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SOCAR talks energy with Kyrgyz leaders
by Staff Writers
Baku, Azerbaijan (UPI) Aug 17, 2012

'Endless' pipe seen for oil, gas industry
Tucson (UPI) Aug 17, 2012 - Aerospace materials and a process to make endless pipelines for the oil and gas industry could transform pipeline construction, a U.S. researcher says.

Civil engineering Professor Mo Ehsani of the University of Arizona has designed pipeline that, rather than the conventional concrete or steel, uses a central layer of lightweight plastic honeycomb, similar to that used in the aerospace industry, sandwiched between layers of resin-saturated carbon fiber fabric.

And whereas concrete and steel pipes must be built in short sections to fit on standard 18-wheel trucks for transport to construction sites, Ehsani's says his new pipe can be built on-site as a single section of almost any length.

Ehsani has dubbed his creation InfinitPipe.

"There are really two aspects to this invention," he said. "One is this new type of lightweight honeycomb pipe. Second is our ability to give clients an endless or infinite pipe, without a joint.

"That is a big, big breakthrough in the pipeline industry that has implications for natural gas, oil, water, and sewer pipes."

While a literally infinite pipe is impossible, of course, Ehsani's method has the capability to create extremely long sections of joint-free pipe.

"We could make a section a mile long," he said. "Of course, every thousand feet or so, you'd need an expansion joint so the pipe can breathe, but this would certainly not be the same concern we have today, where we have to put a joint every 20 feet."


Azerbaijan state energy company SOCAR revealed this week it recently hosted top-level energy discussions with Kyrgyzstan officials on economic development.

The two Turkic-speaking countries -- both formerly part of the Soviet Union -- have taken steps this year to ramp up energy and cultural ties as impoverished Kyrgyzstan seeks to lessen its near total dependence on Russia for its energy supplies.

SOCAR said Tuesday company President Rovnag Abdullayev, met with Kyrgyzstani Minister of Industry and Energy Askarbek Shadiyev Aug. 10 in Baku and discussed how the oil and natural gas industry has led to the "rapid and sustainable economic development of Azerbaijan."

Abdullayev, the statement said, "gave detailed information about the regional oil and gas projects carried out in Azerbaijan, as well as SOCAR's large-scale investment programs implemented in the country and abroad."

Shadiyev spoke about "reforms" in Kyrgyzstan, presumably the establishment of parliamentary democracy there following a bloody April 2010 coup that forced former President Kurmanbek Bakiyev to flee to Belarus.

Following the coup, which left 90 people dead, at least 470 more were killed in ethnic conflicts in the Central Asian nation.

Elections last year resulted in the presidency of Almazbek Atambayev, a wealthy businessman who has promised to bring prosperity and stability to the country.

Shadiyev said in last week's SOCAR meeting Kyrgyzstan is "interested in the cooperation with Azerbaijan, which is known as a reliable partner in the field of production and export of energy resources."

The meeting was the latest in a series of high-level contacts being hailed in both countries as marking an end to 20 years of diplomatic stagnation between the former Soviet states.

In March the new Kyrgyz president made an official visit to Azerbaijan, during which he laid a wreath at the grave of Azerbaijani national leader Heydar Aliyev.

Also in March, a SOCAR delegation visited Bishkek, where members announced plans to build the country's first oil refinery.

The proposed $100 million facility is meant to help shield the country from sudden price fuel spikes, such as experienced in 2010 when Russia canceled its preferential export duties on fuel to Kyrgyzstan during a feud with Bakiyev.

An oil refinery would be an important step in Kyrgyzstan's development as a nation and would help bring it more fully into the family of Turkic-speaking Muslim nations, Azerbaijan officials say.

The countries are also developing ties in the banking sector.

This month a delegation led by the president of Azerbaijani transmission system operator Azerenerji met with Aaly Karashev, Kyrgyzstan's first deputy prime minister, to discuss the establishment of a new investment and commercial bank in Bishkek.

Joint investment projects were on the agenda, including ventures in mining, energy, fertilizer plant and creamery construction, officials said.

Kyrgyz Prime Minister Omurbek Babanov in May helped launch a new Azerbaijan-Kyrgyzstan intergovernmental cooperation commission, during which he called for investments in his country beyond the oil refinery, the Azerbaijan State Telegraphic Agency said.

"Kyrgyzstan President Almazbek Atambayev's visit to Azerbaijan, meeting with the President of Azerbaijan Ilham Aliyev and successful negotiations indicate that both countries are keen on developing the relations," he said. "I am sure that the agreements will be implemented shortly."

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Nigeria to expand natural gas production
Abuja, Nigeria (UPI) Aug 17, 2012 - The Nigerian government said it will greatly expand the country's natural gas production.

Nigerian Minister of Petroleum Resources Diezani Alison-Madueke said the government has initiated an extensive gas expansion project, which will add 120 million cubic feet of gas per day to Nigeria's natural gas grid.

The addition gas production should alleviate the country's difficulties of low natural gas pressure in the nation's pipeline network.

She told The Daily Trust newspaper that the change allows for officials to meet the "full requirement" of a series of gas facilities, including Egbin, the Sapele Power Holding Co. of Nigeria, Delta IV, Olorunshogo and both the PHCN and National Integrated Power Project plants along with the Omotosho PHCN power plants.

"The net impact of ... the addition of 120 million cubic feet of gas per day to the national power grid and the permanent elimination of the challenges of low gas pressure that has plagued the Olorunshogo PHCN and NIPP power plants," she said.

Alison-Madueke added that the country was positioned to supply gas to the Geregu Power plant and all anticipated expansions there.

Nigeria's government has stated that within the next month that it will increase natural gas supplies to both PHCN and NIPP-operated thermal power plants across the country with an additional 65 mmcf/d.

Where this new production will be exported is uncertain.

On Tuesday Nigerian National Petroleum Corp. Group Managing Director Andrew Yakubu said China had become the alternative market for Nigeria's crude oil, following dwindling imports by the United States, which was previously the major buyer of Nigeria's crude oil.

"The decision of the United States is not driven by the fact that they don't want to buy our oil; they have other issues," Yakubu said at a recent oil and gas conference in Lagos. "The shale gas (that) has been discovered ... is a major source of energy.

"But, of course, the good news is that there are other parts of the world that are interested. As you know, major demand growth is going to come from China and the East. So, that is a very good replacement of whatever shortfall we have with the United States."

In 2009, Nigeria exported more than 1 million barrels per day of crude oil to the United States but recently that has declined to roughly 352,000 bpd, representing a loss for Nigeria of roughly 70 percent of its previous U.S. market.

Penetrating Asian markets to make up for U.S. exports won't be simple as it is more difficult to ship crude oil from Nigeria to Asian countries than to the United States because of the added distance. The distance from the Shell's Bonny Export terminal in Rivers State, to Tianjin, China is more than 12,000 miles, compared to about 5,800 miles to New York.



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