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U.S. Department of Energy
Office of Scientific and Technical Information

Imported LNG (liquid natural gas) as an alternative fuel

Technical Report ·
OSTI ID:6367625
 [1]
  1. Jensen Associates, Inc., Boston, MA (USA)
Imports of liquefied natural gas (LNG) first arrived in the United States in 1972 at the rate of one billion cubic feet (Bcf) per year. By 1979, they had reached 252 Bcf/year. However, as US as demand declined and domestic deliverability grew, inflexible LNG prices led to the complete collapse of trade during the 1980s. In 1987, all four US import terminals were idle and no LNG was imported. The situation bean to change with renegotiation of Distrigas' contract to import LNG from Algeria's Sonatrach. In 1988, the company imported 19 Bcf of gas to its Everett, Massachusetts terminal, with greater volumes in 1989. Panhandle Eastern has also renegotiated its Algerian supply contract and reactivated the company's Trunkline LNG terminal at Lake Charles, Louisiana. It received its first cargo in December 1989. Moves are also being made to bring the other two US import terminals, at Cove Point, Maryland and Elba Island, Georgia, back into service. On the supply side too, there are major new developments. Not only is Algeria seeking to expand its existing exports, but new LNG projects in Nigeria, Norway and Venezuela in particular are aimed at the US market. The purpose of this report is to describe the current status and potential development of LNG imports to the US with a view to identifying those circumstances in which an electric utility might consider LNG as an alternate back-up fuel to distillate or residual oil, in gas-fired generating facilities. 9 figs., 10 tabs.
Research Organization:
Electric Power Research Inst., Palo Alto, CA (USA); Jensen Associates, Inc., Boston, MA (USA)
Sponsoring Organization:
EPRI
OSTI ID:
6367625
Report Number(s):
EPRI-OCSP-6871
Country of Publication:
United States
Language:
English