By: Ramy Sameeh
Abu Dhabi – Mubasher: Abu Dhabi National Energy Co. (TAQA) is close to completing construction works for its hydroelectric power station in Sorang in northern India’s Himachal, said TAQA’s chief operating officer (COO) Edward LaFehr.
In January 2013, TAQA acquired an interest in Himachal Sorang Power Limited (HSPL), the developer of a 100-megawatt (MW) hydroelectric plant in the northern Indian state of Himachal Pradesh.
LaFeher said he expects the station, located in an area facing power shortages, to become operational in mid-2015.
“We are also currently working on increasing the production capacity of our Takoradi 2 station in Ghana from 220 MW to 330 MW,” the COO revealed, noting that he expects the plant to commence operations in mid-2015 as well.
Following its completion, the Takoradi 2 station is expected to provide 15% of Ghana’s total energy production. Since 2007, TAQA has a held a 90% in the Ghanaian station.
Fujairah 1 station
TAQA has successfully completed nearly 85% of expansion for its desalination project in Fujairah 1 station, which will provide an additional capacity of 30 million gallons of desalinated water using reverse osmosis (RO), according to LaFehr.
The energy firm and the Abu Dhabi Water and Electricity Authority (ADWEA) previously announced in June 2013 a $200 million expansion project at the Fujairah 1 plant. The expansion was done in partnership with Singapore’s Sembcorp Industries.
Iraq’s Atrush field
We have achieved significant progress in the construction of the first phase of the development of the Atrush field in Iraq after successfully completing the drilling of five oil wells there, said LaFehr, adding that fixed and possible oil reserves are likely to reach 16 million barrels.
It is expected that daily production will reach 30,000 barrels per day when the plant is operational, he noted. The Atrush field is located 85 km from northwest Erbil, the Kurdistan region’s capital.
Production:
The company’s North American production grew 3% in 2014 with reserves reaching 363 million barrels, said LaFehr, noting that the UK’s production surged by 30% with reserves reaching 128.6 million barrels.
Meanwhile, production in The Netherlands has remained stable at 8,000 barrels of oil, while reserves stood at 14 million.
2014 losses
TAQA logged AED 2.3 billion losses in FY14, an increase of 29.5% from a loss of AED 1.77 billion a year earlier. Revenues grew 6% in 2014 to AED 25.8 billion, up from AED 27.3 billion in 2013.
The Abu Dhabi-government-owned firm is seeking to reduce its operating and G&A expenses by approximately AED 1.5 billion in 2016, according to LaFehr, who spoke during the company’s ordinary general meeting on Sunday.
The energy company has successfully lowered capital expenses by 23% in 2014, the official revealed, adding that it seeks to lower them by an additional 39% in 2015, as part of a strategy aimed to boost investment returns.
The COO also attributed the company’s losses in 2014 to non-cash provisions set aside due to the slump in oil prices during the second half of 2014.
With a capital exceeding AED 6 billion, TAQA owns and operates land and marine oil and gas assets in three continents.
Translated by: Nada Adel Sobhi
