Siemens-owned NEM has started fabrication of the first major components for the Shell Carmon Creek heavy oil project, Peace River, Alberta, Canada. NEM's scope includes the engineering, fabrication and supply of three once through heat recovery steam generators with diverter system/bypass stacks and vertical duct burner systems for supplementary firing.
The purchase contract with Shell Canada Limited was signed in December 2012 and was the first contract signed by NEM under its Enterprise Frame Agreement with Shell Global Solutions International BV. The Carmon Creek project was officially released by Shell Canada for execution at the end of October 2013.
The Carmon Creek project includes a novel well delivery system and the use of cogeneration, with connection to the Alberta grid.
Once the project is up and running the need for fresh water for steam generation will be virtually eliminated. Instead, this water requirement will be met by recycling of water produced with the oil.
Shell Canada produces bitumen through both thermal and cold production wells in the Peace River oil sands. Bitumen is a form of crude oil that's so heavy it has to be heated, diluted or processed with lighter hydrocarbons in order to flow through pipelines.
Shell has developed a plan to expand production in the Peace River area using vertical steam drive wells. At the end of October 2013 it announced its decision to proceed with the Carmon Creek project.
Phase 1 and 2 of the project is currently being executed and consist of the following main facilities:
- three once through heat recovery steam generators, each behind a SGT6-5000F(4) gas turbine, including diverter system/bypass stack in cogeneration units;
- water, gas and bitumen central processing facility;
- two once through steam generators;
- auxiliary equipment and facilities.
The three cogeneration units will produce steam for the well pads, and gather produced fluids (water, gas and bitumen) from the wells for routing back to the central processing facilities. The central processing facilities will separate bitumen from water and natural gas, which can then be used to produce steam. Diluted bitumen is expected to be exported to existing North American refineries.
The cogeneration units will enable the production facilities to be self sufficient in electrical power. Their total installed capacity will be about 630 MWe, of which about 500 MWe will provide power to the northwest Alberta power grid.
The HRSG components will be delivered modularised in sizes up to the maximum transportable to reduce the field work on site.
H class supply
NEM (which although it is owned by Siemens is run as an independent entity) is the award of a contract from Siemens to supply a three-pressure Benson heat recovery steam generator with reheat for the San Gabriel H class combined cycle power plant (pictured). San Gabriel is located in Batangas City in the Philippines, approximately one hundred km south of Manila. The power plant owner is First NatGas Power Corp, 100% owned by the Philippine independent power producer First Gen Corporation.
NEM's scope on San Gabriel includes the engineering, manufacturing and delivery of the Benson HRSG, which will operate behind an SGT6-8000H (60 Hz) gas turbine.
The HRSG will be designed to have high earthquake resistance and will be able to cope with high wind velocities.
Commissioning of the San Gabriel plant, with an installed capacity of 414 MW and efficiency over 60%, is scheduled for March 2016.
Due to the high price of natural gas, there is considerable demand for high efficiency power plants, such as the H class, in the Philippines, where installed capacity is expected to nearly double between now and 2030, going from 22 GW to 42 GW.
NEM is also supplying a Benson type HRSG plus auxiliary and ancillary systems for the Bandirma II Siemens H class combined cycle plant in Turkey, which is owned by Enerjisa, a joint venture of Sabanci Holding and E.ON.
Bandirma II will be the second power plant in Turkey to be powered by an SGT5-8000H (50 Hz) H class gas turbine. Expected to be completed in spring 2016, Bandirma II will have an installed capacity of about 600 MW and an efficiency of over 60%.
Photo: San Gabriel H class combined cycle power plant