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About The Project - Liquefied Natural Gas
 

What is Liquefied Natural Gas?

  • Liquefied natural gas – LNG – is simply the liquid form of natural gas created through the process of “liquefaction.” LNG is formed when natural gas is cooled to minus 260 degrees Fahrenheit (minus 162 degrees Celsius). In gaseous state, natural gas is mostly methane with low concentrations of heavier hydrocarbons, water, carbon dioxide, nitrogen, oxygen and possibly sulfur compounds. Liquefaction removes most of these components leaving primarily methane with small amounts of heavier hydrocarbons. LNG is clear, colorless, odorless and non-toxic.

  • Natural gas is the cleanest burning fossil fuel, producing less greenhouse emissions and pollutants than coal or oil. As LNG, natural gas can be efficiently transported and stored.

  • LNG makes it possible to import natural gas from distant sources around the world. LNG takes up only a fraction (1/600) of the volume of natural gas. This makes it economical to transport across large distances, and it can be stored in larger quantities than gas.

  • The Department of Energy (DOE) and the Federal Energy Regulatory Commission (FERC) have both issued publications containing detailed information on LNG and the regulatory process involved in siting these needed facilities

Where does it come from?

  • There are abundant supplies of natural gas located throughout the world. Often these abundant supplies are in located in remote areas with limited demand for this resource, such as Trinidad or northern Russia. These countries convert these supplies into LNG for export to other nations. Australia, Algeria, Indonesia, Qatar and Trinidad are just a few of the countries that currently export LNG, while many more nations, such as Norway and Russia, have liquefaction plants planned or under construction.

  • A map which shows the location of LNG export facilities throughout the Pacific Basin is available from The California Energy Commission website

How does it get here?

  • Specially designed and insulated ships transport the ultra-cold LNG. LNG ships are among the most expensive ships of the commercial fleet. These double-hulled ships, which employ robust containment and safety systems, are required to meet international maritime construction and operating standards and stringent Coast Guard regulations.
  • A recent edition of the US Coast Guard's Proceedings Magazine focused on the issues surrounding the marine transport and operations of LNG terminals. This publication can be downloaded at http://www.uscg.mil/proceedings/fall2005lng/toc1.htm
Why LNG?

  • “Access to world natural gas supplies will require a major expansion of LNG terminal import capacity. Without the flexibility such facilities impart, imbalances in supply and demand must inevitably engender price volatility.” Alan Greenspan, April 27, 2004
  • The United States has reached the point where domestic natural gas supplies are insufficient to meet growing demand.

 

 

Nearly one third of the gas produced in Canada is exported to the west coast of the U.S.

    • Imports from Canada provide about 90 percent of the gas used in Washington and about 60 percent used in Oregon; the remainder of Oregon's supply comes from western Wyoming.
   

Reliance on imported Canadian gas to meet the shortfall in U.S. natural gas production is no longer a sustainable solution.

    • Although drilling for natural gas in Canada has increased, production is declining at a rate of about 2 ½ percent per year.
   
Simultaneously,gas consumption is on the increase, resulting in greater competition for these dwindling supplies.