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Home Economy

Liquefied Natural Gas (LNG)

November 7, 2020
in Economy
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Liquefied Natural Gas (LNG)
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Recently Union minister of Petroleum and Natural Gas & Steel called for launching a campaign for making users aware about the benefits of LNG as fuel

More Information

Liquefied natural gas (LNG) is natural gas that has been converted to a liquid form for the ease and safety of natural gas transport. 

Natural gas is cooled to approximately -260˚ F, creating a clear, colorless, and non-toxic liquid that can be transported from areas with a large supply of natural gas to areas that demand more natural gas.

It is more cost effective as far as large volume of transportation to long distances is concerned.

Natural Gas supply sources in India:

  • Domestic Gas Sources:

The domestic gas in the country is being supplied from the oil & gas fields located at western and southeastern areas viz. Hazira basin, Mumbai offshore & KG basin as well as North East Region (Assam & Tripura). 

  • Import of Liquefied Natural Gas (LNG):

In order to meet the gas demand, Liquefied Natural Gas (LNG) is imported through Open General License (OGL) in the country and it is imported by the gas marketer under various Long Term, Medium Term and Spot contracts.

India Imports Natural Gas from Qatar (largest importer), USA, Australia and Russia

Major Differences between Compressed Natural Gas (CNG) and LNG

  • Storage: 
  • CNG is stored in a gaseous state in high-pressure storage cylinders
  • LNG is stored in liquified state at -260˚ F
  • Safety:
  • Fueling with CNG is similar to gas and diesel, requiring no special training.
  • Given the storage temperature of LNG, there is a frostbite risk, and operators are required to wear protective gear (including gloves and face shields) and training is needed to ensure safe operation.

Note: Natural gas is a gas consisting primarily of methane, so both CNG and LNG mainly have Methane as component.

Major differences between CNG and Liquified Petroleum Gas (LPG)

  • Main Component: 

CNG is comprised of methane, LPG is comprised of propane and butane.

  • Major Purpose: 

CNG is typically used as automobile fuel, while LPG is often used in the industrial, refrigeration, agricultural and catering industries. It is also used to power cooking and heating in homes, and like CNG, LPG can be used as automobile fuel

  • Environmental Friendliness: 

CNG releases less greenhouse gas, while LPG releases some quantity of carbon dioxide.

Source: PIB
Tags: Prelims

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