Where does LNG come from?
Liquefied herbal fuel (LNG) comes from herbal fuel by reducing its temperature to minus -260°F, when it changes fuel to a clear, colorless, non-toxic liquid. This is portability: it can be shipped by truck or tanker.
Marcellus and Utica shales in the Appalachian region of the northeastern United States supply about 30 billion cubic feet consistent with the day (Bcfd), or about one-third of the country’s total herbal fuel (90 Bcfd).
The largest fuel domain of the moment is Haynesville Shale in Louisiana and East Texas. Haynesville Shale is the largest continuous evaluation of herbal fuel ever conducted in the United States. The merit here is the proximity of LNG terminals on the Gulf Coast that can ship the product overseas.
According to the EIA, the trend will continue, the industry war between the United States and China has cooled things down a bit, but the prospect of the Chinese market employing LNG to upgrade coal boilers and power plants is huge.
The LNG market.
Cheniere Energy is a major LNG exporter and signed 3 years ago to export 1. 2 million tons of LNG consistently year-on-year to China for 20 years (from 2023 to 2043). But the deal fell through because of the industry war between the United States and China. In mid-2020, a separate agreement was signed with a Chinese company called Foran Energy Group, and LNG shipments resumed cautiously.
LNG exports have gone from 0 to 10 Gcfd in just five years (Figure 1). This is a surprising reversal of the decline in U. S. plant fuel production. USA In 2005. In 2018, U. S. vegetable fuel exports were exported to the U. S. USA They surpassed imports for the first time since 1957, when Russia introduced Sputnik into orbit.
Four new LNG terminals since 2018 (Figure 1) are shipping massive LNG tankers to Southeast Asian markets. In the United States, spot market values for LNG have been lower than foreign market values this year. This difference in value has led to record volumes of U. S. LNG. USA Exports.
In early 2021, spot costs soared to $20 consistent with millions of Btu in the Japan/South Korean market, but temporarily fell to $6. to $12 in June 2021.
Spot costs in the European market have followed the place of the Japan/South Korea market this year as they want to fill garage stocks.
The increase in US exports at the end of 2020 due to the recovery from the pandemic, as well as unforeseen cuts of competition such as Australia, which now produces at a near-total capacity of 11 Gpi3/d.
A lot of cash can be made by exporting LNG, because the difference in value between LNG in the U. S. USA And it’s significant pollutants from burning so much coal.
Where does the exported LNG go?
The majority (83%) of LNG exports go to two regions of the world. In 2021, 46% of LNG is transported to Asia, followed by Europe with 37%. The EIA expects LNG exports to reach close to 10 billion cubic feet consistently per day by the 2021 der.
China sees herbal fuel as an intermediate step in the transition to renewable energy, which it has committed to. While China has 70% fossil fuels today, it plans to be 90% renewable by 2060.
“Despite the strain of the pandemic, political priorities in China continue to drive large-scale adoption of cleaner combustion fuels to upgrade coal,” said Anatol Feygin, cheniere’s executive vice president and chief advertising officer. “There is a massive expansion in fuel demand. And we’re very well positioned to address that,” he noted.
The six hundred new and other locations for new coal force plants planned for China will provide the security force that China desperately wants to grow its economy. Meanwhile, China is ahead of any other country in solar, wind and battery structure, adding a dominant hand in the game of soaring metals such as lithium, cobalt and rare earth elements.
Therefore, LNG exports to China and other Southeast Asian countries can explode for many years, especially if the U. S. USA It calls for reducing herbal fuel, as fuel-fueled power plants in the U. S. are fueled by fuel. USA They are upgraded using wind, solar and battery power. Upgrade your coal-fired power plants with fuel plants, then the “displaced fuel” from the United States could fill the void in China.
But if China makes the decision to transfer directly from coal-fired power plants to renewables, with no intermediate space for gas, the LNG boom in the U. S. will be expected to move directly from coal-fired power plants. USA Possibly it wouldn’t last that long.
The United States deserves to be aware of the long-term imaginable end results (think after 2050) that China will no longer want American LNG because it has based its energy security on renewables: wind, solar, hydroelectric and nuclear.
Competition with exporters.
At the end of 2018, there were 550 LNG carriers in the upper seas.
In 2020, Australia and Qatar are almost tied for the lead in LNG exports, with the United States in third place with little more from the leaders; by 2023, the United States could overtake the former.
Australian LNG is based on two fuel sources: coal bed methane in Queensland and New South Wales, and traditional fuel in the northwest of the country. Each region has built massive LNG trains with multi-billion dollar costs to process and liquefy the fuel in a position to be shipped to Southeast Asia. When it started 10 to 15 years ago, the rise in costs from Queensland coal methane to LNG in Southeast Asia was significant.
What about LNG greenhouse gas emissions?
The latest explanation for why LNG exports have grown so much is that LNG is a blank combustion fuel that can upgrade coal-fired power plants. Being herbal fuel, LNG burns at 117 pounds of CO2 consistent with millions of Btu compared to 210 pounds for coal (all types), so the credit is obvious.
The key is that LNG is a genuine intermediary in replacing coal burners if the total methane leakage is below a safe point (by a small percentage). The explanation for this is that methane is 20 to 80 times more resistant than CO2. global warming gas. So if methane leaks exceed this threshold, LNG burning in power plants is no greater than coal burning in general.
As the captain of an LNG ferry with passengers between Sweden and Finland said: “There is a big difference between diesel and LNG ferries. I will never go back.
As a petroleum engineer, I worked for 18 years in hydraulic fracturing at an oil company, then traveled around the world as a consultant and taught courses on shale.
As a petroleum engineer, I worked for 18 years in hydraulic fracturing at an oil company, then traveled around the world as a representative and taught courses on shale gas/oil, hydraulic fracturing, and earthquakes.
The dilemma faced by oil companies, which make a contribution to global warming, forced me to analyze the transition to renewables, and how long it takes.
My new e-book titled “The Shale Controversy: Will It Lead the World to Prosperity. . . or calamity?” It examines the pros and cons of hydraulic fracturing, then discusses global warming, the consequences for oil companies, and possible responses to the matrix I live in. New Mexico, USA, where I enjoy hiking, dancing and pickleball.