WORLD’S LOVIN’ THAT LNG

Is natural gas New Energy? No. It IS relatively new, however, for Liquified Natural Gas (LNG) producers to be moving their product around the world in this way. As a gas, the product is not so fungible. As a liquid, it is.

As more LNG facilities come on line, the world can shift away from coal. That is good news because gas has roughly 1 carbon atom for every 4 in oil or coal. That means roughly 25% the emissions.

But LNG is still natural gas and it is still a fossil fuel and that means burning it to make electricity still generates greenhouse gases.

And it is still what some call “stored sun,” energy that was created millions of years ago and buried in the earth as organic matter. Eventually, the supply can and will be exhausted. Then those Brits (see preceding story) will be glad they have that poop plant in their neighborhood

FACTS: Worldwide LNG demand up 8.8% in first half
Christopher E. Smith, October 26, 2007 (Oil & Gas Journal)

WHO
FACTS Global Energy

The infrastructure to turn natural gas into liquid, transport it and turn it back to gas is just about in place. The world appears ready to shift to it from coal and local gas supplies.

WHAT
World Liquified Natural Gas (LNG) demand is up 8% over one year ago.

WHEN
- FACTS compared LNG demand for the 1st 6 months of 2007 with the same period in 2006.
- 2nd Quarter only growth was up 8.8%

WHERE
- FACTS is based in Honolulu.
- Most significant demand increases were in Asia and the US.
- China had the single biggest demand increase in Asia.
- European demand fell 12%.
- US demand grew 64.1%.

Imagine the amount of fossil fuel it takes to move an LNG-transporting hulk like this. Some are talking about using giant kites to move them across the ocean. Wouldn't it be more efficient to just make biogas?

WHY
- Higher prices shifted supplies to the Asia-Pacific region, away from Europe.
- LNG plants are still operating below full capacity.
- World LNG demand in the 1st half of 2007 was 86 million tonnes, up 6.3 million.
- China LNG imports were 1 million tonnes, up 100,000 tonnes.

QUOTES
FACTS: Unles there is an "exceptionally cold winter" in Europe, LNG plants are expected to continue to readily meet world demand.