Compressed
Natural Gas (CNG)
The global natural gas market is currently a multi-billion
dollar per year industry that is growing at an average rate of 2.5 percent
per year. Due to its low greenhouse gas emissions, its cost, and its
availability, natural gas is fast becoming the world's fuel of choice.
Approximately 45% of all households in North America use natural gas
for heat and hot water. There are now 7 million vehicles using compressed
natural gas. Natural gas is also used extensively throughout the world
for power generation and industrial applications.
Natural
gas is commonly associated with oil as both are often found together
in the same reservoir. It consists primarily of methane (85-95%), with
trailing amounts of ethane, propane, and butanes. Because natural gas
has the lowest CO2 emissions per unit of energy,
it is considered to be the most environmentally friendly of the fossil
fuels.
Compressed
Natural Gas is natural gas that is stored at pressure. By increasing
the pressure, a higher volume of gas can be contained within a specified
unit of space. In addition, refrigerating compressed natural gas increases
the density significantly. To send natural gas through a pipeline, it
has to be compressed.
The Global
Natural Gas Market
The global natural gas market is currently a multi-billion
dollar per year industry that is growing at an average rate of 2.5 percent
per year. High demand for hydrocarbons in established markets like the
United States and in emerging markets like India and China have significantly
increased the global demand for natural gas. Those involved with or near
to the energy industry will know of the emerging importance that natural
gas is playing in the global energy market. It is becoming the fuel of
choice for several reasons:
- Relatively
low cost (undervalued compared to oil);
- Low
greenhouse gas emissions;
- Existing
infrastructure; and,
- Global
supply.
Due to the constant
annual increase in global consumption, the future value of natural gas
is therefore anticipated to climb much higher in the United States,
Canada and around the world. Additionally, if production cannot match
these predicted consumption rates, the price of natural gas will increase
further still.
Stranded
Natural Gas - Optimal Transportation Solution
Approximately 1/3rd of all natural
gas in the world is considered "stranded". That is: not economical
to transport by pipeline or by conventional LNG. Of the world's stranded
gas, over half lies in offshore locations, most in deep water or harsh
environments. Thus, pipelines or floating LNG are not feasible or practical
options. However, CNG transportation by ship holds great promise for
transporting such gas.
Pipelines
have geographical and distance limitations and LNG projects have very
high capital costs. This leaves many large pools uneconomical to produce.
The above limitations have created a need for an alternate but cost-effective
natural gas transport solution. Trans Ocean Gas has that solution.
Using a
container ship to store CNG in standard 40-foot intermodal containers
that are connected together is a very cost effective way to ship natural
gas by ship. CNG from such carriers can be offloaded through an offshore
mooring buoy and transported to shore through a sub-sea pipeline. Using
a turret mooring buoy, CNG carriers have the option to load and offload
miles away from populated areas eliminating the concern for public safety.
There are several submerged loading buoys currently operating in the
world today, potentially providing access to many existing natural gas
markets.
Using relatively
simple Trans Ocean Gas intermodal CNG solutions will provide island
nations and remote populations with the ability to economically import/export
natural gas for economic growth, development, and profit. And, do so
in an environmentally friendly way.
Trans
Ocean Gas FRP Pressure Vessel Technology
Trans Ocean Gas is the only CNG proponent in the world
that holds patents to use fibre reinforced plastic (FRP) pressure vessels
to transport CNG by ship. FRP pressure vessels have been proven safe
and reliable through critical applications in aerospace, in national
defence, in the offshore oil and gas industry, and in public transit.
FRP pressure
vessels are manufactured using a plastic liner as the mandrel on a computer
controlled filament-winding machine. As the mandrel is spun, a continuous
filament of filiment fibre is drawn through an epoxy bath then wound
onto the mandrel in helical and circumferential formations. It is the
filament windings that provide the strength of an FRP pressure vessel.
When cured, the filament windings are held in place by the epoxy matrix.
A stainless steel port boss at each end allows the FRP bottles to be
connected to conventional piping manifolds. The port end bosses are
connected directly to the plastic liners before the filament winding
commences. The FRP pressure vessels fabricated under contract by Trans
Ocean Gas provide significant technical and competitive advantages to
the clients of Trans Ocean Gas.
The
Competitive Advantages of FRP over Steel-Based Systems
The FRP pressure vessels made by Trans Ocean Gas have
several properties that result in distinct technical advantages. Combined,
these technical advantages culminate into an important competitive advantage;
lower capital and operating costs. The technical advantages are:
Lightweight
A Trans Ocean Gas FRP gas containment system will weigh about one-third
the weight of a comparable metal-based gas containment system. This
results in several weight-related advantages. In the transportation
industry, minimum weight is paramount. The weight related advantages
are:
- Ability
to use intermodal containers as gas containers;
- Larger
gas capacities for road and rail transportation;
- Retrofitting
of existing ships, resulting in solutions that can be ready for market
2 years earlier than a new build; and,
- Lower
retrofit capital cost and lower operating costs.
Corrosion
Resistance
The HDPE liner of a FRP pressure vessel is impervious to corrosion.
This provides the following advantages:
- A higher
level of safety;
- Access
to a wide selection of available gas streams.
Safety
The high reliability and inherent safety (leak before burst characteristic)
of FRP pressure vessels makes the Trans Ocean Gas system the safest
CNG technology being proposed. In addition, an FRP pressure vessel will
not rupture if punctured by a projectile; it will only leak.
Increased Strength at Lower Temperatures
FRP pressure vessels actually become stronger with lower temperatures,
creating a major economic advantage for Trans Ocean Gas. The capability
to store CNG at sub-zero temperatures increases storage capacity. As
natural gas is chilled, its density significantly increases; thus chilled
CNG will have much better economics than CNG stored at ambient temperature.
With certain
combinations of pressure and low temperature, compressed natural gas
will actually liquefy. Trans Ocean Gas calls this pressurized liquefied
natural gas (PLNG). This new form of gas storage will reduce natural
gas to approximately 1/500 of its original volume. In contract, conventional
LNG reduces the gas to 1/600 of its original volume; however, the liquefaction
plant costs more than a billion dollars per train and the process consumes
approximately 15% of the end product. Thus, PLNG by Trans Ocean Gas
is poised to be the new low-cost LNG.
Capital and Operating Cost
Due to the type of materials being used and the fabrication process,
the cost for Trans Ocean Gas to produce a cubic meter of gas storage
is much less than if a steel-based system was used. This lower production
cost provides Trans Ocean Gas with a distinct competitive advantage
throughout the world.
The
Commercialization of Trans Ocean Gas Technology
Trans Ocean Gas has contracted the fabrication of its
pressure vessels to global leaders in the industry. The installation
of its pressure vessels into intermodal containers is also performed
under contract. Thus, Trans Ocean Gas can concentrate on the commercialization
of its intermodal gas containers. With final certification anticipated
in the second quarter of 2009 and manufacturing ready to start, Trans
Ocean Gas is now taking orders for its value-adding gas transport solutions.
