Coalition targets zero flaring at Egyptian LNG export terminal

Egyptian LNG has awarded a feasibility study contract to a Bechtel-led Coalition for Decarbonisation which will assess implementation of a zero-flaring system at its export terminal (ELNG) in Idku, east of Alexandria.

The feasibility study will assess options for total routine flaring recovery through modifications to the existing flare and compression systems at the ELNG facility, reducing methane emissions. The fast-tracked Feasibility Study aims to move into Front-End Engineering Design (FEED) phase by early 2023.

HE Tarek El-Molla, Egyptian Minister of Petroleum and Mineral Resources, hosted the signing ceremony during the Decarbonisation Day events at COP 27 in Sharm El Sheikh, Egypt.

The coalition was formed earlier this year between Bechtel, Enppi, Petrojet, Baker Hughes, GE Digital, HSBC and National Bank of Egypt.

The project is part of a wider program between the Coalition and the Egyptian Ministry of Petroleum and Mineral Resources aiming to decarbonise existing oil and gas facilities across the country and complements the Methane Global Pledge signed by HE Abdel Fattah Al Sisi, President of Egypt, in June.

LNG will play a key role in the supply of reliable and sustainable energy to Europe following the tri-lateral agreement signed between Egypt, the European Union, and Israel earlier this year.

HE Tarek El-Molla, Minister of Petroleum and Mineral Resources, said Egypt’s gas sector is accelerating decarbonisation and applying modern technologies and solutions.

Mohamed Elbahnasy, ELNG’s CEO, said this initiative is an important part of its continuing efforts to deliver operational improvements for its two LNG trains. He said, “Flare reduction and recovery will reduce our greenhouse gas emissions and optimise  fuel consumption and running hours of our rotating equipment, to enhance production and reduce operating costs.'”

Lorenzo Simonelli, Chairman and CEO of Baker Hughes, said it believes partnerships are necessary to achieving Net Zero and the coalition will help accelerate the deployment of technologies.

Scott Reese, GE Digital CEO, said software plays a key role. “It’s our hope that the findings of this feasibility study will have far-reaching impact for the LNG industry in Egypt and beyond.”

Last week Germany and Egypt announced plans to boost co-operation on the trade in LNG and green hydrogen.

By signing a Joint Declaration of Intent, the two countries underscore their ambitions to combat climate change and to build up a secure and affordable supply of zero-carbon, climate-friendly energy sources – working from the targets in the Paris climate accord (click here).

Egypt and the UAE have signed an MoU to develop a 10GW onshore wind farm which will save $5bn in annual natural gas costs (click here).

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