Black & Veatch and Chemtex Awarded 7th Project in 3 Years

Source: 12/22/2009, Location: Asia

China Natural Gas Co. Ltd, (CNGC) selected Black & Veatch and Chemtex to design and build a liquefied natural gas (LNG) facility that will provide area residents with a cleaner and more economical fuel source for transportation, as well as industry and home use.

“The new plant will create approximately 100 jobs,” said Li Zhongwei, General Manager of China Natural Gas Guangan Co. Limited. “In addition, CNGC is building 20 LNG gas stations for public transportation and bus fuel and 10 mobile LNG stations resulting in additional jobs for area residents.”

The facility will provide natural gas supplies to China’s West to East gas pipeline during peak usage times or when demand for natural gas is at its highest, usually during cold winter months. LNG from the facility also will be transferred by truck to areas where there is limited or no natural gas infrastructure, reducing the need for diesel and coal.

LNG is not only considered as a cleaner, safer, and highly efficient energy source, but is also expected to drive the development of a larger industry value chain in China. New LNG projects will facilitate the growth of related equipment and facilities, such as liquefying equipment, storage equipment, containers for transportation, as well as other accessories.

“China is demonstrating to the industry and world how feasible and economical it is to build this important infrastructure,” said Brian Price, Vice President of LNG technology at Black & Veatch. “Prior to this infrastructure becoming available, businesses and families would use diesel for transportation and coal for heating in the home. Natural gas is less expensive than diesel and provides significant environmental benefits over both diesel and coal. This project and others we are working on are greatly improving the quality of life for millions of people across China.”

The consumption of natural gas in China has been accelerating, from 24.5 billion cubic meters in 2000 to 80.7 billion cubic meters in 2008, according to the Euro-Asia Economic Forum. The consumption of natural gas has also been increasing, from 2.4 percent in 2000 to 3.8 percent in 2008.

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