LNG (liquefied natural gas): A necessary part in China's future energy infrastructure

Abstract

Abstract This paper presents an overview of the LNG industry in China, covering LNG plants, receiving terminals, transportation, and applications. Small and medium scale LNG plants with different liquefaction processes have already been built or are being built. China's first two LNG receiving terminals have been put into operation in Guangdong and Fujian, another one is being built in Shanghai, and more are being planned. China is now able to manufacture LNG road tanks and containers. The construction of the first two LNG carriers has been completed. LNG satellite stations have been built, and LNG vehicles have been manufactured. LNG related regulations and standards are being established. The prospects of LNG in China are also discussed in this paper. Interesting topics such as small-scale liquefiers, LNG cold energy utilization, coal bed methane liquefaction, LNG plant on board (FPSO – floating production, storage, and off-loading), and LNG price are introduced and analyzed. To meet the increasing demand for natural gas, China needs to build about 10 large LNG receiving terminals, and to import LNG at the level of more than 20 bcm (billion cubic metre) per year by 2020.