Marine CNG Capability

Four Business Models

1. Marine CNG Transport

The marine CNG transportation of gas from point A to point B via GEV’s CNG 200 Optimum ships. GEV’s scope of work under this type of opportunity would typically include:

  • CNG Export Terminal (metering, compression, jetty & loading facilities);
  • CNG 200 Optimum ships
  • CNG Import Terminal (unloading facilities, jetty, scavenging compression, & metering)

GEV’s cashflow would be generated by either a) receiving a gas transportation fee or b) cashflow from gas sales (at point B) less the cost of gas purchased (at point A).

cng-transportation

Project Developments Underway:

  1. The proposed purchase and sale of gas from the Middle East (point A) to Indian Oil Corporation on the west coast of India (point B). GEV signed a Heads of Agreement with IOC in September 2018.
  2. Delivery of gas to Port Meridian in the UK (where GEV has a 5% interest in the proposed import terminal). Meridian already has a signed Gas Sales Agreement with Uniper Global Commodities SE. The Uniper GSA has been extended to 31 December 2019 with a commercial start date of 1 January 2023. GEV has secured gas sale rights up to 300 MMscf/d (2.3Mpta equivalent) to supply Uniper.

2. Stranded Gas Fields

Many offshore gas discoveries remain uncommercial due to their limited resource size and distance to market. In the past, only two gas development options were available; pipeline or floating liquefied natural gas (FLNG) to market.

CNG Optimum is now a third viable solution.

GEV’s scope of work would again include the CNG Export Terminal, CNG 200 Optimum ships and CNG Import Terminal.

Being stranded may allow GEV to acquire a low-cost equity interest in the gas field, therefore benefiting from the uplift in value of delivering a commercial solution.

stranded-gas-fields

Project Developments Underway:

  1. Actively pursuing this type of opportunity, especially in the South-East Asia region.
  2. There are a number of gas discoveries which ideal candidates for CNG in this region, with regional gas markets nearby.
  3. Early stage due diligence and discussions have commenced with key stakeholders in the region that have passed our screening process

3. Oil Fields With Associated Gas

In many oil fields, the associated gas is not monetised (pipeline or FLNG are not commercially viable). Such oil fields are usually located offshore with associated gas typically re-injected (or occasionally flared).

The key value driver for these fields is the oil, not the gas. In most countries, flaring of gas is banned, therefore operators need to either transport associated gas to market, re-inject into the reservoir, or are forced to reduce/cease oil production.

GEV’s scope of work would again include the CNG Export Terminal, CNG 200 Optimum ships and CNG Import Terminal.

GEV can offer the field operator a commercial solution for associated gas and thereby enhance project economics.

oil-fields

Project Developments Underway:

  1. Example of an opportunity driven by the value of the oil is the offshore PNG Pasca A liquids-rich gas field
  2. In December 2018, GEV issued to Twinza Oil a positive draft Pre-Feasibility Study for the commercialisation of CNG and has held positive meetings with gas buyers in the Asia-Pac region
  3. GEV will continue to hold discussions on gas supply

4. Remote Small Scale Power Generation

Expensive liquid fuels are the only viable choice for power generation in many places around the world. This is due to

  1. the small size of power station;
  2. remote location; and
  3. non-availability of alternate fuels such as natural gas.

GEV is pursuing power markets over 100MW, which typically require gas volumes in excess of 20 MMscf per day.

GEV can commercially deliver natural gas and displace liquid fuels

cng-transportation

Project Developments Underway:

  1. GEV is reviewing South East Asian regions (in particular Indonesia) which have many remote island locations, where power is still generated by liquid fuels.
  2. Early stage due diligence and discussions have commenced with key stakeholders in the region