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About LNG

Why LNG?

LNG is the future for a world in transition.

Demand for power is growing worldwide, and access to cleaner, reliable, and affordable energy is essential for economic growth and quality of life. LNG allows countries to transition away from coal and liquid fuels, fast-tracking access to natural gas.

LNG is a cleaner and more affordable energy source for countries around the world.

The displacement of dirtier fossil fuels and the natural complement of LNG to a fast-growing renewables sector makes flexible floating LNG products – such as those provided by Excelerate Energy – a part of the solution to decarbonization. And for more than 50 years, liquefied natural gas (LNG) has been safely and securely shipped around the world. It is used as a reliable fuel for various purposes, including generating electricity, heating homes, cooking food, and much more.

LNG is natural gas that has been converted into a liquid form by being cooled to -260° F. At that point, it becomes a highly stable liquid, and its volume is reduced by a factor of more than 600. In its liquid state, it provides a low-cost, safe, and environmentally responsible method to move large volumes of product long distances. Once LNG is regasified at an LNG import terminal, it simply reverts to natural gas.

The Natural Gas Supply Chain

Extracting Natural Gas

Identifying and extracting natural gas from beneath the earth’s surface is the first step in the process. Natural gas is then fed to a liquefaction plant via a pipeline directly from the production site. As a result, most of the world’s LNG supply is exported from countries with large natural gas reserves.

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Turning Gas into Liquid

The next step in the process is liquefaction, the physical conversion of natural gas into a liquid state. Liquefaction occurs at normal atmospheric pressure by super-cooling the natural gas to -260°F, creating LNG. Before liquefaction, specific unwanted components, such as dust, unwanted gases, water, and heavy hydrocarbons, are removed as they can cause difficulty downstream. The end result is LNG – a clear, odorless, non-corrosive liquid.

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Transporting LNG Across the Globe

LNG is transported by specialized carriers with insulated walls, specifically designed to handle the low temperature of LNG. Transportation of LNG via ship has a long record of safe operation. With a shipping history of more than 50 years long, LNG ships have traveled more than 151 million miles without a significant incident. This outstanding safety record can be attributed to continuous improvement in technology and safety equipment, comprehensive safety regulations, and government oversight.

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Turning LNG back into Gas

When the LNG reaches a receiving terminal, it is “warmed” or regasified back to its original gaseous state for delivery directly into the natural gas pipeline system.

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Natural Gas is Used Everyday

Natural gas is delivered to end-users via pipeline. Natural gas supplies power plants to generate electricity and provides fuel for heating and cooking for residential and commercial purposes. Natural gas is also used as a raw material in everyday products such as fertilizer and plastics.

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LNG providing clean energy to power home while family eats a meal

LNG Benefits

LNG is the cleanest burning fossil fuel, emitting 55 percent less carbon than comparative coal plants, making it a natural complement of a cleaner energy mix. LNG also has the flexibility to displace coal power plants, enable fuel switching for oil-based power plants, and, most importantly, supplement renewables.

LNG providing clean energy to power home while family eats a meal

Using LNG brings not only many environmental benefits but also brings substantial economic savings by being cheaper than other liquid fuels. The ongoing expansion in LNG liquefaction capacity has contributed to natural gas and LNG prices reaching historic lows.

LNG providing clean energy to power home while family eats a meal

With proven natural gas reserves estimated at nearly 199 trillion cubic meters and the global liquefaction capacity reaching over 430 million tons per annum in 2020, there will be abundant reserves of LNG for the foreseeable future.

LNG providing clean energy to power home while family eats a meal