Russian energy giant Gazprom has broken ground on a 200MW combined cycle thermal power plant in Pancevo, Serbia.
The Pancevo thermal power plant is being constructed jointly by the Gazprom Energoholding Group, a wholly-owned subsidiary of Gazprom, and Serbian oil company NIS a.d. Novi Sad, which is part of the Gazprom Neft Group.
The two companies, in June 2015, formed a joint venture, called Serbskaya Generaciya d.o.o. Novi Sad, whose subsidiary TE-TO Pancevo d.o.o. Pancevo will manage the construction of the power plant.
The heat produced by the power plant will cater to the needs of the Pancevo Refinery, while the electricity generated will be sold in Serbia and neighboring countries.
Scheduled to be commissioned in 2020, the Pancevo thermal power plant will be the first Gazprom Energoholding Group’s project to be undertaken outside of the Russia.
The Pancevo plant, which will also be the first combined cycle thermal power plant to be built in Serbia, is expected to generate about 1400 GWh of electric power annually.
To be built with an investment of €180m, the thermal power plant will come up on a two-hectare site, located in an industrial district near the Pancevo Refinery that is owned by NIS a.d. Novi Sad.
The main investor for the construction of the Pancevo thermal power plant is the Gazprom Energoholding Group.
Shanghai Electric Group is the contractor for turnkey construction of the power plant after prevailing in a tender process in 2017. The company’s scope of work under the contract includes design, supply of equipment and materials, construction and installation works, training of personnel, along with commissioning of the power plant.
The Pancevo thermal power plant will comprise two Ansaldo Energia gas turbines and a steam turbine.
During the groundbreaking ceremony, Gazprom signed a Memorandum of Understanding (MoU) with the Serbian government on the implementation of combined heat and power generation projects in the Balkan country.
The Russian energy giant said that the MoU provides for joint efforts aimed at exploring further options for construction and upgrade of power plants in Serbia.