Right-sized LNG solutions
Mid-scale LNG – Time to Deliver Roland Fisher, CEO, Gasfin Development SA Platts Caribbean Energy - January 2013
Gasfin introduction
1
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
Gasfin: Right-sized LNG solutions
Gasfin and its subsidiaries have a unique track record in the design and delivery of mid-scale LNG plant
‒ Designed and delivered the first mid-scale mixed use LNG carrier - Coral Methane, 7,500m3 (2009)
‒ Designed and delivered the first mid-scale LNG liquefaction plant - Xinjiang, 400,000ktpa (2004)
‒ Market leading provider of gas plant to 120+ cryogenic gas carriers
‒ Designed and delivered 50+ LNG & petrochemical terminals
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
4
Gasfin controls the resources to design, finance, deliver and operate mid-scale LNG infrastructure: LNG at every step, in every size, on land or sea, across the globe.
Developing LNG projects requires expertise, capital &project management
Gasfin
•Dedicated multi-disciplinary project development team
•50% shareholding TGE Marine
•40% shareholding in TGE Gas TGE Marine
•Market leader in cryogenic gas
handling systems for ships and offshore
units
Caledonia Investments
•UK equity investor •50% TGE Marine
TGE Gas •Leading contractor
for bulk storage of cryogenic gases
CIMC •World leading
infrastructure equipment manufacturer
•Majority shareholding in TGE Gas
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
Right sized LNG solutions involve multiple technical components, testing multiple disciplines
5
Required experience Rationale Gasfin / TGE
Designed & delivered : LNG receiving (Regas) terminals
Core activity for LNG importation
Designed & delivered: Floating cryogenic storage
Floating plants ideal for fast build, quick approval, and scarce land
Designed & delivered: ‘Type C’ LNG cargo tanks
Only tank design able to withstand pressure build up from LNG storage
Designed & delivered: Shallow draft gas carriers
Design critical for delivering LNG to shore in shallow waters
Designed & delivered: LNG truck loading systems
Offers fast track onshore LNG distribution option
Turnkey, fixed price service, with full EPC bonding
Ensures risk for equipment performance remains with TGE/Gasfin
Integrated project developer and gas engineer
Improves design flexibility and accelerates project timeline
Developments in supply…
2
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
Gasfin developing mid-scale LNG export plant in JV with Government of Trinidad and Tobago
7
Above: Example of mid-scale LNG production plant developed by Gasfin subsidiary,TGE, in Urumuchi, China (2004)
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
8
Why Mid-scale LNG production works for T&T
• Captures long term premium market for T&T gas in Caribbean
• Demonstrates genuine T&T commitment to fuel the region
• Stimulates jobs and ~$400m new investment in La Brea
• Provides unique opportunity for direct local participation in LNG production
• Spurs incremental gas exploration, without crowding out other projects
• Allows gradual regional gas adoption – grow production with demand
• Positions Trinidad as pioneer of mid-scale export
• Wholly financed by private sector, with proven technology, 30 month build
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
9
Mid-scale LNG captures value of land, utilities, & location to offer reliable, competitive gas supply
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
EDF is project anchor – needs 400ktpa LNG delivered by dedicated carrier and two FSRUs
10
Operational details • Proven, reliable components, high
redundancy with minimal maintenance • Side-by-side LNG carrier unloading using
conventional hard arms • Regasification using air vaporizers • 25+ year docking interval
• Tank design increases operational flexibility Environmental details • Air vaporizers have no impact on sea • Leak proof tank rules out gas venting
• “Clean ship” per classification rules • Electricity generated with gas fuelled gen sets
Technical specifications: FSRU • Length: 114m; Width: : 32m • Depth: 18m; Draft: : 7m • Containment: 2 x IMO type “C“ cylindrical tanks
• Max. send out capacity: 50t/h • Spread moored, 12 anchors
25,000m3 FSRU for Martinique/Guadeloupe
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
11
Gasfin seeking further LNG commitments for 100,000tpa spare capacity and/or 2nd train
Market LNG Volume St Martin / St Barth Grenada <50,000 St. Vincent Target markets for excess capacity Antigua from first or future LNG trains St. Lucia <100,000 Sint Marten
Grand Cayman Bermuda Guatemala Barbados <250,000 Markets that might be aggregated US Virgin Islands to anchor future trains Aruba/Curacao Bahamas
Panama Honduras 300,000 to Markets that alone might anchor a new Dominican Republic 600,000 300ktpa+ train if gas allocated Jamaica
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
Even with gas, co-ordination and aggregation is not easy across distances and jurisdictions
12
Trinidad
Grenada
St. Lucia
Barbados
St. Martin/ St. Barth
Dominican Rep. Virgin Islands
Aruba
Bermuda
Bahamas
Grand Cayman
Guatemala Honduras
Jamaica
Panama
French Antilles
Curacao
What next for 2013….
2
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
14
Economic attractions of conversion are sensitive to feed gas prices
Cost base for Mid-Scale LNG Value Chain (US$/mmbtu)
1. Feed Gas Costs ??
2. Liquefaction Cost (est. for 250-500,000ktpa)
~$3.50-4.50
3. Shipping (sensitive to size/distance)
$1.25-$2.50
4. Storage and Regas (sensitive to size/distance/site)
$1.75-$3.00
Total Cost of Delivered Gas Feed Gas + $6.50-10.00
Feed gas pricing:
Trinidad • Net-backs must be competitive with
all alternative uses for gas • Since LNG strategy is political,
externalities are also important – both positive and negative
Alternative sources of gas • Colombia • US • Venezuela ?
Conclusion: Reliable, low cost natural gas supply could drive widespread conversion to LNG, provided producers target smaller markets
This document is being furnished on a confidential basis and the information contained herein may not be reproduced or provided to others without the prior written consent of Gasfin
15
• 35-acre site • No direct industrial or
residential neighbors • Deep water access
along Calcasieu River
Gasfin has acquired a US site and submitted DOE application for mid-scale LNG export
• Access to Henry Hub based US gas prices
• Offtake partners sought for further development
Contacts:
UK : +44 20 3432 8510 Germany : +49 228 60448 821 Luxembourg: +35 2 2644 731
Fax: +44 20 3369 9695 Email: [email protected] Web: www.gasfin.net