In Focus: Dealing with the energy trilemma

A new week, new steps in the transformation of the offshore energy sector. In this process the industry is dealing with the energy trilemma: to provide energy that is secure, affordable and lower in carbon.

Energy security is high on the agenda since the war in Ukraine. In that light the signing of a memorandum between McDermott and Eunice Energy Group to cooperate on a 2 GW electrical interconnector between Greece and Egypt is a step towards Europe’s energy independence from Russia’s energy resources.

According to George Kalavrouziotis, Eunice Energy Group CEO, the interconnector will help Egypt export its surplus power to Europe, and enable Greece to export its domestically produced green energy into the Balkans and Italy. As part of the consortium, McDermott will provide engineering and construction guidance for the project.

When it comes to renewable energy new regions are making their mark. Like Portugal, that is preparing its first offshore wind tender. The country identified several areas for 10 GW of offshore wind. The areas preliminarily proposed for commercial offshore renewable energy projects are located in waters off Viana do Castelo (expanding the already existing area), Leixões, Figueira da Foz, Ericeira and Sintra-Cascais, and Sines. Together, these areas can make it possible to reach the 10 GW target.

Future offshore wind projects in the country could be complemented by wave energy, which is also one of the offshore renewable energy sources deemed feasible for Portuguese waters which, due to their seabed and wind conditions, are predominantly suitable for floating wind technology.

The development of a wave energy project offshore Indonesia is a step closer with the funding of a consortium led by Ingine Wave Energy Systems. Selected as part of Innovate UK’s Energy Catalyst Round 9 at the end of 2022, the project was supported with €170,000 (£150,000) that will be used for a feasibility study and design of initial power plant as a part of the wave energy scheme in the East Nusa Tenggara region of eastern Indonesia.

In an overview of the weeks most important news items of the offshore energy industry, hydrogen is going to be part of the mix. It was announced that UK design and engineering consultancy firm Houlder has completed a ‘major design project’ for Shell International Trading and Shipping Company (Shell) for a 20,000 cbm liquid hydrogen (LH2) carrier. Houlder collaborated with Shell on the statement of requirements, ensuring that both parties were aligned on vessel specifications. Specifically, the team then conducted a feasibility study for fuel and powering arrangements. They also undertook concept general arrangement, hull design and powering, and structural design work.

Last month, Shell also signed a memorandum of understanding (MOU) with Swedish sustainable solutions provider Alfa Laval regarding the development of a new gas combustion unit (GCU) for use on liquid hydrogen carriers.

To supply the end users with hydrogen, necessary steps are being taken to create the supporting infrastructure. A good example of this is the Clean Hydrogen Partnership, a public-private partnership supporting research and innovation activities in hydrogen technologies in Europe under the Horizon Europe Programme. The idea is to create nine hydrogen valleys to repower Europe. The first will be spread across the North Adriatic area, comprising Croatia, the Autonomous Region of Friuli Venezia Giulia in Italy, and Slovenia, and the second aims to build a hydrogen corridor across Baltic Sea countries, including Estonia and South Finland.

In addition, the Clean Hydrogen Partnership has started the grant preparations for seven smaller-scale hydrogen valleys projects, focusing on areas of Europe with no or limited presence of H2 valleys. The valleys will comprise regions in Bulgaria (Stara Zagora), Greece (Crete and Corinthia), Ireland (Galway), Italy (Lombardy), Turkey (South Marmara), and Luxembourg.

In other hydrogen news, UK-headquartered Spirit Energy has confirmed its plan to transform two depleted gas fields in Morecambe Bay, northwest England, into a carbon storage cluster. Spirit Energy reported on Tuesday, 31 January 2022, that it plans to convert its depleted South Morecambe and North Morecambe gas fields and Barrow onshore gas terminal into a “world-class” carbon storage cluster if granted a licence by the North Sea Transition Authority (NSTA) and subject to other regulatory approvals.