothes. Thailand-based North Star Manufacturing Co Ltd was allowed to form a joint-venture with a local partner and to set up a garment factory with CMP system at Hlaing Tharyar Industrial Zone (5) in Yangon Region. The total amount of foreign investment in Myanmar reached over 43 billion at the end of August, with China being the largest investor in the country followed by Thailand and Hong Kong. Major portions of the foreign investments are in oil and gas, energy and mining sectors.
More Natural Gas Power Plants on the Way to Meet Dry Season Demand, says ESB Eleven Myanmar 16 Sep 2013
Electricity suppliers will be turning more to natural gas, rather than hydro power, as increasing rates of consumption boost demand for megawattage during the dry season, according to the Yangon City Electricity Supply Board. Currently, Myanmar produces 3,300 mega-watts of electricity annually. That rate is reduced to half during the dry season, because the country relies mostly on hydroelectric power. Myanmar needs more than 300 mega-watts of electricity during the annual dry season. The government has increased the construction of natural gas-fired power plants recently, and for good reason: Myanmar needs 15 per cent more electricity per year, due to the increasing rate of consumption.
Alstom’s eyes on Myanmar power Myanmar Times 22 Sep 2013
Large French conglomerate Alstom is aiming to set up a representative office in Myanmar, looking to take advantage of opportunities in the country’s hydropower sectors, chairman and CEO Patrick Kron said. The firm – which was the main supplier for China’s Three Gorges Dam among a number of other Asia projects – plans to open a country representative office in Yangon, eyeing projects in electricity generation and transmission, he said. “We are coming to Myanmar,” Mr Kron told The Myanmar Times at the launch of its generator factory in Tianjin, China on September 17. “We are closely monitoring Myanmar and its infrastructure development.” The firm first began working in Myanmar’s energy sector in 1957. Alstom also aims to work with international financial institutions such as the World Bank to provide funding for developers and construction companies for the projects. Its products generate 25 percent of the world’s hydropower, and “Myanmar is one market with a lot of potential,” said Alstom executive vice president Jerome Pecresse.
Myanmar firms seek foreign cooperation in energy development East Day 23 Sep 2013
Myanmar's local firms are seeking joint operation with foreign counterparts in oil and gas exploration and production on mutually beneficial basis for the development of the energy sector. A total of 154 local firms have bid with the Ministry of Energy for the move in 18 more inland blocks and 30 more offshore blocks in the country, looking to joint venture with international companies. Among them are giant companies like Eden Group Co.,Ltd, Shwe Taung Development Co.,Ltd, and Parami Energy Development Co.,Ltd. Tender winners are to be allowed to operate with foreign oil and gas companies. Foreign oil companies, including those from the United States, Britain, India and Australia, are also tendering for engagement in oil and gas exploration and production in Myanmar's offshore areas. It is expected that tender winners will be announced in November after feasibility studies complete. According to official figures, there are 53 onshore and 48 offshore blocks being operated with foreign investment.
Singapore firm to try geothermal power in Myanmar Mizzima 23 Sep 2013
Singaporean company Emerging Markets Energy Pte Ltd will make feasibility study on establishing geothermal power plants in Myanmar, according to official sources on Sunday. The feasibility study, to be carried out in Shan state, Tanintharyi, Sagaing, Magway and Mandalay regions, will be made under a memorandum of understanding reached with the Myanmar Ministry of Electric Power. Myanmar disclosed that the country's power consumption has increased by 15 percent annually and the government is seeking every possible way to fulfill the country's increasing power demand, The downstream of Chindwin River in Sagaing and Magway regions, Mount Popa and Singu Hill in Mandalay region and hot springs near Maungmakan Beach in Tanintharyi region have the best prospects for power generation through geothermal, experts said.
Burma Govt Allows Oil and Gas Firms to Name Profit-Sharing Terms Irrawaddy 25 Sep 2013
In an apparent bid to make tenders to explore for oil and gas more attractive, Burma’s Ministry of Energy is inviting international companies preparing their bids to suggest their own terms for profit sharing with the government, a ministry official said Tuesday. The ministry is currently accepting bids from companies for exploration licenses on 18 “blocks” of onshore territory, and 11 shallow-water and 19 deepwater offshore blocks, in an attempt to tap into the countries largely untapped and highly lucrative energy reserves. Firms winning the tenders will be invited to enter so-called production sharing agreements with the state-owned Myanmar Oil & Gas Enterprise. A detailed outline of the bidding process—presented to potential investors and contractors at the Myanmar Oil and Gas conference, held in Rangoon by the Centre for Management Technology (CMT) on Tuesday—suggested that the government is considering awarding the blocks on more generous terms than it had previously announced.
Myanmar's wind power attracts Thai and other foreign firms The Nation 29 Sep 2013
Firms from Thailand and China are studying the feasibility of wind power in Myanmar, where 70 per cent of the population has no access to electricity, media reports said Sunday. Gunkul Engineering Public Company Ltd of Thailand and China Three Gorges Company agreed to study wind power generation in separate parts of the country, Aung Myo Win, assistant director of the ministry of electric power, told the New Light of Myanmar. Gunkul Engineering will conduct feasibility studies for the construction of windmills in the Taninthayi region and the Mon, Kayinand Shan states, with a target of producing 2,930 megawatts ofelectricity, he said. China Three Gorges will do similar studies in the Chin and Rakhinestates, and the Irrawaddy and Yangon regions, aiming to produce 1,102 megawatts. "Feasibility studies are underway for developing commercial windpower," Aung Myo Win said. "They will push ahead with the business if wind power is found to be economically feasible." Myanmar, under economic sanctions by Western nations during thejunta’s rule of 1988-2010, has carried out political and economic reforms in the past two years under elected President Thein Sein. Most Western sanctions were dropped last year, but foreign firms claim that a major disincentive for investment in the newly opened economy is the lack of electricity.
Electricity Supply Is Improving, Officials Assure Rangoon’s Residents Irrawaddy 30 Sept. 2013
Senior officials said the government is working with the private sector to improve energy supply in Rangoon, Burma’s largest city, although they acknowledged that the country faces a huge energy supply shortfall for years to come. Minister of Electric Power Khin Maung Soe and Aung Khine, chairman of Yangon Electricity Supply Board (YESB), held a press conference on Saturday during which they discussed Burma’s energy supply situation, according to state-owned newspaper The New Light of Myanmar. The officials, who held the press conference ahead of the oncoming dry season, which usually sees an increase in power blackouts in Rangoon, said the government stood for a daunting task to more than the double energy supply in the next two years.
Myanmar Plans Electricity Expansion With Assistance From ADB, Japan National News Agency of Malaysia 1 Oct 2013
The Asian Development Bank (ADB), through US$2.85 million in grant financing from the Japan Fund for Poverty Reduction (JFPR), will help the Government of Myanmar formulate a long-term energy plan and prepare to expand and upgrade its power grid. "Myanmar has indicated that its energy policy should promote sustainable and renewable resources, as well as focus on energy efficiency and conservation. A master plan will help the country assess its energy needs and provide a roadmap to meet them," said Jong-Inn Kim, Lead Energy Specialist at ADB's Southeast Asia Department. Using a $1.35 million JFPR grant, ADB will work with the National Energy Management Committee and seven line ministries responsible for the country's energy sector to formulate a 20-year energy plan that improves coordination and focuses policies on energy efficiency and renewable energy sources.
Philippines
Gov’t urged to expand Open Access in power sector PhilStar 16 Sep 2013
Trans-Asia Oil and Energy Development Corp., a unit of the Phinma Group, is urging the government to expand the so-called Open Access regime in the power to sector to include electricity users with a monthly consumption of 750 kilowatt-hours. This would allow office buildings and vertical developments such as condominiums to get competitive rates, said Trans-Asia president Francisco Viray. “It could include the 750 kwh users,” Viray said. While this is the plan after two years, he said the government can already accelerate the timetable and implement this now. Essentially, the open-access regime or the Retail Competition and Open Access (RCOA) allows businesses to be able to decide for themselves which provider is in the best position to supply its needs.
Biggest US trade mission to visit Philippines with an eye on energy, environment Inter-Aksyon 18 Sep 2013
The US Embassy in Manila said the largest American business mission to the Philippines in recent years will be in town to explore partnerships in the energy and environment sectors. Fourteen US firms “will hold business-to-business meetings with potential distributors and customers, along with discussions with Philippine government officials” in Manila on September 19-20, the embassy said in a statement.
Mining revenue scheme up for Palace approval Business World Online 22 Sep 2013
Proposed changtes to the revenue-sharing scheme for mining have been submitted to Malacañang and could soon be approved by President Benigno S. C. Aquino III. “The draft... is already up for consideration of the Office of the President,” said Mines and Geosciences Bureau (MGB) director Leo L. Jasareno, a member of an interagency body created to operationalize revisions to the government’s mining policy. “I can’t give any further comments. Let’s wait for Malacañang to make the announcement,” Mr. Jasareno told reporters when pressed for details. “But I can make the assurance that whatever comes out will be competitive. The government will not make a proposal that is not competitive and will kill the industry.” Executive Order 79, issued in July last year, defined the Aquino administration’s new mining policy. Among others, it extended a moratorium on the issuance of new mining permits until Congress approves a new revenue-sharing law. It also established the Mining Industry Coordinating Council (MICC), which was tasked to thresh out an implementation plan.
British firms to check out opportunities in power, renewable energy in Philippines Business Mirror 23 Sep 2013
Six United Kingdom-based firms are keen on investing in the power and renewable-energy sectors in the Philippines. In a statement, the UK Embassy in Manila said the firms will be joining the British trade delegation that is arriving in the country to explore opportunities in the Philippines’s power and renewable-energy sectors. The six UK-based firms are Arup, CiDRA Corporate Services, Gilbert Gilkes & Gordon, Lloyd’s Register, Lucy Switchgear and Tsors Ltd. The trade mission organized by the British Embassy through the UK Trade and Investment (UKTI) will be here from September 25 to 27. “The Philippines has been steadily growing and making its mark in the international scene, including in energy. This trade mission will be instrumental for UK companies to assess the market in various aspects of energy development and power generation. This is just one of the many activities we have lined up to boost bilateral trade and investment between our two countries. Our trade missions are part of the action plan to double trade in the next five years, as mentioned by our Trade Minister Lord Green during his visit to Manila last week,” Iain Mansfield, director of UKTI in Manila, said.
Singapore
Investment and partnership for Cool Planet Energy Bio Fuels International 2 Oct 2013
Singapore-based Concord Energy has signed an agreement with Cool Planet Energy Systems to establish a joint-venture in the Asia Pacific region. The partnership will develop commercial production facilities for the conversion of non-food biomass into biofuels and soil enhancing biochar. 'We believe Cool Planet has developed a technology that will revolutionise the production of biofuels, and we are delighted they have chosen us as its partner,’ says John Stuart, CEO of Concord’s Asset Group. Concord Energy has also made a financial investment into Cool Planet, joining other global investors such as BP, Google Ventures, Energy Technology Ventures and the Constellation division of Exelon.
Vietnam
Green construction key to development Vietnam News 26 Sep 2013
Green architecture and construction is not just a trend; it should be a compulsory part of construction practices, said speakers at a seminar yesterday in central Da Nang City. In a country where swift economic development has resulted in fast urbanisation and increasing pollution, green construction techniques are urgently needed to reduce the depletion of natural resources and gas emissions. Green construction can also reduce costs, pointed out Hoang Manh Nguyen of the Tropical Architecture Institute in Ha Noi Architecture University. This factor is especially important for Viet Nam because it is not as wealthy as other countries in the region, he said.
Neon Energy shares shine on Vietnam gas discovery The Australian 27 Sep 2013
The market has responded to encouraging exploration drilling results from the Cua Lo gas prospect off Vietnam by sending shares in Perth-based junior Neon Energy 6.5c, or 25 per cent, higher to 32c. Neon holds a 25 per cent interest in the exploration block (105) that contains Cua Lo in a joint venture led by Italian energy giant Eni (50 per cent). Singapore's KrisEnergy holds the remaining 25 per cent. Ahead of the prospect being tested by the drill bit, Cua Lo had a best gas-in-place estimate of 3.9 trillion cubic feet, with a high side estimate of 13.9tcf. It sits 40km southwest of China's producing Dongfang gasfield.
MoIT asked to rethink hydro-power plants Vietnam News 27 Sep 2013
The Prime Minister has asked the Ministry of Industry and Trade to re-consider the development plans of hydro-power projects No 6 and 6A and others along the Dong Nai River. The request is part of a document giving the PM's response to a petition by the Ministry of Natural Resources and Environment (MoNRE) on the negative impacts these projects would have on the Dong Nai River Basin. In an environmental impact assessment sent to the Government Office in early September, MoNRE asked the Government to conduct a comprehensive examination of the Dong Nai Hydro-power projects No 6 and 6A, saying that many issues still must be clarified.