29 Aug 2012
Enefit Outotec Technology to Assess Moroccan Oil Shale on Request of San Leon Energy
Enefit Outotec Technology (EOT), a joint venture of Eesti Energia and an engineering company Outotec, signed a cooperation agreement with the energy group San Leon Energy Plc (San Leon) for the preliminary analysis of the Tarfaya oil shale deposit owned by the latter in Morocco. One of the goals of the cooperation agreement is to assess the suitability of Enefit technology for the oil shale of the Tarfaya deposit.
The signed cooperation agreement comprises the conducting of analyses and pilot tests as well as plant design services by EOT. In the later stages of the project also the delivery of equipment and start-up support to the designed Enefit280 oil plant are included.
San Leon plans to produce electricity and oil from oil shale in Morocco, based on the Tarfaya oil shale deposit. The oil shale found in the deposit contains an estimated 500 million barrels of shale oil.
“The production of liquid fuels from oil shale has great global development potential, as it provides a real alternative to crude oil. We have a technology that is efficient and environmentally friendly. Furthermore, we have a unique long-term experience in the production of liquid fuels from oil shale in the world. This cooperation agreement is recognition of the development work performed by Estonian engineers,” said Alo Kelder, Chief Executive Officer of EOT.
“We are delighted to cooperate with Enefit Outotec Technology in developing the Moroccan oil shale resources,” said Oisin Fanning, Chairman of San Leon. He stressed that Morocco is a country with one of the largest oil shale reserves in the world and interest towards electricity and oil from local raw materials is great. For the processing of local oil shale, San Leon plans to apply various methods, combining in-situ and ex-situ processes.
Eesti Energia, the parent company of EOT, started the hot commissioning of the first Enefit280 shale oil plant that uses the new generation technology at the end of July. The first shale oil from the new plant is expected in September.
Eesti Energia and Outotec founded the joint venture Enefit Outotec Technology in 2009. The main field of business of the joint venture is the development and sale of shale oil production technology Enefit. Eesti Energia owns 60% and Outotec 40% of the holding in the joint venture.
Eesti Energia has analysed Moroccan oil shale reserves earlier as well. In 2010, oil shale was analysed in the Aghbala and Errachidia deposits. As the quality of the rock analysed in these regions was not good enough to be economically justified for processing, the project was ended.
San Leon Energy Plc (SLE) is an international energy group listed on London Stock Exchange, developing the production of electricity, oil and gas in North-Africa and Europe, including the production of electricity and liquid fuels from oil shale in Morocco.