At the Texas Energy Conference, the conference features some of the most innovative technologies in the field (Scrub) carbon From the sky and the first to build the world Fusion power plantfor example) – This year, people can’t stop talking about regular old gas.
Financial information and analysis firm Standard & Poor’s Global (S&P Global) said the world’s demand for liquefied natural gas (LNG) is expected to grow 40% over the next five years. Historically, gas has not been popular with environmentalists, but executives say it sees greater demand and believes it will play a role in meeting global demand for stable electricity and helping countries stay away from coal.
“Practice and pragmatism will always win,” said Tengku Muhammad Taufik, CEO of Malaysia’s multinational oil and gas company Petronas.
Today, the product has a new sheen, partly due to the rise of AI. Data center sucking in computer systems and servers Huge The amount of electricity available every day is required. Tech giants have invested extensive networks to find different energy sources (including hydrogen, geothermal and nuclear power) in energy data centers, and energy industry observers predict that natural gas will be a significant part of it at least in the short term.
Meg O’Neill, CEO of Australian oil and gas company Woodside Energy, told CBC News, “Data centers and artificial intelligence are energy pigs.” “We asked ourselves, ‘What is the most flexible energy that can meet energy needs?” We think LNG will play a more important role. ”
Concerns about energy security, especially after Russia’s invasion of Ukraine, have also stimulated demand. O’Neal said the buyers are returning to the table and demanding a long-term LNG contract.
“Last year, we signed a 10-year deal with major industrial players in Japan, South Korea and Taiwan,” she said. “They knew they would need LNG as part of their energy portfolio and wanted price certainty.”
Exec says LNG will be the “core” of energy transition
Patrick Pouyanné, CEO of French multinational energy company Totalenergies, told Houston audience that gas power plants could also help transition countries get rid of coal. According to data and analysis companies Wood Mackenziethe combustion gas produces only half of the carbon dioxide as the burning coal.
“I firmly believe that gas will be the core of the energy transition,” Pouyanné said. This could also play a role in supporting the power generated by intermittent wind and solar energy, he said.
Dan Grossman of the Environmental Defense Fund (EDF) said this is true, but he noted that companies using natural gas must ensure they deal with methane emissions.
“If you do want this to be a decade of natural gas, it’s better to make sure you have a home in terms of methane emissions from a climate standpoint,” Grossman said.
A renewable energy developer also postponed a sunny portrayal of natural gas.
John Ketchum, CEO of Nextera Energy, the largest U.S. wind and solar producer, said it would take time to build a gas plant from scratch, and labor shortages made the problem worse.
“To use the gas turbine right away and actually build it across the market, you’re really looking for 2030 or later,” Ketchum said.
Still, politicians and executives from LNG’s country are busy improving their advantages this week.
U.S. Secretary of Energy Chris Wright’s administration reverses past Ban the export of liquefied natural gassaying renewable energy cannot replace itcountless“The benefits of natural gas and held a Monday press conference to sign LNG Export approval.
Alberta Prime Minister Danielle Smith is also promoting natural gas in Houston. In her Ceraweek team on Wednesday, she promoted the latest study commissioned by Alberta Energy Congulator, which showed that the province has a gas reserve of 1360 trillion cubic feet (TCF), of which 130 TCF are proven and recoverable. Previously, Alberta was believed to have 24 TCFs.
“We have a very, very good gasoline story,” Smith said, who commissioned the AI Data Center program to make the province an A’Main destinations“Thanks to natural gas reserves.
There are six West Coast LNG projects in Canada that are proposed and under construction, including Phase 1 of Canada’s LNG, which is expected to go online this summer. RBC. Tatsuya Terazawa, CEO of the Japan Institute of Energy Economics, said countries such as Japan will closely monitor the project.
Terazawa said Japan has few natural resources and hopes Canadian LNG improves energy security and helps “diverse our energy,” especially given the short distance between British Columbia and Japan.
Woodside executive O’Neill said she is also following Canada. While the company has previously withdrawn from the LNG project in British Columbia, O’Neal said they are watching the development of liquefied natural gas on the country’s west coast.
“We have always been optimistic about the chances of profiting gas in North America,” she said.
