Japan Strengthens LNG Provisions by Entering into Supply Deals with US and AU

Inrustrial gas tankersAs Japan’s sources of liquefied natural gas (LNG) are becoming scarce, the country’s energy officials are currently working on long term deals with the US and Australia,
The need to do so stems from the fact that Japan substantially uses LNG in the production of electrical energy while Japan’s LNG supply contract with Russia will end in 2030. Actually, Japan is the world’s second largest importer of LNG fuel next to China.

Apparently, the increased usage of LNG in Japan was brought about by the shutdown of the Fukushima nuclear power plant reactors, as a result of the earthquake disaster in 2011. Japan does not want to deal with the same seasonal fluctuating power generation problem faced by South Korea, especially during winter. Mainly because a major portion of SoKor’s LNG resources is being consumed by electric utility companies to support the heating systems installed in most South Korean homes.

What Exactly is Liquefied Natural Gas

Liquefied natural gas (LNG) is natural gas consisting of fractions of methane, ethane and other natural gases that have been converted into a liquid state through a cooling process. The change from gaseous to liquid form allows the safe shipment of natural gas.

Methane concentration LNG is transported by way of specially built LNG vessels that have the capability to store liquid gas in low pressure.
A large part of LNG typically consists of methane, making up about 85 to over 95 percent of the LNG being supplied for use in energy generation. Other components are fractions of ethane, propane and butane plus trace amounts of nitrogen.

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