With demand for LNG predicted to continue its upward trend well into 2030, the time is right to establish well-functioning LNG supply chains in the world’s fast-growing gas markets, notably India, Bangladesh, Pakistan, Sri Lanka and archipelago countries in Southeast Asia, the Americas including Chile, Ecuador, Panama and Peru, as well as Africa. This starts with building the right-sized LNG import terminals and associated onshore and floating infrastructure supported by an efficient LNG distribution network, which will provide customers who are currently not connected to gas pipeline networks with access to gas supply.
The availability of new LNG terminals and delivery networks in these emerging markets will enable both distributed gas-fired power generation and a variety of industrial applications in various manufacturing and processing facilities.
A key part of developing the small- and mid-scale LNG market involves reducing the size of infrastructure traditionally used in the baseload market. Therefore, building highly cost-efficient receiving terminals and break-bulk facilities, as well as having smaller carrier vessels and delivery trucks operating from these terminals to serve distant demand centres with smaller customers, is very important.
Consequently, the size of LNG terminals and break-bulk facilities is shrinking. Supply chain solutions now need to be configured from the smaller customer’s perspective, using the right combination of assets scaled to meet current demand with the flexibility to match future growth and investment.
In response to this new market reality, AG&P has designed a highly innovative 125MMSCFD LNG import and regasification terminal that is standardized, scalable and modular, allowing it to grow in line with demand while making it significantly faster and cheaper to build. This customer-centric approach allows project owners to choose the infrastructure they need according to the specific site, therefore minimizing the initial capital investment.
By integrating the standardized, scalable regasification module with floating storage, AG&P’s terminal configuration significantly improves the schedule while mitigating traditional bottlenecks, such as large onshore conventional storage tanks and other major civil works. This flexibility also means the terminal can serve a wider range of customers, from small-scale to large-scale projects.
A technology-led design will be used at the new terminal in India - The unique 125MMSCFD regasification terminal will be installed at AG&P’s LNG import terminal at Karaikal Port, a deep-water facility located on the east coast of India. Since commencing operations in 2009, the Port has handled over 46 million tonnes of multi-cargo and received over 1,400 commercial vessels. As part of the port’s expansion beyond commercial cargos, an area was allocated within its existing breakwater to develop an LNG import terminal that will provide access to cleaner and cheaper fuel for the industries and communities in Puducherry and Tamil Nadu.
In an exclusive agreement with Karaikal Port Pvt. Ltd. (KPPL), AG&P is developing the import terminal, which will have an initial regasification capacity of close to 1 million tons per annum (MTPA) provided by one single regasification train, however, it is expected to double its capacity almost immediately. A total of three trains and multiple truck loading bays are planned for the facility, therefore scalability will play a critical role in the terminal’s success.
The Karaikal terminal design incorporates offshore and onshore infrastructure, making the best use of the deep-water location within the port. Its unique configuration eliminates costly bespoke engineering and modular construction will ensure the terminal is operational faster.
AG&P predicts the LNG market will remain dynamic, with flexibility and agility being key driving forces in creating the solutions that are needed to serve small, off-grid customers for whom a large, one-size-fits-all approach does not work. AG&P has developed a pragmatic approach that brings under one platform LNG design and engineering, innovative technology, manufacturing, financing, project management and operations. This offers customers speed of development, cost-efficiencies, support services and the flexibility to develop energy assets within time and budget constraints.
AG&P’s goal is to provide customers with supply chain infrastructure at a fraction of current costs and remove the complexity historically associated with adopting LNG.
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Image courtesy of AG&P
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