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Coega CCGT Power Plant Project 31 August 2006 Table of Contents A. Introduction 1. Motivation 2. Project background B. Design Basis C. Contracting Strategy D. Power plant E. 1. Gas Turbine Technology 2. Cycle Configuration 3. Equipment, systems & facilities 4. Site buildings 5. Emissions 6. Noise levels 7. Fire Protection 8. Fuel supply Project Milestones A. Introduction 1. Motivation • Project seen as a potential option to: – Strengthen regional supply – Stabilise the grid – Anchor project for IDZ 2. Project Background • Coega CCGT Project under evaluation since 2004. • Project being developed jointly with iGas (a subsidiary of CEF): – iGas developing the LNG import and regasification terminal – Eskom developing the power station B. Design Basis 1. Electricity Requirements • Provision for a maximum of 2400MW. • First 800MW to be commissioned prior to the LNG regasification terminal being commissioned; therefore liquid fuel firing would be used in the first 12 to 18 months until the terminal is ready to supply natural gas. 2. Design Options • CCGT installation to be as flexible as possible since the CTs may need to be operational prior to completion of the CC facility. The following options were considered to meet both the March 2009 requirement of 800 MW and the ultimate site capacity of 2400 MW: – Multiple 1x1 single shaft units at 400 MW each. Six units make 2400 MW. – Multiple 1x1 multi-shaft units at 400 MW each. Six units make 2400 MW. – Multiple 2x1 multi-shaft units at 800 MW each. Three units make 2400 MW. – Multiple 3x1 multi-shaft units at 1200 MW each. Two units make 2400 MW. – A 4x1 unit (1,600 MW) and 2x1 unit (800 MW) to meet the total 2400 MW site requirement. 2. Design Options (Continued) – Multiple 1x1 single shaft units at 400 MW each. Six units make 2400 MW. • Eliminated because it does not allow CC to be built while CT is operating in SC mode – Multiple 1x1 multi-shaft units at 400 MW each. Six units make 2400 MW. • Eliminated because efficiency is lower, capex high, and footprint larger – Multiple 2x1 multi-shaft units at 800 MW each. Three units make 2400 MW. • Not attractive from opex and capex perspective. Either one CT will operate in open cycle mode or ST for second 2X1 unit will run at 50% load – Multiple 3x1 multi-shaft units at 1200 MW each. Two units make 2400 MW. • Best option to meet short term and long term needs – A 4x1 unit (1,600 MW) and 2x1 unit (800 MW) to meet the total 2400 MW site requirement. • Having 2 different size blocks of power is not as attractive from a maintenance & operations perspective 3. Fuel Availability • Long term goal is for the CTs to burn natural gas from a proposed LNG terminal. However, LNG is not expected to be available until 2011 so operation for the first 2 years will be exclusively on liquid fuel. • Conversion to burning primarily natural gas will be made as soon as the LNG terminal to be located at the Coega site is operational, but dual fuel capability will be maintained and all future units will have dual fuel capability. The diesel infrastructure will serve as a back-up in case LNG supply is interrupted. • The Coega IDZ intends to have a liquid fuel tank farm that can provide the power plant with diesel through a pipeline from the tank farm to power plant site. The power plant will have a nominal sized diesel storage tank to provide spare capacity in case there are interruptions with the tank farm or pipeline. If it appears the tank farm will not be operational in time to support plant commissioning, diesel can be brought in by trucks or pipeline from Port Elizabeth. 4. Water Availability • The power plant is located on the coast and has ready access to seawater for condenser cooling. • Desalination plant is proposed to be installed to ensure make-up water capacity is always available. Back-up to be supplied either by the city or additional treatment of raw water on site. • The plant design needs to capture and re-use water wherever possible. The intent is for all cycle water and condensed steam to be collected and returned to the cycle and for the wastewater plant effluent to be routed through the raw water treatment process and re-used. Only sanitary waste will be discharged to the IDZ wastewater treatment plant. It is not anticipated that storm water runoff will be collected for use on site. 5. Transmission System Interface • Eskom is designing and installing the Transmission system, including a high voltage switchyard to be installed on the Coega CCGT site. Power lines will be routed from the individual generator step-up transformers to the high voltage switchyard. The Coega CCGT interface point will be within the high voltage switchyard. 6. Site • Coega CCGT plant is proposed to be located on National Ports Authority (NPA) property at the Port of Ngqura but may also be partially located on NPA property and partially on Coega Industrial Development Zone (IDZ) property. The area set aside must accommodate both the LNG Terminal and the Coega CCGT. • Site is located on the coast and will be bounded by the Indian Ocean along the eastern seashore. The site is bounded on the north by environmentally sensitive areas and on the south by the port. The site has room to expand toward the west but site elevation rises rapidly in this direction and additional site preparation and earth moving will be required. Draft Site Layout Drawing 7. Water discharge to the sea • There are environmentally sensitive areas to the north along the coast and directly offshore (Jahleel Island). It is anticipated that the cooling water maximum temperature rise will be limited to 7C so as to not impact on these areas. Thermal plume analysis should be performed to confirm the temperature rise. • Assuming discharge will be via effluent channel into the surf zone. Will consider other options pending thermal plume analysis. • Outfall will be approximately 500 meters NE along the shoreline 8. Circ Water Flows • Circ water flow rate is 90,220 tons/hr per power block • Total flow for 2400MW will be 180,440 tons/hr • Heat balances done to date indicate circ water temp rise between 6 to 7C. Worse case circ water temp rise is 7C. This assumes no LNG integration. C. Contracting Strategy 1. Contracting Methods Considered EPC Simple Cycle (SC) followed by CC 3x1. EpCM Multiple Contracts (30 to 120) SC followed by CC 3x1. 2. Contracting Strategy Analysis • Explanation of Contracting Method EPC Simple Cycle (SC) followed by CC 3x1. Single contract for EPC of entire Power Plant using 3x1 arrangement (assume CT vendor led). High price certainty. Low direct owner control/involvement. Small potential for scope gaps. Large contract may limit number of firms that can bid. 2. Contracting Strategy Analysis (continued) • Explanation of Contracting Method EpCM Multiple Contracts SC followed by CC 3x1. Similar to C - EPC Simple Cycle (SC) followed by CC 3x1 except EpCM methodology used. Project is split up into multiple (30 to 120) contracts dealing with engineering, equipment procurement, construction, construction management and commissioning. Plant configuration chosen is 3x1. Highest degree of Eskom involvement. Opportunity for lowest capital cost. Increased number of Eskom interfaces Eskom carries significant portion of risk exposure to cost and schedule. Requires larger Eskom staff and effort. Higher potential for performance and scope gaps. 2. Contracting Strategy Analysis (continued) • Analysis of Various Contracting Methods – Following factors were considered: Schedule (commercial operation date of 800 MW by March 2009) Total Project Cost Price Certainty Owner Input Operations and Maintenance Other factors (e.g. labor availability, etc) 3. Contracting Strategy Analysis (continued) The results from the matrix showed that the EPC Simple Cycle followed by Combined Cycle 3x1 contracting methodology is the preferred method for project execution D. Power Plant Technology 1. Gas Turbine Technology • Turbine Technologies F-Class: Best fit for combined cycle (CC); higher efficiency and proven reliability in CC operation with natural gas. Also good match of MW output to project. E-Class: Good when burning primarily liquid fuels. 1. Gas Turbine Technology (continued) • Gas Turbine Suppliers: General Electric (GE), Mitsubishi Heavy Industries (MHI) and Siemens are all viable options. Alstom has expressed concerns over long term operation on distillate fuels. Difficult to operate GT in Open Cycle. All four vendors are able to execute project as an equipment only supplier (complete Power Island) or EPC Turnkey. 2. Cycle Configuration • Recommended Coega Cycle Configuration Two blocks of 3x1 configuration using F-Class CTs. First block will be initially in Open Cycle mode to meet goal of 800 MW by March 2009. It will produce 1200MW by the end of 2009 in combined cycle mode. First block will be operated on liquid fuel until LNG available. Second 3x1 block will be completed in time for 2011 operation on LNG. 3. Equipment, systems & facilities The following is a list of major equipment, systems and facilities: 2 blocks of 3 x 1 Combined Cycle units, Combustion Turbines with HRSGs Each block – 400 MW steam Turbine Once through sea water cooling – Surface condenser with Titanium tubes. Desalination System. Air Compressors and dryers Fuel Oil Storage tanks and unloading facility Demin Water Tank Firewater/Service water Tank Condensate Storage tank Intake cooling water structure with Pumps, screens 3. Equipment, Systems & Facilities (continued) • The following is a list of major equipment, systems and facilities (continued): Intake cooling water pipe and discharge canal Auxiliary Boiler. Wastewater Treatment System Emergency Diesel Generators Black start Diesel Generator 2 – 100 Ton Bridge Cranes with aux Hoists. Hydrogen Generation system Hypochlorite Generation System Demin water system. Condenser Tube Cleaning System. CEMS 3. Equipment, Systems & Facilities (continued) • Heavy haul: – Steam turbine generator stator: LxWxH = 12m x 5.5m x 4.85m, shipping weight = 314,000 kg – Steam turbine step-up transformer: LxWxH = 8m x 4.2m x 5m, shipping weight = 270,000 kg – HRSG HP drum: LxDia = 13m x 3.1m (including shell projections), shipping weight = 143,000 kg – Largest HRSG tube bundle section (probably the HP economizer or evaporator section): LxWxH = 25m x 4.3m x 3.4m, shipping weight = 218,500 kgs • Note: Transportation of equipment may be an issue. 4. Site buildings The following Site Constructed buildings are included: ST Generation and CT Buildings Three story Admin/Maint/warehouse building Demin Water Treatment Building Desalination Building 5. Emissions • Air emission sources will be the combustion turbines (6), emergency diesel generator (1), and auxiliary boiler (1). • World Bank standards will be met when burning diesel or natural gas. • SO2 emissions are dependent on fuel sulfur content. • Water injection may be required to meet combustion turbine NOx emission requirements when burning diesel. 6. Noise levels • Imposing requirement of 85 dBA at 3 feet from individual equipment. • Can impose site boundary limitations if necessary to meet NPA, CDC, or national standards. • Installing silencers on steam relief valves and startup vents to minimize noise during startup and upset conditions. 7. Fire protection • An inert gas system will protect the combustion turbine compartments. • Sprinkler systems will be used to protect the turbine areas, control room, and other sensitive electrical rooms. • A motor driven fire pump and backup diesel driven fire pump will be provided. • A combined raw / fire water storage tank will be used as the primary fire water source. • Standpipes inside the fire tank for raw water use will ensure a dedicated fire water source. • An additional dedicated fire water tank will be provided to serve as a backup fire water source if the city water source does not meet NFPA reliability requirements. • A ring header around the site with fire hydrants will be used for general site protection. 8.Fuel supply • Liquid fuel usage rate is 1,367 l/min per combustion turbine at base load. This assumes a diesel heat content of 42.33 MJ/kg (LHV) @ 25oC. • Bulk storage facility will have 6 tanks each sized at 47.7 million liters, each to provide 21 days storage for 6 combustion turbines operating at base load. • Capacity of the on site diesel storage tank should be 13.5 million liters with a usable capacity of not less than 11.8 million liters, assuming 6 CTs operating at base load for 24 hours. • Two 160,000 m3 LNG tanks with a third tank in the future are assumed. • LNG terminal availability will be assumed at 98% D. Project Milestones D. Project Milestones • 28 July 06 – Specs for long-lead items • End Sept 06 – Concept Design / Prep EPC Specification complete • Oct 06 – EPC Bid Issue • Jan 07 - Submit bids • 15 April 07 – EPC LNTP Award • 31 May 07 – Prelim EPC Design complete • 31 Aug 07 – ROD/EPC NTP award • Mid Sept 07 – Start construction • 01 Feb 08 – Start foundations • 01 Aug 08 – Port available D. Project Milestones (continued) • • • • • • • • • 30 Nov 08 – Tank farm complete 01 Jan 09 – Diesel available Mid April 09 – Backfeed Mid May 09 – First Fire CT-1 1st June 09 – First Fire CT-2 Mid June 09 – First Fire CT-3 01 Sept 09 – Steam blow 01 Dec 09 – Planned commercial operation (CC) 01 March 10 – Guaranteed commercial operation (CC) ???