Clough Limited (Clough) and GE Oil and Gas Australia (GE) have signed a teaming agreement to identify and deliver Small-Scale liquefied natural gas (LNG) fuel solutions for clients located in Australasia. The agreement will bring together leaders in LNG technology and EPC capability to develop small LNG network solutions for domestic applications including remote power, industrial use and transportation fuel (road, mine, locomotive and marine).
The relationship is five years in the making, with Clough having previously signed a cooperation agreement with Small-Scale LNG plant provider, Salof, which was acquired by GE in 2013.
The collaboration between GE and Clough will ultimately help build a virtual pipeline network for LNG fuelling in the region where physical pipeline infrastructure is scarce, particularly to remote areas for power generation and mining operations. The companies plan to provide an end-to-end LNG fuel solution that will convert natural gas into LNG and deliver it to the final point of use, including all the associated infrastructure, storage and transportation. Providing this fully-integrated solution ensures a reliable LNG fuel supply to replace diesel, allowing clients to focus on their core business.
The service offers a collaborative LNG network development model which is underpinned by GE’s Small-scale LNG technology and Clough’s extensive LNG process engineering, modular construction and asset management capability. GE currently has more than 25 Small-Scale LNG plants in operation and under development.
Clough CEO and Managing Director Kevin Gallagher said the solution will enable clients to sustainably reduce energy costs and carbon emissions.
“Replacing diesel with LNG fuel for transport and power will provide sustainable economic and environmental benefits, not only for clients, but for all of Australia. LNG fuel is cost-effective, clean and safe, and makes use of abundant Australian gas resources. Clough and our partner GE aim to become the enabler for clients to convert from imported diesel to domestically supplied gas.”
GE Oil & Gas Acting Regional Manager, Ross Ismail, said, “Natural gas is in abundant supply particularly in Australia, making it cost-efficient to use this cleaner burning fuel for transportation, fleet management, marine and other industrial applications. Together, with Clough, we will have the ability to bring a complete, fully-integrated solution to our customers in the Small-Scale LNG space.”
LNG fuel can be transported and stored safely and economically. With oil predicted to become more expensive and gas likely to become cheaper in the future, conversion from diesel to LNG fuel could provide clients sustainable cost savings of up to 30%, while reducing greenhouse gas emissions by 20%.
(Source: Clough Ltd)