LNG Regasification Terminals: the Role of Geography And
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energies Review LNG Regasification Terminals: The Role of Geography and Meteorology on Technology Choices Randeep Agarwal 1, Thomas J. Rainey 1,2 ID , S. M. Ashrafur Rahman 1,2,* ID , Ted Steinberg 1, Robert K. Perrons 1 ID and Richard J. Brown 1,2 1 Queensland University of Technology (QUT), 2 George Street, Brisbane, QLD 4000, Australia; [email protected] (R.A.); [email protected] (T.J.R.); [email protected] (T.S.); [email protected] (R.K.P.); [email protected] (R.J.B.) 2 Biofuel Engine Research Facility, Queensland University of Technology (QUT), 2 George Street, Brisbane, QLD 4000, Australia * Correspondence: [email protected]; Tel.: +61-410193428 Received: 31 October 2017; Accepted: 13 December 2017; Published: 16 December 2017 Abstract: Liquefied natural gas (LNG) projects are regulated by host countries, but policy and regulation should depend on geography and meteorology. Without considering the role of geography and meteorology, sub-optimal design choices can result, leading to energy conversion efficiency and capital investment decisions that are less than ideal. A key step in LNG is regasification, which transforms LNG back from liquid to the gaseous state and requires substantial heat input. This study investigated different LNG regasification technologies used around the world and benchmarked location and meteorology-related factors, such as seawater temperatures, ambient air temperatures, wind speeds and relative humidity. Seawater vaporizers are used for more than 95% of locations subject to water quality. Ambient air conditions are relatively better for South America, India, Spain and other Asian countries (Singapore, Taiwan, Indonesia, and Thailand) and provide a much cleaner regasification technology option for natural and forced draft systems and air-based intermediate fluid vaporizers. On a global basis, cold energy utilization currently represents <1% of the total potential, but this approach could deliver nearly 12 Gigawatt (GW) per annum. Overall, climate change is expected to have a positive financial impact on the LNG regasification industry, but the improvement could be unevenly distributed. Keywords: liquefied natural gas (LNG) cold energy; LNG; vaporizer; regasification; meteorology; geography; climate change 1. Introduction The demand of world primary energy is expected to grow by 1.6% per annum during the period 2010–2030. In order to meet this requirement, energy production will need to be increased by 39% [1]. Natural gas (NG) is a natural resource that in recent years has seen a large increase in demand globally. While the share of oil in energy is forecast to dramatically decrease by 2030, NG is predicted to reach 25.9% of the world’s energy usage. LNG demand may reach up to 500 Mtpa by 2030 [1]. The major use for LNG today is power generation resulting from the growing power demand in the Southeast Asian region. Given the large scale of LNG projects, it is tempting for governments to adopt regulations from other countries. LNG is regasified using a vaporization system where transformation of LNG from liquid to the gaseous state requires substantial heat input. This step is very important in the overall energy conversion efficiency, and it is greatly affected by geography and meteorology, which in turn affects technology choices. Heat exchange technologies in use include open rack vaporizers (ORVs), submerged combustion vaporizers (SCVs), shell and tube vaporizers (STVs), intermediate fluid vaporizers (IFVs) and ambient Energies 2017, 10, 2152; doi:10.3390/en10122152 www.mdpi.com/journal/energies Energies 2017, 10, 2152 2 of 21 Energies 2017, 10, 2152 2 of 19 Heat exchange technologies in use include open rack vaporizers (ORVs), submerged combustion vaporizers (SCVs), shell and tube vaporizers (STVs), intermediate fluid vaporizers (IFVs) and orambient forced or air forced vaporizers air (AAVsvaporizers or FAVs). (AAVs The or current FAVs). technologies The current have technologies numerous have constraints numerous and impactconstraints on the and environment. impact on the Frequently, environment. the expensive Frequently, “cold” the energy expensive at − 161“cold”◦C ofenergy the LNG at − is161 wasted °C of whenthe LNG the is LNG wasted is vaporizedwhen the LNG using is anyvaporized of the using former any technologies. of the former The technologies. cold energy The is cold retained energy in LNGis retained during in theLNG liquefaction during the and liquefaction is a part ofand the is totala part energy of the consumedtotal energy during consumed the LNG during liquefaction the LNG process.liquefaction This process. cold energy This col cand energy be recovered can be recovered during the during regasification the regasification process byprocess various by various means, butmeans most, but terminals most terminals still use thesestill use relatively these relatively simple direct simple vaporization direct vaporization techniques, techniques, such as ORV such and as SCVORV orand IFV/AAV/FAV. SCV or IFV/AAV/FAV. The supply The and supply demand and demand of gas are of gas dependent are dependent on the on final the delivery final delivery price. Therefore,price. Therefore, technology technology innovations innovations are required are torequired optimize to theoptimize gas value the chain. gas value The optimization chain. The and/oroptimization improvements and/or improvements in the vaporization in the vaporization element of the element gas value of the chain gas value are expected chain are to expected result in enhancedto result in capital enhanced and operationalcapital and productivityoperational productivity and may have and a directmay have impact a direct on the impact consumption on the patternsconsumption of gas patterns and therefore of gas and help therefore to minimize help to the minimize carbon footprint. the carbon This footprint. is particularly This is particularly important duringimportant the during transitional the transitional phase while phase the world while movesthe world from moves fossil from fuels fossil to renewables fuels to renewables There isis a lacka lack of published of published data ondata geographical on geographical and meteorological and meteorological factors in LNG factors regasification. in LNG Therefore,regasification. the Therefore, aim of this the study aim isof tothis collate study datais to collate from a data diverse from range a diverse of sources, range of some sources, of which some isof notwhich readily is not available, readily available, and present and present this information this information in a form in a form that willthat providewill provi ade foundation a foundation for quantitativefor quantitative design design modelling modelling for chosen for chosen location(s) location(s) into the into future. the future. While thereWhile is there a reasonable is a reasonable amount ofamount literature of literature from industry from industry and conference and conference sources on sources LNG regasification on LNG regasification terminals terminals globally, its globally quality, isits variable quality andis variable must be and interpreted must be withinterpreted skill and with care. skill The and literature care. The review literature consisted review of only consisted eight key of peer-reviewedonly eight key papers;peer-reviewed 3 papers papers; are on LNG3 papers cold are energy on LNG utilization cold energy [2–4], 1utilization paper on thermal[2–4], 1 designpaper on of IFVthermal [5], 1design paper onof SuperIFV [5 ORV], 1 paper heat transferon Super simulation ORV heat [6 ],transfer 1 paper simulation on AAV practical [6], 1 paper application on AAV [7], 1practical paper on application fog clouds due[7], 1 to paper ambient on airfog vaporizer clouds due [8] andto ambient 1 paper onair materialsvaporizer and [8] corrosion and 1 paper aspects on inmaterials LNG regasification and corrosion terminals aspects [in9]. LNG regasification terminals [9]. The paper will initially explain explain a a global global LNG LNG trade trade and and technology technology position, position, followed followed by by a adescription description of of LNG LNG regasification regasification technologies, technologies, an an analysis analysis of of key key location location factors factors by region, a brief on the potential impactimpact ofof climateclimate changechange andand somesome suggestionssuggestions onon futurefuture researchresearch opportunities.opportunities. 2. LNG Regasification:Regasification: Global TradeTrade andand TechnologyTechnology Position Position AnAn LNG demand outlook is shown in Figure1 1 for for eacheach countrycountry [[10].10]. Currently, aa fewfew countriescountries (e.g.,(e.g., Japan,Japan, Korea)Korea) dominatedominate thisthis list,list, but many new LNG receiving terminals are under construction or inin planningplanning stages, stages, worldwide. worldwide. Therefore, Therefore, the the demand dema prospectsnd prospects for countries for countries other thanother the than largest the consumers,largest consumers, such as Japan,such as are Japan, increasing. are increasing. The recent The reduction recent reduction in demand in in demand Japan is in most Japan likely is most due tolikely the re-startdue to the of nuclearre-start powerof nuclear generation power generation during 2015 during and beyond. 2015 and A beyond. summary A ofsummary LNG exporting of LNG countriesexporting iscountries shown in isFigure shown2 [in10 Figure]. 2 [10]. Figure 1. Global liquefied natural gas (LNG) importing