Sichuan Sentai Energy Investment Corp started operations of China’s first shale gas liquefaction plant in December 2014, in collaboration with Jereh Oil and Gas Engineering.
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The liquefaction plant is located in the Sichuan Province, China’s main shale gas play, and has an initial capacity of producing 2.47 million metric standard cubic feet (Mmscf) of LNG a day.
The project leverages the rich shale gas reserves in the Sichuan region to meet the region’s demand for shale gas.
Location of the first shale gas liquefaction plant in China
The development of the Changbei onshore gas field located in the province of Shaanxi in China.
The LNG plant is located in the city of Yibin, Junlian County in Sichuan Province, China. The region enjoys rich gas reserves and favourable government policies for Sichuan shale gas exploitation.
Junlian County is rich in gas reserves, but the shale gas output in the region is just 3.53Mmscf a day, whereas the daily demand is 423,800Mmscf.
Details of the shale gas liquefaction plant in Sichuan
Jereh and Sichuan Sentai Energy Investment mutually agreed to promote shale gas liquefaction and commercialisation in Sichuan province in June 2014.
The project progressed to the next level when the two companies made an agreement in July 2014 to provide integrated shale gas solutions in the region. According to the agreement, Jereh is responsible to develop an LNG plant.
The plant will cover an area of 718,000ft² and is planned to be constructed in three phases. Phase one began in July 2014, was completed in six months, ahead of the schedule, and gives an initial daily capacity of 2.47Mmscf to the plant.
Construction of phase two with capacity up to 10.6Mmscf a day began in January 2015. Phase three will increase the plant’s capacity to 35.31Mmscf a day.
Key players involved with the new liquefaction plant in China
Jereh is the main contractor for the project’s first phase and is responsible for design, engineering, procurement and construction management (EPCM) of the project. The company will also provide services that include gas compression, transportation, and terminal fuelling.
Jereh entered the natural gas engineering segment in 2004 and now provides a full chain of services, including research and development, liquefaction, manufacturing and engineering services for gas transportation, and LNG / CNG fueling.
Phase two of the construction contract will include field level for earthwork, with road works tendering awarded to Junlian-based Xintai Construction Engineering Company.
Natural gas liquefaction
Natural gas liquefaction involves removal and condensation processes. Components such as acid gases, water, mercury and heavy hydrocarbons are removed during the removal process. The condensation process involves conversion of natural gas into liquid using advanced liquefaction processes.
Technologies that include MDEA decarburisation, TSA dehydration method and heavy hydrocarbon removal are used during the LNG purification.
Advanced liquefaction processes such as SMR refrigeration, C3MR refrigeration, MMR refrigeration, CH4 expansion, N2 expansion and N2-CH4 expansion are used for liquefaction.
