LNG

Harald Dany, Atlas Copco Gas & Process, Cologne, Germany

One of the challenging aspects of transporting liquefied natural gas to the growing world market is finding the most efficient way to handle boil-off gas during the carrier’s voyage.

Many LNG carriers have employed steam-turbine propulsion systems fuelled by boil-off. Outside of the area of steam-based propulsion, there is no efficient use of the gas.

At the same time, the good, old steam propulsion has been losing popularity and could actually become “a thing of the past”, some experts have suggested.

Brian Eisentrout, Steve Wintercorn and Barbara Weber

CB&I of the US has been involved in the design and construction of terminal facilities for LNG for more than two decades. Here their experts consider import plant options


Throughout the world about 20 new liquefied natural gas import facilities are currently being built, while many more projects are in the planning stages in the US, Europe and Asia.

Not only is the number of import terminals growing, but also the size of the planned regasification facilities to meet the increasing need for natural gas.

Saeid Mokhatab and David Wood

There is a distinct contrast between two prevailing LNG trading alternatives: 1) the traditional, risk-averse, long-term contract-dependent with a floor price and tough take-or-pay terms; 2) the free market, short-term and long-term trading terms with prices indexed to a volatile gas market benchmark price.

These trading alternatives - result in a quite different balance of risks and rewards among the parties in each case.

Long-term contracts give sellers the assurance that they have defined and secure outlets for substantial volumes of gas at prices usually indexed to market prices for competing fuels.

Clare Calnan

Looking back over the last 20 years it can be seen that in terms of both the types of trading and the volumes of cargoes being transported the LNG market has come a long way in a short time.

By 2009 the size of the LNG carrier fleet is expected to increase to 300 vessels and by 2011 it is likely to reach 450 vessels.

It is inevitable that with this level of expansion comes innovation and flexibility, not only on the part of the oil and gas companies developing new sources of supply, but also on the part of the LNG buyers in both traditional and emerging markets.

Significant investment in the continent’s import terminal network will have to continue at the current pace

Karim Nassif and William Ferara

The share of liquefied natural gas as a proportion of total natural gas demand is set to grow in Western Europe, with LNG suppliers and importers among the key beneficiaries.

Sokrates Tolgos

The LNG business is generally governed by risk-sharing consortia as well as by long-term supply and ship charter contracts with durations up to 20 or 30 years.

A reliable and stable LNG supply from the producing to the consuming country is an essential requirement in this business, but equally imperative is the continuous search for increased profitability in the transport chain.

Linda Hutchinson-Jafar, Port of Spain, Trinidad

Oscar Alfredo Prieto, a 52-year-old Argentine, has taken over as Chief Executive of   Atlantic LNG of Trinidad and Tobago, the key source of supplies for the United States as it builds up its liquefaction capacity.

Thomas Dawson, President of LNG Impel, one of the planners of the Dubai LNG Hub, explains how the project will work.

LNG Impel of Canada and partners from the United Arab Emirates have announced plans to develop a Middle East hub for LNG storage at a cost of around $1 billion.

Genesis Energy and Contact Energy of New Zealand said they have selected Port Taranaki as the preferred site for the country's first liquefied natural gas import terminal.

UK natural gas prices plunged to between zero and 12 pence per therm as a new pipeline from Norway to the UK, Europe’s largest market, caused a temporary glut for a second day.