Cedigaz: Global gas storage capacity to rise 48% by 2030

Cedigaz, in the fifth edition of its reference report on underground gas storage, expects global gas storage capacity to increase from 377 billion cu m (bcm) at the beginning of 2013 to 557-631 bcm by 2030. The incremental growth, 180-254 bcm by 2030, requires sustained investment throughout the period, amounting to a total €120 billion by 2030. In 2030, according to Cedigaz, storage will represent 11.6% to 13.1% of global gas demand, compared with 11.3% in 2013.

New storage markets (Asia and the Middle East) account for about 60% of incremental capacity through 2030. Strong growth is expected in rapidly emerging gas markets, particularly China. In these markets, storage infrastructure has to be built almost from scratch, Cedigaz said. Investment in China focuses on creating large volumes of storage capacity as well as peak deliverability to cope with rising imports and growing city and power demand, according to the report. Storage projects are chiefly linked to 1.) seasonal and peak balancing needs, 2.) optimization of the main long distance gas transmission pipelines, and 3.) security of supply.

In mature markets (US, most of Europe, and the Commonwealth of Independent States), growth in storage capacity is limited. The focus is on increasing peak deliverability rather than storage volumes. In developed and liberalized markets, the gas industry has undergone massive changes, largely impacting storage activity which increasingly performs new functions in addition to its traditional operational ones.

New storage needs are linked to development of trading activity and natural gas use to back-up intermittent renewable energy sources in electricity generation. These two trends favor flexible storage (salt caverns). Security of supply is also a major driver of additional storage needs in Europe, where import dependence is increasing.

Cedigaz explained that competition from other sources of flexibility has forced the storage industry to regularly develop techniques to meet market demand for performance, flexibility, and economic efficiency. In recent years trends have been towards expansion of existing capacities, improvement of efficiency and performance, and development of larger flexible storage (megasize caverns).

There were 688 underground gas storage facilities in operation in the world at the beginning of 2013, according to Cedigaz, representing working gas capacity of 377 bcm. More than two thirds of the sites are in North America, with 414 in the US, and 59 in Canada, and a combined working capacity of 152 bcm (40% of the global total). There are 144 storage locations in Europe (99 bcm), and 51 sites in the CIS with 51 facilities (115.5 bcm). Asia-Oceania has 18 sites (9.3 bcm of working capacity). There is one site in Argentina and one in Iran, all according to Cedigaz data.

Storage capacity has increased more than 35 bcm since 2010, mainly due to Europe which added almost 14 bcm, Cedigaz’ report says. There are 95 projects under construction globally, adding 68 bcm of working capacity. Most of this capacity will be completed by 2020-25. There are also 141 identified projects at different stages of planning. These projects would add another 85 bcm of working capacity if fully implemented, according to Cedigaz. Europe ranks first in all of Cedigaz’ expansion categories: number of projects, additions to working gas capacity, projects under construction and planned projects.

Contact Christopher E. Smith at chriss@ogjonline.com.

Related Articles

PHMSA proposes pipeline accident notification regulations

07/02/2015 The US Pipeline and Hazardous Materials Safety Administration has proposed new federal oil and gas pipeline accident and notification regulations. ...

Quicksilver Canada gets LNG export approval

07/02/2015 Quicksilver Resources Canada Inc. has received approval from the National Energy Board of Canada to export 20 million tonnes/year of LNG from a pos...

Origin lets contract for Otway basin fields

07/02/2015 Origin Energy Ltd., Sydney, has let a $1.3 million (Aus.) contract to Wood Group Kenny for provision of a detailed engineering design for the onsho...

API to issue recommended practice to address pipeline safety

07/01/2015 The American Petroleum Institute expects to issue a new recommended practice in another few weeks that addresses pipeline safety issues, but the tr...

Shell Midstream Partners takes interest in Poseidon oil pipeline

07/01/2015 Shell Midstream Partners LP has completed its acquisition of 36% equity interest in Poseidon Oil Pipeline Co. LLC from Equilon Enterprises LLC, a s...

Shell makes FID on Appomattox deepwater development in Gulf of Mexico

07/01/2015 Royal Dutch Shell PLC has taken a final investment decision (FID) on the Appomattox deepwater development, authorizing construction and installatio...

Woodside-led Browse FLNG venture enters FEED phase

07/01/2015 The Woodside Petroleum Ltd.-led Browse LNG joint venture has entered the front-end engineering and design phase for a floating LNG (FLNG) developme...

Case for Keystone XL has grown stronger, TransCanada tells Kerry

06/30/2015 Canada is taking strong steps toward combating climate change, and the proposed Keystone XL pipeline crude oil pipeline remains in the US national ...

Construction begins on Chinese section of Russia-China Gas Pipeline

06/30/2015

Construction has begun on the Chinese section of the Russia-China Gas Pipeline, according to China National Petroleum Corp.

White Papers

UAS Integration for Infrastructure: More than Just Flying

Oil and gas companies recognize the benefits that the use of drones or unmanned aerial systems (UAS) c...

Solutions to Financial Distress Resulting from a Weak Oil and Gas Price Environment

The oil and gas industry is in the midst of a prolonged worldwide downturn in commodity prices. While ...
Sponsored by

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by
Available Webcasts


Operating a Sustainable Oil & Gas Supply Chain in North America

When Wed, Oct 7, 2015

Short lead times and unpredictable conditions in the Oil & Gas industry can create costly challenges in supply chains. By implementing a LEAN culture of continuous improvement you can eliminate waste, increase productivity and gain end-to-end visibility leading to a sustainable and well-oiled supply chain.

Please join us for this webcast sponsored by Ryder System, Inc.

register:WEBCAST


The Resilient Oilfield in the Internet of Things World

When Tue, Sep 22, 2015

As we hear about the hype surrounding the Internet of Things, the oil and gas industry is questioning what is different than what is already being done. What is new?  Using sensors and connecting devices is nothing new to our mode of business and in many ways the industry exemplifies many principles of an industrial internet of things. How does the Internet of Things impact the oil and gas industry?

Prolific instrumentation and automation digitized the industry and has changed the approach to business models calling for a systems led approach.  Resilient Systems have the ability to adapt to changing circumstances while maintaining their central purpose.  A resilient system, such as Maximo, allows an asset intensive organization to leverage connected devices by merging real-time asset information with other critical asset information and using that information to create a more agile organization.  

Join this webcast, sponsored by IBM, to learn how about Internet of Things capabilities and resilient systems are impacting the landscape of the oil and gas industry.

register:WEBCAST



On Demand

Taking the Headache out of Fuel License and Exemption Certificates: How to Ensure Compliance

Tue, Aug 25, 2015

This webinar, brought to you by Avalara, will detail the challenges of tax document management, as well as recommend solutions for fuel suppliers. You will learn:

-    Why it’s critical to track business partner licenses and exemption documents
-    The four key business challenges of ensuring tax compliance through document management
-    Best practice business processes to minimize exposure to tax errors

register:WEBCAST


Driving Growth and Efficiency with Deep Insights into Operational Data

Wed, Aug 19, 2015

Capitalizing on today’s momentum in Oil & Gas requires operational excellence based on a clear view of what your business data is telling you. Which is why nearly half* of oil and gas companies have deployed SAP HANA or have it on their roadmap.

Join SAP and Red Hat to learn more about using data to drive process improvements and identify new opportunities with the SAP HANA platform running on Red Hat Enterprise Linux. This webinar will also show how your choice of infrastructure impacts the performance of core business applications and your ability to achieve data-driven insights quickly and reliably.

*48% use SAP, http://go.sap.com/solution/industry/oil-gas.html

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected