Creativity Session

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THE ALBANIAN ENERGY SECTOR ITS POTENTIAL AND
INVESTMENT OPPORTUNITIES
SUZANA GUXHOLLI PRIME MINISTER ECONOMIC ADVISER
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ALBANIA

• Albania is located in the western part of the
  Balkan Peninsula, at the eastern coast of
  Adriatic and Ionian seas.
• Population resident 3.6 million
• Area 28 748 km2
• Capital Tirana
• Average GDP growth 6
• Inflation rate 3
• Unemployment rate 13

• Total Primary Energy Supply 2.4 Mtoe
• Total Final Consumption 2.064 Mtoe
• Energy Consumption 0.68 toe/capita
• Electricity Consumption 1906 kWh/capita

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ALBANIAN ENERGY SOURCES

• Hydro-Power
• Oil and Gas
• Coal
• Mining
• Wood (Biomass)
• Renewable Energies (Solar, Wind and Geothermal)

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Government Policy on Energy

• Opening up the energy market
• Unbundling the Former Albanian Electrical
  Corporation in three distinct companies
  Generation, Transmition and Distribution
• Successful privatization of Distribution
• Appliance of EU-based Energy Market Model
  (Liberalization of the energy market)
• Full appliance of the core EU Energy Directives
• Mining Sector fully opened to Foreign Investors
  (FI)
• No restriction, no discrimination, full
  protection of FI, full Government support
• First to come, firs to serve -- notion applied

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Government policy on Energy

• Attracting investments on Renewables
• Hydroenergy through successful PPP model and in,
• Solar, Wind Biomass--through Fast Track
  Licensing procedures(AIDA/QKL)
• Enhancing transparency, reducing bureaucracy
  through One-Stop-Shop model
• National Licensing Centre - QKL (www.qkl.gov.al)

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HYDROENERGY IN ALBANIA

• The hydrographic territory of Albania has a
  surface of 44,000 km2 or 57 more than the
  national area of our country.
• The average height of the hydrographic territory
  of Albania is about 700 m above sea level.
• The average perennial total inflow of Albanian
  rivers is about 1,245 m3/s.
• All our rivers convey to the sea about 40 billion
  water cubic meter/year.

Distribution of existing HPP
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HYDROENERGY RESOURCES

• Albania has huge hydro energetic potential
• The total installed capacity is 1,461 MW
• The average power production is 4.8 TWh
• To date only 35 of Hydro-Energetic potential of
  the country is utilized
• Total hydro energetic resources are about 4,500
  MW

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Investment Opportunities

• Skavica Hydropower Plant
• 200 MW expected installed power
• Located on northern Albania (Drin River Cascade)
• Vjosa River
• 350 MW expected installed power
• Located in the central Albania
• Osumi River
• 100 MW expected installed power
• Located in the central Albania

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PETROLEUM INDUSTRY IN ALBANIA

• Albania is an oil bearing country
• The oil production operators in Albania are
• ALBPETROL, the State Oil Company
• Foreign companies
• The exploration operators are some foreign
  companies
• Oil production is increasing as a result of
  important investments and new technologies
  appliance.

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OIL GAS RESERVES

• Total original oil in place 437 million tons,
  divided
• 78 reserves of sandstone fields
• 22 reserves of limestone fields
• Actual proven reserves of associated gas is 3.6
  billion m3
• Natural gas proven reserves are 22 million m3

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MINING SECTOR
Mining Activity Structure of
mining activity today in quantity
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MINING SECTOR

• Minerals Reserves in
  million/ton
• Chromium 37.3
• Copper 52.2
• Ferro-Nikel 266.6
• Nikel Silikat 102
• Coal 712
• Torfe 156
• Lime stones Unlimited
  reserves
• Olivinite 59
• Bazalte
  Unlimited reserves

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Chromium Mines
Present Geologic Reserves in four regions are as
followsCategory BC1.21.8 million
tonsCategory C2 .15.1 million tons
Total BC1C2 ..36.9 million tons Due
to the studies have been determined the main
directions of the perspective prospecting-
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COOPER

• Based on the geological conditions of ophiolites
  position, their morphology, genetic and
  mineralogical components, etc., are distinguished
  four main types of copper deposits, as
• Hydrothermal-Methasomatic and Volcanogenic-Sedimen
  tary Deposits, as Munella, Qaf-Bari, Gurthi,
  Rruga Rinise, etc.
• Main type Volcanogenic-Hydrothermal-Methasomatic
  Deposits, as Tuçi, Spaci, Derven, Paluca, etc.
• Volcanogene-Sedimentary Deposits, as Munella,
  Gjegjan, Palaj, Karma, Rubik
• Metasomatic Sulphide Massif Deposits, as
  Kurbneshi, Golaj, Thirra, Nikoliqi, etc.
• Copper 53 million tons with 1.3-2.5 Cu

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NICKEL

• The mineral of nickel in Albania is located
  mainly in 3 regions
• Devoll (Bilishti, Bitincka, etc)
• Pogradec-Librazhd (Guri Kuq, Cervenaka, etc),
  (Prrenjasi, Skroska, Xixillasi, Bushtrica)
• Kukes (Mamez, Trull Surroj, Nome)
• The nickel is in form of iron-nickel (Pogradec,
  Librazhd) of a grade of 0.8-1.1 Ni and in form
  of nickel-silicate (Devoll, Kukes) of a grade of
  1.11.4 Ni.

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FOSSIL FUEL SOURCES
COAL
Coal reserves in Albania are approximately 794
million tons, located in three main regions

• Central region, about 86 of reserves
• South-east region, 10 of reserves
• South region, 4 of reserves.

Coal in general is of lignit type. Calorific
value in coal 2000-5600 kcal/kg
Deposits of Coal
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Annual average wind speed
WIND ENERGY

• The wind regime in Albania is closely connected
  with the regime of baric centres, with its
  position relating to these centres, with the
  direct influence of Adriatic and Ionian Seas.
• Wind Energy is a potential possibility for power
  generation use in Albania.
• The average speed of wind, throughout the year,
  is around 4-6 m/s (10 m height) and the average
  annual energy density of 150 W/m2.

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RENEWABLE ENERGY SOURCES
Average quantity of sunny days
SOLAR ENERGY

• In Albania, average annual solar radiation is
  1500 kWh/m2
• Maximal annual radiation is 2200 kWh/m2
• The annual sunshine of the whole territory of
  Albania is about 240-250 days
• In Western coastal part and South-Western, the
  sunshine duration, is about 260-270 days per
  year.

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WOOD RESOURCES

• Total proven reserves on wood resources as fuel
  is about 6 Mtoe
• Wood resources production for 2007, is 215
  Ktoe/year
• Wood resources are classified in
• High forests, which represent 47-50 of the total
  wood resources
• Cropses, which are 29-30 of total wood
  resources
• Bushes, which are 24-25 of total wood resources.

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Temperature at depth of 100 m
GEOTHERMAL ENERGY

• The geothermic situation of Albanides presents
  two directions for use of geothermic energy
• The thermal sources with low enthalpy
• The usage of the depths of the abandoned wells
• Albania, actually is in the assessment phase of
  the geothermic energy use potential.

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THANK YOU FOR YOUR ATTENTION