LNG Regasification Plants: Past, Present, and Future

I worked on an LNG regasification development project from March 2022 to October 2023 (see my profile). The project was initiated by Medco Power Indonesia in 2021 and taken over by Amman Mineral International in 2023. It was located in Benete Bay of West Sumbawa, Indonesia, to provide gas to Amman's smelter and gas power plant.

It was not the only LNG regasification plant in the world.

In this article, I would like to introduce LNG regasification plants in broad terms, their features and technological evolution, and the project management challenges to developing the plant.

Introduction and Evolution of LNG Regasification Plants

LNG is natural gas cooled to -162°C, reducing its volume by 600 times for more accessible transport and storage. Regasification plants convert the LNG back to gas for delivery to pipelines or power plants. They play a vital role in the global energy market by enabling trade and natural gas distribution across regions and continents.

The first LNG regasification plant was built in 1959 in Canvey Island, UK, to receive LNG from Algeria. Since then, LNG regasification plants have evolved significantly in technology and scale. Some of the critical milestones and advancements in the evolution of LNG regasification plants are:

• FSRUs are vessels that store and regasify LNG on board, eliminating the need for land-based facilities. They offer greater flexibility, mobility, and cost-effectiveness than conventional regasification plants. The first FSRU was deployed in Arun, Indonesia, in 1969.
• The first submerged combustion vaporizer (SCV) was installed in 1980 Everett, USA. SCVs heat water using natural gas or propane, which heats LNG in a heat exchanger. They are more efficient and eco-friendly than open-rack vaporizers (ORVs) that use seawater as the heating medium and release cold water back into the sea, affecting marine life.
• The Zeebrugge terminal in Belgium, commissioned in 2005, was the first to operate at a send-out pressure of 100 bar for supplying natural gas to the UK market. These high-pressure regasification terminals can directly deliver natural gas to high-pressure pipelines, thus reducing the need for compression and increasing transmission capacity.
• The first GBS LNG regasification terminal was completed in 2011 in Adriatic LNG, Italy, to receive LNG from Qatar. These terminals are concrete structures built onshore and towed to offshore locations anchored to the seabed. They are known for their ability to withstand harsh weather conditions and have minimal environmental impact.

LNG regasification plants have evolved significantly in capacity, energy consumption, and greenhouse gas emissions. Average capacity has increased to 6.7 MTPA in 2020, while average energy consumption and greenhouse gas emissions have decreased to 1.5% and 0.07 kg CO2 per kg LNG, respectively.

Main Components and Features of Current Technology

The main components of a typical LNG regasification plant are:

• LNG receiving and unloading facilities transfer LNG from tankers to the plant using berths, mooring systems, loading arms, and hoses.
• LNG storage tanks store liquefied natural gas at low temperatures and pressure. They can be single containment, double containment, or full-containment tanks.
• LNG pumps increase the pressure of LNG from storage tanks to regasification units. There are two types: submerged pumps and in-tank pumps.
• LNG regasification units convert LNG to natural gas using different heating mediums. There are four types: ORVs, SCVs, AAVs, and IFVs. ORVs use seawater, SCVs use natural gas or propane, AAVs use ambient air, and IFVs use a secondary fluid like glycol or water.
• Natural gas send-out facilities prepare natural gas for delivery to pipelines or power plants, including meters, filters, odorizers, heaters, and compressors.

Some of the current technological features of LNG regasification plants are:

• High-efficiency regasification units, such as AAVs and IFVs, use less energy and emit fewer greenhouse gases than conventional units. AAVs use ambient air as the heating medium with an energy consumption of 0.5% of the LNG energy content. In comparison, IFVs use a secondary fluid with an energy consumption of 0.8% of the LNG energy content.
• LNG regasification plants have safety features such as emergency shutdown systems, fire and gas detection systems, leak detection systems, and spill containment systems to prevent accidents like LNG spills, fires, and explosions.
• To reduce the environmental impact of LNG regasification plants, renewable energy sources, carbon capture and storage, seawater recirculation, noise reduction, visual screening, and marine life protection measures can be implemented.

Some examples of modern LNG regasification plants around the world are:

• The Dunkerque LNG Terminal in France is Europe's largest LNG regasification plant, with a capacity of 13 MTPA. It uses SCVs and AAVs to regasify LNG, achieving low energy consumption and emissions. The plant also utilizes renewable energy sources like wind and solar power to supply part of its electricity demand.
• Hainan LNG Terminal in China is the first LNG regasification plant in China to use FSRUs with a 3 MTPA capacity. It utilizes ORVs to regasify LNG, producing low energy consumption and emissions. The terminal also incorporates eco-friendly features such as seawater recirculation and marine life protection measures.
• Adriatic LNG Terminal in Italy is the world's first GBS LNG regasification terminal with a capacity of 8 MTPA. It uses SCVs to regasify LNG, achieving low energy consumption and emission levels. The terminal also employs measures to reduce noise and visual pollution and enhance the area's marine ecosystem.

Future Innovations in LNG Regasification

Emerging technologies will likely drive the future of LNG regasification, improving efficiency, cost-effectiveness, and environmental impact. Some of these technologies include:

• Cryogenic power generation uses the cold energy of LNG to generate electricity by expanding it from high to low pressure, vaporizing a part to drive a turbine, and regasifying the rest for the market. It can recover up to 30% of LNG energy and reduce emissions.
• Hybrid regasification units combine different regasification units to optimize the performance and flexibility of LNG plants. They can adapt to different flow rates, temperatures, and heating medium availability, achieving higher efficiency and lower environmental impact.
• Small-scale LNG regasification plants have smaller capacities and footprints than conventional ones.

Project Management Challenges in Developing LNG Regasification Plants

Project management is crucial for developing LNG regasification plants, as they involve multiple stakeholders and disciplines. It requires effectively applying knowledge, skills, tools, and techniques to achieve project objectives within scope, time, cost, quality, and risk constraints.

However, project management also faces many challenges in developing LNG regasification plants. Some of the common challenges are:

• Planning challenges include defining project scope, objectives, deliverables, estimating resources, schedule, and budget. Uncertainty and variability of the LNG market, the complexity of regasification technology, and the lack of reliable data and methods can pose planning challenges.
• LNG regasification plant design challenges arise due to trade-offs and conflicts between design criteria, stakeholder expectations, and the need for innovation and optimization.
• Constructing the LNG regasification plant can be challenging due to site conditions, labor, materials, equipment, compliance, and communication. Risks include delays, cost overruns, accidents, and disputes.
• Obtaining permits and complying with environmental and social impact assessment regulations can be challenging due to legal frameworks, impact uncertainty, and opposition from environmental and social groups.
• The geopolitical challenges of an LNG regasification project include dealing with political and economic factors, such as the stability and security of the supply and demand, competition with other players, and the influence of governments and the media, which can be unpredictable due to market volatility, conflicts, and stakeholder interests.

Successful projects teach us to plan realistically, use innovative tech, coordinate with teams, comply with regulations, and balance stakeholders' interests.

LNG regasification plants enable natural gas trade across regions. They have evolved in technology, scale, and performance. Challenges include planning, construction, environmental, regulatory, and geopolitical issues. Effective project management can help achieve objectives. Future technological advancements and integration with renewable energy sources will drive LNG regasification.