Engineering, Project Management and Consulting for Industrial Plants

Corina Mircea

Ileana Raicu

Karl Tobler

Chandrasekhar Ramakrishnan

Romania Gas Forum 2010

Tecon Engineering

Ensuring Stable Gas Supplies to Europe – The Role of Romania

Tecon – Copyright 2010

Member of ILF-Group

page 2

• Company Profile

• The Vulnerability of Europe

• Gas Supplies to Europe

• Where Does Romania Stand Today?

• Pipelines Today and Tomorrow

• Alternative Gas Transport and Route

• Summary and Conclusions

Ensuring Stable Gas Supplies to EuropeContents of Presentation

� Content

Tecon – Copyright 2010

Member of ILF-Group

page 3

� Overview

• Since 1998 renown Austrian Engineering & Consulting Company / Member of ILF

• In Romania since 2007

• Focus on innovation, cost effectiveness, safety and environmental compatibility

• Offering engineering services for all project phases in the business areas of:

Ensuring Stable Gas Supplies to EuropeCompany Profile

REFINERY

PETRO-CHEMISTRY

UP-STREAM

Tecon – Copyright 2010

Member of ILF-Group

� Recent Headlines

page 4

Ensuring Stable Gas Supplies to EuropeThe Vulnerability of Europe

Tecon – Copyright 2010

Member of ILF-Group

page 5

� Europe Is Highly Vulnerable!! *

• Up to 700 TWh of gas consumption per month (EU27, winter peak)

• Up to 450 TWh secured with imports (64 % !!)

• Increase of gas demand will increase imports by 80 % until 2030!

• Imports mainly through pipelines, practically 100 % from Russia

• Only approx. 3 Mio tons per month LNG (mainly to E, B, UK, P, I)

• Utilization of gas hubs (e.g. Baumgarten in Austria) reaches up to 100 %

* European Commission, Directorate-General for Energy and Transport, Market Observatory for Energy, 2010

Ensuring Stable Gas Supplies to EuropeThe Vulnerability of Europe

Tecon – Copyright 2010

Member of ILF-Group

page 6

� Pipeline Systems

• Yamal Europe

• Northern Lights

• Brotherhood

• Soyuz

Ensuring Stable Gas Supplies to EuropeGas Supplies To Europe

Tecon – Copyright 2010

Member of ILF-Group

page 7

� Natural Gas in Romania (2009)

• 140 TWh gas consumption

• 119 TWh by domestic gas production, only 21 TWh by imports

• Self sufficiency of 85 % !!

• Different gas quality (low calorific gas, compared to EASEE 11 kWh/m3)

• Pipeline systems mostly designed for domestic distribution, not transport

Ensuring Stable Gas Supplies to EuropeWhere Does Romania Stand Today?

Tecon – Copyright 2010

Member of ILF-Group

page 8

� Pipeline Network in Romania

Ensuring Stable Gas Supplies to EuropeWhere Does Romania Stand Today?

Tecon – Copyright 2010

Member of ILF-Group

page 9

Ensuring Stable Gas Supplies to EuropePipelines Today and Tomorrow

Tecon – Copyright 2010

Member of ILF-Group

page 10

Ensuring Stable Gas Supplies to EuropePipelines Today and Tomorrow

Tecon – Copyright 2010

Member of ILF-Group

page 11

Ensuring Stable Gas Supplies to EuropePipelines Today and Tomorrow

Tecon – Copyright 2010

Member of ILF-Group

page 12

� Map Overview about Romania’s Participation

Ensuring Stable Gas Supplies to EuropePipelines Today and Tomorrow

Tecon – Copyright 2010

Member of ILF-Group

page 13

Ensuring Stable Gas Supplies to EuropeAlternative Gas Transport and Route

Tecon – Copyright 2010

Member of ILF-Group

page 14

� Summary of the Romanian Situation

Ensuring Stable Gas Supplies to EuropeSummary and Conclusion

all figures in bcm

Tecon – Copyright 2010

Member of ILF-Group

page 15

� Analysis

• Growing energy demand in Europe (80 % increase in gas imports until 2030!)

• This equals additional imports greater than 200 bcm per annum!

• Diversification of gas supplies required to gain stability and independence from Russia

• Caspian Region as only real alternative for natural gas sourcing

• All major projects will / could lead through Romania

• Romanian gas transport capacity could increase about 5 times!

• Problems with gas quality could lead to separation of gas networks(Domestic / Transport)

Ensuring Stable Gas Supplies to EuropeSummary and Conclusion

Tecon – Copyright 2010

Member of ILF-Group

page 16

� Conclusion

• Romania could become the future gas hub of Europe with up to 75 %of additional gas to Europe passing through (150 bcm)

• Great chance for Romanian companies and economy

• Romanian gas transport companies to concentrate their efforts on these developments!

• Extension of Underground Gas Storage facilities to enhance supply stability,both domestic and european

Ensuring Stable Gas Supplies to EuropeSummary and Conclusion

We hope that Romania is successful on this path,

offer our Engineering Support

and Thank You for Your Attention!