Latest news with #liquefaction
Yahoo
02-07-2025
- Business
- Yahoo
How does Canada's burgeoning LNG industry measure up to its ambitions?
The first delivery of liquified natural gas (LNG) from the LNG Canada Development Inc. terminal near Kitimat, B.C. shipped out on Monday. It was the culmination of a six-year, $40-billion development of the facility, located at the head of the Douglas Channel. The shipment marks Canada's inaugural push into the global LNG market and it comes at a crucial time as the country looks to diversify its export markets. Here, the Financial Post looks at the ins and outs of producing liquefied natural gas and the major LNG projects on the go in Canada as it seeks to become a major player in a competitive global market. LNG is natural gas that is transported via pipeline from the extraction site to a liquefaction facility and supercooled to about –160C until it transforms into a clear, colourless and odourless liquid. 'The liquefaction process removes water, oxygen, carbon dioxide and sulfur compounds contained in the natural gas,' according to Natural Resources Canada. 'This results in an LNG composition of mostly methane with small amounts of other hydrocarbons and nitrogen.' When natural gas is liquified, it takes up about 600 times less space than its gaseous form. Utility company FortisBC describes it as 'roughly the equivalent of shrinking a beach ball to the size of a ping pong ball.' This makes it easier and more economical to transport to regions that aren't reachable by pipelines and load onto tankers and ship to overseas markets in Asia and Europe. When the LNG reaches its destination, it's moved into storage tanks and re-gasified. Natural gas can be used for heating furnaces, water heaters, and fireplaces, cooking with gas stoves and ovens, and generating electricity. It can also be used as an alternative transportation fuel and as feedstock for manufacturing a wide range of products including chemicals, plastics, fertilizers, fabrics, steel and paint. Canada's largest natural gas producer is Tourmaline Oil Corp. Other major producers include Canadian Natural Resources Ltd., ARC Resources Ltd., Ovintiv Inc., Peyto Exploration & Development Corp., Cenovus Energy Inc., Petronas Energy Canada Ltd. and Whitecap Resources Inc. 'But up until now, the bulk of LNG development has actually been more by large international players like Shell,' said Ian Archer, associate director, North America Natural Gas at S&P Global Inc. The LNG Canada venture is jointly owned by five international oil and gas companies: British multinational Shell PLC (40 per cent), Malaysia's state-owned Petronas (25 per cent), state-owned PetroChina Company Ltd. (15 per cent), Japan's publicly traded Mitsubishi Corp. (15 per cent) and South Korea's state-owned Korea Gas Corp., or Kogas (five per cent). Located about 650 kilometers northwest of Vancouver, the LNG Canada Kitimat terminal represents the 'largest single private sector investment in the history of the country,' according to the federal government. The project's $40 billion price tag includes $18 billion for the Kitimat facility and the $14.5 billion for the Coastal GasLink pipeline, which is operated by Calgary-based TC Energy Corp. and transports natural gas from Dawson Creek in the B.C. interior to Kitimat. Canada is currently the world's fifth-largest producer of natural gas, according to the Canadian Association of Petroleum Producers (CAPP) and the fourth-largest exporter, according to Reuters. Canada has some of the 'largest and most productive' natural gas deposits in the world, according to Natural Resources Canada, with about 44 trillion cubic metres (1,566 trillion cubic feet) in marketable natural gas resources. At the current rate of production, that's about 300 years' worth of natural gas. Archer said the biggest growing markets for natural gas are China, India and a range of smaller countries such as the Philippines and Vietnam. Europe is another big market as several countries look to transition away from importing gas from Russia due to the war in Ukraine. 'But most of the growth is expected to be in Asia and that's why West Coast LNG looks particularly appealing, because the market is literally just across the Pacific,' said Archer. Archer said LNG is a niche but growing market, and a globally competitive one. But when it comes to geography, Canada has a big advantage over the United States. It takes about 10 shipping days to reach Asia from Canada's west coast, compared to 20 days for LNG shipments coming from the U.S. Gulf Coast. B.C. Premier David Eby said the LNG Canada project will increase Canada's gross domestic product (GDP) by 0.4 per cent, while TC Energy chief executive Francois Poirier told the Financial Post earlier this year that LNG shipments could boost Canada's GDP by up to $75 billion annually. LNG Canada is currently considering expanding the Kitimat facility, which would double its export capacity from 14 million to 28 million tonnes per year. Cedar LNG, a floating liquefaction and export facility toted as the world's first Indigenous majority-owned LNG project, is currently under construction in Kitimat and expected be in service in late 2028. The project is co-owned by the Haisla Nation and Pembina Pipeline Corp. Early construction started in 2023 on Woodfibre LNG, the world's first net zero LNG export facility. Located near Squamish, B.C., the project is expected to reach 'substantial completion' by 2027. The project is owned by Woodfibre LNG Limited Partnership, a joint venture between Pacific Energy Corp. (Canada) Ltd. and Enbridge Inc. It recognizes the Squamish Nation as a 'key partner' and 'full environmental regulator.' Canada's historic first cargo of LNG sets sail for buyers in Asia If Canada wants to be the world's energy partner, we need to act like it The proposed Ksi Lisims floating LNG facility in Wil Milit, about 15 kilometres northwest of Gingolx, B.C., is currently 'undergoing environmental assessment work, Indigenous and community engagement, and preliminary engineering,' according to the project's website. The project aims to start construction this year and be operational by 2029. The proposed Summit Lake PG LNG plant, which would be located approximately 30 kilometers north of Prince George, B.C., is still in the early engagement phase. In May, owner JX LNG Canada Ltd. submitted a request to extend the one-year timeline for the detailed project description phase of the project to February 2026. • Email: jswitzer@
Zawya
16-06-2025
- Business
- Zawya
Badawi inspects LNG vessel preparations to support Egypt's summer gas supply
Arab Finance: Minister of Petroleum and Mineral Resources Karim Badawi conducted an inspection tour at Alexandria Port to review preparations for the "Energos Power" liquefaction vessel before its relocation to Ain Sokhna Port, as per a statement. This is a part of ongoing efforts to strengthen Egypt's natural gas infrastructure ahead of peak summer demand. The visit comes within the framework of the Ministry's strategy to enhance the flexibility and capacity of the national gas grid by integrating additional floating storage and regasification units (FSRUs). These vessels are designed to receive imported liquefied natural gas (LNG), regasify it, and inject it directly into the network to help meet rising consumption needs, particularly from power plants and other key sectors during the summer. During the tour, Badawi reviewed the technical modifications and progress on the Energos Power vessel and directed teams to expedite preparations while maintaining strict adherence to occupational safety standards and environmental protocols. He confirmed that Egypt now has three liquefaction units: one operational at SUMED Port in Sokhna, with two others, Energos Power among them, being prepared for integration at SUMED and Sonker Ports in Ain Sokhna. The minister emphasized that this expansion is part of an integrated plan to diversify supply sources and ensure the reliability of fuel deliveries, especially in light of current regional challenges. Badawi also highlighted the continued coordination between the Ministries of Petroleum and Electricity, under the directives of Prime Minister Mostafa Madbouly, to guarantee stable fuel supplies to power stations, whether natural gas or alternative fuels such as diesel and mazut. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Zawya
10-06-2025
- Business
- Zawya
Qatar accounts for 18.8% share of global LNG exports in 2024: IGU
Qatar's 18.8% share of global LNG exports brings the joint LNG exports of the three largest exporters in 2024 to 60%, says the International Gas Union (IGU) in its latest report. Qatar's exports slipped by 0.99mn tonnes to a total of 77.23mn tonnes in 2024, largely on par with the market's nameplate capacity of 77.1mn tonnes, IGU noted in its 'World LNG Report 2025'. Currently, Qatar is the third largest global LNG exporter. Ahead of Qatar are the US and Australia. Despite delays in new projects, the US defended its position as the world's largest LNG exporter in 2024, exporting a total of 88.42mn tonnes, equal to 21.5% of global LNG output and up 3.89mn tonnes from 2023. Australia maintained its position as the second-largest exporter with export volumes of 81.04mn tonnes in 2024, up 1.48mn tonnes from the previous year, comprising 19.7% of global exports. Global LNG liquefaction capacity grew by 6.5mn tonnes per year (MTPY) in 2024 to a total of 494.4 MTPY by year-end. Despite capacity growth, the global average utilisation rate decreased slightly to 86.7% from 88.7% in 2023, due to maintenance, power disruptions, and a series of mechanical outages across various facilities. In terms of liquefaction capacity, as of the end of 2024, there were 22 markets operating LNG export facilities. The US remained the market with the largest operational liquefaction capacity, at approximately 97.5mn tonnes per year, with an increase of 4.5MTPY compared to 2023. Australia and Qatar ranked second and third with 87.6MTPY and 77.1MTPY, respectively, maintaining the same capacity as the previous year. 'The top three LNG export markets currently represent more than half of global liquefaction capacity,' IGU noted. As of the end of 2024, there is 1,121.9MTPY of potential liquefaction capacity in the pre-FID stage, an increase of 75.3MTPY compared to 2023. With the Russia-Ukraine conflict still ongoing and a huge decline in Russian piped gas volumes in the market, a wave of proposed liquefaction projects has emerged to offset the loss of Russian supply. Some projects have also been fast-tracked to help meet demand. However, only a portion of pre-FID projects are going to proceed. According to IGU, global LNG demand is projected to stay on a long-term growth trajectory on the back of a strong increase in demand from markets in Asia and Asia Pacific. Although LNG contributes to global decarbonisation efforts by serving as a substitute for coal in power generation or for fuel oil in shipping, the LNG industry also needs to address emissions from its own supply chain. Cost inflation notwithstanding, these ongoing decarbonisation efforts continue to manifest themselves in an ever more efficient LNG fleet and innovative emission reduction measures undertaken by LNG projects worldwide, the report noted. © Gulf Times Newspaper 2022 Provided by SyndiGate Media Inc. (
Trade Arabia
07-06-2025
- Business
- Trade Arabia
IEA launches new global LNG capacity tracker
After a period of crisis, tight supply conditions and heightened price volatility, the global natural gas market is expected to transition to a period of abundant supply in the coming years - largely due to an increase in global capacity to produce and export liquefied natural gas (LNG). Against this backdrop, the International Energy Agency (IEA) launched a new online resource that will make key LNG data publicly available, providing detailed information on a rapidly evolving market for the first time. The IEA's new Global LNG Capacity Tracker, out today, monitors final investment decisions for new LNG export projects and provides data on liquefaction capacity additions through 2030, based on projects that are currently under construction and the latest ramp-up schedules. It will be updated regularly. The world currently has about 670 billion cubic metres (bcm) per year of LNG liquefaction capacity. Slower-than-average capacity growth in recent years has led to higher prices amid robust demand. But capacity is set to rise strongly through the end of the decade, with significant implications for global gas markets. Between 2025 and 2030, a total of nearly 290 bcm per year of new LNG export capacity is expected to come online from projects that have already reached a final investment decision and are under construction, according to the Tracker. The pace and scale of this expansion of supply capacity remains uncertain and may shift over time. Given this, the Tracker will aim to reflect the latest developments, providing timely insights for governments, industry and other stakeholders. The IEA closely monitors developments in natural gas markets, which play a central role in global energy security today.
RNZ News
30-05-2025
- Climate
- RNZ News
Thousands of Otago residents exposed to flooding, liquefaction, new report finds
Lateral spreading happens when liquefaction stretches and tears the ground. This example happened during the 2011 Christchurch earthquake. Photo: Sarah Bastin A new report has found thousands of people and buildings, including homes, are potentially exposed to flooding and liquefaction in Otago. The Otago Regional Council report used existing data to map the natural hazard exposure risks for people, buildings and critical services. It is the first comprehensive assessment for the entire region. The report found the greatest exposure was from river and lake flooding and liquefaction hazards. "Totals of greater than 30,000 people and buildings, including >10,000 dwellings, within the Otago region are located in areas identified as potentially subject to each of these hazards," the report said. Most of that exposure was located in and near Dunedin, with 39 of the 117 community areas being classed as having a 'high exposure' - which meant an area that had a high number of people or buildings within a mapped hazard area, not that an event was imminent. This included the floodplains that were in the council's and Lower Taieri flood protection schemes, but people and buildings within those areas were considered to be 'potentially exposed'. The report assessed 90 critical community facilities across the region - important buildings in a post-disaster response including hospitals, fire and police stations, or emergency operation centres. Of those, 23 were at risk of flooding and 35 were exposed to liquefaction across the region. Queenstown, Wānaka and Dunedin all had relatively high exposures to hazards involving slope stability including landslides and alluvial fans. There were about 500 people and 1100 buildings exposed to coastal hazards including tsunamis and storm surges, mostly around Dunedin and Clutha. The council's natural hazards manager, Dr Jean-Luc Payan, said the data would help to inform future planning to reduce risk. It would also show where they should prioritise future resilience and hazard investigations, as well as aid emergency management. "This work is not about predicting when an event might happen," he said. "It's about identifying where exposure exists so we can make smarter decisions about resilience, planning and investment." The council's senior natural hazards analyst, Tim van Woerden, said it was a living dataset that would continue to be refined as more detailed information was sourced. "These terms may sound technical or worrying, but it's important to remember this analysis is about where we focus effort to reduce exposure - not about predicting events or sounding alarms," he said. The council's natural hazards prioritisation programme is due to begin in the upcoming financial year.
