LNG FOR TRANSPORT NGV SYMPOSIUM WASEDA UNIVERSITY
17th June, 2013
Jane Carland
Downstream LNG Business Development Manager (Asia Pacific)
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TOPICS
1) Shell’s Global Integrated Natural Gas Leadership
2) Shell’s Global LNG for Transport Projects
3) LNG for Transport in Japan
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GAS & INNOVATION NEEDED TO MEET ENERGY DEMAND
SHELL GLNG SUPPLY PORTFOLIO
LNG - OPERATION LNG - CONSTRUCTION
SAKHALIN LNG
MALAYSIA LNG
BRUNEI LNG
NORTH WEST SHELF
PLUTO (WOODSIDE)
PRELUDE FLNG GORGON
QATARGAS 4 OMAN LNG
NIGERIA LNG
WHEATSTONE LNG
FLOATING LIQUEFACTION SMALL SCALE LIQUEFACTION
SHELL LNG LEADERSHIP
PROJECTS IN OPERATION OR UNDER CONSTRUCTION
NEW INNOVATIONS
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GREENSTREAM BARGE
INTEGRATED NATURAL GAS LEADERSHIP
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Leader in LNG and gas conversion technologies
EXPLORATION & PRODUCTION TECHNOLOGY LIQUEFACTION
LNG SHIPPING
REGAS, PIPELINES, STORAGE
MARKETING & TRADING
Largest ship operator One of the World’s largest gas producers
Largest LNG supplier
Strategic positions… active portfolio management
Global positions & capabilities
AN INTEGRATED BUSINESS MODEL WILL DELIVER LNG FOR TRANSPORT FUEL…
Heavy Duty Road
Mining
Global Marine, ECA
Pipeline Gas
Existing LNG Infrastructure
Coal Bed Methane
Extended Well Test
Stranded Gas
Rail
Upstream Downstream
Small scale liquefaction
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Inland Waterways
DISTRIBUTION TASK SIMILAR TO CONVENTIONAL DIESEL
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Storage facility
Loading station
Transport means
LNG storage
Jetty Production
facility LNG
Consumer
LNG Carrier Regas Terminal
Power Plant
Conventional
LNG Fuelled Truck/Bus
LNG Trailer Truck
LNG Refuelling Station
Small Scale Liquefaction
Road
Small Terminal
LNG Bunker Vessel
LNG Fuelled Vessel Small LNG Carrier Marine
LNG is a liquid and therefore allows flexibility in supply locations i.e. virtual pipeline
CURRENT PROJECT: CANADA
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Canada: Jumping Pound Gas Plant LNG powered truck
FIRST LARGE SCALE LNG FOR TRANSPORT PROJECT FOR SHELL
Focus on supplying trucking, oil & gas and mining sectors in Alberta
National agreement in place with JV Shell Flying J
First fueling site opened on 13th March, 2013
Constructing a mini-LNG plant (capacity 250,000 tpa) at Jumping Pound, ready for start
up mid 2014
CURRENT PROJECT: TRANS AMERICA
SHELL AND TRAVELCENTERS OF AMERICA AGREEMENT TO PROVIDE NATURAL GAS FUEL OPTION FOR US
TRUCK FLEET OPERATORS
16 April, 2013 – Shell and its affiliates have signed an agreement with TravelCenters of America LLC (TA) to sell liquefied
natural gas (LNG) to heavy-duty road transport customers in the US through TA’s existing nationwide network of full-
service fueling centers.
200 LNG fuel lanes at about 100 TA sites and Petro Stopping Centers throughout the US interstate highway system.
LNG fuel lanes are expected to become operational in 2014.
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CURRENT PROJECT – GREAT LAKES
THIS PROJECT WILL SUPPLY LNG FUEL TO THE FIVE GREAT LAKES, THE BORDERING U.S. STATES AND
CANADIAN PROVINCES, AND THE ST. LAWRENCE SEAWAY.
The Great Lakes Corridor will include a small-scale LNG production facility at Shell’s Sarnia Manufacturing Centre,
Ontario.
LNG refueling of Great Lakes vessels.
LNG fuel to long-haul transport trucks at truck stops between Chicago, Detroit and Louisville.
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The Great Lakes Corridor will make LNG available throughout the Great Lakes region for use in marine, trucking and possibly rail.
CURRENT PROJECT – GULF COAST CORRIDOR
SUPPLY OF LNG ALONG THE MISSISSIPPI RIVER, THE INTRA-COASTAL WATERWAY, THE OFFSHORE GULF OF
MEXICO AND THE OIL AND GAS EXPLORATION AREAS OF TEXAS AND LOUISIANA.
Marine vessels that operate in the Gulf of Mexico. LNG transport barges will move the fuel from to Port Fourchon
where it will be bunkered into customer vessels.
Shell is also leading the way as a customer, by chartering three LNG-powered offshore supply vessels
Additionally, the Gulf Coast Corridor will supply LNG fuel for long-haul trucks @ Travel Centre of America sites.
12 March 2013
The Gulf Coast Corridor with make LNG available for use in Marine, Trucking, Oil & Gas production and possible rail.
WHY IS LNG SUITABLE FOR HEAVY DUTY ROAD TRANSPORT?
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Heavy Duty Road
Heavy Duty Road
Cheaper fuel, high savings, attractive payback period
New engine technology with lower local emissions & noise (US 2010 EPA and EU Euro 5 & 6 compliant)
Supply reliability
Excellent safety record.
Operational simplicity - can be used during both hot and cold weathers without additional additives
Similar power and drivability to conventional heavy duty diesel engines (CI & SI).
Shell Card
Product quality & expertise
Cheaper fuel, high savings, attractive payback period
New engine technology with lower local emissions & noise (US 2010 EPA and EU Euro 5 & 6 compliant)
Supply reliability
Excellent safety record.
Operational simplicity - can be used during both hot and cold weathers without additional additives
Similar power and drivability to conventional heavy duty diesel engines (CI & SI).
Shell Card
Product quality & expertise
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SUITABILITY OF LNG FOR HEAVY DUTY TRUCKS IN JAPAN
Large number of heavy-duty trucks in Japan Tax incentive for NGV Government desire for further CO2 reduction LNG available (supply security)
Long drive distance (over 500km) Competitively priced versus Diesel Similar filling time to diesel Reduction in CO2 emission Reduction in noise pollution
Benefits of LNG trucks to Transport Operators
Suitability of LNG for Japan’s Transport Market