Liquified Natural Gas LNG-Markets, Standards and Perspectives
Vaclav Chrz Martin Seifert 1 Referent: Martin Seifert, SVGW
LNG Market Perspectives
• • • •
Technology Trends Market Segments Standards/Legal Framework
2 Referent: Martin Seifert, SVGW
The Methane Chain / The Grid FOSSIL GAS
CNG
LNG
...... And H2 and ...
BIO methane 3 Referent: Martin Seifert, SVGW
LNG- the Fuel of the Future
The new Motto
The Reserves of Oil and Gas - / Geopolitics
6 Referent: Martin Seifert, SVGW
LNG - Projects in Europe
Existing Terminals Underconstruction Planned or announced
7 Referent: Martin Seifert, SVGW
World Trade in LNG
Holland
LNG Transportation worldwide
Transportation Rules of Thumb • Gas Transport less than 3‘000 km: Pipeline transport more economic • Gas Transport beyond 3‘000 km: LNG is the form of natural gas to be transported
The Main Drivers for LNG
• • • • •
Broad Availability of LNG Coastal Receiving Terminals Peak shaving plants LNG in heavy duty vehicles LNG in Marine Applications
And.....
Example: The Gate Terminal Rotterdam
13 Referent: Martin Seifert, SVGW
EU - Framework
Recommendation to member states Security of supply Diversification of NG Scourcing • LNG - Infrastructure Expansion • Watertransport Capacities Local Air Pollution Strict emission standards for ships in Europe 2014 Strict emission standards for ships worldwide 2020
14
Referent: Martin Seifert, SVGW
The political agenda
• Communication EU: Energy infrastructure priorities for 2020 and beyond Calls for:
"flexible supply, including liquefied (LNG) and compressed natural gas (CNG)”.
The political agenda
• (Draft) Directive on Deployment of Alternative Fuels Infrastructure (COM 2013 18/2):
demands implementation of LNG infrastructure
The political agenda
Article 6: Natural gas supply for transport 1. MS shall ensure that publicly accessible LNG refuelling points for maritime and inland waterway transport are provided in all maritime ports of the TEN – T Core Network by 31 Dec 2020 at the latest. 2. MS shall ensure that publicly accessible LNG refuelling points for inland waterway transport are provided in all inland ports of the TEN –T Core Network by 31 Dec 2025 at the latest. 3. MS shall cooperate to ensure that heavy duty motor vehicles running on LNG can travel along roads of TEN T Core Network. … refuelling point for LNG … within distances not exceeding 400 km by 31 Dec 2020 at the latest.
European LNG Infrastructure Planning • • • •
Use the existng terminals Add a truck loading port Provisions for ship refuelling with LNG A LNG refuelling station in every 200 – 500 km radius distance • Corridor approach: Directional axis
The Principal Market
Small Scale LNG Small Scale LNG Small Scale LNG Small Scale LNG
19 Referent: Martin Seifert, SVGW
What is Small Scale LNG • The main Picture: • Satellite ? Or Refuelling Station?
Road Vehicles Marine Vessels Locomotives on rails (Aircraft)
Central Storage
CNG/Gas
Gas
General markets for small scale LNG
21 Referent: Martin Seifert, SVGW
LNG in Transport
• LNG opens the way for the medium and long distance road transport • Most suited for continously operated heavy duty vehicles • Suited for suburban and long distance public transport
Fuel Alternatives and LNG
Vehicle type
Present fuel
LPG
Liquid bio fuels
Full electric
Hybrids (energy recuperation)
Bio-natural gas (CNG & LNG)
Cars
Petrol & diesel
Yes (conv.)
Yes (%)
Yes (city cars)
Yes
(CNG)
Vans
Diesel
Yes (conv.)
Yes (%)
No
Yes
(CNG)
Delivery trucks
Diesel
No
Yes (%)
No
Yes
(CNG)
Urban buses
Diesel
No
Yes (%)
Yes (wired)
Yes
(CNG)
Coaches
Diesel
No
Yes (%)
No
No
(LNG)
Heavy on road trucks
Diesel
No
Yes (%)
No
No
(LNG)
Heavy off road trucks
Diesel
No
Yes (%)
No
No
(LNG)
Railway locomotives
Diesel & electric
?
Yes (%)
Yes (wired)
No
(LNG)
Ships !
Diesel
?
Yes (%)
No
No
(LNG)
!
The LNG-border line
Chicken and Egg • The most misunderstood concept
24 Referent: Martin Seifert, SVGW
Small Scale LNG
Drivers and Barriers
• Diversification of vehicle fuel Chain • Reduction of local emissions by running hecvy duty applications • Locomotives • Goods transports • Canal ships • Diversification of NG sources • Backup, peak-straving (on per day basis) • LNG advantages in density substitution of Diesel • Ship fuelling • Virtual pipelines to remote regions • Easy LNG-transport on road rail cars, barges for neau shore or river transport 25 Referent: Martin Seifert, SVGW
Small Scale LNG
Drivers and Barriers • Lack of framework regulations for LNG on Land and rivers in the EU • Subsidies/tax exemption-reductions for LNG- Infrastructure build up • No harmonie zed standards for LNG/LCNG refuelling stations • No approved standards for on board equipment on vehicles 26 Referent: Martin Seifert, SVGW
Energy Content of Gaseous Fuels Fuel
Energy (1)
Energy (2)
Density
CNG (dutch)
38 MJ/kg
31,65 MJ/m3
0,833 kg/m3
LNG
49 MJ/kg
22 MJ/liter
0,450 kg/liter @ 160 C
Diesel
42 MJ/kg
36 MJ/liter
0,840 kg/liter @ 15 C
27 Referent: Martin Seifert, SVGW
Energy Content of Gaseous Fuels Trucking Business CNG – Compressed
LNG – Liquefied Natural
Natural Gas 200 bar Density: 144 kg/m3 four high-pressure cylinders onboard a truck = 400 km
Gas max 16 bar Density: 400 kg/m3 (larger action radius) Two double wall vacuum insulated vessel onboard a truck = 1400 km
28 Referent: Martin Seifert, SVGW
The metrics of LNG Production Small Scale LNG The liquefaction of natural gas or biogas requires from 0,65 to 0.9 KWh per kg of LNG produced Liquefaction of gas needs 0,4 kWh/Nm3 electric or mechanic, for which approx. 1 kWh/m3 of gas (primary energy) is needed.
The metrics of a LNG refuelling station Small Scale LNG • Capacity: 20 – 100 m3 LNG storage • Average time for filling storage 1-2 hours • Tank pressure: 6 – 10 bar/Temperature: 150oC • LNG-Dispensing: 150 – 200 l/min • Investment costs: 1.2 – 2 Mio Euro
The metrics of LNG in Transport • Dimensions of satellite station: ca. 78 m3 LNG which equals 28 tons of LNG • Dispensing per day: ca. 4 tons which equals 416 Nm3/h • One m3 of LNG equals 580 litres of diesel • One m3 of LNG equals 460 kg • LNG is composed of 90 to 95 % of methane, the rest is ethane, propane and nitrogen
The metrics of LNG in Transport Diesel in comparison to CNG and LNG CNG 5 liter 1 litre Diesel oil
-162OC
LNG - Densities
LNG 1,8 liter
Markets for LNG
• Main driver: Switzerland, Austria, parts of Germany: Satellite industrial plants • Main driver: Holland, Sweden, UK: Heavy Duty trucks (fuel applications) • Next Markets: Peak shaving, emergency supply etc. 33 Referent: Martin Seifert, SVGW
Refuelling – Key to Small Scale LNG
• • • • •
Refuelling of Storage Tanks Refuelling of Vehicles Refuelling of Ships Refuelling of Bunkers Refuelling of Trailer Storages
Transfer of a cryogenic liquid from one storage to another
LCNG and LNG stations LNG trailer
LNG dispenser
LNG tank saturation vaporizer
LNG pump in cryo-vessel
truck driven by LNG
high pressure buffer L
highpressure LNG pump
product vaporizer
CNG dispense r
Odorizer
lorry driven by CNG
LNG-Infrastructure Development The Corridor Idea • Calls for interdisciplinary, international collaboration • CNG station distance separation 150 km • LNG station separation 400 km (pipeline independent or with pipeline connection) • Quick filling statios 5-8 min/per truck
36 Referent: Martin Seifert, SVGW
LNG heavy duty vehicle offer Evrope from 2010: big truck manufacturers entering the market
Volvo FM NG-diesel 460 HP LNG
Solbus (Poland), LNG bus
Mercedes Econics, 279 HP, LNG
Iveco Stralis LNG 270 HP (option 330 HP) LNG
Gazprom entering the game as vendor of LNG
Dual Fuel Technology and LNG • The dream team for heavy duty applications on ships and trucks and locomotives
38 Referent: Martin Seifert, SVGW
Infrastructure Initiative LNG-fuelling for Trucks
Blue Corridor
39 Referent: Martin Seifert, SVGW
Infrastructure Initiative LNG-fuelling for Trucks
Infrastructure Initiative LNG-fuelling for Trucks
Infrastructure Initiative LNG-fuelling for Trucks
Small Scale LNG/LCNG Station Design • 20 m3 geometric Capacity
43 Referent: Martin Seifert, SVGW
Where to put the LNG stations: Satellite and/or refuelling Machinery building or wood gasification
Cogeneration Plant
Boiler Building
Air pressure Generator Compressor
Air pressure Storage
LNG-Satellite Plant Refuelling station
Heat storage Battery Storage
Electrolysis Wood With H2- storage storage 44 Referent: Martin Seifert, SVGW
Mobile LNG station in a 20ft (or 40ft) ISO container
...with LNG fueling pump, flowmeter and printer (courtesy Chart Ferox a.s.)
Movable LNG station.
30 000 liter tank, (equivalent of 16 000 Nm3 gas), suitable for 100 truck or bus fuelings/day (courtesy Chart Ferox, a.s.)
Ships and LNG / Bunkering The Fuel Tanks
47 Referent: Martin Seifert, SVGW
Ships and LNG / Bunkering Before
After
...........LNG-Conversion
Ship Bunkering • Small ship bunkering is probably one of the first most important movers in the LNG business Current infrastructure Currently the (inland) ships are bunkered by a truck.
Expected infrastructure (under development) Planned: to develop bunker locations in harbors and ports, so: – ships with bigger volumes can be bunkered and; – the skipper can bunker with a tight planning scheme.
49 Referent: Martin Seifert, SVGW
The Key to Infrastructure Build up • Rhine barges: Can run on LNG • Rhine barges can transport LNG • On shore LNG refuelling stations allow for truck refuelling as well • Transport costs low • Capacity not limited
50 Referent: Martin Seifert, SVGW
The Key to Infrastructure Build up Rhine Barges
51 Referent: Martin Seifert, SVGW
Bunkering Supply chain challenge LNG
LNG receiving terminal
Logistics
bunkering station
LNG to ship
current LNG market is not adapted for small scale contracts • fixed tariffs based upon long term contracts • fixed volumes • no priority, because volumes are small in comparison with current market
52 Referent: Martin Seifert, SVGW
Bunkering Supply chain challenge LNG
LNG receiving terminal
Logistics
bunkering station
LNG to ship
handling fee is not in competitive for small scale market • to be competitive with truck loading at least 6000 m3 LNG in a bunker barge should be loaded No Priority in handling bunker barges LNG quality variation
53 Referent: Martin Seifert, SVGW
Bunkering Supply chain challenge LNG
LNG receiving terminal
Logistics
bunkering station
LNG to ship
First demo projects can be supplied by truck Not a favorable option to supply LNG by truck – not enough slots available at the terminals – limited routes available for transport of dangerous goods – not suitable for short sea shipping Chicken and egg situation for bunker barges 54 Referent: Martin Seifert, SVGW
Cost indication for LNG supply
Cost indication for LNG supply LNG supply by truck – LNG brutto – handling at terminal (€ 500,-/ton) – transport – LNG netto at location indication € 550,-/ton LNG supply by truck to bunkerstation – LNG brutto – handling at terminal (€ 500,-/ton) – transport – investment and operation of bunkerstation (€ 100-200/ton) – LNG netto indication € 750,-/ton
Cost indication for LNG supply LNG supply by bunker barge to bunker station – LNG brutto – handling at terminal (€ 100.000,-/slot) – logistics – investment and operation of bunker barge (€ ???/ton) – LNG netto indication € ???,-/ton LNG supply by bunker barge directly to ship – LNG brutto – handling at terminal (€ 100.000,-/slot) – logistics – investment and operation of bunker barge (€ ???/ton) – LNG netto indication € ???,-/ton
Standards and Codes
58 Referent: Martin Seifert, SVGW
Main Influences on Small Scale LNG Station Design and LNG Vehicles
European Union • • • • •
Environmental safety Fire safety Transport safety Occupational safety on the job Standards
CEN-EN-European Standards LNG Refuelling station = Satellite station with a LNG receptacle
• The EN13645:2001 is operative for LNG on shore design installations with storage capacity within 5-200 tons (includes “LNG Satellite Stations” even though not specifically referring to L-CNG filling stations); • EN1160:1996 and EN1473:1997 cover LNG facilities with storages over 200tons.
ISO TC67 WG10 International Standardization for LNG equipment and installations
Presentation WG 10 Septembre 2012
WG10’s project teams (PTs) PT1 : Infrastructure for LNG as fuel for ships (under development) PT2 : Ship to shore interface – port operations (standard issued) PT3 : Guidance on performing risk assessments in the design of onshore LNG installations. (Waiting ballot) PT4 : Characteristics of LNG and materials suitable for construction of equipment for cryogenic uses. (Waiting ballot) PT5 : Guidance for conception, design and testing of LNG storage tanks. (under development) PT6 : Installation and equipment for LNG - Design and testing of marine transfer systems – articulated arms (Waiting ballot) PT7 : Unconventional LNG transfer systems (under development)
Vehicles fitted with an LNG Fuel System Working Party on General Safety Provisions (GRSG) Regulation 110
Main inconsistencies National Regulations – ISO-Standard
• • • •
Safety distances Risk analysis Main risk points Fire Protection
ISO TC67 WG10 International Standardization for LNG equipment and installations
Presentation WG 10 Septembre 2012
WG10’s project teams (PTs) PT1 : Infrastructure for LNG as fuel for ships (under development) PT2 : Ship to shore interface – port operations (standard issued) PT3 : Guidance on performing risk assessments in the design of onshore LNG installations. (Waiting ballot) PT4 : Characteristics of LNG and materials suitable for construction of equipment for cryogenic uses. (Waiting ballot) PT5 : Guidance for conception, design and testing of LNG storage tanks. (under development) PT6 : Installation and equipment for LNG - Design and testing of marine transfer systems – articulated arms (Waiting ballot) PT7 : Unconventional LNG transfer systems (under development)
Small Scale Refuelling Station Standards OIML
ISO PC 252
Liaison ISO TC22/ SC 25
Chair: Switzerland Secretariat: Holland
CNG-Refuelling Station Standard
LNG&LCNG Refuelling Station Standard
67 Referent: Martin Seifert, SVGW
The ISO/DIS Standard 16924
On Ballot now
68 Referent: Martin Seifert, SVGW
Scope ISO • Design, construction, operation, maintenance and inspection of stations for fuelling LNG to vehicles • LCNG stations analogously covered • Applies to (vehicle) fuelling stations receiving other Methane Rich Gases
What is a vehicle Gas Quality designation? Why not small scale LNG station dispensing liquid And/Or gaseous fuel?
Fuel Specification
• There is no fuel specification in neither of the CNG- nor the LNG-refuelling station standard • CEN PC 408 (under the mandate of EU) will formulate the necessary fuel quality standards for LNG too
Fuel Specification MN : 90 - 100 (suitable to biomethane and very Lean LNG = best for Aviation or for blending) MN : 80 – 90 (suitable to typical Lean LNG and “controlled” Hpipeline-gas = best for HD vehicles) MN : 60 – 90 (suitable to “any-uncontrolled pipeline-gas and for Rich LNG)
LNG
What are the main items in the standard • • • • • • • • • • • • •
General principles of design and installation LNG supply interface LNG storage tank LNG pumps (including ancillaries) Vaporizers and heaters LNG Dispenser Emergency shutdown system (ESD) and procedures Electrical equipment and wiring Inspection and Testing Movable LNG fueling station Mobile LNG fueling station Operation Periodic inspection/Maintenance
What is a LNG refuelling station
What is a LCNG refuelling station LNG Liquid Cryogenic
CNG High pressure
Site and layout
• Components with location restrictions? • Minimal safety distances • Hazardous area classification
Distances from aboveground LNG storage tanks and exposures
LNG supply interface • Main risk: Overpressure and overfill • Prevention of backflow • Depressurization of loading arms and hoses
LNG unloading and dispensing areas Additional safety measures LNG leak detection • Methane detection necessary • Suitable mounting • Flame detection covering the zones with risk of ignition Detection activates ESD = Emergency shut down
Operation
• Refuelling only by trained persons • Protection gear: Face shield, gloves • Training in emergency procedures
Fire Protection/Fire Fighting areas
• General principles: Accessability/On site fire fighting equipment Solid Fire wall Hight 2 m 1 hour fire resistance
Fire Walls = Reduced Safety distances
Electrical Area Classification According to NFPA 52
81 Referent: Martin Seifert, SVGW
Site specific requirements
• Hazard and operability study (HAZOP) or equivalent necessary
One clause statement
no specifications how to do it!
IEC 60079: Explosive atmospheres and electrical apparatus/installations
Safety Distances
• Protection of the LNG-station from external hazards caused by outside risks • Prevention of risks of LNG station to other installations and buildings • Prevention of general fire hazards
Problems of Safety Distances
• Leak based approach and/or catastrophic failure • Credible incident scenarios • Incident scenarios are country specific
Safety Distances • General Considerations: Radius of Impact Commercial Center
Commuter and Goods Traffic
Safety Distances Risk Contours • General Considerations: Radius of Impact • Assessement based on risk approach: Probability x consequence plus national risk standards • Failure Mode and Effects Analysis (FMEA): Scenario based
Scenario approach
• Small leak, LNG spill. Causing jet fire • LNG spilling out of a refuelling hose • Impact of extreme proportions
Influence on internal and external distances
Internal Safety Distances • Scenarios on LNG spills • Scenarios on small leaks
Safety distances • With protective walls or special site configurations external safety distances can be reduced
The Succes Factors for LNG – LNG engines are available – ships are sailing today with LNG as fuel – infrastructure for demo projects is available – bunkering stations (for short sea shipping) are under development – LNG is cost competitive in relation to the coming emission regulations – regulations for LNG bunkering under construction and on short notice available 90 Referent: Martin Seifert, SVGW
The Succes Factors for LNG
91 Referent: Martin Seifert, SVGW
That‘s the End
Any Questions left?
[email protected]
92 Referent: Martin Seifert, SVGW