LNG Value Chain – An Introduction to LNG, being as the alternative of a (relatively) clean energy for marine fuel

 

By Agung Aang on Friday, June 24^th, 2011, at 03.45 PM

The Natural Gas, known as “Methane” is believed to be one of the alternative energy beside other fossil energy, that is known to be relatively clean and cheap. It’s relatively clean compare to the other sources of energy such as fuel oil, coal, etc due to methane having less carbon chain compare to others, thus in the combustion process, will produce and release less carbon emission to the atmosphere. That’s why it’s good and safer for the environment.

It’s also relatively cheap since it is believed that the global reserved is still at the sufficient level compare to the other fossil energy that had led to the scarcity all around the world. However the development of the application that uses and consumes Natural gas is still limited nowadays, especially in some third world countries (including Indonesia I guessed). In some modern countries, we saw that the people’s access in to this type of energy had been indulged since last decade.

There are at least two type of technologies (processing & containment) to deliver the Natural gas (Methane) to the customers / end-users, which first is LNG (Liquefied Natural Gas) and second is CNG (Compressed Natural Gas), this time I will start to elaborate further on LNG, we can do The CNG at some other time.

Anyway to get to know further in to this LNG thing, one has to understand first the characteristic of the LNG it self. LNG is the natural gas that has been liquefied by being cooled (thru a thermal process cooling) in to an approximately -160°C (-260°F). LNG ~ 1/600 volume of Natural Gas, making it practical to transport by ship, Can be stored and transported in insulated tanks at standard atmospheric pressure. Flammable when mixed with air concentrations between 5% - 15% (methane). Not generally considered as an explosive.

The LNG Value chain from the source fields / gas well in to the end-user are described as per-herewith diagram

 

            

As obviously seen, Natural gas which was produced from gas well, brought up through gas pipelines in to The Processing Plant where gas were liquefied and keep in liquid forms for further shipment process via an export Terminal. As earlier mentioned, gas volume in liquid faction is 1/600 times of it’s volume in original gas form, making it more practical and easier to handle during transport.

Then an LNGC will bring the gas, in liquid forms (LNG), which were kept onboard within an enclosed/insulated cryogenic containment from the Export Terminal in to the Import / Receiving Terminal, where the LNG is discharged / un-loaded in to storage and another Processing Plant, called Re-gasification Plant, where the liquefied gasses is changed back in to the gas forms before it’s virtually delivered and further distributed in to the end-users (i.e power plant, industries, etc) through gas pipeline facility.

There are at least two (2) types of The LNG Receiving Terminals being developed recently, first is On-Shore based Terminal where the Storage and Processing (Re-Gasification) Plant were located on-shore, and second is Off-Shore Terminal where the Storage and processing (Re-Gasification) Plant were located Off-Shore, it could be in a form / module of Floating Storage and Re-Gasification Plant (FSRU Barges or Vessels) and or Fixed Permanent Floating Terminal (using Gravity based, piled/fixed platforms, etc)

There are off course several pros and cons between these 2 types of Terminals, however peoples tend to explore more on the Off-Shore types recently due on the following reasons i.e. almost no land-acquisition involved (considering potential social risks), relatively faster to build, relatively less capital investment, less complex permit as well as the most issues on the mobility idea.

The most issues involved in this choice is it’s high sensitivity to the weather changes, especially rough se-condition.

Before coming to the development and application of the LNG for Marine Fuel on the next parts, to close this chapter, author would like to express his deep concern on, as of date there are none of such kind of Receiving (Import) Terminals were ever built and developed for and within Indonesia. Without any of such infrastructure made available, no wonder if the Natural Gas utility within Indonesian people in general is still low compare to other developing countries. What has become sad contradiction is, Indonesia as one of the world biggest Natural Gas Producers, sell it’s Natural gas for cheap to other countries, where it’s own Indonesian people does not have sufficient access to also enjoy the benefit of Natural Gas due to lack of (receiving) infrastructures made available.

Really sad…

End-June 2011