Small-Scale Liquefaction Gains Traction In China

Small-scale liquefaction in China has experienced exponential growth in recent years as Beijing attempts to integrate gas into the country’s energy matrix. Unlike conventional LNG plants that require large economies of scale to pay back hefty capital expenditures, these lower-cost and flexible units require less equipment, energy consumption and upfront investment. As a result, they are thriving in China. Modularization of hardware also allows speedy and efficient manufacture, installation and startup. China already has more than 35 small onshore LNG plants that were producing a combined 2.64 MMt/y at the beginning of 2012. Another 30 or so small-sized liquefaction plants are under construction or in the planning phase, potentially boosting output capacity to around 8.5 MMt/y. Download here