320 likes | 468 Views
NATURAL GAS USAGE. April 11, 2011. Shale Gas: A Global Phenomenon. Source: Energy Information Administration. Shale Gas Revolution Across the U.S. Source: Energy Information Administration. Marcellus and Utica Shales. Below the Marcellus Bigger, deeper, denser
E N D
Shale Gas: A Global Phenomenon Source: Energy Information Administration
Shale Gas Revolution Across the U.S. Source: Energy Information Administration
Marcellus and Utica Shales • Below the Marcellus • Bigger, deeper, denser • One of the last U.S. unconventional energy fields • Particularly attractive in OH • Success in the Marcellus will lead to success in the Utica
Clean, Abundant, and Versatile Resource-How will things be different? • Heating and cooling sources • Light duty and heavy duty transportation Fuels • Generation of electricity • Combined heat and power applications • Feedstock for industries • Utilization of liquids in Wet Natural Gas 6 | MARCELLUS SHALE COALITION
Natural Gas Fundamentals • Three Industry Segments • Upstream: bringing natural gas to the surface (drilling) • Midstream: storing and transporting natural gas (pipelines, etc.) • Downstream: selling and distributing natural gas (your supplier) • Types of Natural Gas • Dry Gas: Home, business heating and fueling • Wet Gas: Contains Natural Gas Liquids, or NGLs; Raw material for other products (polymers, paints, plastics, fertilizers, etc.)
Natural Gas Power Plants 46 % by 2035 Natural Gas Vehicles U.S. has 110,000 (.9167%) Worldwide 12 Million Infrastructure (Fueling Choices) Industrial Feedstock Growth Areas in Pennsylvania
Shell Picks Pittsburgh Area For Major Refinery • Several BILLION $ to build the plant • 500 -1,000 Full time jobs • 10,000 +/- construction jobs for several years • Plus additional downstream Industries with additional • job and state revenue opportunities.
Average Composition in Wet Gas Region Source: Pace Global; NiSource Gas Transmission and Storage Presentation to WVONGA Spring Meeting May 6, 2010 p.5
Industries that will Benefit • Pulp and Paper • Metals • Chemical plants • Petroleum refining • Stone • Clay & Glass • Plastics • Food Processing
Why Chemical Makers Love Cheap Natural Gas Mar 2, 2012, 6:00 am EDT | By Aaron Levitt, InvestorPlace Contributor Margins at U.S. chemical companies are at their highest in years due to the glut of natural gas. New factories are being planned, and current ones are running at full capacity. European and Asian chemical manufacturers use oil-derived naphtha to make ethylene. With ethane prices currently around 70 cents a gallon, it costs U.S. producers about $730 to make a ton of ethylene, while manufacturers that use naphtha to make polyethylene are paying nearly $1,250 a ton. Every 10-cent drop in the cost of ethane boosts Dow’s earnings by nearly $200 million. Adding insult to foreign rivals’ injury, U.S. chemical manufacturers can take advantage of cheap natural-gas-fired electricity to run their refining operations.
Friday, May 25, 2012 Greg Babe, president and CEO of Bayer Corp. and Bayer MaterialScience LLC, speaks May 23 at a VisionPittsburgh event at the Duquesne Club. Comparing the importance of natural gas to the chemical industry to flour in a bakery, Babe said there’s great promise for the region’s chemical industry in Shell Oil’s recent announcement that it has chosen a location in Beaver County to build a $2 billion ethane cracker. “It really could signal the revival of America’s petrochemical industry,” Babe said. That competitive advantage stems from the abundance of the supply, Babe said, which will help create cost advantages and provide a predictable feedstock.
WHY LNG? Liquefied Natural Gas LNG is a clear, colorless, non-toxic liquid that can be transported and stored more easily than natural gas because it occupies up to 600 times less space.
EXISTING IMPORT TERMINALS Today, there are 12 U.S. facilities (and one facility in Puerto Rico) capable of importing LNG. They are located in: Everett, Massachusetts Cove Point, Maryland Elba Island, Georgia Lake Charles, Louisiana Gulf Gateway Energy Bridge, Gulf of Mexico Northeast Gateway, Offshore Boston Freeport, Texas Sabine, Louisiana Hackberry, Louisiana Neptune LNG, Offshore Gloucester, Massachusetts Sabine Pass, Texas Pascagoula, Mississippi At present, the U.S. has one existing LNG export terminal located in Kenai, Alaska.
Natural Gas Power Plants
You've heard this before: "Shale gas is a gamechanger." What About This? Charles Patton, president and chief operating officer of Appalachian Power Co. said that as power plants in the company's fleet and elsewhere are retired, "there's just a run to natural gas."
Simpler Cleaner Fuel Complex Hydro Carbon Diesel is a complex hydrocarbon, while natural gas or methane is a simple hydrocarbon. Simply, more carbon means more emissions have to be handled. The future looks toward hydrogen, minimal carbons. Simplest Hydro Carbon Natural Gas (methane) has highest hydrogen-to-carbon ratio of any hydrocarbon
Lighter than air Rises (rather than pools) Doesn’t accumulate in low places Rich mixture burns off slowly Ignites at temperatures of approx. 600 C (higher flash point) Non toxic Odorless-detection fragrance is added Evaporates quickly Heavier than air Descends Accumulates in low places Rich mixture explodes Gas and diesel vapors ignite at approx. 200 C Toxic, especially gasoline Strong inherent odor Evaporates slowly at room temperature Natural Gas is a Safe Fuel CNG Liquid fuels
Target NGV Fleet Applications • Refuse collection and transfer • Transit • Port drayage • Local trucking and distribution • Public works (street sweeping, road • maintenance, dump trucks, etc.) • Airport operations (taxi, hotel/parking shuttle bus)
The Pennsylvania Clean Transportation Corridor will: • Result in more than $200 million in investment in Pennsylvania’s economy. • Have a direct impact on more than 1,350 jobs in Pennsylvania. • Save Pennsylvania fleet operators nearly $10 million in fuel costs annually. • Yield more than $60 million in tax revenue for the Commonwealth of Pennsylvania. • Reduce emissions of diesel soot (14.5 tons), 720 Tons Nox (Nitrogen Oxide) ozone-causing pollution and 21,000 tons of greenhouse gas NEED PA NG SUCCESS STORIES
The Pennsylvania Clean Transportation Corridor is a strategically planned network of natural gas refueling infrastructure connecting: Philadelphia Scranton / Wilkes-Barre Allentown Harrisburg Pittsburgh This corridor will serve as the cornerstone of a larger regional clean fueling network throughout the northeastern United States.
The Right Choice. Right Now Environment, Energy Security and Economics Drive Local Governments’ Increased Use of Vehicles That Run on Natural Gas Refuse Truck fuel usage=8,500-10,000 gallons per year. @$4.00/gallon = $34,000 to $40,000 Estimated savings between 30 and 50% Savings by using NG @ 30%= $10,200.00 to $12,000.00/year Savings by using NG @ 50%= $17,000.00 to $20,000.00/year Plus buying incentives of $32,000.00 per heavy duty truck and 90% quieter. As well as the cleaner burning fuel
http://www.afdc.energy.gov/afdc/locator/stations/ ONE Trash Truck using NG will take 325 cars off the road!!