SOURCE: Zeus Development Corporation

Zeus Development Corporation

October 02, 2013 10:35 ET

Skillful Siting, Permitting Improve LNG Fuel Project Timelines by a Third, Zeus Seminar to Examine

HOUSTON, TX--(Marketwired - Oct 2, 2013) - The number of months to develop an LNG fuel plant from concept to commissioning can vary from 25 to more than 40, according to industry sources. Some 22 LNG fuel plant projects are currently planned across North America, a recent Zeus survey found. See http://www.zeusintel.com/ZeusEvents/LNGShale/survey.aspx. An Oct. 30 seminar, entitled LNG Fuel Plant Siting, will examine this trend and how developers are working to shorten timelines. 

Joseph Pak, director at Cosmodyne, a subsidiary of Murrieta, Calif.-based Cryogenic Industries, reported recently that lead times necessary to build LNG fuel plants are predictable. "Currently, for a plant of around 100,000 gallons per day, we're seeing a consistent schedule of about 18-24 months, depending on the type of storage tank," Pak told the HHP Summit in Chicago. "Unfortunately, the 18-24 months can be misleading because it does not account for the upfront activities you need to get to sign the EPC [construction] contract."

Among the pre-contract tasks a developer must achieve is site selection, front-end engineering design, permitting and financing. "As the saying goes, the devil is in the details," Pak said. He noted that some projects have required as many as 45 months, due to unforeseen challenges.

"Can we all say this together, 'Mojave ground squirrels,'" Pak laughed. The discovery of a single squirrel delayed a California project by almost 12 months as planners decided a workaround.

Delays are not just environmental, though. Pak gave examples including climate challenges, unfriendly neighbors, uninformed regulatory officials, etc. He believes, however, that a carefully managed project can be completed in as little as 25 months.

Joining Pak on Oct. 30 at the Houston Magnolia Hotel to discuss these concepts will be Stewart Wilson, director, Ferus Natural Gas Fuels; Earl Lawson, head of energy solutions, Linde; Chris Coleman, president, HEYCO LNG; Curtis Rueter, manager, LNG & CNG development, Noble Energy; Ray Latchem, president, Spectrum LNG; Ken Paul, analyst, business development, Cosmodyne; Chris Hosford, owner, CHI Engineering; Arthur Ransome, VP, general manager, CH-IV; Tom Quine, president, Northstar; Martin Mahaley, director, Black & Veatch; Ron Pasadyn manager, Chart Industries; and Esteban Salas, director, Dresser Rand.

Information is available at, http://www.zeusintel.com/ZeusEvents/LNGShale.aspx or by contacting FehYee Siow (713-952-9500).

Contact Information

  • FehYee Siow
    713-952-9500