GTL pushes at the margins
Turning natural gas into diesel has many advantages, especially in the US
DESPITE its vast resource potential, shale gas has yet to
find its way into the world's fuel tanks. Gas-to-liquids (GTL)
technology could change that. The abundance of shale gas,
especially in North America, is creating an opening for the
wider adoption of GTL to compete with oil-based fuels. Until
now, the biggest beneficiaries of low natural gas prices have
been utilities and power companies which have switched their
feedstock from higher-cost coal. But there are even bigger
inroads to be made in transportation, where oil accounts for
96% of all motor fuels produced around the world. Nowhere is
this more obvious than in the US, where natural gas holds
barely 3% of the 13.45 million barrel a day (b/d)
transportation market. Given the $489 billion the...
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