scholarly journals Current conditions and forecasts of natural gas application in the production of electricity

2013 ◽  
Vol 29 (1) ◽  
pp. 5-172 ◽  
Author(s):  
Stanisław Rychlicki ◽  
Jakub Siemek
Keyword(s):  
Natural Gas ◽  
Shale Gas ◽  
Raw Materials ◽  
Dynamic Change ◽  
Coal Bed ◽  
Unconventional Gas ◽  
Unit Energy ◽  
Bargaining Position ◽  
Gas Markets

Abstract In times of global crisis, there is a dynamic change in the European gas market. This leads to: - decline or stagnation in demand for gas in the industrial sector; - growing importance of unconventional natural gas; - LNGmarket development especially in terminal condensing due to the availability of rawmaterials derived from unconventional gas deposits (USA, Canada); - development of regasification terminals in Europe due to the possibility of receiving additionalmaterial; - development of gas exchanges; - development of cross-border gas pipeline connections leading to a progressive increase in the integration and linkages between markets; - emergence of unconventional gas in particular shale gas and coal bed methane; in Poland the potential benefits from shale gas exploitation offering opportunities for its wider use in the energy sector; - attention drawn to the role of unconventional gas, particularly shale gas; - periodic surplus raw materials for the European market; - renegotiation of long-term contracts for European customers; - changes in contracts, which include the introduction of partial indexation to the exchange of gas markets, modification of TorP clauses, contract volume shift to later years; - stronger bargaining position for the buyer of raw materials; - possible long-term changes in the valuation of raw material in Europe; - growing importance of short and medium-term contracts; - changes in distributor relations - [client on national markets (meaning unclear)]; - activity of new entrants to the gas markets. This paper presents the existing situation in the energy market in Poland in terms of the types of fuels used especially natural gas in the generation of electricity. It references Poland’s current energy relations with European countries, particularly with respect to the European Union. The analysis includes the size of unit energy consumption in selected EU countries. In addition, it reviews plans to build a major gas plant in Poland.

A Comparative Analysis between Coal-Bed Methane and Shale Gas in China Based on Cases

2015 ◽  
Vol 737 ◽  
pp. 794-799
Author(s):  
Liang Yu Xia ◽  
Jing Yi Wen
Keyword(s):  
Comparative Analysis ◽  
Natural Gas ◽  
Shale Gas ◽  
Net Present Value ◽  
Cost Benefit Analysis ◽  
Supply And Demand ◽  
Cost Benefit ◽  
Coal Bed ◽  
Coal Bed Methane ◽  
Single Well

Owing to the growing gap of natural gas between supply and demand in China, the unconventional natural gas, including coal-bed methane (CBM) and shale gas, has been considered as strategic energy sources. An assessment by China’s Ministry of Land and Resources (MLR) announced that China has potentially resources of 36.7 trillion cubic meters of CBM and 25 trillion cubic meters of shale gas, larger than those of the U.S. Controversial views about their commercial prospects and priorities in order are available. This research aims at exploring which is more economically viable and worth the priority. A cost-benefit analysis (CBA) based on average single well data is employed to carry out a comparative analysis between two typical fields, the coal-bed methane (CBM) fields in the Qinshui basin and the shale gas fields in Sichuan basin. The net present value (NPV), the internal rate of return (IRR) and the payback period are used as indicators in this analysis. The results indicate that CBM is superior to shale gas in viability under the current technological and economic conditions, and the future of the CBM industry is clearer than that of the shale gas industry, but the latter is still promising if the drilling costs can be reduced significantly with technical progress. We suggest that the CBM industry should be given the priority to, and the policy for shale gas should focus on promoting technical innovations.

GNL, competizione e sicurezza di approvvigionamento: il segmento dello shipping

2009 ◽  
pp. 137-159
Author(s):  
Susanna Dorigoni ◽  
Luigi Mazzei ◽  
Federico Pontoni ◽  
Antonio Sileo
Keyword(s):  
Natural Gas ◽  
Value Chain ◽  
Raw Materials ◽  
Spot Market ◽  
Market Liquidity ◽  
The Other ◽  
Spot Price ◽  
Security Of Supply ◽  
Evolutionary Trajectory

- In the last few years, one of the main concerns of European Union in the energetic field has been that of facilitating the safeguard of raw materials' security of supply, especially that of natural gas. Import through LNG chain, that is, through the employment of LNG tankers for gas transportation, has been identified by the European Council as one of the instruments to achieve these goals. In fact, import via LNG does not require, for the importer, such investments as to determine an indissoluble physical tie between producer and buyer, as happens for transport via pipeline (Chernyavs'ka et al., 2002). In other words, investments in pipelines are very specific. Moreover, as they are made in order to support specific transactions, contracts usually take the form of long-term agreements with minimum offtake requirements (take or pay clauses): such contracts definitely contribute to the "cartelization" of the market, hindering competition. Unlike investments in pipelines, those in the LNG chain present a much lower degree of specificity: in fact, even though the construction of a regasification plant is generally tied to the stipulation of a long-term agreement (with take or pay clause), LNG chain costs have significantly decreased over time (until a few years ago) and, moreover, it is getting increasingly common that part of plant capacity is made available for spot transactions. What's more, once the contract is expired and the investment is sunk, the importer may satisfy his gas supply needs on the basis of his relative gains. As far as LNG import contractual practices are concerned, significant changes have started to take places in the last few years, both in terms of agreements' length - average duration has significantly decreased - and in terms of price indexation - in the most developed markets LNG price is tied to gas spot price (IEA, 2006). One of the many possible advantages of transport via LNG is that liquefied gas enables European importers to widen their gas suppliers portfolio. Increased possibilities of choice for importers, the widening of the group of exporting countries, and the increased integration of the European market, thanks to the possibility of redirecting cargoes depending on single countries' supply-demand balance, would contribute decisively to security of supply, market globalization and competition (between importers) in the industry (IEA, 2004). Yet, it must be stressed that import via tanker appears to be competitive with import via pipe only for the medium-long distances. As far as LNG chain is concerned, the element that so far has attracted the least attention, though being not less important than the other two, is certainly shipping. Being the link between the producing/exporting country and the importing country, and having been subject to major changes in the last few years, it is particularly interesting to analyze it singularly, aiming to understand how it is linked to the other elements of LNG value chain, besides studying industry dynamics. This paper will address this issue, aiming also to understand what has been and what will be in the future the evolutionary trajectory of this segment, starting from an analysis of operative and planned gas tankers, their size, their routes and their contractual situation. This analysis can be useful to make hypothesis about the growth of the spot market and, consequently, of market liquidity.Keywords: LNG, gas tankers, security of supply, competition, regasification plants, spot market, natural gas international tradeJEL classifications: L95, K12, F14, L11Parole chiave: GNL, navi gasiere, sicurezza dell'approvvigionamento, competizione, rigassificatori, mercato spot, commercio internazionale di gas naturale

Evaluation of Energy Storage Potential of Unconventional Shale Reservoirs Using Numerical Simulation of Cyclic Gas Injection

2021 ◽  
Vol 143 (11) ◽  
Author(s):  
Chad Augustine ◽  
Henry Johnston ◽  
David L. Young ◽  
Kaveh Amini ◽  
Ilkay Uzun ◽  
...  
Keyword(s):  
Energy Storage ◽  
Natural Gas ◽  
Shale Gas ◽  
Gas Injection ◽  
Compressed Air ◽  
Published Data ◽  
Storage Potential ◽  
Shale Reservoirs ◽  
Cyclic Injection

Abstract Compressed air energy storage (CAES) stores energy as compressed air in underground formations, typically salt dome caverns. When electricity demand grows, the compressed air is released through a turbine to produce electricity. CAES in the US is limited to one plant built in 1991, due in part to the inherent risk and uncertainty of developing subsurface storage reservoirs. As an alternative to CAES, we propose using some of the hundreds of thousands of hydraulically fractured horizontal wells to store energy as compressed natural gas in unconventional shale reservoirs. To store energy, produced or “sales” natural gas is injected back into the formation using excess electricity and is later produced through an expander to generate electricity. To evaluate this concept, we performed numerical simulations of cyclic natural gas injection into unconventional shale reservoirs using cmg-gem commercial reservoir modeling software. We tested short-term (diurnal) and long-term (seasonal) energy storage potential by modeling well injection and production gas flowrates as a function of bottom-hole pressure. First, we developed a conceptual model of a single fracture stage in an unconventional shale reservoir to characterize reservoir behavior during cyclic injection and production. Next, we modeled cyclic injection in the Marcellus shale gas play using published data. Results indicate that Marcellus unconventional shale reservoirs could support both short- and long-term energy storage at capacities of 100–1000 kWe per well. The results indicate that energy storage in unconventional shale gas wells may be feasible and warrants further investigation.

Environmental and Economic Significance and Feasibility Analysis of Tight Sand Gas Reservoir in China

2013 ◽  
Vol 734-737 ◽  
pp. 320-325
Author(s):  
Jian Guo Wang ◽  
Long Chen ◽  
Hai Jie Zhang ◽  
Tao Han
Keyword(s):  
Natural Gas ◽  
Rapid Development ◽  
Economic Feasibility ◽  
Coal Bed ◽  
Gas Reservoirs ◽  
Unconventional Gas ◽  
Well Completion ◽  
Economic Significance ◽  
The Rich ◽  
Tight Sand Gas

Currently, with a sharp increase in demand for natural gas and a strict energy supply circumstances, the development of tight sand gas becomes a pressing need for the rapid development of Chinas society and economy. At the end of 2010, the reserves and annual production of tight sand gas in China accounted for 39.2 percent and 24.6 percent of national natural gas, respectively, and the proportions are expected to increase. Compared with other unconventional gas such as shale gas and coal bed methane, the techniques of tight sand gas are relatively mature and development costs of it are relatively low. So tight sand gas should be considered in priority in the exploration and exploitation of unconventional gas in China. The total reserves of tight sand gas in China are 12 trillion cubic meters. Tight sand gas in China possesses the rich reserves and enormous potential to develop, which can ease the current shortage of energy. Besides, China has mastered a series of key techniques such as the well drilling and completion protection supporting technique; well completion and staged fracturing technique of horizontal well, which guarantees the technical feasibility of the development of tight sand gas reservoirs. From the perspective of market, social and environmental meaning, reserves, technique and economic feasibility, this paper presents a systematical analysis about the importance of developing tight sand gas in China.

Is LNG the panacea for Australia's natural gas?

2010 ◽  
Vol 50 (2) ◽  
pp. 713
Author(s):  
John Harris
Keyword(s):  
North America ◽  
Natural Gas ◽  
South America ◽  
Shale Gas ◽  
Detailed Consideration ◽  
Project Costs ◽  
Market Opportunities ◽  
Alternative Markets ◽  
Shed Light

Australia already has abundant natural gas reserves. To what extent will LNG exports grow? What is the potential for future conventional gas discoveries? Is there a potential round of additional CBM-sourced LNG projects? Could shale gas contribute to supply? There are already a significant number of proposed LNG projects in Australia. How many more projects might emerge to add to the current tally? In the longer term, Australia has the potential to surpass Qatar as the world’s leading LNG exporter but which markets can help Australia realise that potential? With growing Asian demand for LNG, and buyers historically accustomed to oil-linked long term contracts, the prospects for LNG appear good. But are they? To what extent can growth in Asian gas demand absorb Australian LNG, which itself has to compete with other LNG projects? If Asian demand is satiated, what are the alternative markets? North America provides another potential outlet for Australian LNG exports, but how do the project economics stack up relative to Asia? Does South America offer market opportunities and if so can countries there absorb a meaningful volume of Australian LNG? A detailed consideration of project costs and the outlook for gas prices in Asia and the Americas can help shed light on this question. It can also set Australia’s LNG projects in context relative to its competitors. If LNG is not the panacea for Australia’s natural gas, will alternative monetisation options emerge, and what might they be?

Globalization of Gas Markets: New Challenges

2012 ◽  
pp. 36-39
Author(s):  
E. Telegina
Keyword(s):  
Natural Gas ◽  
Market Development ◽  
The European Union ◽  
Energy Strategy ◽  
American Model ◽  
Gas Markets ◽  
New Challenges ◽  
The Relationship ◽  
Trade Market

Currently, gas markets are going through a phase of transformation into global ones. They are largely following the American model of the spot trade market development with the building of LNG terminals for the internationalization and globalization of supply chains. All this greatly changes the structure of the relationship between the producers and consumers of long-term gas contracts, primarily in Europe. The availability of a ramified network of gas transmission pipelines in the territory of the European Union and the diversification of supplies through greater application of liquefied natural gas allows Europe to more effectively build its energy strategy. In particular, the stress is made on the creation of large hubs (junctions of inter-country flows) to turn the spot trade into a dominant mechanism of natural gas supplies.

Regulation and Long-Term Contracting in us Natural Gas Markets

1986 ◽  
Vol 35 (1) ◽  
pp. 71 ◽  
Author(s):  
R. Glenn Hubbard ◽  
Robert J. Weiner
Keyword(s):  
Natural Gas ◽  
Natural Gas Markets ◽  
Gas Markets
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