“Pipe-to-Pipe” Marine CNG Capability

Multiple CNG Business Models

CNG Optimum shipping capability is designed for regional gas transportation solutions that are economically competitive with alternative transport options for a given volume and distance.

GEV will target projects where it can develop and implement a full CNG gas transport ‘pipe to pipe’ supply chain

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 Onshore/Offshore Export Terminal (metering, compression, loading facilities);
  • CNG 200 Optimum ships
  • CNG Onshore Import Terminal (unloading facilities, scavenging compression, metering)

GEV’s cashflow would be generated by either a) receiving a fixed 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. Middle East to India: The proposed purchase and sale of gas from the Middle East to Indian Oil Corporation on the west coast of India. GEV signed a Heads of Agreement with IOC in late 2018. GEV continues to discuss gas supply from the Middle East. For more details see Indian Oil HOA
  2. US Gulf Coast to Mexico, Central America, Caribbean: Proposal to export US Henry Hub linked gas from an offshore Gulf Coast platform. GEV’s initial focus is the Yucatan region of Mexico. Due diligence underway on offshore platforms connected to the gas pipeline network serving producers in the Gulf of Mexico. For more details see US Launch

Monetising Associated Gas

In many oil fields, the associated gas is not monetised due to either pipeline or LNG solutions not being 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 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:

  • Brazil’s Santos & Campos Basins: Technical discussions are ongoing with major oil companies operating in Brazil. These prolific offshore regions contain multiple billion-barrel oil & gas fields, with an estimated 1 billion cubic feet/d of associated gas being reinjected. For more details see Brazil Launch
  • Papua New Guinea to East Coast Australia: GEV has completed a commerciality study on a proposed offshore liquids stripping project in the Gulf of Papua demonstrating an attractive impact on the project’s economics. GEV continues to remain in dialogue with a potential major gas buyer on the East Coast, Australia.

Developing Stranded 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 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:

  • GEV is reviewing several potential gas fields in South East Asia.
  • There are several gas discoveries in South East Asia which are ideal candidates for CNG development, with commercially attractive gas markets within regional distances.

Displacing Liquid Fuels

Expensive liquid fuels are the only viable choice for power generation in many places around the world. This is typically due to the small size of power station, remote location and non-availability of gas supply.

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

GEV’s scope of work would include the CNG Export Terminal, CNG 200 Optimum ships and CNG Import Terminal. GEV may also partner with existing power station owners/operators (if required)

cng-transportation

Project Developments Underway:

  • GEV is reviewing South East Asian opportunities (in particular Indonesia) which have many remote island locations, where power is still generated by liquid fuels.