Black & Veatch to work on LNG-to-power project in Colombia

US-based engineer Black & Veatch has won a contract to conduct the technical, engineering and commercial studies for an LNG-to-power project in Colombia.

Under the deal, Black & Veatch will work on the Andes Energy Terminal (AET) located in the Aguadulce Peninsula in Buenaventura, Colombia.

The study would build on commercial and technical work previously completed by the sponsors, the engineering firm said in a statement.

It would focus on the development of an LNG regasification facility and 400 megawatts (MW) of natural gas-powered generation assets, in order to deliver “reliable electricity” to cities in central and southwestern Colombia, it said.

Power generation shortfalls

With economic growth returning in many sectors and robust GDP projections, Colombia could experience power generation shortfalls in 2022 and consistent natural gas deficits by 2023, even as global LNG production soars.

“The AET seeks to aid Colombia’s energy transition to more sustainable power sources and add resilience and reliability to an electric grid heavily reliant on hydro generation assets that are subject to weather-related production variance,” the statement said.

In addition, the AET looks to develop a hyperscale data center and new facilities for storing liquid fuels, including infrastructure to meet the emerging opportunity in the hydrogen market.

Strategic power solutions partner

The feasibility studies, which are funded by a grant from the United States Trade and Development Agency (USTDA), will verify the proposed project site’s suitability, define the project design requirements, and estimate capital and operating costs.

It also would assess the financial viability and define financing options while preparing a detailed implementation and construction plan, Black & Veatch said.

Andes Energy is also partnering with a “world-leading” strategic power solutions vendor, which will provide equipment, solutions and services for the power plant.

The partner, who remains undisclosed, is active in more than 180 countries, with their technology producing a third of the world’s electricity, Black & Veatch said.

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