Zero emissions LNG – a credible opportunity for the industry

Abstract

Australia is vying with Qatar to be the top global liquefied natural gas (LNG) exporter, with the Australian LNG industry earning around A$17 billion annually and employing over 50 000 people. But where is the LNG industry headed as we move towards a zero emissions global energy economy? This paper presents a credible road map for the industry to transition to a zero emissions industry across the whole value chain. It addresses the steps being taken to reduce fugitive emissions, beneficially use the CO2 extracted from natural gas streams, electrify the operation of liquefaction facilities, use zero emissions fuels for LNG shipping whilst recovering boil-off gas, capture and beneficially use solid inert carbon from the methane at the LNG destination country then distribute, and burn hydrogen making the whole process zero emissions. One of the main benefits of this pathway is that most of the infrastructure required already exists reducing the capital investment required, hence improving the economics. This paper examines the viability and technical maturity of each stage of this road map against other potential zero emissions technologies. Japan is one of Australia’s largest LNG customers and has committed to building a local hydrogen economy so has been used as the basis for the economic comparisons studied.