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To: [email protected]
Date: Fri, 25 Sep 2026 08:54:03 GMT
Subject: Gas to Power Weekly - 25 September - Greensand CCS offers route to decarbonise fossil power; Glencore signs CIF LNG deal to fuel Suntien’s Hebei power fleet
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<p style="margin: 0;"><span style="font-weight: bold; font-size: 16px; color: rgb(128, 126, 131);">LEAD ARTICLE</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 18px; font-weight: bold;">Greensand CCS offers route to decarbonise fossil power</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-weight: bold;">INEOS Energy, together with Harbour Energy and Denmark’s Nordsøfonden, have brought Europe’s first large-scale carbon capture and storage (CCS) project into commercial operation. The site at Greensand will initially store up to 400,000 tonnes of CO₂ a year in a depleted North Sea oil field, with plans to scale to 4–8 million tonnes annually by 2030.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">Greensand’s first-phase economics rest on a compact value chain: biogenic CO is liquefied, trucked to a new terminal at Esbjerg and injected about 1,800 metres below the seabed in the Nini West reservoir. Permit and funding documents reference roughly 300,000 tonnes a year over eight years, or about 2.4 million tonnes in total.</span></p>
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<p style="margin: 0;"><span style="font-weight: bold; font-size: 16px; color: rgb(130, 130, 130);">P O L I C Y</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="font-size: 16px; color: rgb(130, 130, 130);">Trump-Xi summit: energy trade sits beneath AI headline</span></p>
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<p style="margin: 0;"><span style="font-size: 16px; color: rgb(130, 130, 130); font-weight: bold;">D E M A N D</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="font-size: 16px; color: rgb(130, 130, 130);">India’s urea build-out crowds out gas-fired power</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="font-size: 16px; color: rgb(130, 130, 130);">Ignitis secures US LNG, adds Henry Hub exposure</span></p>
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<p style="margin: 0;"><span style="font-weight: bold; font-size: 16px; color: rgb(128, 126, 131);">P R O J E C T S</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 16px;">EPC awarded for Colombian LNG terminal, serving power sector</span></p>
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<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 16px;">INNIO, GEUS aim to start up 104 MW Texan power plant in 2027</span></p>
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<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 16px; font-weight: bold;">T E C H N O L O G Y </span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 16px;">Ansaldo completes AEM electrolyser stacks production line</span></p>
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<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-size: 18px; font-weight: bold;">India’s urea build-out crowds out gas-fired power</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-weight: bold;">The Indian government’s plan to add about 10 million tons per annum (mtpa) of new urea capacity by 2030 is set to lock in an extra 12–15 billion cubic metres per year (bcm/year) of natural gas demand, tightening feedstock availability for power generators and reinforcing the sector’s shift away from baseload gas‑fired generation.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">The Ministry of Petroleum and Natural Gas has already amended its gas allocation framework to prioritise city‑gas distribution and fertilizer production over power generation, codifying a hierarchy that has kept gas‑plant load factors in the low double digits for much of the past decade.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">Gas‑fired capacity now accounts for just 4% of India’s generation mix, down from 10% fifteen years ago, as plants are increasingly relegated to peaking and balancing roles amid scarce domestic gas and volatile LNG prices.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-weight: bold;">Power generators compete with urea producers for gas feedstock</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">Under the National Investment Policy for Urea (NIPU‑2026), approved in July, New Delhi is backing 8–9 new gas‑based plants including Reliance Industries’ 2.8 mtpa Jamnagar unit and Matix Fertilisers’ Panagarh project, both due onstream in 2030. The projected urea plants have assured returns of 12–16% to underwrite long‑term gas supply and offtake.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">Each mtpa of gas‑based urea typically consumes 1.2–1.5 mmscmd of natural gas for ammonia synthesis and plant utilities, plus dedicated steam and power generation sized to run continuously at design rates. With India’s domestic gas output stagnant and LNG imports already covering more than half of national needs, the new urea trains could raise fertilizer sector gas consumption by roughly a quarter of current gas‑fired power use by 2030.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130); font-weight: bold;">Aiming for urea self-sufficiency from 2030</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">The rating agency ICRA estimates NIPU‑2026 will attract 80,000–90,000 crore Rupees of Capex and materially improve urea self‑sufficiency from 2030–31, assuming a 3.5–4‑year commissioning window from final investment decisions.</span></p>
<p style="margin: 0;"><br></p>
<p style="margin: 0;"><span style="color: rgb(130, 130, 130);">In parallel, a 37,500 crore Rupee coal‑gasification scheme is supporting projects such as Talcher and Adani Enterprises’ three urea bids, targeting 75 mtpa of gasification capacity by 2030 to further cut LNG and urea imports.</span></p>
<p style="margin: 0;"><br></p>
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Email from Gas to Power Journal Our weekly update covering everything you need to know about Natural Gas Power Generation LEAD ARTICLE Greensand CCS offers route to decarbonise fossil power INEOS Energy, together with Harbour Energy and Denmark’s Nordsøfonden, have brought Europe’s first large-scale carbon capture and storage (CCS) project into commercial operation. The site at Greensand will initially store up to 400,000 tonnes of CO₂ a year in a depleted North Sea oil field, with plans to scale to 4–8 million tonnes annually by 2030. Greensand’s first-phase economics rest on a compact value chain: biogenic CO is liquefied, trucked to a new terminal at Esbjerg and injected about 1,800 metres below the seabed in the Nini West reservoir. Permit and funding documents reference roughly 300,000 tonnes a year over eight years, or about 2.4 million tonnes in total. DOWNLOAD NOW << P O L I C Y Trump-Xi summit: energy trade sits beneath AI headline D E M A N D India’s urea build-out crowds out gas-fired power Ignitis secures US LNG, adds Henry Hub exposure P R O J E C T S EPC awarded for Colombian LNG terminal, serving power sector INNIO, GEUS aim to start up 104 MW Texan power plant in 2027 T E C H N O L O G Y Ansaldo completes AEM electrolyser stacks production line India’s urea build-out crowds out gas-fired power The Indian government’s plan to add about 10 million tons per annum (mtpa) of new urea capacity by 2030 is set to lock in an extra 12–15 billion cubic metres per year (bcm/year) of natural gas demand, tightening feedstock availability for power generators and reinforcing the sector’s shift away from baseload gas‑fired generation. The Ministry of Petroleum and Natural Gas has already amended its gas allocation framework to prioritise city‑gas distribution and fertilizer production over power generation, codifying a hierarchy that has kept gas‑plant load factors in the low double digits for much of the past decade. Gas‑fired capacity now accounts for just 4% of India’s generation mix, down from 10% fifteen years ago, as plants are increasingly relegated to peaking and balancing roles amid scarce domestic gas and volatile LNG prices. Power generators compete with urea producers for gas feedstock Under the National Investment Policy for Urea (NIPU‑2026), approved in July, New Delhi is backing 8–9 new gas‑based plants including Reliance Industries’ 2.8 mtpa Jamnagar unit and Matix Fertilisers’ Panagarh project, both due onstream in 2030. The projected urea plants have assured returns of 12–16% to underwrite long‑term gas supply and offtake. Each mtpa of gas‑based urea typically consumes 1.2–1.5 mmscmd of natural gas for ammonia synthesis and plant utilities, plus dedicated steam and power generation sized to run continuously at design rates. With India’s domestic gas output stagnant and LNG imports already covering more than half of national needs, the new urea trains could raise fertilizer sector gas consumption by roughly a quarter of current gas‑fired power use by 2030. Aiming for urea self-sufficiency from 2030 The rating agency ICRA estimates NIPU‑2026 will attract 80,000–90,000 crore Rupees of Capex and materially improve urea self‑sufficiency from 2030–31, assuming a 3.5–4‑year commissioning window from final investment decisions. In parallel, a 37,500 crore Rupee coal‑gasification scheme is supporting projects such as Talcher and Adani Enterprises’ three urea bids, targeting 75 mtpa of gasification capacity by 2030 to further cut LNG and urea imports. Enjoyed your free read? Consider a trial subscription Follow us on social media Gas to Power Journal | 39-41 North Road | London, N79DP GB Unsubscribe | Update Profile | Constant Contact Data Notice
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