Related Articles
Forward article link
Share PDF with colleagues

LNG power play

Weak prices are an opportunity for LNG-to-power developers. But projects need the right partners and location to succeed

It's no secret that a global liquefied natural gas glut has pressured prices from Europe to Southeast Asia. LNG imports into Japan now cost buyers just $8 per million British thermal units—less than half the price two and a half years ago. Europeans are importing LNG for even less, for around $5-6/m Btu. Faced with saturated gas markets and persistently low prices, both power buyers and gas producers spy an opportunity to develop LNG-to-power projects. These projects typically consist of an LNG import terminal to receive, store and regasify the LNG, and a connected gas-fired power plant to burn the fuel to produce electricity. Several LNG-to-power projects are under development or recentl

Also in this section
The Zohr effect
15 March 2018
Hopes are high of fresh finds in the area
Full speed ahead for Egypt's gas
15 March 2018
Eni's parallel-development method has enabled it to smash records at its mega-giant Zohr gas project. Petroleum Economist was given exclusive access to the onshore operations
Hurdles face putative Asia-Pacific LNG hubs
14 March 2018
Singapore, Shanghai and Japan all wish to become trading hubs and price-reporting agencies are trying to establish benchmarks