Economic Process Selection of Liquefied Natural Gas Regasification: Power Generation and Energy Storage Applications

Jinwoo Park, Inkyu Lee, Fengqi You, Il Moon

Research output: Contribution to journalArticle

2 Citations (Scopus)

Abstract

Liquefied natural gas (LNG) demand has been rapidly increasing due to the global need for clean energy resources. This study analyzes and compares LNG regasification processes and technologies from the technoeconomic perspective and focuses on utilizing LNG cold energy as an economically beneficial option. The comparative technoeconomic analyses focus on the following three process: (1) a simple LNG regasification process, which wastes LNG cold energy; (2) an LNG regasification power plant (LPP) process, which utilizes LNG cold energy to generate electricity; (3) an LNG regasification power plant integrated with a cryogenic energy storage (LPCES) process, which utilizes LNG cold energy to store electricity. The results indicate that the LPP process has the highest net present value of $215 million for 1 MTPA LNG regasification, whereas the simple LNG regasification process and the LPCES process are valued at $210 million and $188 million, respectively. Sensitivity analysis results show that the relative rank of profitability of these three technologies varies according to discount rates, electricity prices, and carbon tax. This study not only revealed that LNG cold energy use can be an economically beneficial option but also helped determine the most profitable LNG regasification process under varying regional and market conditions.

Original languageEnglish
Pages (from-to)4946-4956
Number of pages11
JournalIndustrial and Engineering Chemistry Research
Volume58
Issue number12
DOIs
Publication statusPublished - 2019 Mar 27

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Liquefied natural gas
Energy storage
Power generation
Economics
Power plants
Electricity
Energy resources
Taxation
Sensitivity analysis
Profitability
Carbon

All Science Journal Classification (ASJC) codes

  • Chemistry(all)
  • Chemical Engineering(all)
  • Industrial and Manufacturing Engineering

Cite this

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Economic Process Selection of Liquefied Natural Gas Regasification : Power Generation and Energy Storage Applications. / Park, Jinwoo; Lee, Inkyu; You, Fengqi; Moon, Il.

In: Industrial and Engineering Chemistry Research, Vol. 58, No. 12, 27.03.2019, p. 4946-4956.

Research output: Contribution to journalArticle

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