Sasha Strasser, Head Gas Solutions (Switzerland), and Toby Hahn, Global Technical Expert LNG (USA), Sulzer Chemtech, look at why small scale plants offer an ideal platform to enter the market for LNG fuel.
lobal demand for LNG is hitting record highs, offering producers the opportunity to grow at a blistering pace. To quickly boost throughput with only minimal investment, new and existing industry players can set up small scale LNG facilities. These support a rapid, capillary penetration in regional markets as well as future expansion. The change to lower-carbon energy sources is driving the adoption of LNG, which is considered a transition fuel. This emits up to half the carbon dioxide (CO2) and offers a reduction of more than 90% in nitrogen oxides (NOx) and sulfur emissions when compared to conventional solutions. As a result, the LNG market is growing tremendously, with global demand for this resource expected to rise by 14% over the next four years and soar by 40 - 50% by 2031. Even more, 11 new potential import markets are predicted to be available by 2025. In order to meet increasing global demand, LNG production needs to enhance its throughput accordingly to supply the required 485 million tpy. Therefore, this sector offers several highly appealing opportunities to new and existing businesses in this field. Tapping into a new market often presents a number of technical challenges, but new players can rely on key chemical processing solutions to overcome them and provide a successful entry point. More precisely, to benefit from considerable profits, companies do not need to invest in large, expensive facilities that process millions of tonnes annually. Small scale LNG facilities with a production capacity below 1 million tpy, or even under 500 000 tpy, offer a highly lucrative solution. In effect, a
14
