Energy Minister Sebastian-Ioan Burduja has asked Duro Felguera and Romgaz to speed up work on the new combined cycle gas turbine power plant under construction in Iernut The project foresees the construction of a 430 MW combined cycle gas turbine power plant on the site of the existing Ludus – Iernut thermal power plant The power plant should have been commissioned in early 2020 Romania also has plans to build other gas-fired power plants that will come on stream in the next few years “I am glad that we managed to unlock this extremely important project for the company It is the first conventional energy project started after 1990 to be carried out in western Romania we were used to generating electricity and then transporting it to consumers including those in the west of the country from higher own technological consumption due to distance to security of supply risks We have promised that the new power plant would be completed by the end of next year and we are here to see how the work is going I am pleased to see that the work is proceeding at a satisfactory pace The completion of the new energy unit is important both for the security of supply of household and industrial consumers and for the energy security of the country and the region Let’s not forget that we must also help our brothers across the Prut Romania and Romgaz are and can become even more important suppliers of security both in terms of electricity and natural gas,” said the energy minister during his visit to the Iernut construction site The insolvency of the contractors with whom Romgaz signed a contract in 2016 has led to an extremely complicated legal situation and delays in implementation The deadline for completion of the new power plant was set at 16 months from the date of the order to restart work under a new contract with the Spanish firm Duro Felguera Romgaz took over in 2013 the current Iernut power plant from the electricity and heat producer ELCEN Bucharest to settle a debt of RON 653mln which is financed with funds from the National Investment Plan (NIP) is due for completion at the end of next year after Romgaz on April 3 signed a new procurement contract for the completion of works and commissioning of the unit with the Spanish company Duro Felguera Iernut power plant benefits from a strategic position being located at the heart of the national energy system This project aims at covering the national electricity consumption by acting on the wholesale and balancing electricity markets providing technological services for the national energy system eliminating possible bottlenecks in the grid in the north-west of Romania The power plant will have four gas turbines four heat recovery steam generators with three levels of pressure In addition to the Iernut thermal power plant Romania is also preparing to build a new power plant at Mintia where work has already started on demolishing the old unit to be built by Mass Global Energy Rom with equipment from Siemens will have a capacity of 1,500 MW and will start producing electricity in two years these will exceed EUR 1bn and will transform the thermal power plant into the largest and most efficient gas-fired power generation capacity in the European Union The first phase of the investment will be completed within 24 months with the project reaching full maturity in 36 months The power plant components will be prepared for the transition to new hydrogen technologies owned by the Hunedoara Energy Complex (HCE) has announced the sale of the power plant by public auction to Mass Global Energy Rom a major global energy producer with over 8500 MW of capacity one of the investors that will build the gas-fired power plant in partnership with Complexul Energetic Oltenia (CEO) has announced the registration of the company that will develop the new 850 MW power plant in Isalnita holds a 40.1% stake (the remaining 59.9% is held by CEO) and which will develop a gas-fired power generation unit with a total installed capacity of 850 MW The future unit will replace two old coal-fired units The restructuring plan of CEO involves the gradual closure of the coal-fired units and the construction of photovoltaic parks with a capacity of 735 MW and gas-fired power plants CEO receives EUR 895 million for these projects from the Modernisation Fund Romgaz has decided to terminate the Works Contract no 13384/2016 for the development of Iernut Power Plant by building a new 430 MW power plant as Purchaser and the Consortium consisting of DuroFelguera S.A Romgaz sent to the Contractor the notice of termination of the Works Contract No The notice of termination shall take effect within 5 days from the receipt of the notice by the Contractor Romgaz has an ongoing technical and economic expertise having as subject matter the determination of the physical and value stage of contract execution as well as the determination of the remaining works to be performed for the completion and commissioning of the investment After the completion of the technical and economic expertise Romgaz shall make all the necessary and useful steps for the completion and enforceability of the investment Romgaz took over the unique direct control over Iernut Power Plant Within Iernut Power Plant there are 5 large combustion plants (LCP): 4 large combustion plants each with a thermal power of 277 MWt and consisting of an energy group of 100 MWe (LCP1 LCP3 and LCP4); and a large combustion plant with thermal power of 1108 MWt consisting of two energy groups of 200 MWe (LCP5) CTE Iernut operates based on the provisions of the Integrated Environmental Permit (IEP) no LCP1 and LCP2 benefited from a transition period to reach the Emission Limit Values (ELV) of 100mg/Nm3 by 30.06.2020 being able to operate with ELV of 300 mg/Nm3 until that date LCP2 and LCP3 operated based on derogation until 31.12.2015 LCP5 benefited from a transition period to reach ELV of 100 mg/Nm3 by 30.06 being able to operate with ELV of 200 mg/Nm3 until that date One of the main strategic directions of Romgaz, provided in the ‘Development Strategy for the period 2015-2025’ is to consolidate position on energy supply markets Romgaz aims to “streamline the activity by making investments to increase the yield of Iernut power plant to at least 55% CO2 emissions) and increase safety of operation.” Based on an analysis of the current situation and performance of Iernut Power Plant – Estimating a difference of 15 – 20 efficiency points in favour of plants that use combined cycles determined by comparing the yields of electricity production (specific fuel consumption) of the existing groups within the plant with the performances achieved worldwide in plants based on the use of a combined gas – steam cycle (yields of 55 -57%) adding greater flexibility for operating the units as well as reduced pollutant emissions (NOx – The need to reduce the costs of electricity production correlated with the reduction of hydrocarbon consumption for electricity production as well as the efficiency of this activity requires the adoption of high-performance technologies with minimum specific consumption The necessity and opportunity emerged to analyse Iernut Power Plant’s upgrade/development possibilities with the view of improving technical and economic parameters to increase the operational life and to comply with the provisions of ‘Directive 2010/75/EU of the European Parliament’ on industrial emissions It was decided to develop Iernut Power Plant within the Power Production Branch by building a new combined cycle gas turbine (CCTG) plant at an installed power of maximum 400MW and gross electrical efficiency at a rated load of minimum 56% the most feasible solution chosen was the construction of a new power plant 4 recovery boilers for steam production with three levels of pressure and 2 steam turbines General Electric has been awarded an order from the consortium Duro Felguera (DF Energy) – Romelectro for core technology in a new combined-cycle power plant from Romgaz in Iernut With a planned installed generation capacity of 430 megawatts (MW) the Iernut project is South Eastern Europe’s largest gas project in five years Iernut power plant in Romania will feature GE Power’s Extended Scope Portfolio two steam turbines and four heat recovery steam generators GE’s new gas turbine technology is expected to increase the plant’s efficiency by up to 18 percentage points GE’s technology will be capable of generating the equivalent power needed to supply 1 million average Romanian households. In addition, the project is Romania’s largest public investment in conventional power in 20 years with a total investment of EUR 268 million from Romgaz. The plant will feature four of GE’s 6F.03 gas turbines two steam turbines and four heat recovery steam generators (HRSG) as part of expanded scope solutions from GE’s portfolio following the acquisition of the former Alstom Power business GE technology is expected to increase the plant’s gross efficiency to 56.42 percent – an increase of 18 percentage points – and reduce CO2 emissions by 38 percent compared to the current levels The new combined-cycle power plant will be built within the existing gas-fired power plant site and the new plant is expected to replace the existing plant upon completion in 2019 “This project will result in one of the largest and most efficient gas power plants in South Eastern Europe and will change the way power is delivered in Romania,” said Joe Mastrangelo president and CEO of GE Power’s Gas Power Systems “With our expanded portfolio of products and services we are able to provide end-to-end solutions that maximize efficiency and reliability and help power producers meet emissions standards while reducing costs at the same time.” GE celebrates more than three decades of business in Romania The company’s history dates back to 1984 when GE provided turbo-generator units for the Cernavoda Nuclear Power Plant all of GE’s major businesses have a presence in Romania and almost 1000 employees support customers in the country and abroad We use cookies for keeping our website reliable and secure providing social media features and to analyse how our website is used Accelerating the exploration works for identifying new reservoirs careful monitoring and active intervention of the management in the works related to the Iernut investment project as well as continuous efforts to diversify the business portfolio by constructing new energy objectives acquisition of alternative energy sources and expanding into other markets are some of the strategic objectives of Romgaz management As regards the natural gas production activity he talks about a significant production increase in 2019 through exploitation of new production capacities put into operation in Caragele Block Romgaz has the capacity to produce approximately 16 million cubic meters per day “The increase of production was mainly due to the completion of Caragele – Galbenu collector of 16 km in December and by putting into production wells Tapu 1 it was possible to increase the daily production of this reservoir by approximately 800 thousand cubic meters the total 2018 production of Caragele reservoir was of 225.894 million cm representing 4.2 % of Romgaz total gas production” as well as the Iernut and Mintia power plants The management takes also an interest in investments in upgrading and predictive maintenance the project is currently 74% complete and the process is being accelerated by working in two shifts during the cold season as well so that the project to be completed in 2020 The commercial reservoir exploitation activity aims at achieving the provisions of the production program by continuous rehabilitation operations of the main mature reservoirs performance of well capitalizable repairs operations and putting into operation new production capacities Romgaz supplies were performed under the contracts concluded both by means of centralized markets in Romania as well under the concluded bilateral contracts (especially with final customers) In addition to the quantities supplied to its customers Romgaz supported the CET Iernut consumption by supplies in amount of approximately 1,300,000 MWh The prices applied in Q4 2018 for the gas delivered to customers were constantly around the value of RON 81/MWh The same tendencies were also maintained for the gas deliveries during January to date The quantity scheduled to be delivered to Romgaz customers is of approximately 6.6 TWh and the average price is within the same range of RON 82-83/MWh (estimation to date) Source: Romgaz press release the largest natural gas producer and the main supplier in Romania has passed through a long road in its development from an in-house to an international company Romgaz is a joint stock company whose majority shareholder is the Romanian State owning a 70% stake. The company is listed on Bucharest Stock Exchange and GDRs are transacted on London Stock Exchange The company has a vast experience in the field of gas exploration and production and a history that began in 1909 with the discovery of the first commercial gas reservoir in the Transylvanian Basin by drilling well Sarmasel Romgaz undertakes geological exploration in order to discover new gas reserves produces methane by exploiting the reservoirs included in the company portfolio stores natural gas in the underground deposits workover and special operations on wells and technological transport Romgaz extended its scope of work by taking over the Iernut thermoelectric power station and thus it became also electric power supplier The company dwells on the implementation of the latest technology in geologic exploration The company economic and financial position is characterized by the profit constancy and solvency Romgaz is one of the state-owned companies that have fulfilled all the conditions for economic rise turning into one of the most important companies in Romania Romgaz designs and plans all exploration works based on its own concepts by using modern professional software assessments of the geological area’s prospectivity displaying specific features within the blocks under concession These are performed by using specific surface exploration methods to identify the areas with hydrocarbon accumulations (prospects) followed by exploration drilling to prove the presence of accumulations Romgaz natural gas production activities are performed by the two production branches with the headquarters in Medias and Tg operating together over 140 commercial fields Romgaz production branches are set up in 14 production departments: Filitelnic Cristur (Medias branch) and Sangiorgiu de Mures These fields produce through 3240 wells and complex surface facilities made up of gathering pipes dehydration stations and gas metering panels Electric power plant (CTE) Iernut is Romgaz’s SPEE Iernut Branch CTE Iernut is a condensation electric power plant with intermediate superheating having 600 MW installed power Its capacity to produce electric power accounts for 5% of the domestic/national market share The entire quantity of gas traded by Romgaz was sold on the internal market Romgaz traded quantities delivered on free market both by bilateral negotiation and on the centralized market Quantities delivered during 2018 have been traded 60% on the Romanian centralized market and maintenance activity for the benefit of the company and third parties SIRCOSS is the branch for well services of the National Gas Company ROMGAZ S.A established in 2003 as a result of a reorganization process This branch reunited all work teams and equipment used for the well workover and special well operations activities SIRCOSS specialises in well recompletions jobs special well operations and production tests in natural gas wells SNGN ROMGAZ SA has unbundled its storage activities according to Directive 2009/73/CE of the European Parliament and of the Council of July 13th 2009 and to the Electricity and Natural Gas Law no and DEPOGAZ Ploiesti Subsidiary SRL has taken over License no 1942/2014 (transferred from SNGN ROMGAZ SA) for operating the natural gas underground storage system The Underground Gas Storage Subsidiary DEPOGAZ Ploiesti SRL is completely owned by SNGN ROMGAZ SA