Fresh blackout sweeps Venezuela

  • Spanish Market: Crude oil, Electricity, Oil products
  • 23/09/20

Much of Venezuela was thrust into darkness again today after a transmission system failure in state-owned utility Corpoelec's national grid.

The La Arenosa-Yaracuy 765kV sub-station in central-west Venezuela broke down shortly before noon, causing a blackout affecting up to 17 states and much of Caracas.

About two-thirds of Caracas is currently without electricity more than four hours after the blackout was first confirmed by Corpoelec at about 11:30am ET.

The affected states include Anzoategui, Apure, Aragua, Barinas, Carabobo, Cojedes, Falcon, Lara, Merida, Miranda, Monagas, Nueva Esparta, Sucre, Tachira, Vargas, Yaracuy and Zulia.

Today's blackout was the third multi-state blackout in the past 10 days, highlighting the fragile state of the grid. Previous blackouts on 21 September and 14 September that impacted Caracas and up to seven states were also traced to sub-station breakdowns on Corpoelec's main transmission line that connects the 10GW Simon Bolivar (Guri) hydroelectric complex in Bolivar state to the rest of Venezuela.

Venezuelan state-owned oil company PdV, which relies on the grid for almost all of its upstream and downstream operations, declined to comment on any impact.

Corpoelec has over 34GW of installed generation capacity but only generates about 10GW, mostly from Guri and smaller hydroelectric complexes on the lower Caroni River in Bolivar.

Venezuela could become more vulnerable to blackouts if the US tightens existing sanctions to cut off imports of low-sulfur diesel, which is mainly used for baseload and back-up generation. Natural gas, which is also used for some generation in western Venezuela, could also become more scarce if European offshore producers Repsol and Eni are blocked by the diesel measure from picking up Venezuelan crude cargoes as payment for their gas supply.


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18/04/24

Amapá cancela regime especial de ICMS

Amapá cancela regime especial de ICMS

Rio de Janeiro, 18 April (Argus) — O Secretário da Fazenda (Sefaz) do Amapá (AP) cancelou ontem o regime especial de tributação de empresas importadoras de combustíveis, colocando um fim a uma situação que gerava distorções de preços no mercado de diesel . A decisão do órgão foi publicada no diário oficial desta quarta-feira, dia 17, e contempla os regimes especiais do tributo estadual ICMS de oito empresas, entre elas a Refinaria de Manguinhos, que pertence ao grupo Fit, Amapetro, Axa Oil, Alba Trading e Father Trading. No caso da Amapetro, a empresa pagava uma alíquota efetiva de 4pc do valor da importação nas compras de outros países para uso próprio para consumo dentro do estado. Considerando a média do indicador Argus de importação de diesel de origem russa ao longo de março, isso equivaleria a R$136,9/m³.O valor atual do ICMS nos outros estados brasileiros é de R$1.063/m³ desde 1 de fevereiro. O estado teria importado 197.244m³ de diesel em março, de acordo com informações do Ministério do Desenvolvimento, Indústria, Comércio e Serviços (MDIC). Isso equivale a 15,9pc do total de diesel importado pelo Brasil no mês. O consumo de diesel A do estado foi de 6.250m³ no mês passado, equivalente a 0,1pc do consumo nacional, de acordo com os dados da Agência Nacional do Petróleo, Gás Natural e Biocombustíveis (ANP). As autorizações do estado criavam distorções de preços no mercado e perdas de arrecadação fiscal em várias estados onde o produto acabava sendo consumido. Associações de produtores e distribuidores de diesel vinham pressionando o poder público nos últimos meses para derrubar esses regimes especiais. De acordo com o Instituto Combustível Legal, a medida causou um prejuízo de R$1 bilhão aos estados onde o combustível importado no âmbito do regime especial era efetivamente consumido, citando os estados de São Paulo, Paraná e Pernambuco como principais destinos. No início do mês, a Refina Brasil, que reúne as refinarias de petróleo independentes do país, estimou que o contribuinte amapaense pagava um valor próximo a R$0,83/l em subsídios para importadores. Por Amance Boutin Envie comentários e solicite mais informações em feedback@argusmedia.com Copyright © 2024. Argus Media group . Todos os direitos reservados.

Wind capacity additions down 93pc under AMLO


18/04/24
18/04/24

Wind capacity additions down 93pc under AMLO

Mexico City, 18 April (Argus) — Mexico installed just 96MW of wind power capacity in 2023, a new low amid President Andres Manuel Lopez Obrador's policy to limit private sector development. Last year's wind power capacity additions were down by 93pc from the 1,281MW installed during Lopez Obrador's first full year in office in 2019, according to the Global Wind Report 2024 published by the Global Wind Energy Council. New wind power additions were also down by 39pc from the 158MW installed in 2022. Lopez Obrador's statist energy policy has sought to claw back state-owned utility CFE's market position in the face of an enormous private sector clean energy build out launched during the previous administration. Between 2016 and 2018 CFE held three long-term power auctions, contracting 7,000MW of new renewable energy projects as the government made a push to decarbonize Mexico's power matrix. But Lopez Obrador ruled out further auctions and has actively curtailed the award of new generation permits, stalling the development of 5,800MW of wind projects, according to wind energy association Amdee. Mexico has 7,413MW of installed wind capacity, accounting for 8.2pc of the country's 89,890MW total installed generation capacity, according to the energy ministry. Despite the slowed pace in Mexico, new wind installation continued to grow in Latin America last year, led by Brazil with 4.8GW to bring total onshore capacity in the country to 30.4GW in 2023. GWEC expects 28.7GW of new wind capacity in Latin America over the next five years, on top of the 50.6GW of current capacity. Globally 117GW of new wind energy capacity was installed last year, up by 50pc on the previous year and a new record. GWEC expects global wind capacity to double to 2TW by 2030, as governments agreed to triple global renewable energy capacity at the climate talks in Dubai last year. The outlook for Mexican wind power also looks more positive with both presidential candidates in the 2 June election committed to accelerating the energy transition through the build out of new clean energy capacity. Governing party candidate and current frontrunner Claudia Sheinbaum pledged to make renewable energy a "hallmark" of her administration and committed this week to investing $13.6bn in clean energy projects if elected. By Rebecca Conan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

TUI Cruises receives methanol-ready ship


18/04/24
18/04/24

TUI Cruises receives methanol-ready ship

New York, 18 April (Argus) — Cruise ship company TUI Cruises took delivery of a methanol-ready cruise ship which will start operations at the end of June. Methanol-ready vessels allow ship owners to easily retrofit their vessels to burning methanol in the future. The 7,900t deadweight Mein Schiff 7 will operate in the North Sea, the Baltic Sea, along the European Atlantic coast and in the Mediterranean and run on marine gasoil (MGO). It was built by Finland's Meyer Turku shipyard. In January, TUI Cruises signed a memorandum of understanding with trading company Mabanaft for future supply of green methanol. Mabanaft would cover TUI's methanol needs in northern Germany, and gradually add other European locations. Grey methanol was pegged at $717/t MGO equivalent and biomethanol at $2,279/t MGOe average from 1-18 April in Amsterdam-Rotterdam-Antwerp. About 0.9 times and 2.9 times, respectively, the price of MGO, Argus assessments showed. TUI Cruises is a joint venture between the German tourism company TUI AG and US-based cruise ship company Royal Caribbean. By Stefka Wechsler Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Oil firm ReconAfrica agrees to class action settlement


18/04/24
18/04/24

Oil firm ReconAfrica agrees to class action settlement

Cape Town, 18 April (Argus) — Africa-focused, Canada-based upstream firm ReconAfrica has agreed to pay $10.8mn in total to eligible shareholders to settle class action lawsuits lodged in different jurisdictions over allegations that the company made misleading statements. The company will pay $7.05mn to investors who bought its shares on the US over-the-counter (OTC) markets and $3.7mn to shareholders who bought securities in the firm on Canada's TSX Venture Exchange and the Frankfurt Stock Exchange within specified class periods. In Canada, parties reached the proposed settlement after a full-day mediation in October 2023, without any admission of liability by ReconAfrica. A hearing has been scheduled on 20 June for the British Columbia Supreme Court to approve the settlement. The plaintiffs allege that between May 2020 and September 2021, ReconAfrica released misleading statements, including its plans to undertake hydraulic fracturing of "unconventional" resources and "shale" deposits within Namibia. The firm failed to disclose that Namibia has never before allowed fracking. The plaintiffs further claim that ReconAfrica did not disclose data from its test wells that revealed poor prospects for achieving commercially viable oil and gas production. The company also stands accused of undertaking unlicensed drilling and illegal water usage, as well as other environmental and human rights violations. It denies all these allegations. ReconAfrica has a current market capitalisation of C$204.7mn. Earlier this month, it raised C$17.25mn in a public share offering. The firm plans to undertake a multi-well drilling campaign this year, with the first well in Namibia's Damara Fold Belt scheduled for June. The company controls the entire Kavango sedimentary basin, which spans over 300km from the northeast of Namibia to northwest Botswana. Early estimates claimed the basin could hold as much as 31bn bl of oil, of which 22.3bn bl are in Namibia and 8.7bn bl in Botswana. ReconAfrica has a 90pc stake in the PEL 73 licence, which extends 25,000km² across northeast Namibia. The remaining 10pc is held by Namibian state-run company Namcor. The Kavango basin includes part of the ecologically sensitive Okavango Delta, a Unesco World Heritage site. The Okavango watershed consists of the Okavango river and a network of shallow, interlinked aquifers, which is a vital water source for more than a million people. The delta also serves as a habitat and migration path for many endangered animal species. Last year, ReconAfrica received environmental approval to drill 12 more wells in the Kavango. The firm recently completed a technical review of its entire exploration inventory in Namibia and now expects to find a mix of oil and gas. ReconAfrica announced an updated prospective resource estimate for Damara last month, indicating an unrisked 15.4bn bl of undiscovered oil initially-in-place. This compares with a previous estimate that pointed only to prospective natural gas resources amounting to 22.4 trillion ft³. The change "is the result of in-depth analyses of all geochemical data, including cores, cuttings, mud logs, seeps and additional basin modelling studies," ReconAfrica said. The firm has made the updated estimates available to potential joint venture partners and expects to complete this month a farm-out process that it started in December 2023. By Elaine Mills Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Uganda aims for net zero energy sector by 2062


18/04/24
18/04/24

Uganda aims for net zero energy sector by 2062

Kampala, 18 April (Argus) — Uganda has brought forward its target for net zero carbon emissions from its energy sector by three years, to 2062, energy ministry permanent secretary Irene Batebe told an oil and gas conference in Kampala. This new deadline is still lagging some way behind a 2050 "net zero operations" target pledged by 40 oil and gas firms , including African state-owned ones such as Libya's NOC and Sudan's Nilepet, at the UN Cop 28 climate summit. Signatories to the Cop 28 charter also pledged "near-zero upstream methane emissions" by 2030. Uganda's CO2 emissions from fuel combustion were 5.7mn t in 2021, according to most recent IEA data, but this will probably increase with the development of a 230,000 b/d crude project in its western Lake Albert region. The crude project had been scheduled to begin production in late 2025 — although the head of TotalEnergies' Ugandan operations recently said the company may miss this long-standing target. Batebe said the Ugandan government has plans to increase hydroelectricity capacity to around 52GW by 2050, to increase use of solar wind and nuclear power, and has a budget of $8bn by 2030 to finance these. The IEA estimates hydroelectricity accounts for around 90pc of Uganda's generating capacity. But this installed capacity is only around 1.5GW currently. The country's nuclear ambitions remain at the planning stage, and biomass — wood and charcoal — dominates energy consumption. "We want to phase out use of coal, but… countries that produced oil and gas should get out first and we shall follow," she said. "We cannot afford to remain poor. We shall produce our oil and gas responsibly, use LPG from the [planned] refinery and then connect more than the current 57pc of our population to electricity with affordability to use it for cooking and other uses other than lighting then meet our emissions targets." Batebe said the world's longest heated crude export pipeline, which will connect its oil fields with to the port of Tanga on Tanzania's Indian Ocean coast, will be insulated to "three layers" to limit emissions. TotalEnergies' Ugandan general manager Philippe Groueix said the two Lake Albert projects, Tilenga and Kingfisher, are designed to produce crude at 13kg of CO2/bl, far below the world average of 33 kg/bl. TotalEnergies is developing the 190,000 b/d Tilenga field and and Chinese state-controlled CNOOC the 40,000 b/d Kingfisher. By Mercy Matsiko Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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