The global energy supply recorded in 2010 will need to double by 2060 to meet demand, with gas pegged to play a major role in the future of global energy supply, says oil and gas major Shell upstream international director Andrew Brown.
Speaking at a media briefing in London, in December last year, he said the energy demands of growing populations and economies needed to be satisfied while meeting carbon dioxide (CO2) management goals.
He noted that gas had the right environmental footprint and was cost effective and that there were significant conventional and unconventional gas resources worldwide.
“Every day, there are 200 000 more people in the world and meeting that population growth is a huge challenge. “We have to double the supply of energy, with half the CO2 emissions, and herein lies an enormous challenge. We believe there is a great supply of gas, in the form of conventional and unconventional resources, to help meet demand,” Brown said.
Further, he predicted that renewable-energy use would grow from 13% to 30% by 2050.
Shell is growing its integrated gas business, with various projects and schemes in various countries.
Integrated gas is a significant part of Shell’s profits and, in 2011, it contributed $2.9-billion to the company’s total earnings of $25-billion.
Liquefied natural gas (LNG) is a significant portion of Shell’s portfolio and, as part of its integrated gas business, the company has many LNG projects, such as the world-first Prelude floating LNG plant, which will be deployed in north-west Australia.
“The Prelude project is under construction and will produce 3.4-million tons of LNG a year, as well as 1.8-million tons of liquid petroleum gas and condensates a year. The Prelude vessel will weigh 600 000 t and will be 500 m long. It is a significant engineering feat,” Brown said.
Meanwhile, Shell’s Pearl gas-to-liquids (GTL) plant, in Qatar, is operating at 90% capacity. The plant, which costs between $18-billion and $19-billion, chemically converts natural gas by means of chemical transformation to produce oil products, such as lubricants and diesel fuel, GTL kerosene and paraffin.
Meanwhile,Shell downstream director Ben van Beurden, who also spoke at the media briefing in London, said gas-to-chemicals, gas-to-transport and LNG-to-transport undertakings held major potential and opportunities.
He
said global demand for transportation fuel would soon develop and noted that Europe presented ample opportunities for this in its marine sector, in which the company hoped to grow.