Dubai to Switch Upcoming Coal-Powered Plant to Natural Gas

FILE - The coal-powered Hassyan power plant is seen under construction in Dubai, United Arab Emirates, on Oct. 14, 2020. (AP Photo/Kamran Jebreili, File)
FILE - The coal-powered Hassyan power plant is seen under construction in Dubai, United Arab Emirates, on Oct. 14, 2020. (AP Photo/Kamran Jebreili, File)
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Dubai to Switch Upcoming Coal-Powered Plant to Natural Gas

FILE - The coal-powered Hassyan power plant is seen under construction in Dubai, United Arab Emirates, on Oct. 14, 2020. (AP Photo/Kamran Jebreili, File)
FILE - The coal-powered Hassyan power plant is seen under construction in Dubai, United Arab Emirates, on Oct. 14, 2020. (AP Photo/Kamran Jebreili, File)

A planned $3.4 billion coal-fired power plant in Dubai will be converted to use natural gas, the sheikhdom announced.

The announcement came in a statement quoting Sheikh Ahmed bin Saeed Al Maktoum, the chairman of the Dubai Supreme Council of Energy and CEO of the group owning the long-haul carrier Emirates.

The statement offered no details on how much the conversion would cost, nor how that would affect the plant’s planned time to come online in the energy-hungry sheikhdom. The plant also will include a desalination plant to provide the water needed to green its desert dunes.

The Hassyan power plant near Dubai’s border with Abu Dhabi is being built in part by China, which describes the plant as a “major engineering project of the Belt and Road Initiative,” a project which seeks to expand its influence in Africa and Asia.

According to The Associated Press, China had anticipated that the plant, which has General Electric Co. involved in its construction, will meet 20% of Dubai’s electrical demand.

Its construction comes as the world is warming, mainly due to rising levels of carbon dioxide and other greenhouse gases in the atmosphere, according to the vast majority of peer-reviewed studies, science organizations and climate scientists.

By far, most of the increase in temperature is the result of human activity, which includes burning coal, oil and natural gas. Those warming temperatures fuel extreme weather, such as powerful storms.



Gold Prices Climb on Safe-Haven Demand; US Payrolls Data in Focus

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)
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Gold Prices Climb on Safe-Haven Demand; US Payrolls Data in Focus

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)

Gold prices climbed on Friday, supported by safe-haven demand arising from the Middle East conflict, while spotlight shifted towards US payrolls report to gauge the trajectory of the Federal Reserve's policy path.
Spot gold was up 0.3% at $2,662.50 per ounce, as of 0325 GMT, after climbing to an all-time high of $2,685.42 on Sept. 26. Bullion has gained 0.2 for the week.
US gold futures edged 0.1% higher to $2,682.10.
The dollar eased 0.1%, pulling back from over a one-month high, making greenback-priced bullion less expensive for other currency holders, reported Reuters.
Geopolitical tensions, particularly concerning Israel and Iran, are supporting gold prices and unless these risks subside, prices are likely to remain near record levels, said Ajay Kedia, director at Kedia Commodities, Mumbai.
The US is discussing strikes on Iran's oil facilities as retaliation for Tehran's missile attack on Israel, President Joe Biden said, while Israel's military hit Beirut with new air strikes in its battle against Lebanese armed group Hezbollah.
Bullion is considered a safe investment during times of political and financial uncertainty, and thrives in a low-rate environment.
The US nonfarm payroll data is due at 1230 GMT. New York Fed President John Williams and Chicago Fed President Austan are also scheduled to speak later in the day.
If the NFP report comes in strong, it will be positive for the dollar and then gold prices will see some profit-booking, Kedia added.
Traders see a 69% chance of a 25-basis-point Fed rate cut in November, according to CME FedWatch Tool.
BMI said in a note it expects gold prices to trade within the range of $2,500 to $2,800 in the coming months.
Spot silver rose 0.4% to $32.17 per ounce and has gained about 1.8% so far this week.
Platinum climbed 1.1% to $1,001.79 and palladium advanced 1.4% to $1,013.46.