LNG RECEIVING AND REGASIFICATION

TERMINALS
An Overview of Design, Operation and
Project Development Considerations

Ram R. Tarakad, Ph.D., P.E.

Published and distributed by

Zeus Development Corporation

2424 Wilcrest Drive, Suite 250
Houston, Texas 77042
Ph: 713-952-9500
Fax: 713-952-9526

ACKNOWLEDGMENTS
The author and the publisher sincerely acknowledge the following contributions to this
book report:
1.

2.
3.

Korea Gas Corporation, for providing photographs of the Inchon and Pyongtaek
LNG Terminals, and for giving permission to reproduce the information presented
in Appendix A.
CMS Trunkline LNG Company for giving permission to take photographs of their
Lake Charles, Louisiana, LNG terminal.
Mr. Bill Haesloop for reviewing the chapter on LNG Pumpout, and to Ebara
International for providing cut-away views of submerged-motor LNG pumps.

Copyright 2000 Zeus Development Corporation.

ISBN 0-615-11567-5
This book report is intended solely for the internal use of the purchasing individual or
organization. It may not be photocopied or otherwise reproduced, in any form, including
electronic. The purchaser agrees to take all reasonable precautions to prevent
unauthorized copying or reproduction.

The information contained in the report is believed to be generally correct. However,

neither the author nor the publisher assumes any responsibility for the accuracy and
completeness of this information.

ii

ABOUT THE AUTHOR

Ram R. Tarakad is director, development engineering with Enron India. He has been
working in the gas/LNG/GTL industry for over 23 years. Prior to joining Enron, Mr.
Tarakad had a 20-year career with the Kellogg Brown & Root group of companies.
During this period he held technical and management positions in Process Engineering,
Technology Development, Engineering Management and Business Management. He has
been associated with a number of international projects in the U.S., Algeria, Australia,
Japan and Malaysia.
A Chemical Engineer by training, Mr. Tarakad completed his undergraduate studies at the
Indian Institute of Technology in Bombay. Subsequently, he did post-graduate studies in
the U.S., including a Ph.D. from the Pennsylvania State University. He has authored a
number of papers, and holds three U.S. patents.

ABOUT ZEUS DEVELOPMENT CORPORATION

Zeus Development Corporation is an information company serving the energy and
e-commerce industries. Its main activities include: 1. Publication of the newsletters LNG
Express, Remote Gas Strategies, Latin American Gas and Energy Commerce,
2. Organization and sponsorship of energy and e-commerce conferences, and 3. Providing
management-level consulting to the downstream gas industry.

iii

TABLE OF CONTENTS
CHAPTER 1
BACKGROUND .............................................................................................................................1-1
CHAPTER 2
OVERVIEW OF TYPICAL LNG IMPORT TERMINAL ................................................................2-1
Unloading System..................................................................................................................... 2-2
Storage System ......................................................................................................................... 2-3
LNG Pumpout System ............................................................................................................... 2-3
Boil-Off Gas Generation and Handling..................................................................................... 2-3
LNG Vaporization..................................................................................................................... 2-4
Utilities .................................................................................................................................... 2-5
Offsite and Support Facilities ................................................................................................... 2-5
CHAPTER 3
SITE SELECTION..........................................................................................................................3-1
Proximity to End User .............................................................................................................. 3-1
Proximity to Population Centers and Local Perceptions ........................................................... 3-1
Ecological Considerations........................................................................................................ 3-2
Land Availability ...................................................................................................................... 3-3
Likelihood of Capacity Expansion ............................................................................................ 3-3
Environmental Factors ............................................................................................................. 3-3
Meteorological Conditions ....................................................................................................... 3-4
Bathymetric and Oceanographic Conditions............................................................................. 3-5
Soils, Geotechnical and Seismicity Data................................................................................... 3-5
Land Topography ..................................................................................................................... 3-6
Access to Construction Materials and Labor............................................................................. 3-6
Access to Infrastructure and Utilities........................................................................................ 3-6
CHAPTER 4
CODES AND STANDARDS ..........................................................................................................4-1
The United States...................................................................................................................... 4-1
Other Countries........................................................................................................................ 4-2
Some Useful Addresses ............................................................................................................. 4-2
CHAPTER 5
JETTY AND MARINE FACILITIES..............................................................................................5-1
Ship Size ................................................................................................................................... 5-1
Berth Occupancy ...................................................................................................................... 5-1
Components of Jetty and Marine Facilities............................................................................... 5-2
Safety in Port and Jetty Design................................................................................................. 5-3
CHAPTER 6
SHIP-SHORE INTERFACE AND TRANSFER PIPING .................................................................6-1
LNG Unloading Arms ............................................................................................................... 6-1
Unloading Line......................................................................................................................... 6-2
Special Considerations for Unloading Line Piping ................................................................... 6-3

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CHAPTER 7
LNG STORAGE TANKS................................................................................................................7-1
Total Storage Capacity ............................................................................................................. 7-1
Number of Tanks....................................................................................................................... 7-2
Types of Containment ............................................................................................................... 7-3
Applicable Codes...................................................................................................................... 7-6
Other Important Considerations ............................................................................................... 7-7
CHAPTER 8
TERMINAL VAPOR HANDLING..................................................................................................8-1
Sources of Boil-off Gas: Unloading Mode................................................................................. 8-1
Sources of Boil-off Gas: Holding Mode .................................................................................... 8-4
Tabulation of Typical Boil-off Gas Rates .................................................................................. 8-5
Boil-Off Gas Compression ........................................................................................................ 8-6
Disposition of Boil-Off Gas....................................................................................................... 8-7
CHAPTER 9
PUMPOUT SYSTEM......................................................................................................................9-1
Submerged Electric Motors ...................................................................................................... 9-1
Ball Bearings............................................................................................................................ 9-1
Suction Vessel-Mounted Design................................................................................................ 9-2
Retractable In-Tank Mounting for Installation within Tanks ..................................................... 9-3
Special Materials of Construction............................................................................................. 9-4
Testing...................................................................................................................................... 9-4
Cooldown and Start-up Considerations.................................................................................... 9-5
Size Considerations .................................................................................................................. 9-5
CHAPTER 10
VAPORIZATION..........................................................................................................................10-1
Open Rack Vaporizer (ORV) ....................................................................................................10-1
Submerged Combustion Vaporizer (SCV) .................................................................................10-3
Sample Economic Comparison of ORV and SCV......................................................................10-4
CHAPTER 11
UTILITY AND OFFSITE UNITS .................................................................................................11-1
Electric Power.........................................................................................................................11-1
Fuel Gas..................................................................................................................................11-2
Seawater..................................................................................................................................11-2
Instrument Air and Plant Air....................................................................................................11-3
Nitrogen ..................................................................................................................................11-3
Fresh Water, Potable Water.....................................................................................................11-3
Emergency Power....................................................................................................................11-4
Flare and Vent System .............................................................................................................11-4
Waste Water Disposal..............................................................................................................11-5
Odorization System..................................................................................................................11-5
Metering System ......................................................................................................................11-5

CHAPTER 12
SAFETY AND FIRE PROTECTION ............................................................................................12-1
LNG Hazards...........................................................................................................................12-1
Safety Protection Systems ........................................................................................................12-2
Passive Safety Systems.............................................................................................................12-2
Active Safety.......................................................................................................................... 12-3
Fire -Fighting and Protection ................................................................................................. 12-4
Safety in Operation..................................................................................................................12-6
CHAPTER 13
INSULATION...............................................................................................................................13-1
Criteria for Effective Insulation Systems..................................................................................13-1
Properties of Low-Temperature Insulation...............................................................................13-1
Vapor Barriers.........................................................................................................................13-2
Fire Behavior ..........................................................................................................................13-3
Installation of Insulation..........................................................................................................13-3
CHAPTER 14.................................................................................................................................. 14-1
PURGING, DRYOUT AND COOLDOWN ...................................................................................14-1
Purging ...................................................................................................................................14-1
Dryout .....................................................................................................................................14-2
Cooldown ................................................................................................................................14-4
CHAPTER 15.................................................................................................................................. 15-1
PROJECT DEVELOPMENT AND IMPLEMENTATION ............................................................15-1
Initial Feasibility Studies.........................................................................................................15-2
Site Selection, Basic Design and Detailed Feasibility Report...................................................15-2
Front-End Engineering Design ................................................................................................15-3
Project Management Consultant..............................................................................................15-6
Evaluation of EPCC Contractor and Award of Contract..........................................................15-7
Project Financing....................................................................................................................15-7
Project Execution ....................................................................................................................15-7
CHAPTER 16.................................................................................................................................. 16-1
CAPITAL AND OPERATING COSTS .........................................................................................16-1
Capital CostsGeneral Observations......................................................................................16-1
Typical Capital Cost................................................................................................................16-1
Operating Costs.......................................................................................................................16-4
CHAPTER 17.................................................................................................................................. 17-1
ENERGY INTEGRATION............................................................................................................17-1
Use of LNG Cold .....................................................................................................................17-1
Air Separation .........................................................................................................................17-1
Liquid Carbon Dioxide, Air Conditioning, Food Freezing .......................................................17-2
Inlet Air Cooling for Power Generation Gas Turbine...............................................................17-3
Power Generation Using LNG Cold Potential......................................................................17-3
Recovery of Heat Energy .........................................................................................................17-5

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APPENDICES
APPENDIX A

Korea Gas Corporations Inchon Terminal: Layout, Flow Scheme, Equipment

Summary and Expansion Phases

APPENDIX B

List of Baseload LNG Terminals

APPENDIX C

List of Leading Engineering Contractors and Tank Contractors for Baseload LNG
Receiving Terminals

vii

LIST OF TABLES

TABLE 8-1

Boil-Off Gas SourcesTypical Case Study

TABLE 10-1

Economic Comparison of Open Rack vs Submerged Combustion Vaporizers

TABLE 13-1

Comparison of Thermal Conductivity and Water Permeability for Common

Cryogenic Insulation Materials

TABLE 14-1

Approximate Moisture Content of Air as a Function of Dew Point (at atmospheric

pressure)

TABLE 15-1

Typical List of Design Basis Parameters to be Defined for Basic Design

TABLE 15-2

Typical Project Development and Execution Schedule for LNG Receiving Terminal

TABLE 16-1

Cost Breakdown from Recent Study for South Asia Location

TABLE 16-2

Cost Data from Table 16-1 (Adjusted for Different Configuration)

TABLE 16-3

Localization Cost IndexIndicative Figures (USGC = 1.0)

TABLE 16-4

Estimated Operating Costs for Terminal Described in Table 16-1

TABLE 17-1

Typical Air-Liquefaction Capacities Using Refrigeration from LNG

TABLE 17-2

Typical LNG Usage for Small-Scale Cold Utilization Applications

TABLE 17-3

Sample Data for Electric Power Generation Using LNG Cold Potential

TABLE 17-4

Example of Combined Heat and Power Recovery Effectiveness

viii

LIST OF FIGURES

FIGURE 2-1

Overview of Components of LNG Regasification Terminal

FIGURE 2-2

LNG Receiving Terminal Simplified Flow Scheme

FIGURE 6-1

Schematic of LNG Recirculation Circuit

FIGURE 7-1

Features of a Typical Single-Containment Tank

FIGURE 7-2

Features of a Typical Double-Containment Tank

FIGURE 7-3

Features of a Typical Full-Containment Tank

FIGURE 7-4

Impact of Tank Type and Hydrotest Requirements on Cost

FIGURE 9-1

Sectional View of Typical Submerged-Motor LNG Pump

FIGURE 9-2

In-tank Retractable Submerged Pump and Associated Auxiliaries

FIGURE 10-1

Schematic Showing Main Components of Open-Rack Seawater Vaporizer

FIGURE 10-2

Submerged Combustion Vaporizer

FIGURE 15-1

Major Steps in Developing and Implementing an LNG Receiving Terminal Project

FIGURE 17-1

Power Generation from LNG Cold Using Rankine Cycle

FIGURE 17-1

Power Generation from LNG Cold Using Direct Expansion

ix

LIST OF PHOTOGRAPHS
Location

Description

PHOTO 1

Front Cover

View of Trestle and LNG Tanker

PHOTO 2

Chapter 5

Jetty and Unloading Platform

PHOTO 3

Chapter 6

Unloading and Recirculation Lines

PHOTO 4

Chapter 6

Unloading Lines with Expansion Loops

PHOTO 5

Chapter 7

95,000 Cubic Meter Single-Containment Tank

PHOTO 6

Chapter 7

100,000 Cubic Meter Membrane-Type Tanks

PHOTO 7

Chapter 8

Boil-Off Gas Desuperheater and Recondenser

PHOTO 8

Chapter 10

Open-Rack Vaporizers

PHOTO 9

Chapter 12

Dry Chemical Unit and Foam Generation Unit

CHAPTER 1
BACKGROUND
In the 35 years or so since the first baseload LNG trade began, the industry has expanded steadily,
and is close to reaching the 100 million tonnes per annum level. Though LNG imports were first
delivered to Europe, Japan now accounts for well over 50% of the world LNG trade. Entry of
South Korea and Taiwan into the LNG importer club has resulted in a steady rise in LNG exports
to the Asia-Pacific region in the 1990s. A number of LNG terminal projects are being actively
promoted in India, and significant imports into China are likely. Thus, the Japan-Asia PacificSouth Asia region is expected to continue both as the biggest market and as the biggest growth
market for the next decade and beyond.
The first terminal for baseload import of liquefied natural gas was British Gass Canvey Island
Terminal. In 1958 it was used for the pilot project to receive LNG transported across the Atlantic
Ocean, using the cryogenic liquid carrier The Methane Pioneer. Regular importation of Algerian
LNG to Canvey Island began in 1964, with LNG coming from the first baseload natural gas
liquefaction plantthe Camel Plant in Arzew. The original LNG storage capacity at Canvey
Island was five 4,000 tonne tanks (approximately 9,000 cubic meters per tank). Between 1964 and
1981, the terminal received an average of 0.7 million tonnes per annum of LNG. The LNG was
regasified and used to enrich the town gas produced in reforming plants.
In Japan, by contrast, the major use for LNG has been in power generation. Tokyo Electric Power
Company (TEPCO) is the worlds largest single user of LNG, consuming over 15 million tones per
annum. Four LNG terminals in Tokyo Bay, which collectively import over 22 million tonnes per
annum, accommodate TEPCOs needs; in addition they supply over 6 million tonnes to Tokyo Gas.
The largest of these terminals imports 10.3 million tonnes annually. The growth in size of LNG
terminal facilities has led to the development of larger LNG storage tanks, with capacities as high
as 200,000 cubic meters.
Not all locations require LNG imports on the scale of TEPCO or Tokyo Gas. While several
modern terminals have been built for large-volume importation of LNGboth in Japan and
elsewherethere is a continuing demand for smaller capacity LNG import facilities. Interest in the
development of small independent power projects is the primary reason for this. One of the most
recent LNG terminal projects, the EcoElectrica terminal in Penuelas, Puerto Rico, is designed for
an initial sendout rate of 80 tonnes per hour or 0.7 million tonnes per annum. From a project
development perspective the smaller terminals pose a greater challenge because the small
throughput tends to increase the unit cost of receiving, storing and regasifying the LNG.
With 40 baseload terminals in service or under construction, a vast amount of information and
know-how have been developed regarding the project development, design, commissioning and
operation of these facilities. Much of this information rests with the owners, designers and
operators of the facilities. International meetings like the LNG Conferences and the Gastech
conferences provide opportunities for discussing varied issues, both commercial and technical. In
addition, smaller regional conferences sometimes include discussions on LNG. Nevertheless, the
LNG community is still small and the industry is quite specialized.
Over the years Zeus Development Corporation has received several requests for a single, concise
report on LNG import terminals. This document is an attempt to fulfill these requests. A glance at

1-1

the Table of Contents indicates the wide range of topics addressed. Each topic can, by itself, be the
subject of an elaborate report; individuals and organizations have spent many years, sometimes an
entire career, in developing the technology and know-how related to these individual topics. The
present document is no more than an attempt to provide a broad overview of these many
specialized topics.
In compiling this report the author has relied on his own experience as well as many published and
unpublished sources. No attempt has been made to list these sources individually, but their value
has been immense.
Both management and technically-oriented persons, with an interest in the LNG business, should
find this report useful. It is expected that technical specialists will also find it of value, especially in
areas that are outside their own specialty.

1-2

CHAPTER 2
OVERVIEW OF TYPICAL LNG IMPORT TERMINAL
LNG import terminals continue to be developed over a wide size range: from less than
1 million tonnes per annum (tpa) to over 10 million tpa of gas sendout. Typical end uses
for the imported gas include:
q
q
q
q
q

Power generation for large metropolitan areas

Industrial/domestic fuel for customers in metropolitan areas
Power generation for regional use
Industrial/domestic fuel via pipeline for regional use
Feedstock for manufacture of other chemicals

Obviously, certain combinations of these are also possible.

The end use will, to a large extent, dictate the design and operational philosophy for the terminal.
For example, a power plant supplying all or most of the power needs for an entire region requires
extremely high reliability. If it depends on a single LNG terminal as the sole source of fuel, it is
also important that the terminal have the highest reliability. In such an instance it will be prudent to
provide supplemental LNG storage sufficient for several weeks, as a safeguard against unexpected
interruption of import shipments. This would result in a large terminal as measured by storage
capacity, though the terminal capacity may be moderate in terms of sendout. Further, high
reliability may require that spare equipment be installed for key services such as LNG
vaporization. Thus, while sendout capacity is a general indication of terminal size, other factors
will often dictate the extent of facilities and equipment to be provided.
Regardless of the end use for the gas and the design philosophy for the terminal, there are certain
features common to all LNG terminals. Figure 2-1 is a conceptual sketch showing the key

FIGURE 2-1
Overview of Components of LNG Regasification Terminal

Unloading

Jetty/Platform
Dolphins
Unloading Arms
Control Building
Support Facilities
Pier
Unloading Piping

Boil-Off Gas
Handling

Utilities

Pumpout/
Vaporization

Offsites/
Support
Facilities

Storage/
Pumpout

LNG Storage Tanks

1st Stage
Sendout Pumps/Piping

Boil-Off Gas
Compressor
2nd Stage
Sendout Pumps
and Piping
Recondenser
LNG Vaporizers

2- 1

Electric Power
Nitrogen
Instrument/Plant Air
Fuel Gas
Fresh Water

Flares
Waste Disposal
Safety/Fire Protection
-Firewater / Deluge
-Hi-Exp. Foam
-Gas/Fire Detection

FIGURE 2-2
LNG Receiving Terminal
Simplified Flow Scheme
PIPELINE
COMPRESSOR

VAPOR RETURN
TO SHIP

BOIL-OFF
COMPRESSORS

LNG UNLOADING LINE

NATURAL GAS
TO PIPELINE

DESUPERHEATER
LNG TANKER

LNG VAPORIZERS
LNG STORAGE
RECONDENSER

1st STAGE
PUMPS

2nd STAGE
SENDOUT PUMPS

components of an LNG import terminal. Figure 2-2 shows the typical equipment lineup in the form
of a simplified flow diagram.

Unloading System
The LNG Unloading System consists of all the facilities, infrastructure and equipment required to
safely dock the LNG ship, to establish the necessary ship to shore interfaces, and for transferring
the cargo from the ships tanks to the onshore piping. The system also includes facilities for
disconnecting the ship-to-shore interface at the end of the unloading operation, and for undocking
the ship prior to its return voyage.
Specifically, the unloading system consists of:
q
q
q
q
q
q
q
q

Breasting and mooring dolphins for securing the LNG ships to the unloading berth
The unloading platform which supports the unloading arms and the control building
The control and emergency safety systems housed within the control building
The liquid unloading arms for transferring LNG from the ship to the shore piping
The vapor return arm for returning vapor from the shore to the ship (to fill the void
created in the ships cargo tanks because of the LNG being pumped out)
Connections for transfer of utilities (e.g. nitrogen) from the shore to the ship
The piping, valves and vessels required for transferring the LNG, the return vapor
and the utilities between the unloading berth and the main terminal facilities
If the unloading berth or jetty is some distance from shore a pier connects the jetty
to the shore. It provides both access to the jetty and supports the ship-to-shore piping.

2- 2

Storage System
The storage system provides a buffer between the LNG discharged from the ships and the
vaporizers that regasify the LNG. The system consists of one or more specially designed tanks.
Ships carrying the LNG arrive at the terminal at specified intervals. The minimum required storage
capacity is the volume of LNG discharged from the largest ship expected at the terminal. In
practice, the installed storage is larger than this minimum. The extra storage provides a cushion to
account for scheduled and unscheduled delays in ship arrival.
The storage tanks represent a substantial capital cost, typically accounting for about 25% of the
investment in the LNG terminal. This percentage could be much higher if large buffer storage
capacity is installed, as is the case with many Japanese electric power companies that import LNG.
The siting, design, fabrication and testing of LNG tanks has been a topic of intense interest to the
LNG community. The volume of LNG stored in these tanks is enormous and a failure of one or
more tanks could have disastrous consequences. Because of the exacting design and operational
techniques used, the modern LNG industry has had an excellent safety record. The impetus for
these exacting requirements came from certain unfortunate accidents that occurred during the early
years of the peakshaving LNG industry. It should be emphasized that the design practices and
metallurgy that caused these earlier accidents would be totally unacceptable by todays standards.

LNG Pumpout System

The LNG tanks operate at very low pressure, just slightly above atmospheric pressure. The gas
from the terminal needs to be delivered at an elevated pressure. Since pumping the liquid is easier
and less expensive than compressing gas, the LNG is pumped to the required sendout pressure
prior to its regasification.
The pumpout system may consist of one or two stages of pumps, depending on the required
battery-limit pressure of the gas and on the configuration of the boil-off gas handling system.
Pumping of cryogenic liquids, especially at the high rates required in LNG facilities, is specialized
technology. In modern terminals the first stage pumps are almost always installed inside the storage
tanks, and referred to as in-tank pumps. The second stage pumps, when required, are located
outside the tanks, in the process area.
These second-stage pumps discharge at a pressure sufficiently high to satisfy the battery limit
pressure at the terminal fence. For example, if the gas is to be delivered to an adjacent power plant,
the battery limit pressure would be relatively low. On the other hand, if the gas is to be delivered
into a long pipeline, the battery limit pressure could be 70 to 80 bars or even higher.
Boil-Off Gas Generation and Handling
LNG is a cryogenic liquid having a temperature, at atmospheric pressure, of about
162 oC. Heat entering the LNG (often referred to as heat inleak) causes the LNG to warm up.
However, in the storage tanks the LNG needs to be maintained at a sufficiently low temperature,

2- 3

consistent with the low operating pressure. Hence, heat absorbed by the LNG has to be released by
flashing (or boiling-off) some of the liquid to gas. Handling of boil-off gas requires compression
equipment that is costly to install and operate. Every effort is made to reduce the amount of boiloff gas produced.
Three main factors cause LNG boil-off. First, the LNG unloaded from the ship may be slightly
warmer than the temperature required in the storage tanks. Second, the energy used by the ships
pumps is ultimately transferred to the LNG as heat. The third factor is ambient heat transferred
into the LNG through the cryogenic insulation in pipes, equipment and storage tanks.
Boil-off gas is essentially gasified LNG at atmospheric pressure. It has substantial fuel value and,
except in emergencies, should not be vented or flared. Design and operation of the boil-off gas
handling system involves setting priorities for its efficient disposition, including its utilization as
fuel gas and recondensation into the LNG that is sent to the vaporizers.
Boil-off gas generated in the unloading mode can be many times greater than the gas generated in
the period between unloadings (the period between unloadings is referred to as the holding
mode). Hence, larger compression equipment may be needed for the unloading mode.

LNG Vaporization
In the vaporization system the LNG is vaporized or regasified. The physical transformation from
the liquid state (LNG) to a gaseous state requires transfer of heat into the LNG. The vaporization
equipment accomplishes heat transfer in a safe, efficient manner.
Several designs of vaporization equipment are available. In the baseload LNG industry two of
these designs have found wide acceptance. These are the Open-rack Seawater Vaporizers (ORV)
and the Submerged Combustion Vaporizers (SCV). The main difference between these types is in
the source of heat for vaporization. The differences in the heat source result in quite different
physical characteristics for these two types of equipment.
In the ORV type, advantage is taken of the difference in temperature between the seawater and the
LNG. A large quantity of seawater is brought in indirect contact with pressurized LNG flowing
through specially designed tubes. Heat is transferred from the water to the LNG, causing the LNG
to heat and vaporize. The seawater absorbs the cold from the LNG and is returned to the sea
several degrees colder than the prevailing sea temperature. The heat from the seawater is
essentially free. However, significant investment is required for pumping and piping the large
volume of seawater to the ORV process area, and for returning the seawater to the ocean. Use of
ORV may not be effective when the seawater temperature is lower than 5 to 7 oC.
In the SCV heat is produced by burning natural gas. The term submerged combustion has
evolved because the hot gases from the combustion of the natural gas are bubbled through a bath
of water. The tubes or coils carrying the LNG are immersed in this bath, so the water acts as an
intermediate medium between the hot gases and the cold LNG. The SCV equipment is more
compact and less expensive than the ORV type. However, about 1.5% of the imported natural gas
is consumed as fuel. This natural gas fuel carries nearly the same price as the gas exiting the
terminal battery limit, and in most instances economic considerations will favor the ORV type.

2- 4

It is not uncommon for LNG terminals to have both types of vaporizers, with the SCV providing a
backup or spare capacity. Often, regulatory and environmental issues, rather than technical or
economic considerations, will dictate the choice of vaporizer type.

Utilities
The major utilities are power, nitrogen and air. If SCV vaporizers are used fuel gas will also be a
major utility. The seawater for the ORV is also considered a utility. Other utilities might include
service water, drinking water, and diesel for emergency power generation.
Electric power is consumed in the LNG pumps, the boil-off gas compressors, seawater pumps and
other users like lighting and air-conditioning. Use of power from the local grid might be an option.
But electric power is a critical utility, and it is common practice to install a gas-turbine electric
generator to supply all the plant needs.
Nitrogen is used for purging and inerting the unloading arms and the vapor return arms, both
before and after ship unloading. Purging and inerting are also necessary safety steps during
maintenance of gas-filled equipment. Nitrogen may be generated within the facility, or, if readily
available, may be purchased in liquid form and stored onsite.
If SCV vaporizers are used the demand for fuel gas will be significant.

Offsite and Support Facilities

The offsite category includes the flare system, storm water disposal system and waste water
disposal system. Other support systems include the fire-water and fire protection systems.
The flare system collects and safely burns gaseous discharges from the plant. A good design will
avoid flaring of valuable gas except during emergency or upset conditions. Significant sources of
flare gas include relief-valve discharges, controlled venting from storage tanks and plant
equipment, blow down/depressurization during maintenance, and discharges during emergency
conditions.
It is common to install two flaresa low-pressure flare and a high-pressure flare. The lowpressure flare handles discharges from the LNG tanks and related low-pressure piping. The highpressure flare handles all other discharges, mainly from the vaporizer and compressor areas.
The fire protection system encompasses all areas of the facility where combustible gas is stored or
handled. It includes both passive and active systems. Passive systems include impoundments, dikes,
fireproofing of structures and equipment, etc. Active systems include detection (for fire, gas,
smoke, low temperatures) and fire suppression measures (fire water deluge, sprinklers, dry
chemical powder, high expansion foam).

2- 5

CHAPTER 3
SITE SELECTION
Site selection for an LNG import terminal is seldom straightforward. It is rare that all, or even
most, site factors are favorable. The selection process then becomes one of weighing the many
technical, economic and political considerations and picking the one that offers the best balance
among conflicting requirements.
Factors to be considered in site selection include:
q
q
q
q
q
q
q
q
q
q
q
q

Proximity to end user

Proximity to population centers and local perceptions
Ecological considerations
Land availability
Likelihood of capacity expansion
Environmental factors
Meteorological conditions
Bathymetric and oceanographic conditions
Geotechnical, seismicity and soils data
Land topography
Access to construction materials and labor
Access to infrastructure and utilities

Each of these factors is described below:

Proximity to End User

Clearly, all other things being equal, the terminal should be located as close to the end user as
possible. When the gas (or power produced from the gas) is to be distributed over a large region
there may be considerable flexibility in siting the terminal. On the other hand, if the facility is to
serve a single industry or metropolitan area, the choices could be limited.

Proximity to Population Centers and Local Perceptions

If possible the terminal should be located away from thickly populated areas. Around metropolitan
areas this may not always be possible, and in fact many large import terminals are located in or
near thickly populated areas.
Locating a terminal in a populated area or near a waterway with heavy marine traffic can add to
the cost. While the reasons for this are sometimes technical, often they can be attributed to the
perception of the local community. For example, large LNG tanks with a high profile that dominate
the skyline may be perceived as contributing to visual pollution. Tanks might then have to be
buried, partially or fully, or alternatively may have to be designed with a squat profile (large
diameter and lower height). Such requirements can increase the cost substantially, though a fully
functional and safe design could have been achieved with a simpler, lower-cost configuration.

3- 1

Despite their excellent safety record, LNG terminals are often viewed negatively by local
communities. It is in the owners interest to educate the local population and interest groups about
the safety of the industry, and about the benefits of a planned project.
The importance of local perceptions to an LNG terminal project should not be underestimated.
There have been instances where projects had to be cancelled for this reason. As recently as 1997,
local opposition caused a major LNG import terminal in Italy to be cancelled. It is particularly
noteworthy that this cancellation happened after LNG purchase commitments had been made.
Eventually, the Italian utility ENEL had to reconfigure the import scheme so that LNG could be
unloaded at an existing terminal in France. The arrangement allowed the gas to be added to the
Europen gas grid, from which ENEL could draw an equivalent amount.
Some areas might have a high traffic of small, low-flying aircraft. Regulatory requirements or a
risk analysis might lead to a tank design capable of withstanding an impact from a small aircraft.
There are at least two instances where the ship-to-shore pipelines for transferring LNG have been
installed in a submarine tunnel. The design and construction of a tunnel system is complex, costly
and time-consuming. The tunnel cross section has to be large enough to house the various large
diameter pipes, utility lines, cables, and ventilation systems. It must also provide safe, convenient
access for maintenance personnel. In one instance, local sentiments regarding a prominently-visible
trestle did have some influence on the decision to adopt the tunnel concept. In the second instance,
there was extensive small craft traffic in the waterway leading to the terminal. Building the jetty
about 500 meters away and connecting it to the shore via the submarine tunnel were primarily
safety-driven decisions.
Thought should also be given to facilities planned or likely to be built in areas adjoining the
terminal. Such future facilities should not pose a major hazard to the terminal, nor should the
presence of the terminal impose undue constraints in the development of the surrounding land
areas.

Ecological Considerations
This is an increasingly important factor in many countries, both developed and developing. An
LNG terminal will typically have only a minimal impact on the ecology. Factors to consider might
include terrestrial and marine ecology, such as effects on vegetation, wildlife, groundwater and
marine life. The last of these factors requires particular attention if seawater vaporizers are to be
used. These vaporizers require large quantities of water to be pumped from the sea and returned to
it at a temperature 3 to 5 oC colder. This could be a sensitive issue where the marine environment is
delicate or if there are protected marine species.

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Land Availability
The required land area depends on a number of factors, and especially on the number, type and size
of storage tanks. In a typical case, a terminal with 4 x 100,000 cubic meter tanks, and having a
vaporization capacity of about 5 million tpa required a land area of over half a million square
meters (about 125 acres). Such data should only be used as indicative; the nature of the site and its
surroundings, and the layout of the plant will themselves have a bearing on the land area required.
For example, storage sites bordered by a large body of water will require less land area due to the
smaller thermal exclusion zone requirements.
According to one study the land area required for LNG import terminals can range from 280,000
square meters (70 acres) to as much as 1.2 million square meters (295 acres).
The LNG terminal site must be large enough to provide for at least the minimum separation
distances to permit movement of personnel, maintenance equipment, and emergency equipment
around the facility. The separation distances between equipment, and between the equipment areas
and jetty, must also comply with the applicable codes and regulations.
Once the vaporization capacity and storage requirements are defined (even if they are only
preliminary), the plot requirements can be estimated. Based on this several candidate sites should
be examined. Factors to consider include the cost of land, the need for future expansion, current
and future use of adjoining land.
Reclaiming is an option when a suitable site is not available or is too expensive. However, this
option can have a significant impact on the project cost and schedule. The schedule should take
into account not only the time needed to reclaim the land, but also the long period that might be
required for the soil to be compacted and deemed ready for construction.

Likelihood of Capacity Expansion

Sufficient allowance must be made for anticipated capacity expansion. This is a minor
consideration where land is cheap and plentiful. But where land is scarce, provision for future
expansion could be an expensive pre-investment. Also, if anticipated future capacity is large
enough to require more than one unloading jetty the marine facilities layout should allow for this.

Environmental Factors
An environmental impact assessment should be carried out during the early stages of a project,
preferably during the initial feasibility study phase. Local regulations usually dictate the extent of
this assessment. Typically, all emissions from the plantsolid, liquid and gaseousshould be
identified. Appropriate measures have to be provided to ensure that emissions from the plant will
not cause harm to persons, property, vegetation and animals. Emissions to be considered include
those that occur continuously and those that occur intermittently or accidentally. Factors such as
increased traffic and noise levels should also be addressed.

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Fortunately, an LNG receiving terminal poses little environmental threat. Gaseous and aqueous
discharges are minimal. Noise levels are also quite low and compliance with regulations is easily
accomplished. Special attention must be paid to the impact of discharging cold water into the sea,
if seawater vaporizers are used. With submerged-combustion vaporizers, the pH (acidity) of the
excess water discharged from the plant must be adjusted.
A detailed environmental impact assessment will be required after the site has been finalized and
the terminal configuration established.

Meteorological Conditions
Meteorological data that influence the design of the facility include:
q
q
q
q
q

Site ambient temperature (minimum, maximum, average for each month)

Wind speed and direction (wind-rose data)
Precipitation (rainfall and snowfall)
Barometric pressure changes and their rate of change
Seawater temperature (minimum, maximum, average for each month)

Wind speed and direction, and atmospheric stability conditions, will influence the dispersion of
vapor clouds that could result from LNG spills. Offshore, wind and wave data impact the design of
marine facilities. For example, a port site which is not naturally protected, and which is prone to
storms and high swells, might require one or more breakwaters. Breakwaters are both expensive
and time-consuming to construct.
Rainfall and snowfall data have to be considered in designing runoffs, particularly from the various
impoundment areas.
Barometric pressure changes, especially if they are rapid, will affect the the boil-off from LNG
tanks.
The seawater temperature is of particular importance in deciding if open-rack seawater vaporizers
are appropriate, and, if so, whether they can be efficiently used year round.
Other factors to consider include risks of flooding, frequency of lightning strikes, and air
characteristics including humidity and corrosivity.
For those meteorological factors where a probabilistic approach is appropriate (e.g. hurricane
intensity), a 100-year mean occurrence interval is often used as the basis for design.

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Bathymetric and Oceanographic Conditions

The water depth must be adequate to accommodate the draft for the largest vessel expected at the
terminal. For a full-size LNG tanker of 135,000 cubic meter capacity the required water depth is
12 to 14 meters. If sufficient depth is not available close to the shoreline, there are two options:
either build the jetty away from the shore or dredge the ocean bottom and increase the depth. Both
options are expensive, and the location of the jetty should be finalized considering operational,
safety and economic aspects.
Oceanographic data (wave, wind, currents and tides) and ocean subsurface data (soils, rock, etc)
are needed for the design of marine structures and seawater intake and outfall facilities. This
information is also necessary in deciding between dredging and locating the jetty away from shore.
It is important to note that the water depth should be sufficient for the LNG tanker to unberth and
depart the port in all states of the tide. This will allow the tanker to leave without delay in the event
of an emergency either on the ship or on shore.

Soils, Geotechnical and Seismicity Data

A detailed soils and geotechnical evaluation must be done early in the project to avoid unpleasant
and costly surprises later.
Considerations such as the load-bearing capacity of the soil, location of the water table, tendency
of the soil to liquefy, etc. will affect the feasibility as well as the design and construction of the
facility. Poor soil conditions can lead to expensive remedial measures and complicated foundation
design, especially for the LNG storage tanks. There has been at least one instance where an
initially-chosen site was rejected late in the project because detailed evaluations showed the soil to
be too poor for the LNG tanks to be built.
Seismicitythe possibility and extent of earthquake activity in the areas around the siteis an
important consideration. Seismic faults in the vicinity of the site must be reviewed. Usually it is
necessary to study the sesmic history not only of the site and immediate vicinity but also of the
adjoining region upto a 320 km (200 mile) radius.
Two levels of earthquake are considered. An operation basis earthquake (OBE) is the maximum
earthquake for which no damage is sustained. Equipment can be restarted and terminal operation
can continue. The OBE is a higher probability event. A safe shutdown earthquake (SSE) is a lower
probability event. It is the maximum earthquake for which the essential fail-safe mechanisms are
designed to be preserved. An earthquake of this magnitude is expected to cause permanent damage,
but overall integrity will be preserved. After an SSE, extensive inspection and repairs may be
required before the terminal facilities can be restarted.
Sometimes siting the terminal in an area of high seismic activity may be unavoidable. This could
lead to special and expensive measures for the marine facilities and the LNG tanks. For example,
tank geometry might be affected, requiring a larger diameter and smaller height. In extreme cases
seismic isolators have been installed to ensure that the LNG tanks can withstand an earthquake
of expected magnitude.

3- 5

Land Topography
This will determine the extent of site clearing and leveling required. Site leveling can be expensive,
particularly if the terrain is rocky. If the site is rising steeply from the shoreline the LNG tanks may
have to be located at a much higher level than the jetty. This imposes an additional hydrostatic
head; if the ships pumps are unable to provide this, it may become necessary to install costly
booster pumps between the jetty and the tanks.

Access to Construction Materials and Labor

Usually there is not much control over this factor. However, all other things being equal a site
having easy access to these would be preferable. For example, a breakwater might require very a
large quantity of material to be transported to site. Availability of the right material from areas
close to the site will improve construction logistics and reduce cost.

Access to Infrastructure and Utilities

Movement of equipment, materials and personnel to the site is simplified if the necessary
infrastructure, such as port and roadways, exist. In extreme cases, when no convenient access
exists, it may be necessary to build a materials offloading jetty to unload equipment and materials.
Utilities, such as water and electricity will be needed prior to start of construction.
Reliable supply from a public utility, if available, will simplify construction planning.
If these are not readily available measures must be taken to generate these on site.

3- 6

CHAPTER 4
CODES AND STANDARDS
An LNG terminal must comply with the codes and standards prescribed by the governmental and
other regulatory bodies having jurisdiction over the facility. It is in the owners interest to become
familiar both with the mandatory regulations and with other design or safety practices that may be
relevant but not mandatory.
Many of the codes and standards applicable for natural gas handling and natural gas processing
facilities are also applicable for LNG facilities. In addition, there are certain standards and
specifications that apply specifically to the design, construction and operation of LNG facilities.
These standards have been developed mainly in the industrialized nations where LNG facilities
have been built and operated. Examples include the United States, Japan, the United Kingdom, and
France.

The United States

In the United States the LNG industry, especially for peakshaving utility applications, has been
around for well over fifty years. The use of LNG beyond the utility industry provided the impetus
to adopt a standard with broader scope, and led to the development of the National Fire Protection
Association 59A--Standard for the Production, Storage, and Handling of Liquefied Natural Gas
(LNG). This standard, commonly referred to as NFPA 59A, is one of the most widely referred to in
the LNG industry.
Another important code that applies to LNG facilities in the U.S. is the Department of
Transportation (DOT) Code of Federal Regulations, 49 CFR-193, Liquefied Natural Gas
Facilities: Federal Safety Standards.
Effective 31 March 2000, major subparts of 49 CFR-193 were replaced by referencing the NFPA
59A standard. The replaced subparts include most LNG requirements for siting, design,
construction, equipment and fire protection. However, the subparts on operation, maintenance,
personnel qualification, and training and security are retained with minor changes. The replacement
and changes in 49 CFR-193 were made because NFPA 59A more accurately reflects current
technology and practices in the LNG industry.
The two U.S. standards applicable to the design and construction of LNG storage tanks are API
620, Design and Construction of Large, Welded Low Pressure Storage Tanks, and NFPA 59,
Standard for Storage of Liquefied Petroleum Gases and Utility Gas Plants.
Requirements for LNG tanker operations are governed by the U.S. Coast Guard regulations in 33
CFR Part 127, Liquefied Natural Gas Waterfront Facilities. Standards published by the Society
of International Gas Tanker and Terminal Operators (SIGTTO) and Oil Companies International
Marine Forum (OCIMF) provide additional dock safety and operating systems and procedures.
Other standards that supplement the above include ANSI B31.3 (American National Standards
Institute, Refinery and Chemical Plant Piping Code), the ASME International Pressure Vessel

4- 1

Code Section VIII, and standards issued by the American Gas Association (AGA), American
Society for Testing and Materials (ASTM), and American Concrete Institute (ACI).

Other Countries
Japan has extensive LNG receiving terminal facilities. Korea and Taiwan are other LNG importers
in Asia. Among European countries current baseload LNG importers are France, Italy, Spain,
Belgium, Turkey and Greece. The U.K., though not a current importer of LNG, has had a
successful early record of LNG trade. Further, there are many LNG facilities in the peakshaving
sector, and codes related to the LNG industry have received much attention.
In Japan, provision for LNG facilities are contained in the High Pressure Gas Control Act, the Gas
Utility Industry Act and the Electricity Enterprise Act. Which jurisdiction an LNG facility falls
under will be governed by the end use for the gas (gas utility, power generation, or other uses).
Requirements of the Factory Location Act, Petroleum Industry Complex Casualty Prevention Act,
Labor Safety and Health Law, Fire Prevention Law etc. also govern the design and operation of
LNG facilities. In addition, Japan Gas Association has codes and standards pertaining to safety
practices in LNG facilities, and for LNG in-ground storage.
In 1997 the new European Standard Installation and equipment for liquefied natural gasDesign
of onshore installations, was published. It has been published as British Standard EN 1473. The
European Standard was approved by the European Committee for Standardization (CEN).
According to CEN internal regulations the national standards organizations of most Western and
Southern European countries are bound to implement this European Standard. The list of these
countries can be found on the standard.
The British Standard for low temperature tanks, BS 7777, Flat-bottomed vertical cylindrical
storage tanks for low-temperature service, is applied in many countries.
As in Japan, other countries having LNG installations may have specific national codes and
standards that supplement the requirements of internationally accepted standards. Many of the
national standards are derived from or have evolved from the U.S. standards. This is one reason
why U.S. standards like the NFPA 59A continue to be the basis for the design of LNG facilities in
countries where local standards have not been established.

Some Useful Addresses

Addresses for several of the institutions mentioned above are given hereunder:
National Fire Protection Association
1 Batterymarch Park
Quincy, MA 02269-9101, U.S.A.
Tel: 1-617-770-3000
Fax: 1-617-770-0700

4- 2

U.S. Department of Transportation

400 Seventh Street, SW
Washington, DC 20590, U.S.A.
American Petroleum Institute
1220 L Street, Northwest
Washington, D.C. 20005-4070
Tel: 1-202-682-8000
Society of International Gas Tanker and Terminal Operators
17 St. Helens Place
EC3A 6DG
London, England
Tel: 44-20-7628 1124
Fax: 44-20-7628 3163
Oil Company International Marine Forum
27 Queen Anne's Gate
SW1H 9BU
London, England
Tel: 44-171-654 1200
Fax: 44-171-654 1205
American National Standards Institute (ANSI)
11 West 42nd Street, 13th Fl.
New York, New York 10036, U.S.A.
Tel: 1-212.642.4900
Fax: 1-212.398.0023
American Society of Mechanical Engineers (ASME) International
Three Park Avenue
New York, NY 10016-5990, U.S.A.
Tel: 1-800-THE-ASME (U.S/Canada)
1-973-882-1167 (outside North America)
British Standards Institution
BSI Standards
389 Chaswick High Road
W4 4AL
London, England
Tel: 44-20-8996 9001
Fax: 44-20-8996 7001

4- 3

CHAPTER 5
JETTY AND MARINE FACILITIES
As explained in Chapter 3, the marine facilities have a significant influence in the site selection for
the LNG terminal. The advantages of using an existing port, with associated infrastructure, must
be weighed against the potential problems or constraints that it might impose. In this evaluation,
particular emphasis should be given to the hazardous nature of the LNG cargo that requires safety
considerations quite different from other general cargo that might be handled
in a port.

Ship Size
The range of sizes of LNG ships to be handled at the facility should be decided early. While many
factors like water depth, jetty dimensions, radius of the turning basin etc. are governed by the
largest expected carrier, it is important for the designer to know if smaller ships will also call at the
terminal. If there is a plan for future import from alternate sources, making provisions to
accommodate a range of ship sizes might be appropriate. This will also provide flexibility in
possible spot cargo purchasesa segment of the LNG business where the volume of trade is still
small but growing.
A typical full-size (135,000 cubic meter) LNG tanker would be about 290 meters long, 43 meters
wide and have a loaded draft of 11 meters. The unloading dock, the approach channel and the
turning basin should be positioned to allow an under keel clearance of about 10% (about one
meter). The dock should be positioned so that in an emergency the ship can depart quickly, if
possible with the assistance of the prevailing wind.

Berth Occupancy
Many LNG terminals require only a single unloading jetty. But expansion of capacity in the future
might require a second, or even third jetty. The need for an additional jetty will be determined by
the expected berth occupancy. There are no firm rules, but many owners prefer not to exceed
berth occupancy of 40 to 50%. Assuming a typical 24-hour tanker turn around, one unloading
every three days corresponds to 33% berth occupancy, which is a very comfortable level.
However, a tanker unloading every other day corresponds to a 50% occupancy rateon the high
side for some owners.
Many ports have restrictions on night navigation for ships carrying hazardous cargo. This means
that an LNG ship cannot enter the port after dark, nor can it leave before daybreak. Restrictions on
night navigation must be built into the calculation of berth occupancy.

5- 1

Components of Jetty and Marine Facilities

The layout and design of the marine facilities should be entrusted to specialist firms who have prior
experience with liquefied gas facilities, and preferably LNG facilities. The marine facilities consist
of:
q
q
q
q
q
q
q
q
q

Entrance and exit navigation channel connecting the berthing area

with deep water
Turning and berthing basin
The LNG jetty with the unloading platform, the breasting dolphins and
mooring dolphins
The trestle to carry the unloading pipe work and the roadway providing access
from the shore to the jetty head
Service craft and service harbor
The materials offloading facility (MOF), if necessary
The cooling water intake and outfall, if applicable
Navigation aids
One or more breakwaters, if necessary

The alignment, depth and width of the entrance/exit channel should safely accommodate the design
ships while entering and leaving. Ideally the channel axis should be a straight line from the berth to
the nearest deep water. However, wind, dredging requirements, sedimentation patterns etc. might
dictate a different alignment.
The function of the turning basin is to provide a transition area between the entrance channel and
the berthing area. The dimensions and alignment should allow an entering ship to slow down, stop
and turn, and berth with tug assistance. The configuration should also allow a departing ship to
leave for sea with little or no tug assistance.
The unloading berth consists of mooring points to take the ships mooring lines, fendered breasting
structures and a loading platform protected from ship contact. The breasting structures should be
capable of withstanding impact forces of berthing as well as the breasting forces of the ship in
berth under maximum wind and wave conditions.
The orientation of the jetty must consider the direction of the prevailing winds so that excessive
strain on the mooring system is avoided. The tidal currents will also affect jetty orientation and
mooring design. Orienting the jetty in the direction of the prevailing current will avoid undue strain
on the moorings. Further, not all LNG carriers have similar mooring equipment. If non-dedicated
carriers are likely to visit the port it may be prudent to make provisions to supplement the vessel
mooring equipment with mooring equipment on shore.
If there is insufficient water depth near the shore the jetty may have to be located in open water
with a trestle connecting it to the shore. The trestle should be at least wide enough to accommodate
the piping, and in most terminals a one-lane roadway is also provided to facilitate access for
maintenance and emergency vehicles (see cover photograph of this report).

5- 2

The alternative to a long trestle is dredging. The economic trade-offs between these alternatives
should be carefully evaluated by a competent marine consultant, and should consider not only first
time costs but also longer-term implications. The dredging option must include the costs associated
with maintenance dredging that might be needed at regular intervals. Also, it should be noted that
dredging could alter the direction and speed of the currents.
Service craft typically include berthing tugs, pilot launches, and other vessels required to operate
and maintain the marine facilities. The service harbor will shelter these small craft. It can also be
the headquarters for the shops, storage, maintenance and administration facilities for marine
operations. It may be convenient for the terminal contractor to use this as his base during the
construction period.
Similarly, a MOF may be required if the site is isolated and there is no other convenient means for
transporting equipment and construction materials to the site. After terminal construction is
complete the MOF may be used for direct import of goods and materials to the terminal facility.
If the terminal will use seawater vaporizers (ORV) the location and design of the water intake
structure and outfall channel require special attention. This should be undertaken as part of the
marine facilities design because the withdrawal and return of large volumes of water can affect the
design of the marine structures. The water return should be located sufficiently far away and in the
correct direction so that recirculation of the cold water (due to currents) is avoided.
Navigational aids typically include floating buoys, beacons, electronic aids and communication
system.
The need for a breakwater, and its cost implications, should be assessed as part of the site selection
process. A baseload LNG terminal cannot tolerate significant shipping delays because the day
charges on an LNG carrier can be well in excess of $100,000. Further, if significant weather
related delays are expected, it will require additional LNG storage volume to be provided, which is
also expensive. These factors, along with the estimated number of days the berth may be unusable
(due to adverse weather) must be considered when deciding if a breakwater is to be built.

Safety in Port and Jetty Design

LNG port and jetty design requires a high level of built-in safety. A lot of attention is paid to
hazards resulting from a large release of LNG that can happen from events such as unloading arm
failure or a rupture in the ships cargo containment system. The likelihood of such events is remote
but the consequences could be severe. Hence, several levels of safety are built into the design
philosophy. For example, the moorings are designed to provide a secure connection between the
tanker and the jetty structure. This will restrict the movement or travel of the unloading arms to
allowable limits.
A second line of safety is the ship-to-shore emergency shutdown system (ESD) which can be
activated both automatically and manually. The ESD system will shutdown the ships unloading
pumps and close LNG flow valves both on the ship and shore within a specified time, usually
20 to 30 seconds. In addition, the unloading arms are usually fitted with emergency release
couplings which allow automatic disconnection if the LNG carrier were to continue drifting away.

5- 3

This disconnection can be done in a matter of seconds, and the amount of LNG spilled can be
limited to a small quantity.
Past experience shows that navigational risks for LNG and LPG carriers, though small, are much
higher in the port than in open sea. This emphasizes the need for well-trained crew both in the LNG
ship and in the port. The port must be equipped with tugs of adequate power to control
the LNG carrier in all expected weather conditions. The local port authority should establish
and strictly enforce procedures and restrictions consistent with the volume and nature
of marine traffic.

5- 4

CHAPTER 6
SHIP-SHORE INTERFACE AND TRANSFER PIPING
The transfer of LNG at high rates from a floating carrier to the onshore tanks requires attention to
many safety details. The reasons for this include the following:
q
q
q
q
q
q

The LNG tanker is not stationary, and is subject to constant and unpredictable
movements due to winds, waves and currents
The fluid handled is not only hazardous but also in a cryogenic condition
The transfer operation is intermittent. This means that ship-shore connections have to
be made prior to each unloading and disconnected after the cargo transfer is complete
Because of the above factors, there are more scenarios that could cause LNG spillage
at the jetty area than in other areas of the facility
The consequences of an LNG spillageeven a small oneare likely to be more severe
on the deck of the LNG tanker or on the jetty, compared to other areas of the terminal
Large diameter cryogenic pipes are necessary to transfer the LNG to the tanks. But
cargo transfer occurs only a part of the time, typically for a 15-hour period when the
ship is in port. Hence, special measures have to be taken to keep the transfer piping
cold during the long periods between tanker arrivals.

LNG Unloading Arms

Typical unloading time for a full-size tanker (125,000 to 138,000 cubic meters) is 12 to 15 hours.
This will require peak unloading rates of about 12,000 m3/hr. This can be accomplished by two 16inch unloading arms, each capable of transferring 6,000 m3/hr. At these rates the velocity of the
LNG in the arms is quite high, in excess of 12 m/sec. For smaller ships and lower rates, the
unloading arm size will be correspondingly smaller.
A vapor return arm is required for transferring natural gas vapor from the shore to the ship (see
Chapter 8, Terminal Vapor Handling).
To ensure high reliability, a spare standby arm can be installed. A common configuration is two
LNG unloading arms, one vapor return arm, and a spare arm which can be used for LNG
unloading or vapor return.
The unloading arm has to be inherently flexible and able to absorb the forces resulting from rapid
changes in arm direction, which in turn is caused by the movements of the LNG tanker. It also has
to accommodate the vertical movements of the tanker as the LNG is unloaded. The transfer pipe
portion of the unloading arm is made of stainless steel, capable of withstanding the 162 oC
cryogenic temperature. Special designs have been developed so that only the stainless steel tube
piping, and not the rest of the loading arm structure, is subjected to the stresses resulting from
thermal contraction.
Another key component of the loading arm is the swivel joint. Again, special cryogenic swivel
technology is available, including double seals, so that long and reliable swivel life can be
achieved.

6- 1

The cryogenic arms are uninsulated. During unloading the intense cold of the LNG causes rapid ice
buildup on the outer surface of the arms, and this thick layer of ice itself acts as an insulation.
Due to the possibility of LNG spillage, safety is of utmost concern during ship-to-shore LNG
transfer. Possible causes of spillage include: 1. The connection and disconnection process between
the ship and the onshore arms, 2. leakage from the swivel joints, and 3. emergency disconnection of
the arms.
Connection/disconnection is an operation that is repeated several times a year. In early facilities
this was a manual operation that presented significant chances of spillage. The use of quick
connect/disconnect couplings over the past two decades has automated this step and greatly
reduced the likelihood of spillage. The technology for swivel joints has also advanced significantly
and resulted in very reliable designs. The third cause pertains to emergency disconnect. In the case
of an emergency, unloading of LNG is stopped and the arms quickly disconnected from the ship.
Isolation valves will close prior to the disconnection, but the LNG contained between these valves
will spill out. Special designs are now available so the amount of spillage is very small, as opposed
to the several liters in older systems.
In addition to the above, elaborate systems are available to monitor the position of the arms, the
rate of movement of the carrier, and for feedback of information so that corrective action can be
taken. This allows the unloading emergency shutdown system (ESD) to be designed as a
progression of steps rather than a single step that results in immediate disconnection of the arms
from the ship manifold. For example, the pre-alarm caused by excessive arm movement might
result in an action to increase the ship mooring tension. If the ship continues to drift, the next level
of alarm might cause the unloading pumps to be stopped. Only if the ship continues to drift further,
and the final alarm stage is reached, will it be necessary to physically disconnect the arm from the
ship.

Unloading Line
The transfer pipe from the jetty area to the LNG storage tank area is commonly referred to as the
unloading line. Large diameter cryogenic piping, with its attendant fittings, insulation, pipeways,
etc. is expensive, and the unloading line should not be unnecessarily oversized. The optimum size is
one that makes good use of the pumping energy available from the ships onboard pumps.
However, some factors may make it impractical to transfer the LNG using the ships pumps alone.
Examples include situations where the unloading line is very long, or where the storage tanks are
located at a significant elevation compared to sea level. In these cases booster pumps may be
necessary to supplement the pumping head provided by the ship pumps. Typically, the ship pumps
provide a head of about 100 to 140 meters.
During periods between ship arrivals the unloading line should be maintained in a cold condition,
and not allowed to warm up due to heat leak from the surroundings. To keep the unloading line
cold, a small portion of the LNG from the discharge of the first stage sendout pumps is allowed to
flow through the unloading line, toward the jetty (see Figure 6-1). At the jetty this LNG is diverted
to a smaller-sized recirculation line, and returned to the onshore process area.

6- 2

Jetty Unloading Platform: There are four 16-inch LNG arms and one 16-inch vapor return arm.
Smaller diameter arm on the right is for loading bunker fuel into ship. (CMS Trunkline LNG
Terminal, Lake Charles, Louisiana)

FIGURE 6-1

Tank Fill Line

Schematic of LNG Recirculation Circuit

LNG TANK

1st Stage
Sendout Pump

Main LNG Flow

To Sendout System
Unloading Line
Unloading
Jetty

Recirculation Line or Parallel Unloading Line

Warm LNG to
Join Sendout

There are two choices for configuring the unloading line. One large-diameter unloading line with a
smaller recirculation line, or two equal-sized unloading lines each sized for 50% flow. With the
first configuration, the majority of the unloaded LNG will be transferred through the larger line,
and a small portion through the recirculation line. With the latter configuration, the LNG flow is
split equally between through the two unloading lines, and during the holding mode the second
unloading line also serves as the recirculation path.
Typically, with a large unloading line/small recirculation line arrangement, and with peak
unloading rates of 12,000 m3/hr, the unloading line will be in the 32-inch to 36-inch range, and the
recirculation line will be 10 to 12-inch. Also, generally the 2 x 50% arrangement will be more
expensive. However, it does provide the flexibility that unloading (albeit at a lower rate) can be
accomplished even if one of the lines is out of service.

Special Considerations for Unloading Line Piping

The design of the unloading lines requires special attention to many details. Two items are
described here, briefly: 1. thermal contraction, and 2. water-hammer effect.
The operating temperature of 162 oC represents nearly a 200 oC drop from the ambient condition.
The normally preferred material of construction for the cryogenic piping is stainless steel. One
kilometer of stainless steel pipe, when cooled by 200 oC, will contract by nearly three meters.
Special provisions have to be made to compensate for the pipeline movement due to thermal
contraction. Two choices are usually considered: expansion loops and expansion bellows.
Expansion loops, as the name implies, are U-shaped segments, installed at periodic intervals along
the length of the pipe. Expansion loops are simple and reliable, but add significant lengths of pipe.
This increases pressure drop (due to increased length) and heat leak (due to increased exposed
surface). Also, if a long trestle is required there will be significant additional costs for
accommodating the loops on the trestle. Expansion bellows overcome some of the drawbacks of the
loops. However, the bellow corrugations are delicate and need special care during commissioning,

6- 3

cooldown and startup. Bellows will give satisfactory performance if properly designed and
operated.
The water hammer effect is not unique to cryogenic piping, and applies to all long, large diameter
lines. A 32-inch unloading line, one kilometer long, contains about 500 cubic meters of LNG,
which weighs about 225 tonnes. When unloading at 12,000 m3/hr, the LNG is traveling at nearly 7
m/sec, and has a large kinetic energy associated with it. A sudden stoppage of the flow, such as due
to ESD system valve closure, will cause the kinetic energy of the LNG to be dissipated in a short
time, usually several seconds. This energy dissipation will cause transient pressure surges in the
unloading line, and the system must be designed to cope with these conditions. It pertains not only
to the pipe itself but also the structures and other components that support the pipe. There have
been instances where the water hammer effect has caused line failures, both in LNG and other
applications.
The maximum transient pressure depends on several factors including the length of the line, its
configuration (routing), and the valve closure time. All these factors must
be addressed in combination to ensure that the design is safe and economical.

6- 4

32-inch Unloading Line and 10-inch Recirculation Line. (Uninsulated pipe on the left is a utility line)
(CMS Trunkline LNG Terminal, Lake Charles, Louisiana)

View of trestle with parallel 32-inch unloading lines. Note expansion loops on the right side of the main trestle.
(Inchon LNG Terminal, S. Korea. Photo courtesy of Korea Gas Corporation)

CHAPTER 7
LNG STORAGE TANKS
LNG storage tanks account for a large portion, often up to a third or more, of the cost of a
receiving terminal. The many factors that affect the cost of LNG storage are often inter-related,
and must be evaluated thoroughly during the project specification phase. The terminal owner
should fully understand the implications and rationale behind the final choice of design parameters,
and these decisions should not be left solely to the discretion of the engineering contractor.
Important factors to consider while specifying the LNG storage system include:
q
q
q
q
q

Total storage capacity

Number of tanks
Type of containment
Applicable codes
Other considerations like tank internals, commissioning, insulation, etc.

Total Storage Capacity

Determination of total storage capacity is seldom a simple and straightforward exercise. Clearly,
the minimum required capacity would be the volume delivered by the largest LNG tanker expected
at the terminal, plus a small margin above this. Another way to look at the storage requirement is
in terms of number of days of LNG sendout. Though there is a wide variation among terminals, 20
days of storage is a typical average for a terminal supplying gas to a power plant. Japanese
terminals supplying power plants tend to have much larger storage capacity, often exceeding 40
days of sendout. In terminals importing LNG for uses other than power generation the storage
capacity is typically in the range of ten days or less of sendout.
Computer simulations are helpful in fine-tuning decisions regarding the LNG storage capacity, and
also the number of LNG ships, their size and speed, and their utilization among different facilities.
It is important to note that the primary determinant of storage capacity is the philosophy adopted
by the owners. Computer simulations can be used as a tool for fine tuning the capacity, after the
basic philosophy has been established.
The theoretical volume of storage required, assuming there are no delays in LNG ship arrivals and
no variations in gas sendout rate, is easy to calculate. In practice there will be eventsboth
scheduled and unexpectedthat will cause deviations from this theoretically ideal situation. These
could include, for example, predictable events like maintenance turnaround at the liquefaction
plant, scheduled maintenance for the LNG ships, seasonal variations in LNG delivery, maintenance
at downstream power plant, or seasonal variations in sendout requirements. Other disruptions that
are anticipated, but whose timing cannot be predicted, might include unscheduled downtime at the
liquefaction plant, weather-related ship delays, or unexpected downtime at the power plant.
Assessment of the impact of these scheduled and unscheduled events is possible using computer
models that perform the so-called Monte-Carlo simulations. These models perform a discrete
event simulation of the sequence of steps in the LNG chain over a long periodusually 20 years or

7- 1

more. Anticipated events are modeled based on their known frequency and timing, and unscheduled
events are assumed to occur randomly over time with a specified average frequency.
The discrete event simulations, done with an assumed storage volume, will identify the number of
times a bottleneck is expected. A bottleneck can occur due to a ship arriving before enough LNG
has been pumped out of the tanks, or due to the tanks becoming empty before a ship arrives. This
type of analysis, when repeated for different storage capacities, generates a large amount of
statistical information covering the assumed time period. The information can be used to calculate
the effect of storage volume changes on the cumulative terminal sendout. Such computer
simulations are useful in fine-tuning decisions regarding the installed storage volume.

Number of Tanks
Once the total storage capacity is established the number of tanks should be decided. In larger
terminals, where a single tank is not sufficient, the minimum number of tanks can be determined
based on the total storage volume and the maximum capacity of a single tank. The latter number,
however, is not fixed, and will depend on the type of containment, type of construction and
applicable codes. This is a typical instance where the LNG storage configuration depends on
several inter-related factors.
Most of the LNG tanks in service have capacities of 100,000 cubic meters or less. Above- ground
tanks with an inner metal wall have been built for capacity as high as 140,000 cubic meters. With
todays technology it should be possible to build these up to 200,000 cubic meters capacity.
However, the maximum capacity may be limited depending on the applicable codes and hydrostatic
test requirements. Below-ground tanks using the membrane type design with reinforcing concrete
have been built for capacities as high s 200,000 cubic meters. Above-ground tanks with concrete
inner and outer walls have been proposed for 250,000 cubic meters capacity.
A typical grassroots terminal with 2.5 million tpa capacity might require 250,000
to 300,000 cubic meters of storage. This can be accomplished with two to three LNG tanks.
For smaller terminals, with a small overall storage requirement, a single tank may be an option
to consider. Despite the excellent record of reliability with LNG tanks many owners might prefer
two smaller sized tanks instead of a single large tank. The baseload nature of the facility and
the implications of a long-term take or pay contract often favor multiple tanks. For example,
the Fukuoka terminal in Japan, commissioned in 1993, is designed for annual sendout
of 0.15 to 0.36 million tpa. This small terminal has two LNG tanks, each with a capacity
of 35,000 cubic meters.
In specifying storage tank capacity it is important to remember that the usable volume in the tank
is less than the built up volume. The minimum level to which the LNG in the tank can be lowered
to will be limited by the LNG pumps ability. Similarly, to avoid tank overfill it will be necessary
to limit the maximum fill level to less than the full height of liquid container. The ratio of usable
volume to built-up volume will depend on the tank height, the pumpout arrangement, the LNG
pump characteristics, and the instrumentation/control philosophy. Typically, only about 95% of the
volume is usable.

7- 2

Types of Containment
Most large LNG tanks in service today, including all the large LNG tanks in the United States, are
of the single-containment, double-wall type, built in accordance with API Code 620, Appendix Q.
Another standard that has influenced the design of many LNG tanks, especially outside the United
States, is British Standard BS 7777 (1993). BS 7777 has its origin in the Engineering Equipment
and Materials Users Association (EEMUA) Publication 147. This document pushed industry
standards beyond the single containment concept to the enhanced integrity concept. Enhanced
integrity tanks include double containment and full containment tanks. The main features of the
single-, double- and full-containment tanks are summarized below.

i. Single Containment Tank

q
q
q
q
q

Consists of a primary container and generally an outer shell

Only the primary container is required to meet the low temperature
ductility requirements for storage of the product
The outer shell is primarily for retention and protection of the insulation,
and for containing the gas pressure
In the event of leakage from the primary container the outer tank is not
designed to contain the refrigerated liquid
An above-ground single containment tank is surrounded by a bund wall or
dike to contain any leakage

A typical above ground, single containment tank is constructed of a 9% Ni inner tank, a carbon
steel outer tank, and a steel roof. The required distance between the bund wall and the tank adds
significantly to the total land area. The cost of a single containment tank is about 65% that of a
corresponding full containment tank. If land is scarce this cost advantage might be reduced. An
economic evaluation should also consider the longer lengths of cryogenic and firewater piping that
will be required, because of the larger separation distances between the tanks. The construction
time for a single containment tank will be about four months less compared to a full or double
containment tank.

ii. Double Containment Tank

q
q
q

Both the inner self-supporting primary container and the secondary container
are capable of independently containing the refrigerated liquid
The secondary container is located at a distance of 6 meters or less, from the
primary container
The secondary container is intended to contain any leakage of the refrigerated
liquid from the primary container. However, it is not intended to contain any
vapor resulting from such a leakage

In a typical double-containment tank the primary liquid container and the shell to contain the
insulation are similar to a single-containment tank. However, in addition to it there is a surrounding
concrete wall that is capable of containing the cryogenic liquid in the event of a leakage from the
primary container. Unlike the bund wall surrounding a single-containment tank, this wall is located

7- 3

close to the primary container. This ensures that the liquid pool, in the event of LNG leakage, has a
smaller surface area compared to the single-containment system.

Features of a Typical Single-Containment LNG Tank

Features of a Typical Double-Containment LNG Tank

7- 4

95,000 cubic meter single-containment LNG tank and associated pipework. This facility
has a total of three such tanks. (CMS Trunkline LNG Terminal, Lake Charles, Louisiana)

Features of a Typical Full-Containment LNG Tank

iii. Full Containment Tank

q
q
q
q
q

Both the self-supporting primary container and the secondary container are capable of
independently containing the refrigerated liquid
The outer tank wall is 1 to 2 meters distant from the inner tank
Normally the inner tank contains the refrigerated liquid
The outer tank is capable both of containing the refrigerated liquid and of controlled
venting of the vapor resulting from product leakage after a credible event
The roof is supported by the outer tank

A full containment tank typically consists of a 9% Ni inner tank with a prestressed concrete outer
tank. The reinforced concrete roof is lined with carbon steel, with the liner also functioning as
formwork for the concrete. Another full containment design is comprised of pre-stressed concrete
inner and outer tanks. It is claimed that such tanks can be built with 250,000 cubic meters
capacity.
A major advantage of the full containment tank stems from its concrete wall and roof that can
be designed to withstand realistic impacts from missiles or flying objects. Also, concrete provides
good resistance to heat radiation from nearby LNG fires. There will be a significant time delay
before structural weakening of the reinforcement occurs. Further, concrete provides
good protection against possible LNG spills on the tank roof. The effects of cold-shock, if any, will
most likely be restricted to a small area, and generally should not affect the vapor-tight integrity of
the tank.

7- 5

Figures 7-1, 7-2 and 7-3 are outline sketches showing typical designs for single containment,
double containment and full containment tanks. The type of containment will affect the cost,
maximum capacity and construction schedule for the LNG tanks.
In much of the discussion above the primary liquid containment is assumed to be constructed
of 9% Ni steel. In addition to 9% Ni, other materials that are suitable for cryogenic service include
aluminum and stainless steel. Aluminum is no longer considered economical for large LNG tanks.
However, stainless steel is a viable material and is routinely used in the membrane-type design. The
membrane technology for LNG tanks relies on a post-tensioned concrete outer tank for structural
strength and a steel-corrugated membrane for liquid and gas tightness. Membrane type tanks have
been used extensively in Japan where in-ground tanks have been built with capacity as high as
200,000 cubic meters. Membrane technology has also been used successfully for above ground
LNG tanks.
Applicable Codes
In addition to the containment type, the choice of applicable codes will have a big impact on the
design and cost of the tanks. The major difference between API 620 Appendix Q and BS 7777
pertains to hydrostatic test requirements. However, there are also differences between these
standards on the maximum plate thickness for the 9% Ni tank.
API 620 permits the tank to be tested at 125% of the equivalent LNG weight. The density of LNG
is typically less than half that of water (typical specific gravity of 0.47). Hence, the hydrotest water
level equivalent to 125% of the LNG weight would be 0.47 x 1.25 = 59% of the full LNG height.
BS 7777 requires the tank to be tested with water to 100% of the maximum LNG height.
A design for full hydrotest will require the plate thickness for the bottom courses of the tank shell
to be considerably thicker than for the partial hydrotest design. It is reported that the full hydrotest
will add about 40% to the weight of the inner tank metal. Plate and weld metal requirements will
generally limit the maximum plate thickness for 9% Ni to about 1.5 inches (about 38 mm). (BS
7777 proposes a maximum thickness of 30 mm, but does not preclude the use of a larger
thickness). Because of these constraints, and other limitations on roof dimensions, the maximum
capacity for a tank designed to satisfy API 620 would be around 200,000 m3. A similar tank
designed to satisfy BS 7777 would be limited to about 160,000 cubic meters capacity.
There is much debate over the exact cost implications of using different codes and containment
types. The full hydrotest requirement not only adds to the metal weight of the inner tank but also
increases foundation costs and the cost for the load-bearing insulation below the tank floor. There
are many tank specialists who believe that a partial hydrotest is entirely adequate, as demonstrated
by the many low-temperature tanks that have been built according to API 620, and which have had
a successful service history. In fact, it is expected that the new European Standard CEN 265, now
under preparation, will require a partial hydrotest only. In the meantime, there is already a trend
among many owners to move toward a partial hydrotest
Figure 7-4 provides a typical cost comparison for different tank containment systems and hydrotest
requirements. However, it is important to realize that broad generalizations cannot be made. Sitespecific factors like seismic zone, availability of water for hydrotest, local labor rates, material
rates, etc. will all impact both the absolute and relative costs of different tank types.

7- 6

100,000 cubic meter LNG tanks. These are membrane type tanks with prestressed concrete outer wall.
(Pyongtaek LNG Terminal, S. Korea. Photo courtesy of Korea Gas Corporation).

FIGURE 7- 4
Impact of Tank Type and Hydrotest Requirements on Cost

Relative Cost

200
150
100
50
0
A

A: Single Containment, Partial Hydrotest (API 620)

B: Single Containment, Full Hydrotest (BS 7777)
C: Double Containment, Full Hydrotest (BS 7777)
D: Full Containment, Full Hydrotest (BS 7777)

Source: Sam Kumar, Chicago Bridge & Iron

Other Important Considerations

While much attention is focused on the design, construction and testing aspects of the containment
system there are a number of other considerations that require careful attention. The following is a
summary of key points:

i. Pump Column for In-tank Pumps

In-tank pumps are provided to transfer the LNG out of the tanks and into the sendout system. In
older facilities the LNG pumps were usually located external to the tank, and a cryogenic line from
the bottom of the tank conveyed the LNG to the pump suction. In modern facilities, for safety
reasons, LNG tanks are designed with no bottom or side penetrations. Instead, in-tank pumps,
located at the bottom of the tank and inside a pump column, are used (See Figure 9-2 in Chapter 9,
Pumpout System, for a picture). The fabrication and installation of the pump columns requires
coordination with the pump supplier.

ii. Tank Pressure Control

The tank pressure must be controlled within a narrow range. During normal operation the vapor
handling system will increase or decrease the boil-off gas removal rate to maintain the required
pressure. However, properly designed over-pressure protection and vacuum protection systems
must be installed to handle upset conditions and unusual circumstances. Typically, metal roof

7- 7

tanks are restricted to a design pressure of less than 150 millibar gage. Concrete roof tanks can be
designed to withstand a much higher internal pressure, perhaps as high as 300 millibar gage. A
higher design pressure allows a greater range of operating pressures, and may also permit direct
return of vapor to the ship, without the need for compression.
LNG tanks are usually designed for vacuum conditions between 0 and 10 millibar gage. Under
normal operation a vacuum condition is not expected, but a vacuum protection system is required
to safeguard against upset conditions.

iii. Purging and Cooldown

When an LNG tank is put into service, such as during initial commissioning, the atmosphere in the
tank has to be changed from air to natural gas. Natural gas vapor is primarily methane which, in
certain concentration ranges, can form a flammable mixture with oxygen. To avoid the possibility
of forming a flammable mixture the oxygen content in the tank must be reduced to less than 12%.
In practice a margin of safety is included and the oxygen content should be reduced to around 8 or
9%. This is accomplished by purging the tank with nitrogen which is an inert gas. Provisions must
be made to allow efficient purging.
The annular space between the inner and outer tanks contains the insulation, usually loose perlite.
Effective purging of the perlite is also a requirement and means to accomplish this must be
provided.
Cooldown of the tank is a sensitive operation, and must be completed prior to filling it with LNG.
Cooldown is accomplished in a slow and gradual manner with cooldown rates (degrees per hour)
limited by the tank vendor specifications. Cooldown must be not only gradual but also uniform, so
that temperature gradients within the tank are within the limits specified by the tank vendor.
Cooldown is accomplished by spraying liquid nitrogen or LNG into the tank. A spray ring, located
below the suspended deck of the tank, ensures uniform spraying and cooldown. Sufficient number
of thermocouples, located at suitable intervals, should be provided to monitor the cooldown
progress. If a source of liquid nitrogen is conveniently available it would be preferable to have the
first tank cooled and ready to receive LNG when the first ship arrives. Subsequent tanks can then
be cooled using LNG from the first tank.

iv. Stratification and Rollover

Stratification of LNG into layers of different densities is a concern because it can lead to the
phenomenon of rollover. (See additional explanation in Chapter 8, Terminal Vapor Handling). In
many terminals there is provision for recirculation of the LNG (both inter-tank and intra-tank),
which promotes mixing and thus minimizes the likelihood of stratification. The chances of rollover
can also be reduced by ensuring that the tank has provisions both for bottom filling and top filling.
Bottom filling means that the unloaded LNG is introduced below the existing liquid (LNG) in the
tank. Bottom filling should be adopted when the unloaded LNG is lighter than the LNG already in
the tank. The lighter LNG will tend to rise and mix with the tanks existing contents. Top filling
means that the unloaded LNG is introduced above the existing LNG column. When the arriving
LNG is heavier than the LNG in the tank, top filling should be adopted.

7- 8

Modern LNG tanks have elaborate instrumentation to monitor the temperature and density of the
LNG along the entire height of the liquid column. Abrupt differences in temperature or density,
along the vertical height of the tank contents, indicate likely stratification.

v. In-Tank Cameras
Some recent tanks have cameras, along with lighting systems, that can be used to view the inside of
the tank. Physical entry into an LNG tank, after it has been put into service, is an elaborate, timeconsuming and costly procedure. An in-tank camera can be particularly useful to monitor the
condition of the tank after events such as earthquakes. For this reason many LNG tanks in Japan
are provided with such cameras. Systems are also available to retrofit cameras in existing tanks.

vi. Insulation
Insulation is necessary to limit heat leak into the LNG tanks. Heat leak typically averages around
0.05 to 0.06% of full tank contents per day (See Chapter 8, Terminal Vapor Handling for more
details). Different types of insulation are used in different parts of the tank. Typically, the annular
space between the inner and outer tanks is filled with loose perlite. In addition, a resilient blanket,
such as fiberglass material, is installed on the outside of the inner tank. This blanket provides
resiliency for the perlite as the tank contracts due to temperature changes, and prevents settling of
the perlite. The blanket also facilitates flow of the purge gas during the tank inerting process. In
membrane type tanks an internal insulation such as rigid PVC foam is used to transmit liquid
pressure from the membrane to the concrete tank.
Heat leak from the roof of the LNG tank is limited by installing insulation on the suspended deck
(which is suspended from the roof). There is no insulation immediately beneath the roof, and the
vapor space between the suspended deck and the tank roof will be close to ambient temperature.
Another critical area for tank insulation is the floor. Besides adequate thermal insulation capability
the material should have sufficient mechanical strength to withstand the liquid loading. Most of the
LNG tanks use cellular glass for bottom insulation. The maximum allowable liquid head is limited
by the mechanical strength of the cellular glass. This is another reason why the maximum height
(and hence the capacity) of a tank to be fully hydrotested is less than that for a tank requiring only
a partial hydrotest.

7- 9

CHAPTER 8
TERMINAL VAPOR HANDLING
The purpose of the vapor handling system is to recover economically and efficiently the boil-off
gas generated in the terminal.
The quantity of boil-off gas generated during the ship unloading mode can be several times that
generated during the no unloading mode (the holding mode).
Sources of Boil-off Gas: Unloading Mode
The main factors that affect the quantity of boil-off gas to be handled are:
q
q
q
q
q
q
q
q

The ship tanks operating at a higher pressure than the LNG storage tanks
Energy of pumping the LNG from the ship to the LNG storage tanks
Heat transfer (heat leak) from the ambient to the LNG via the unloading arms and
unloading lines
Heat leak from the ambient to the LNG via the floor, roof and walls of the LNG
storage tanks
Heat leak from the ambient to the LNG in the ships cargo tanks
Quantity of vapor returned to the ship
Drop in barometric pressure, with a resultant drop in the storage tank pressure
Physical displacement of gas from the tanks by the LNG pumped into it

i. Tank Operating Pressure

The cargo tanks of the LNG ships typically operate in the range of 1060 to 1080 millibar absolute
pressure. The LNG cargo attains an equilibrium temperature corresponding to the cargo tank
pressure. Each 10 millibar increase in operating pressure will result in approximately 0.1 oC
increase in the LNG temperature. For example, if the LNG cargo tanks operate at 1060 millibar
absolute, and the onshore LNG tanks operate at 1050 millibar absolute, the LNG in the ship will
be about 0.1 oC warmer. On being discharged into the tank the LNG will equilibrate to the tank
conditions by cooling itself 0.1 oC. This self-cooling, or auto-refrigeration, is achieved when a
small portion of the LNG is boiled-off as gas. For the conditions assumed above, each cubic meter
of LNG will result in approximately 0.3 kg of boil-off gas. At a typical unloading rate of 12,000
m3/hr, this translates into about 3,600 kg/hr of boil-off due to the 10 millibar lower pressure in the
onshore tank.
Operating the onshore LNG tanks at a higher pressure will reduce boil-off gas generation during
ship unloading. To what extent this is possible will depend on the type of LNG tanks and their
design pressure. Typically, metal-roof tanks have design pressure less than 150 millibar gage, with
operating pressure in the vicinity of 50 millibar gage. Concrete-roof tanks, which can be designed
for pressures close to 300 millibar gage, can be operated at a significantly higher pressure than the
metal-roof tanks.

8- 1

Boil-off gas generation during ship unloading is a significant consideration while defining the
design parameters for the LNG tanks. However, as explained in Chapter 7, the selection of LNG
tank type and its related design basis has many ramifications, and boil-off gas generation is only
one of them.

ii. Energy of Pumping

LNG transfer pumps located on the ship transfer the LNG to the onshore storage tanks. The size
and capacity of these pumps vary from one ship to another. A typical 130,000 cubic meter tanker
might be equipped with enough pumping capacity to transfer LNG at 12,000 m3/hr, and develop
140 meters of head. This requires over 3,000 kW of pumping energy that is eventually converted to
heat and absorbed by the LNG. This large amount of heat is sufficient to heat the LNG by as much
as 0.5 oC. Auto-refrigeration in the LNG tank, to offset this warming of the LNG, can result in
about 20,000 kg/hr of boil-off gas. The auto-refrigeration is needed to cool the LNG to the
equilibrium temperature corresponding to the LNG tank pressure. All or a portion of this boil-off
can be suppressed if the LNG tank can be operated at a higher pressure.

iii. Heat Leak Via Unloading Arms, Unloading Piping

The unloading arms are uninsulated. During unloading, the extreme cold of the LNG causes ice
buildup on the exterior surface of these arms. Once a thick layer of ice is formed the ice itself acts
as insulation, and heat inleak through the surface of the unloading arms is relatively small.
The unloading line transfers LNG from the ship to the onshore tanks. This line and the associated
fittings, valves etc. are covered with cryogenic insulation. Even with cryogenic insulation there is
some heat that leaks into the LNG, and typically averages 25 to 30 Watts per square meter of
outside insulation surface. Though this is a small rate, it translates to a significant quantity of heat
when one considers the large diameter and long length of the unloading line. For example a system
with two parallel 24-inch unloading lines of 1 km length (per line) can result in a heat leak of over
200 kW. About 1,400 kg/hr of LNG will boil-off to offset this heat leak.

iv. Heat Leak into LNG Storage Tanks

Though the LNG is ultimately ragasified in the vaporizers, generation of boil-off gas, which is
always at low pressure, is to be minimized. Hence the LNG storage tanks should be designed with
sufficient insulation to minimize heat leak. Heat leak into LNG tanks is specified in terms of
percent boil-off per day of full tank contents. Modern tanks are designed to limit heat leak to
0.05 or 0.06% per day. For example, a 100,000 cubic meter tank designed for 0.05% per day heat
leak will lose 50 cubic meters of LNG each day as boil-off. This corresponds to about 22,500
kg/day or 940 kg/hr per tank. In a terminal with 200,000 cubic meters of LNG storage the tank
heat leak will create about 2,000 kg/hr of boil-off gas.

8- 2

v. Heat Leak Into Ship Cargo Tanks

Cargo tanks in LNG ships also absorb heat from the ambient. Boil-off typically averages 0.15 to
0.25% per day of full tank contents. For a 130,000 cubic meter tanker, about 200 to 320 cubic
meters of LNG will boil-off each day. This corresponds to a boil-off rate of 3,700 to 6,000 kg/hr.
Typically, during voyage this boil-off gas is recovered and used as fuel for the ships engines.
While unloading, the ship is stationary, and there is no fuel demand from the ships engines.
It should be noted that in recent years the design boil-off rates for large LNG ships have been
reduced substantially, and it is possible to restrict boil-off to about 0.1% per day. However, since
boil-off is used as fuel for the ship, there is an optimum boil-off rate below which adding extra
insulation would not be beneficial. Many recent ships have a design boil-off rate of 0.15% of full
tank contents per day.

vi. Ship Vapor Return

When LNG is pumped out of the ship there will be a tendency to create a vacuum. To offset this,
and to maintain the cargo tanks at their operating pressure, natural gas is brought in to replace the
void created by the exiting LNG. The pipeline to transfer natural gas from the onshore plant to the
ship is referred to as the Vapor Return Line (see Figure 2-2). In practice, some of the vapor needs
of the ship will be satisfied by the boil-off in its own cargo tanks, and only the remaining volume
needs to be transferred from onshore. The shore-to-ship transfer of this gas is done via the vaporreturn arm.
The vapor returned to the ship could be taken from the discharge of the boil-off gas compressor.
Alternatively, a separate vapor return compressor, with a lower discharge pressure than the boil-off
compressor, may be the more economical choice. If the design pressure of the LNG tanks is
sufficiently high, it may be possible to directly route the vapor from the tanks to the ship, without
need for compression.
Unlike the unloading line, the vapor return line is not maintained cold during periods between ship
unloadings. Hence, during the initial period of unloading, the vapor returned to the jetty can be
close to ambient temperature. Usually, the vapor has to be cooled to 140 oC or lower, before it
enters the ship cargo tanks. This cooling is accomplished by bringing the vapor in contact with
LNG in a desuperheater, located in the jetty area..
Assuming a tanker unloading at 12,000 m3/hr, about 22,000 kg/hr of gas (at 160 oC)
will be needed to maintain the cargo tank pressure. If 6,000 kg/hr is provided by the cargo tank
boil-off, a net transfer of 16,000 kg/hr will have to be delivered through the ship vapor
return arm.

vii. Barometric Pressure Drop

A drop in barometric pressure, especially if it is rapid, can cause a significant increase
in the rate of boil-off from the LNG storage tank. This is because storage tanks are generally
operated over a small range of gage pressure. When barometric pressure drops, maintaining a nearconstant gage pressure will cause the absolute pressure in the tank to fall. To equilibrate with this

8- 3

lower pressure, the temperature of the LNG in the tank has to fall (by approximately
0.1 oC for every 10 millibar drop). The temperature drop is accomplished by the spontaneous boiloff that occurs at the liquid-vapor interface in the tank. Thermodynamic models have been
proposed to estimate the rate of boil-off due to changes and rate of changes in tank pressure. In
designing vapor handling systems, it is prudent to make some reasonable allowance
for barometric pressure drops. This is particularly true in locations where rapid drops in
barometric pressure are expected.

viii. Physical Displacement of Vapor from LNG Tanks

The LNG entering the tanks will physically displace an equal volume of vapor. Though this is not
boil-off in the true sense, it does contribute to the net volume of gas exiting the tank, and hence
needs to be considered in sizing the boil-off system. The scenario in the LNG storage tank is
merely a mirror image of what happens in the ship cargo tanks. For example, if LNG is being
unloaded at 12,000 m3/hr, a similar volume of vapor is physically displaced from the tank. This
volume would correspond to approximately 22,000 kg/hr of natural gas displaced from the tank.

Sources of Boil-off Gas: Holding Mode

Factors that contribute to boil-off gas generation in the holding mode include:
q
q

Heat leak from the ambient to the LNG via the floor, roof and walls of the LNG
storage tanks
Drop in barometric pressure, with a resultant drop in the storage tank pressure

Heat leak in the LNG tanks is the main source of boil-off in the holding mode. The boil-off rate in
the holding mode, due to this heat leak, will be similar to the corresponding rate in the unloading
mode. Similarly, the effect of barometric pressure drop also will be as described earlier.
A few other points deserve mention.
The first pertains to volume displacement. As sendout LNG is pumped out of the storage tanks,
there is a volume depletion. A portion of the tank boil-off gas will offset this depletion. For
example, in a terminal with 3.0 million tpa capacity, the average sendout is about 760 m3/hr of
LNG. The corresponding volume of vapor is approximately 1,400 kg/hr, and the net boil-off gas
exiting the storage tanks will be reduced by this amount.
The second point pertains to heat leak in the unloading line. As explained earlier, during the
holding mode the LNG unloading lines are maintained cold by recirculating LNG through them
(see Figure 6-1). Heat leak into the lines is absorbed by the flowing LNG, causing it to warm up by
several degrees. This warm LNG is mixed with the main LNG sendout flow, and thus does not
normally contribute to boil-off. However, if there are periods when there is no sendout (not often
the case in a baseload terminal), the circulating LNG will be returned to the storage tanks, and
there will be additional boil-off. A small portion of the recirculation flow is also diverted to the
tank fill lines to keep them cold (Figure 6-1). This LNG is returned to the tanks, and will result in
some additional boil-off.

8- 4

The final point refers to the phenomenon referred to as rollover. Under certain conditions
it is possible for two different cargoes of LNG, having different densities, to form
two separate layers or strata in the LNG storage tank. If allowed to remain stratified the bottom
layer will be unable to dissipate heat absorbed by it, because the layer above it will prevent
the normal surface boil-off. If this condition is allowed to persist for long periods
(typically days) the bottom layer can warm up to a point where its density approaches that of the
upper layer. This can lead to rapid mixing of the two layers, accompanied by very rapid generation
of boil-off gas.
Rollover has been studied extensively and physical models have been developed to predict
tank behavior under rollover conditions. Correct tank filling procedures and proper
operational practices should prevent stratification from occurring. In addition, tanks are
provided with sophisticated monitoring devices that can help in early detection of stratification.
Because of these reasons the sizing of the boil-off gas handling system does not
require a provision for rollover. However, in the design of the tank overpressure protection system
it is prudent to make an allowance for rollover.

Tabulation of Typical Boil-off Gas Rates

Table 8-1 is a tabulation of the various sources of boil-off gas for the set of conditions and
assumptions used in the discussion above. It is emphasized that the boil-off rates will vary
significantly as the design parameters change, and the tabulation here is intended merely to
illustrate the boil-off rates for a specific set of assumptions.

8- 5

TABLE 8-1
Boil-off Gas SourcesTypical Case Study
Basis/assumptions
Unloading rate:12,000 m3/hr
Cargo tank pressure: 1060 mbar a
Ship cargo tanks volume: 130,000 m3
Onshore storage volume: 200,000 m3
LNG sendout: 340 tph
Unloading line length: 1,000 meters each

Ship cargo pump head: 140 m

Onshore LNG tank pressure: 1050 mbar a
Ship cargo tank heat leak: 0.25%/day
Onshore tank heat leak: 0.05%/day
Unloading lines size: 2 x 24-inch

Source of Boil-off
Flash due to ship cargo tanks operating at higher pressure
than onshore LNG tanks
Pumping heat from unloading pump
Unloading line heat leak (with 20% added for fittings,
expansion loops, etc.)
Ship cargo tank heat leak
Onshore LNG tanks heat leak
Vapor return to ship cargo tanks
Negative displacement due to LNG sendout
Displacement from LNG tanks due to unloaded LNG
TOTAL

Unloading
Mode, kg/hr
3,600

Holding
Mode, kg/hr
-

20,000
1,700

6,000
2,000
(22,000)
(1,300)
22,000
32,000

2,000
(1,300)
700

Note: Increasing the onshore tank operating pressure can substantially reduce
or eliminate the contributions due to flash, pumping heat and unloading line heat leak.
Boil-Off Gas Compression
Boil-off gas is generated at the storage tank pressure, which is slightly above atmospheric pressure.
It is compressed in the boil-off gas compressor (see Figure 2-2) for further processing or use.
When a recondenser is used, the boil-off compressors discharge at a pressure of about 6 to 8 bar
gage. When a recondenser is not used the discharge from the boil-off compression system might
correspond to the terminal battery limit pressure. The vapor exiting the LNG tank, especially
in the holding mode, can be substantially warmer than the LNG. This is especially likely if the
LNG level in the tank is low. A uniform compressor suction temperature can be ensured
by desuperheating (cooling) the gas by spraying a controlled amount of LNG (Figure 2-2).
Configuring the boil-off compressors is an important design consideration. Holding mode boil-off
rates are usually low enough that reciprocating type compressors offer a good fit. Reciprocating
compressors offer excellent turndown capabilities, and can therefore accommodate a wide range of
boil-off rates. To ensure reliability it is common practice to install two machines each sized for
100% or three machines each sized for 50%. This allows one machine to be on standby.
As discussed already, the unloading mode vapor load can be many times that in the holding mode.
If this load is large enough, centrifugal type compressors are more appropriate. Two or more

8- 6

compressors may be installed in parallel so that shutdown of any one compressor will not hamper
the unloading operation. The unloading mode vapor load is closely tied to the operating pressure of
the LNG tanks. Concrete-roof tanks can be designed for sufficiently high operating pressure so that
net vapor generation is low, and reciprocating compressors become practical even for the
unloading mode. Also, if the LNG tank pressure is high enough, the vapor return to the ship may
be able to bypass the boil-off compressor, and flow directly from the LNG tanks to the ship tanks.
In such a case, a total of two or three reciprocating compressors may be able to handle all expected
vapor loadsin both the unloading and holding modes. All operating scenarios, and several design
options, should be evaluated before the boil-off compressor arrangement is finalized.
In addition to gas volumetric flow, the composition of the boil-off gas will also affect the
compressor specification. Boil-off gas is mostly methane, but it can also contain a significant
concentration of nitrogen. The LNG shipped from the liquefaction plant usually has a nitrogen
specification of less than one mole percent. In a thermodynamic sense nitrogen is lighter than
methane. This means that the nitrogen will boil off preferentially and the nitrogen concentration in
the vapor will be much higher than its concentration in the LNG. For example, one mole percent
nitrogen in the LNG will result in boil-off gas that is about 28% nitrogen and 72% methane. As
boil-off occurs during the voyage nitrogen is preferentially boiled-off, and its concentration in the
LNG drops. The longer the voyage the greater will be the depletion of nitrogen.
In the boil-off gas compression system, the maximum compression head is determined by the
highest methane concentration, while the maximum compressor power is determined by the highest
nitrogen concentration. A conservative approach would be to design the compressor head based on
100% methane, and the motor power based on 30:70 nitrogen: methane.

Disposition of Boil-Off Gas

The following is the usual order of priority for utilizing the boil-off gas from the discharge of the
boil-off gas compressor.
q
q
q
q
q

Return to ship during unloading

Use as in-plant fuel
Recondense into the sendout LNG
Compress to sendout pressure
Flare (last option, during upset conditions only)

i. Return to Ship
This is the first priority during ship unloading. The ship vapor return line, unlike the unloading
line, is not maintained in a cold condition between ship unloadings. During the initial period of
unloading, until the line cools down, the vapor reaching the jetty will be too warm to be admitted
into the cargo tanks. The gas is therefore cooled at the jetty, in a desuperheater, before it is
transferred to the ship.

ii. Use as Plant Fuel

8- 7

If SCV type vaporizers are used there will be a significant fuel gas demand. The gas from the
discharge of the boil-off compressor is a convenient source to meet this and other plant fuel needs,
since it avoids use of more valuable high pressure gas from the vaporizer discharge. If highpressure gas is used, its pressure needs to be reduced before it enters the fuel gas system. This
pressure reduction can cause a substantial drop in temperature, and the gas may have to be heated
before it enters the fuel gas system.
Assuming that 1.5% of the sendout is required as fuel for the SCV, a 3 million tpa facility will use
about 5,000 kg/hr as fuel. This is a substantial requirement, and during the holding mode the boiloff gas will have to be supplemented by high pressure natural gas, to satisfy the total fuel system
needs.

iii. Recondense into LNG

When pumped in the first stage sendout pumps, the LNG attains greater pressure but the
temperature rises only slightly. The LNG is in a subcooled condition, meaning that it has the
capacity to absorb natural gas and hold it as a liquid. Advantage is taken of this property by
bringing the boil-off gas into contact with the sendout LNG in a recondenser (see Figure 2-2).
The operating pressure of the recondenser is generally set in the 6 to 8 bar gage range. At this
pressure, every kilogram of LNG (from the discharge of the first stage pumps) can absorb or
recondense about 0.1 kilogram of boil-off gas (from the discharge of the boil-off compressor).
Thus, in a terminal designed for 3 million tpa (340,000 kg/hr) sendout, the recondenser has the
capacity to absorb about 34,000 kg/hr of boil-off gas. Clearly, this capacity is more than adequate
to accommodate expected boil-off in the holding mode. It is also adequate to absorb most, or even
all, of the vapor to be expected in the unloading mode. The main advantage of the recondenser is its
ability to handle economically the large vapor rates during ship unloadings.
The turndown expected from the terminal has an important bearing in designing the boil-off gas
handling system. For example, during periods of very low or zero sendout, there will not be
sufficient LNG flow to recondense the boil-off gas, and alternate provisions must be made to avoid
flaring. In a baseload facility turndown to very low rates is normally not expected.

iv. Compress to Pipeline Pressure

Compressing large volumes of gas to high pressure is costly. Nevertheless, there may be situations
where there is no internal demand for the boil-off gas, and compression to pipeline pressure is the
only option. An example of such a scenario might be when there is no sendout from the terminal, or
the sendout is extremely low. In such a scenario, the ability to recondense
is drastically reduced. The fuel demand also (if SCVs are used) is extremely low. If such
conditions are expected, a high pressure compressor, to handle at least the holding mode load,
might be necessary.

v. Flaring
8- 8

Needless to say this is not an acceptable option on a continuous basis. However, during plant
upsets or other unexpected circumstances flaring might be the only available alternative. The flare
system must be designed to safely dispose of the boil-off gas under these circumstances.

8- 9

Boil-off Gas Desuperheater (left) and Recondenser (right). (CMS Trunkline LNG Terminal,
Lake Charles, Louisiana)

CHAPTER 9
PUMPOUT SYSTEM
The terminal pumpout system raises the pressure of the LNG to satisfy the requirements at the
terminal battery limit. LNG pumpout may be done in one or two stages. A two-stage (with
primary pumps feeding secondary pumps in series) arrangement is necessary if the vapor handling
system includes a recondenser for absorbing the boil-off gas into the sendout LNG. The operating
pressure of the recondenser forms a convenient basis for setting the discharge pressure of the
primary pumps, and the secondary pumps would raise the pressure to that desired for sendout at
the battery limits. If a recondenser is not installed the secondary pumps may or may not be
required depending on the terminal battery limit pressure.
Pressures as high as
70 bars have been attained with primary pumps only. Often primary and secondary pumps are
installed if the sendout pressure exceeds about 45 bars.
LNG pumps incorporate many special features that make them different from other pumps
in industrial and process plant services. Some of these features and requirements include:
q
q
q
q
q
q
q

Submerged electric motors

Suction vessel mounting with suction and discharge connections
Retractable in-tank mounting for installation within tanks
Special materials of construction
Testing at temperature and power levels expected in service
Cooldown and start-up considerations
Handling considerations, size and weight

Submerged Electric Motors

Modern LNG pumps incorporate a motor that is totally submerged in the LNG. A slipstream of
the pumped medium is actually routed through the motor to wet the stator and rotor and act as a
coolant for the motor as well as a coolant and lubricant for the bearings. This arrangement
eliminates the need for any seals between the pump and the electric motor driver. A submerged
electric motor is suitable for these fluids because LNG, like many cryogenic hydrocarbon liquids,
is not corrosive or electrically conductive. Thus, there is no fear of the pumped liquid causing
short circuits within the windings. Immersion of the motor in LNG totally isolates the motor and
its connections from any air or oxygen, which eliminates fire or explosion danger.

Ball Bearings
Because the cryogenic conditions prohibit oil or grease lubrication the pumped fluid is used as the
bearing coolant and lubricant. Since LNG is not a very good lubricant special provisions must be
incorporated into the pump to assure the bearings are very lightly loaded. This is accomplished by
eliminating radial loads with multi-vane diffusers and by dynamic axial thrust load balance
arrangements such as pressure balancing pistons. The vertical shaft design also permits the
dynamic axial load balancing to compensate for the effects of gravity on the rotating elements.

9- 1

Suction Vessel-Mounted Design

Figure 9-1 is a cut-away view of a typical submerged pump. The entire pump and motor unit are
enclosed in a suction vessel built to the appropriate pressure vessel code. These pumps are
frequently referred to as canned or pot mounted pumps. The suction vessel also functions as
the pump outer casing. It is typically fabricated of stainless steel and incorporates the inlet/outlet
nozzles, support brackets, vent, drain, instrument taps and a conduit for the electrical connection.

FIGURE 9-1
Sectional View of Typical Submerged-Motor LNG Pump

Source: Ebara International

9- 2

Retractable In-Tank Mounting for Installation within Tanks

To minimize the likelihood of a major leak, modern LNG tanks avoid penetrations through the tank
bottom or side wall. This means that all connections and nozzles must be located on the roof of the
tank to permit over the top fill and discharge capability. The in-tank, retractable design allows
the pump to be installed inside the LNG tank, within a vertical column that extends from the tank
roof to the floor. The column acts as a guide for the pump during installation, and functions as the
discharge pipe from the pump to the LNG outlet nozzle at the tank top. Figure 9-2 shows the main
features of the in-tank retractable pump.

FIGURE 9-2
In-tank Retractable Submerged Pump and Associated Auxiliaries

Source: Ebara International

9- 3

The pump can be removed and reinstalled in the tank, if needed, for maintenance. To permit this
without venting natural gas vapor to the atmosphere, a spring-loaded suction valve (often referred
to as the foot valve) is located at the lower end of the pump column. When the pump is
removed, the spring action on the valve, supplemented by the hydrostatic head of the LNG,
provides a seal that isolates the tank contents from the column. Once the tank contents are
isolated, the column can be inerted and the pump assembly, including the power cables, can be
retracted using stainless steel lift and support cables.

Special Materials of Construction

Typically, the pump assembly is fabricated out of aluminum alloys. Advantages of aluminum
include light weight, ease of fabrication, excellent ductility, adequate mechanical strength at
cryogenic temperatures, and high thermal conductivity which facilitates cooldown. The pump
suction vessel is made of stainless steel and meets the applicable pressure vessel code criteria.

Testing
Because of the extreme cold condition under which the pumps will operate, it is necessary to test
them thoroughly prior to shipment. The cryogenic application is more difficult than a hightemperature application because stresses accompanying thermal contraction tend to loosen rather
than tighten the bolted components. Since the torque capability of electric motors decreases
significantly at low temperatures the starting capabilities of the motors must be evaluated at
expected operating temperature. Further, since the liquids are usually at temperatures very close to
their boiling point (i.e. saturated) factory tests to determine if cavitation occurs is very important.
The power requirements, cooling capability, lubrication characteristics, etc., of a test fluid such as
water are completely different from those of LNG. Because the specific gravity of water is more
than 200% that of LNG, the unit must be operated at reduced speed (or with fewer stages for
secondary pumps) so as not to overload the motor. Hence, if possible, the pump should be tested
using the same fluid (LNG) as it will see in service. This is a positive way to assure the motor has
sufficient pull-in torque to properly start at the operating temperature. In addition, by testing with
LNG, the pump can be operated at full speed over the flow range to permit determination if
vibration occurs and to evaluate low suction pressure performance.
Sometimes liquefied gases other than LNG are used as a test fluid and this would be adequate to
simply determine the head versus capacity of the pump. However, it is inadequate to fully evaluate
the pump and motor performance because the unit cannot be operated at full power and speed.
Further, the internal clearances will not be the same as they would at LNG operating temperature.
Factory testing under actual service conditions provides the maximum assurance against potential
problems after installation.

9- 4

Cooldown and Start-up Considerations

For LNG pumps, as for all cryogenic equipment and piping, gradual and programmed cooldown is
of critical importance. The cooldown process allows the pump components to gradually adjust to
the stresses imposed by the large temperature drop. For small pumps the cooldown period may be
shorter. However, larger pumps with a much larger metal mass to cool, could require many hours.
The cooldown operation is complete when the pump has been allowed to soak in the LNG for
three to four hours after boiling has ceased. During this soaking period all pump parts equalize in
temperature and all clearances can reach their design values.
Because submerged pumps are lubricated by the LNG, rotation of the impeller in a dry state can
cause bearing damage. Inadvertent rotation of the pump is especially likely during purging or dry
out, when the flow of nitrogen or natural gas through the pump housing can result in a turbine
action on the pump impeller. Therefore, purge gas flows and routing must be controlled to
prevent this from occurring.

Size Considerations
Given the critical nature of the service, owners prefer to stay within or very close to proven size
and capacity ranges. Fortunately, improvements in cryogenic pump technology have kept up with
the increasing demands from the industry, and designs are available to satisfy a wide range of
pumpout needs. The power of submerged electric motor LNG pumps presently installed ranges
from 2 to 2050 kW.
It is normal practice to have at least one spare pump in each tank. Thus, each LNG tank will
contain at least two pumps each suitable for delivering 100% of the required flow. Often more
pumps are installed in the tank. For example, the average sendout from a 3 million tpa terminal
would be about 640 m3/hr. If two tanks are built, each one could be equipped with two or three
pumps of 320 cubic meter capacity. The three pumps per tank configuration will provide
substantial flexibility since all sendout can be accomplished from either tank even when any one of
the pumps is unavailable.
Besides volumetric capacity, the required head is another major sizing parameter. High head
pumps are typically used to feed the LNG vaporizers. Submerged electric motor pumps of proven
design are available for up to 2000 meters of head. This corresponds to a differential pressure of
almost 90 bars, and should be adequate to meet nearly all pipeline requirements.

9- 5

CHAPTER 10
VAPORIZATION
Vaporization of LNG is the step that converts the natural gas from its cryogenic liquid form (LNG)
to its normal gaseous state, ready for transmission by pipeline to the downstream consumer or user.
Thermal energy (heat) is required to vaporize or regasify the LNG. For baseload applications the
heat may be obtained either from seawater or from the combustion of a portion of the natural gas.
Nearly two-thirds of the baseload vaporization is done using seawater as the heat source. The
equipment used is called the Open Rack Vaporizer (ORV). Facilities employing natural gas
combustion as the heat source usually use Submerged Combustion Vaporizers (SCV) to transfer
the heat to the LNG. Another type of vaporizer, the Intermediate Fluid Vaporizer, is used in a few
facilities. The following discussion will focus on:
q
q
q

Features of the Open Rack Vaporizer

Features of the Submerged Combustion Vaporizer
Sample economic comparison of ORV and SCV

Open Rack Vaporizer (ORV)

The ORV consists of a panel of vertical, finned heat transfer tubes with LNG flowing through the
tubes. A film of seawater flows outside the tubes. The temperature differential between the
seawater and the LNG results in transfer of heat from the water to the LNG. As the LNG absorbs
heat it vaporizes, or changes from a liquid state to a gaseous state. Depending on the composition
and pressure of the LNG the tube side fluid may not see a clear transition from the liquid to the gas
state; instead, it may just pass through what is called a dense phase. These characteristics are
important in designing and sizing the equipment. For purposes of this discussion it suffices to know
that a definite amount of heat has to be transferred to accomplish the transition from the LNG state
at the inlet to the gaseous state at the exit of the vaporizer.
Figure 10-1 shows, in schematic form, the essential elements of the ORV. LNG flows upward
inside the heat transfer tubes. These tubes are constructed of aluminum alloy, and configured in a
panel arrangement. The panels are connected by inlet LNG and outlet natural gas manifold piping.
Effective heat transfer area is increased by using finned tubes in a star configuration. Modern
designs use tube lengths as high as 6 meters. Even distribution of LNG and seawater among the
panels is important to ensure good performance and to minimize ice formation outside the tubes.
Turndown can be easily accomplished by taking individual vaporizer units out of service. The
term open rack is used because the panels are suspended in a rack. This facilitates maintenance
access.

10-1

FIGURE 10-1
Schematic Showing Main Components of Open-Rack Seawater Vaporizer

Source: Sumitomo Precision Products

The overall system requires extensive ancillary equipment and facilities for supplying the seawater
and for returning it to the sea. These include the intake structure, the pumps, the large diameter
piping of appropriate metallurgy/lining, the vaporizer pond or basin, and the return channel.
The freezing temperature of seawater is about 0 to 1 oC. Considering the extreme cold of the
incoming LNG (around 160 oC), it is not unusual to have some ice formation on the cold end
(lower end) of the vaporizer tubes. Allowance must be made for this when sizing the vaporizer.
Seawater is corrosive, and the heat transfer surface in contact with it is spray coated with an
aluminum alloy containing a small amount of zinc. The spray film functions as a sacrificial anode,
and provides corrosion protection. A service life of about ten years should be expected before a
respray becomes necessary.
Typically, the seawater exits about 4 to 5 oC colder than it enters. In locations where the seawater
temperature is very low it may not be practical to obtain a reasonable temperature drop, and the
quantity of water required may be too large to make the ORV a viable option. Still, the ORV has a
major operating cost advantage because it uses free heat energy from the seawater. Consequently,
some terminals use ORVs during warmer months with SCVs as backup during very cold weather.

10-2

Low Pressure Open Rack Vaporizers.

(Pyongtaek LNG Terminal, S. Korea. Photo courtesy of Korea Gas Corporation)

Recent research has shown that downflow of LNG through the ORV might offer advantages over
the older up flow designs. The stated advantages include reduced fluctuations in natural gas
heating value and a drastic reduction in thermal stress.
ORV units can be built over a wide capacity range. Several units are in operation at capacities
around 150 tph, and individual units can be built for higher capacities.

FIGURE 10-1
Submerged Combustion Vaporizer

Source: T-Thermal
Submerged Combustion Vaporizer (SCV)
Figure 10-2 is a schematic sketch showing the main features of the SCV. It is comprised of a
stainless steel tube bundle immersed in a warm water bath. LNG flowing through the tubes is
heated and vaporized by the heat transferred from the water bath operating at 25 to 35 oC. The
water temperature is maintained by supplying heat through direct contact with the hot gases
resulting from the combustion of natural gas.
SCVs have a simple and compact design, and installed cost will be much lower than the ORVs.
However, operating costs will be significantly higher. The main component of the operating cost is
the natural gas fuel. Typically, about 1.5% of the vaporized natural gas will be consumed as fuel in
the combustion burners.
The combustion of the natural gas takes place in a submerged-combustion type gas burner, with
combustion air provided from a blower. The hot gases are distributed through a submerged sparge

10-3

pipe immersed in the water bath, and located under the tube bundle. Heat transfer from the hot
gases to the water is by direct contact, and hence very efficient. Also, the vigorous agitation caused
by the combustion gas/water mixture circulating between the tubes results in high heat transfer
rates from the water to the tubes.
The high heat transfer efficiency allows an extremely compact design with small plot area
requirements. The direct contact heat transfer between the hot gases and the water permits nearly
all of the combustion heat to be recovered. The thermal efficiency is typically in the 90 to 99%
range. Further, water has a high thermal capacity, and this allows rapid start-up and shut-down.
The combustion gases contain carbon dioxide, which when dissolved in the water, renders it acidic.
Alkaline chemicals must be added to the water bath to control its pH, and excess water must be
treated before it is discharged.
The combustion gas exiting the vaporizer will be water saturated at essentially the same
temperature as the water bath. In cool weather, condensation of the water vapor can cause a visible
vapor plume or fog.
Single-burner SCV units can be used for small capacities, say up to 20 tph. Multiple burner units
can handle well over 100 tph. A typical 100 tph unit would need about 20,000 kW (greater heating
value) of heat, requiring roughly 1.3 tph of natural gas fuel. Note that these are indicative figures.
SCVs, because of the inherently modular design, are extremely easy to install. This makes them
particularly attractive for achieving rapid expansion in vaporization capacity.

Sample Economic Comparison of ORV and SCV

Table 10-1 is a sample economic comparison of ORV and SCV.
This analysis is typical. The price of the fuel for the SCV is the major factor in such an analysis,
and for most locations the ORV will be the more economic choice. However, factors such as
weather (very cold seawater temperature) might prevent use of the ORV round the year. Even then,
in many cases it will be more economical to install both ORVs and SCVs, with the latter providing
back up during winter months. With such an arrangement it may not be necessary to provide spare
ORV capacity.
In some locations there might be environmental restrictions against returning the cold water into the
sea. In such cases the SCV might be chosen based on regulatory factors rather than strictly
economic considerations.

TABLE 10-1
Economic Comparison of Open Rack vs Submerged Combustion Vaporizers

LNG vaporization rate

300 tph
ORV Case Assumptions/Data
10-4

Number of units:
Seawater temperature drop:
Heat transferred:

2 x 150 tph + 1 spare at 150 tph (high pressure)

5 oC
68,000 kW (for two operating ORVs)

Cost of ORV unit:

Cost of seawater system:
Total installed cost:

3 x $4.5 million (installed)

$11.0 million (installed)
$24.5 million

Estimated water flow:

Estimated power for seawater pumps:

11,500 tph
2,400 kW

SCV Case Assumptions/Data

Number of units:
Heat transferred:
Estimated fuel consumption:
Cost of SCV unit, incl ancillaries:
Estimated power for air blowers:

3 x 100 tph + 1 spare (high pressure)

68,000 kW for (three operating units)
4.3 tph
4 x $ 2.5 million = $ 10.0 million (installed)
250 kW x 3 operating = 750 kW

Operating Costs (include fuel and power only)

ORV:
Power for seawater pumps at 5 cents per kWh:
SCV:
Fuel gas at $3.00 per million Btu:
Power for blowers at 5 cents per kWh:
Total fuel + power cost:
Economic Comparison

$1.05 million per year

$5.8 million per year

$0.33 million per year
$6.13 million per year

Difference in installed cost: $24.5 million - $ 10.0 million = $14.5 million (ORV is higher)
Difference in operating cost: $ 6.13 million - $ 1.05 million = $5.08 million per year (SCV
is higher)
Simple payback for ORV:

14.5/5.08 = 2.9 years

10-5

CHAPTER 11
UTILITY AND OFFSITE UNITS
Utility and offsite units provide essential support to the main terminal jetty facilities and process
facilities. The major utility units are:
q
q
q
q
q
q
q

Electric power
Fuel gas
Seawater
Instrument air and plant air
Nitrogen
Fresh water and potable water
Emergency power

The major offsite units are:

q
q
q
q

Flare and vent system

Waste water disposal system
Metering system
Odorization system

Electric Power
The major users of electric power in an LNG terminal might include compressors/blowers, pumps,
lighting/HVAC.
Table 11-1 shows the power needs from a case study for a typical terminal with 3 million tpa
sendout (average 340 tph):

Table 11-1
Electric Power Requirements for Typical 3 Million TPA LNG Terminal

User
Boil-off gas compressor (unloading mode)
Seawater pumps for ORV
LNG first stage pumps
LNG second stage pumps
Instrument/Plant air compressor
Lighting, HVAC
Other smaller users
TOTAL

11-1

kW
2,300
2,200
480
1,600
150
400
250
7,380

For this example about 8 MW would be adequate. Around 13 MW would allow for future
expansion to double the initial capacity. Note that these figures are representative, and can vary
significantly depending on the configuration of the facility.
Purchasing power from the grid may be an option. A cost consideration in buying power from the
grid is that peak demand, typically during ship unloading, will usually be much higher than the
average demand. Another advantage of on-site power generation is that it makes the terminal fully
self-sufficient. To ensure full reliability a stand-by generator, capable of meeting all the terminals
needs, should be considered.

Fuel Gas
Major fuel gas users would include the gas turbine generator and the submerged combustion
vaporizers (if SCVs are used). As discussed earlier, SCVs will require about 1.5% of the sendout
as fuel for the burners. For a 3 million tpa vaporization capacity the fuel consumption would be
about 4.5 tph. Fuel for electric power generation, assuming 8 MW of capacity, might be an
additional 1.8 tph.
The best take-off points for the fuel gas will depend on the configuration of the vapor handling
system. For example, the SCV burners can use fuel gas at relatively low pressure, and 6 bar gage
at the discharge of the boil-off compressor would be adequate. The gas turbines would require
higher pressure fuel, and it may be necessary to use a portion of the high pressure sendout gas.
Alternatively, if the boil-off gas is compressed to a sufficiently high pressure, this could satisfy
both the SCV and the gas turbine needs.
Natural gas, when reduced from high pressure to fuel system pressure, or boil-off gas at the
compressor discharge, may be too cold for the carbon steel metallurgy used in the fuel gas piping
and burners. Fuel gas heaters are often required to warm up the fuel gas, and a small quantity of
gas may be required as fuel for the heater. Alternatively, electric heating can also be considered.

Seawater
If open-rack vaporizers are used seawater will be a major utility. The quantity of seawater will
depend on the sendout rate and on the allowable temperature drop for the water. A 3 million tpa
terminal (340 tph average), with allowable temperature drop of 5 oC for the water, would require
about 13,000 m3/hr of seawater. If the peak sendout rate is higher than the average, the seawater
system will have to be sized accordingly.
Seawater may also be used for the fire-water system. The civil works for the fire-water intake can
be combined with those for the ORV supply. If ORVs are not used, the fire-water intake can be
stand alone.
Special attention should be paid to ensure that the discharged seawater is well mixed into the sea.
Recirculation of the cold water (where the currents carry cold water back to the intake area) can
result in loss of performance in the ORV system

11-2

Instrument Air and Plant Air

Like in many gas plants, a single compressor can serve both the instrument and plant air needs.
Instrument air will need downstream driers and filters.
A typical 3 million tpa terminal might need about 800 Nm3/hr of instrument air. Plant air needs
will be intermittent, and about 400 Nm3/hr should be a reasonable basis. A common compressor
sized for 1,500 Nm3/hr should provide ample capacity.
A spare compressor of 100% capacity would be appropriate.

Nitrogen
The main use for nitrogen is as an inert medium for purging of equipment and piping. Nitrogen,
because of its inert nature, is also a convenient medium for pressurized transfer of liquids, like
transfer LNG from the unloading arms or from equipment drains. Small quantities of nitrogen may
also be needed for laboratory use.
The nitrogen demand will be intermittent, and it is most convenient to store it in liquid form. To be
maintained as a liquid, nitrogen has to be at a cryogenic temperature. Specially insulated
containers, called dewars, are suitable for storing moderate volumes of liquid nitrogen.
In addition to the plant needs, nitrogen may also be required for purging and inerting on the LNG
tanker. Liquid nitrogen transfer to the ship can be accomplished via a cryogenic hose connection
which can be piggy-backed on the vapor return arm. A separate nitrogen dewar located in the
jetty would be convenient for supplying the ship.
Ambient vaporizers, which use heat from the surrounding air, are usually employed to vaporize the
liquid nitrogen needed for inerting and other uses. Peak nitrogen usage rates should be examined on
a case-by-case basis. For planning purposes a peak rate of 400 Nm3/hr is reasonable.
If liquid nitrogen can be trucked in, on a reliable basis, this may be the preferred option. The
volume of the nitrogen dewar(s) will depend on the volume of the tanker trucks and on the
reliability of supply. If a convenient and reliable source is not available consideration should be
given to onsite generation. Production of liquid nitrogen will require a cryogenic air separation
plant. Pressure swing adsorption (PSA) units or membrane units can also be considered for
nitrogen production. However, these units produce gaseous nitrogen only, and are less flexible than
stored liquid nitrogen in meeting short-term peak demands.

Fresh Water, Potable Water

If water is available from the local municipality or utility this may be the more economic choice. If
a reliable supply is not available from a public utility, other options should be considered. Options
include river water (if of reasonable quality) or onsite generation by desalination or reverse
osmosis. These options and their economics are site specific.

11-3

For planning purposes average water usage can be assumed to be 3 m3/hr for service water and 2
m3/hr for potable water. Peak rates could be higher, and onsite storage should be considered.

Emergency Power
If the normal source of powerfrom the grid or from onsite generator(s)fails, emergency backup power should be available for critical users. The back-up generator should provide enough
power for detectors, alarms, instrumentation/control devices, plant/building lighting, and for
restarting the main generator. A diesel-powered emergency generator of 250 to 500 kW should be
adequate.
In addition to the emergency generator, an uninterruptible power supply (UPS) unit should be
installed to provide power for detectors, alarms, essential instrumentation and control devices, and
emergency lighting. This unit will provide power until the emergency power generator is started.

Flare and Vent System

The purpose of the flare system is to collect and burn all gas and LNG discharges from the facility.
Such discharges could occur during unusual operating conditions such as very low sendout or
during upset/emergency conditions. Sources of flare or vent gas include: safety relief valve
discharges, controlled discharges from LNG storage tanks, controlled discharge from other
equipment, and depressurization of the facility for maintenance or during an emergency. Low
pressure gas discharges from most equipment and piping can be conveniently routed to the LNG
storage tanks, and only discharges from the storage tanks will enter the flare system.
Considerable flexibility can be obtained by having two flare systemsone for low-pressure
discharges and another for high-pressure discharges. The main sources of discharge into the lowpressure system are the LNG storage tanks. Normally, the vapor handling system will be capable
of maintaining the tank pressure within allowed operating limits, and relief valve discharge from
the storage tanks would be rare. LNG storage tanks are also fitted with atmospheric relief valves.
In the extremely unlikely event that the normal relief valves (which discharge into the flare system)
are unable to handle the relief flow the atmospheric relief valves will open and discharge natural
gas to the atmosphere.
Any LNG that needs to be discharged will also be directed into the low-pressure flare system. The
cryogenic liquid will first be collected in a flare knock-out drum, from where it will be vaporized
into the flare system.
The high-pressure flare system handles gas discharges mainly from the vaporizer discharge.
An alternative to flaring is venting. Venting involves discharge of gas into the atmosphere. Natural
gas at ambient temperature is only about 60% as heavy as air, and natural buoyancy will cause it
to rise and disperse into the atmosphere. However if the natural gas temperature is 100 oC or
lower its density will be higher than that of ambient air, and dispersion into the atmosphere may
not be efficient. If cold natural gas is to be vented, it may require heating prior to discharge. Some
designers consider venting to be safer because it avoids the continuous flame which flaring

11-4

requires. Also, the fuel required to heat occasional discharges of cold gas has been estimated to be
less than that consumed in the pilot flame of a flare.

Waste Water Disposal

Waste water sources include: storm water (non-contaminated), sanitary water, oily water and
excess water from submerged combustion vaporizers (SCV).
Surface water run off from paved terminal areas and LNG impoundment areas is normally directed
into drainage ditches and can be discharged into the sea. Sanitary waste water can be discharged
into the public sewer system, if available. If a connection to the public sewer is not available a
sewage treatment unit will have to be installed as part of the terminal facilities.
Sources of oily water would include surface drainage from oil contaminated areas like compressor
lube areas, air compressor building, maintenance building. This water should be treated as required
by local regulations.
If SCVs are used, the excess water produced from these units will have to be treated for pH control
before being discharged from the plant.

Odorization System
The purpose of the odorization unit is to give the natural gas its characteristic odor so that any
leakage can be easily recognized. The odor comes from injecting very small quantities of
mercaptans, which are sulfur compounds. The need for odorization will depend on local
requirements. The odorant liquids have an extremely powerful and unpleasant smell, and potential
leakage points should be carefully monitored.
Odorization equipment can be purchased as a package unit.

Metering System
The purpose of the metering system is to calculate and record, to the desired accuracy, the quantity
and the analysis of the gas leaving the terminal battery limit. Since gas is priced based on the heat
content rather than volume, it will be necessary to measure both the volume of gas sent out and its
heating value. Hence instrumentation must be provided to measure or calculate the gas volume, the
gas density and the gas analysis.

11-5

CHAPTER 12
SAFETY AND FIRE PROTECTION
LNG hazards result from three main factors:
q
q
q

Its cryogenic temperature

Its flammability characteristics
Its dispersion characteristics

LNG Hazards
LNG is a cryogenic liquid, with a temperature of approximately 162 oC. By itself LNG will
neither burn nor explode. But like other cryogenic liquids LNG can cause freeze burns, and, upon
prolonged exposure, it can cause more serious injury. Because of the extreme cold, metals and
other materials that come in contact with LNG will cool rapidly and could be subject to extreme
thermal stresses. Unless these materials are designed for very cold temperatures the thermal
stresses could cause brittleness, fractures, or other loss of tensile strength.
The selection of the right materials of construction for equipment, containers, piping and fittings
that normally come in contact with LNG is fairly straightforward. However, a safe design should
also make appropriate provisions for situations where components such as structural members,
which are not normally exposed to LNG, might be subject to cryogenic temperatures as a result of
a spill or other credible events.
Another hazard of LNG stems from the flammability of vaporized LNG. When LNG is released
from a container or piping it will boil and vaporize. Initially, heat gain from the ground,
surrounding concrete, pipework, and even ambient air, will be rapid. As these surroundings cool
down the rate of vaporization will diminish. If the spillage is over a large body of water rapid
vaporization can continue because the water is a large source of heat.
Each volume of LNG, when vaporized and warmed to ambient temperature, will produce more
than 600 volumes of vapor (or gas). In the beginning the vapor will be close to the liquid
temperature, and hence heavier than air. As more heat is absorbed from the ambient, and the vapor
becomes lighter than air, it will rise and can be carried away by the wind. This results in the socalled vapor cloud. LNG vapors in a 5% to 15% (by volume) mixture with air are highly
flammable. Such low concentrations typically exist at the edge of the vapor cloud. If a source of
ignition is found there is a high risk that the flame will propagate (burnback) towards the
evaporating liquid pool and ignite the pool. The longer the spillage continues the larger will be the
size of the LNG pool and of the resulting vapor cloud.
The ignition of the vapor cloud, or a large LNG pool fire, can cause extensive damage to life and
property. Hence, prevention of spills, and provisions to deal with spills in case they were to occur,
are major factors in designing safety systems.

12-1

Safety Protection Systems

Protection systems to counter some of the LNG hazards mentioned above can be divided into two
categories:
q

Passive systems: built-in design features that prevent or minimize the effect of hazardous
situations. They do not need to be activated, either manually or automatically, to achieve
their intended safety function
Active systems: measures to detect hazardous situations in a timely manner and provide
ways to avoid or minimize damage from these situations.

The design and implementation of fire and safety protection systems requires careful planning and
expert advice. The following is merely a summary of some of the common safety factors and
features considered in the design/operation of LNG terminals.

Passive Safety Systems

An important aspect of passive safety pertains to terminal layout. Adequate distances between
different parts of the terminal facility should be provided. These include distances between the
LNG storage tanks, between the storage area and the jetty, between the process/vaporization area
and the other parts. Sufficient clearances must be allowed to permit easy access to fire fighting and
other emergency personnel if a hazardous situation were to arise.
LNG impoundment areas are intended to contain an LNG spill, so that it does not spread to
adjacent areas. They also serve to limit the surface area of the liquid pool resulting from an LNG
spill, and thus reduce and control the size of the vapor cloud. Also, it may be possible to locate
impoundment basins such that a vapor cloud disperses away from, rather than towards, an area
where its ignition is likely to cause major damage.
The dikes or bunds surrounding single-containment LNG tanks are also impoundment systems that
provide passive protection. For above-ground storage the dikes are capable of holding the entire
tank volume. For smaller spills, special provisions like curbed areas, channels or sumps are
sometimes provided. This will prevent a small spill from spreading over a large area. Impoundment
areas may be covered with insulating materials like lightweight concrete so that the vaporization
rate of LNG, in the event of a spill, will be limited.
Special provisions, like installation of seismic isolators for LNG tanks in areas of high seismic
activity, are also examples of passive safety. Likewise, in-ground LNG tanks and enhancedintegrity tanks can also be regarded as providing added safety in a passive manner.
Modern LNG tanks avoid bottom and side penetrations. All penetrations, including those for LNG
sendout, are through the roof. This will substantially reduce the amount of LNG spilled in the
unlikely event of a rupture or leakage in the sendout piping. In older tanks, where bottom and side
penetrations are common, shut-off valves are provided to stop sendout flow in case of line rupture.

12-2

Maximizing use of welded connections, instead of flanged connections, will reduce the likelihood
of leakage. Further, collars or shields installed around or beneath flanges or valve fittings can
prevent LNG spills from contacting fittings and structures that cannot withstand cryogenic
temperature. Insulating concrete can be used to provide cold protection on structural steel, selected
tank roof sections, and pipework. Alternatively, materials of construction that are less prone to
cold damage (e.g. concrete) can be used. Insulating concrete can also serve as fire-proofing for
structural materials.
LNG pumps with submerged motors avoid the use of seals and thus avoid another likely source of
LNG leakage.

Active Safety Systems

Active safety entails detection of potentially hazardous situations like spills and leaks, and taking
protective action to limit the consequences of a hazardous situation. Detection devices are used for
low-temperature, gas, fire and smoke.

i. Low-temperature Detectors
Timely detection of an LNG spill or of a gas release can be critical in mobilizing a response to
control the situation. Temperature sensors capable of detecting the presence of LNG (due to its
extreme cold) are installed in locations where LNG spills can collect. Gas detectors can detect gas
that has vaporized from an LNG spill, or is leaking from equipment/piping that contains gas. Fire
detection devices are based on sensing the high temperature from a fire. These automatic sensors
can be supplemented by visual (manual) sensing via cameras hooked up to a closed-circuit
television monitoring system
Low-temperature detectors are usually installed in impoundment basins, in LNG tank dikes, around
flanged LNG connections, in the jetty unloading area, along the unloading line pipeway or trestle,
and around major LNG-containing equipment like recondensers, pumps and vaporizers.

ii. Gas Detectors

Gas detectors may be used either by themselves or to supplement the low-temperature detectors in
the locations mentioned above. They are installed in all areas where natural gas is handled: boil-off
compressors, vaporizers and the metering station. Gas detectors are also installed in the fresh air
intake to pressurized buildings.

iii. Fire and Smoke Detectors

Fire detectors operate on the basis of detecting the effects of a fire: heat, flame or smoke. Flame
detectors operating on the ultraviolet/infrared principle respond rapidly to the radiation from a fire,
provided they are not obscured by smoke. They are prone to frequent false alarms. Heat detectors,
which respond to high temperature, are not prone to false alarms, but are much slower to respond.
Smoke detectors operate on the ionization or photoelectric principle, and are used mostly in
buildings.

12-3

iv. Safety Monitoring and Response

Every LNG terminal has some combination of flame, heat and smoke detectors. The number, type
and location of these detectors will depend on the design and operational philosophy for the safety
system.
The detection of low temperature, fire or gas should result in an alarm in the control room. In
addition, local alarms may be sounded as appropriate. Automatic response action, such as
initiation, production and delivery of high-expansion foam, may be provided for selected areas like
LNG impoundments.
Visual observation is another effective means for detecting potentially hazardous situations.
Operator patrols should look for signs like unusual ice-formation, smoke or fire. Most LNG
terminals also have closed-circuit TV systems for monitoring strategic areas where spills or leaks
are a possibility. They also allow for early assessment of the size of a spill or fire so that
appropriate emergency response can be mobilized.

v. Other Safety Detection

At the unloading jetty the emergency shutdown system (ESD) and the associated shut-off valves
are intended to allow a rapid and safe shutdown of LNG transfer. The ESD system may be
activated either automatically or manually, for a variety of reasons. In addition to LNG spill or
fire, these reasons might include factors like excessive arm travel, unloading arm hydraulic failure,
or plant emergency. Power emergency release couplings (PERCs) are installed in many terminals
to automatically disconnect the unloading arms.
Varying levels of instrumentation and alarm shutoff devices are used to prevent overfilling of LNG
tanks. Redundant instruments, preferably of different types, may be used to monitor the level.
Again, flow shut-off in the event of an impending overfill may be manual or automatic.
The pressure relief valves and vacuum relief valves on the LNG tanks are examples of devices that
sense and automatically respond to a potentially hazardous situation. These valves are intended to
supplement the protection provided by the flare relief valves, alarms and other protective devices.
Pressure relief valves and thermal relief valves (for LNG-filled systems) also protect equipment
and piping other than LNG tanks.

Fire-Fighting and Protection

Active protection systems are intended to respond to a hazardous situation that has been detected.
The response may be automatic or manual. The response systems include: foam generators, fixed
powder systems and water sprays.

i. Foam Systems
High-expansion foam generators are used in nearly all LNG terminals. The foam is effective both
in helping with vapor dispersion and in controlling fire. The mechanism by which the foam works
is quite complex. Tests have shown that a foam expansion ratio of 500:1 (that is, 500 liters of foam

12-4

from 1 liter of solution) gives superior performance for controlling vapor dispersion and for
controlling fires.
After an LNG spill has occurred the foam can be effective in dispersing the vapors upwards, and
away from potential sources of ignition. There is sufficient water in the foam so that the cryogenic
vapor rising through it warms up. This warmer vapor, lighter than the surrounding air, disperses
upward due to natural buoyancy, and sideways due to wind. Since potential sources of ignition are
more likely found close to ground level, the upward dispersion substantially reduces the chances of
ignition.
In the event that the LNG pool ignites the foam also provides some control over the rate of burning.
Because the foam essentially blankets the liquid surface it limits the radiant heat transfer to the
LNG pool, and thus reduces the rate of vaporization. Consequently, the rate of burn is limited.
Repeated applications of foam may be required until all the LNG has been burned in a controlled
manner. For the high-expansion foam to be most effective it must be applied rapidly after the spill
starts. For this reason, it is common practice to automatically activate the foam system when a low
temperature is sensed in the LNG impoundment areas.
Besides the fixed foam generators installed in various high-risk locations many terminals also have
mobile foam generators mounted on fire trucks.

ii. Dry Powder Systems

Dry powder systems are used for extinguishing LNG fires in the open air. To extinguish a burning
pool of LNG, dry powder should be applied above the surface of the liquid, without allowing the
powder to agitate the liquid. Agitation of the liquid will increase vaporization and will increase the
burning rate instead of extinguishing the fire.
Dry powder units are based on sodium bicarbonate or potassium bicarbonate. These units may be
hand portable or wheeled for smaller capacities, skid-mounted for larger capacities, or installed on
a chemical fire truck for a combination of high capacity and mobility. A typical terminal might
have all of these types, installed at various locations. It should be noted that sometimes a controlled
burning of an LNG pool fire might be preferred over extinguishing the fire.
For indoor fires Halon systems were used in early years. Because Halon contains a fluorocarbon it
is no longer an acceptable product for fire extinguisher systems. Substitutes for Halon are used to
fight indoor fires in areas like the control room, switch gear room, compressor house, etc.

iii. Fire water Systems

Water is not effective in fighting LNG fires. However it does serve an important function in fire
control because of its ability to provide cooling to materials that are exposed to a fire in an
adjacent area. For example, in the event of fire on an LNG tank, a water spray of sufficient size on
the adjoining tanks (and related pipework) can provide protection against radiation damage. Such a
water spray (or deluge) would cover the roofs and the vertical walls of the tanks being protected.
Fire water protection will also be needed in the unloading jetty and in the process areas.
Fire water is also needed in sufficient quantities for the high-expansion foam generators.

12-5

Supply of water for fire fighting, in adequate quantity and at sufficient pressure, should be ensured.
The fire water supply system includes the fire water pumps of required capacity and the piping
network to convey the water to the individual users. Seawater or fresh water may be used. Since
fresh water is less corrosive, some plants use stored fresh water as the primary source, and
seawater as a secondary source.
At least two fire-water pumps should be provided. Independent power sources should be provided
so that full fire-water capacity can be maintained even if one of the power sources is out of service.
A diesel-driven fire-water pump can be used as the backup to motor driven pump.
For determining the capacity of the fire water system the terminal is divided into different areas like
the unloading jetty, LNG storage, and process facility. The area which has the largest demand will
determine the size of the system.
The fire water header must be maintained at a sufficient pressure so that the system is in a state of
readiness all the time. This pressure is maintained by circulating water at a low rate, using small
capacity pumps called jockey pumps.
One or more fire trucks with adequate water capacity may also be provided.

Safety in Operation
Designing for safety is only an important first step to ensure that life and plant property are
safeguarded. The safety features built into the facility must be complemented by a well planned
and managed operational safety program. Safety training covering various aspects of LNG hazards
should be given to all plant personnel. Safety procedures must be clearly spelled out in manuals,
and updated when new features or equipment are added. Safety audits should be conducted at
periodic intervals; usually insurers will also mandate these. In summary, safety awareness and
practice should be an integral part of the terminal operation.

12-6

Dry chemical unit (left foreground) and foam generator (right foreground), located adjacent to the
second stage LNG pumps (background). (CMS Trunkline LNG Terminal, Lake Charles, Louisiana)

CHAPTER 13
INSULATION
The main functions of insulation in an LNG receiving terminal include:
q
q
q

Reduction of heat leak into tanks, equipment and piping that contain LNG
Control/prevention of condensation of water vapor on cold equipment and pipe
Protection of personnel from freeze burns

Insulation is a significant expense in an LNG terminal, and can account for 3 to 5% of the facility
capital cost. Application of insulation is time-consuming and usually done after mechanical
erection of piping and equipment. Therefore, proper planning and scheduling of insulation is
essential to ensure timely startup of the facility.
Insulation is used both for high-temperature and low-temperature applications. In an LNG terminal
the vast majority of the insulation will be for low-temperature systems, and only this application
will be discussed here.

Criteria for Effective Insulation Systems

While the insulation material is a major component of an insulation system, the overall
effectiveness will depend on the proper design, manufacture and installation of each of the system
components. A good cryogenic insulation system should meet the following criteria:
q
q
q
q
q
q
q
q

Have adequate insulating capability. This usually means a sufficiently low thermal
conductivity
Be impermeable (or have negligible permeability) to ingress of moisture
Have sufficient mechanical strength for the intended service
Be easy to install or apply, especially on complicated shapes like valves and fittings
Have material properties, especially thermal conductivity and mechanical strength, that are
reproducible and do not vary significantly from one batch to the next
Not contain corrosive contaminants that could damage the equipment or piping that are
insulated
Not have burning characteristics that could cause a fire to spread
Have reasonable cost

Properties of Low-Temperature Insulation

Table 13-1 shows the thermal conductivities and relative water permeabilities of four lowtemperature insulation materials. All four materials have low thermal conductivities suitable for
cryogenic application. However, the water permeabilities are vastly different. In cryogenic
applications permeability to water vapor is a major problem. If water vapor penetrates the
insulation it will deposit as ice at the cold surface. This will progressively destroy the insulation
properties of the material.

13-1

Cellular glass has the advantage of zero water permeability. Polyurethane foam (PUF) has
reasonably low permeability. Polyisocyanurate foam (PIR) is another organic foam with
characteristics quite similar to PUF. Because of these characteristics cellular glass and organic
foams (PUF or PIR) are the most commonly specified insulating materials for LNG applications.
Fiber-glass blanket is commonly used in certain parts of the LNG tank insulation system, an area
where moisture ingress will not occur (see Chapter 8).

TABLE 13-1
Comparison of Thermal Conductivity and Water Permeability
for Common Cryogenic Insulation Materials

Insulation Material
Cellular glass
Polyurethane foam
Polystyrene foam
Fiber glass blanket

Thermal Conductivity,
W/moC
-160 oC
20 oC
0.026
0.037
0.013
0.040
0.013
0.035
0.02
0.04

Relative Moisture
Permeability
0
0.3 to 0.6
1 to 4
100 to 200

Expanded granular perlite is commonly used as the insulation material in the annular space
between the inner and outer walls of double-walled cryogenic storage tanks. The material is
produced by the expansion of natural perlite ore by heating. Perlite ore is a naturally occurring
volcanic rock found in large deposits throughout the world. The ore contains about 3.5% water by
weight. The ore is crushed and rapidly heated. The vaporizing water expands the granules up to 20
times their original volume.
The thermal conductivity of perlite is a function of the type and pressure of the gas in the
interstitial spaces, and of the granule diameter. Perlite is relatively inexpensive, easy to install, and
inert. This explains its popularity in high-volume applications like LNG tanks.
The outer surface of a cold insulation system will be at a lower temperature than the surrounding
air. The system should be designed so that condensation of moisture on the outside surface is
avoided most of the time (say at least 75% of the time when it is not raining). Quite often it is this
criterion that will determine the required insulation thickness.

Vapor Barriers
When PUF or PIR insulation is used vapor barriers will be needed to prevent moisture ingress.
Vapor barriers take three forms:
q

Structural barriers: often prefabricated to exact dimensions and ready to install, these are rigid
sheets of reinforced plastic, aluminum or stainless steel jacketing.

13-2

Membrane barriers: metal foils, laminated foils and treated papers, plastic films and sheets,
and coated felt and paper. These are either part of the insulation as supplied, or can be
supplied separately

Coating barriers: These come in fluid form as a paint (or semi-fluid of the hot-melt variety).
The material may be asphaltic, resinous or polymeric. They provide a seamless coating, but
require time to dry.

The lower the temperature the greater is the required performance of the vapor barrier. For LNG
systems, with the operating temperature around 160 oC, the effectiveness of the vapor barrier is of
critical importance

Fire Behavior
Because the insulation system comprises of many componentsthe insulation itself, the coatings
and mastics, jacketing, etcthe fire behavior of the whole system should be evaluated. In the event
of a nearby fire the insulation system should not cause the fire to spread.
When an insulation system is exposed to fire there may be a tendency for some of the system
components to pyrolyze (burn). Special attention should be paid to ensure that the outer
jacketing will allow the pyrolysis products to be discharged to the atmosphere without significant
risk of toxicity or ignition. This is particularly important when metal jackets are used.

Installation of Insulation
Installation of insulation systems is a fairly labor-intensive and lengthy operation. The method of
installation and securement will be different for different applications like small pipes, large pipes,
valves and fittings, equipment, large tanks, etc. Preformed cylindrical sections with factory-applied
jackets may be appropriate for small pipes. For larger pipes, the most suitable method will depend
on the length of pipe. For small lengths, precut segments may be appropriate, but for long lengths,
like the unloading line, pre-insulation might be a better option. For example sprayed polyurethane
foam and a vapor barrier coating, applied in controlled shop conditions, might result in better
quality and lower cost than on-site application. With this method the welded joints can be insulated
on-site after installation.
Pre-insulation, prior to erection, may also be advantageous for large equipment. This is especially
true if the equipment is tall and needs extensive scaffolding for on-site insulation. In terms of
construction logistics the three functionspainting, insulation and fire-proofingare closely
related. Proper coordination of these activities can ease schedule concerns during the critical final
stage of a terminal project.

13-3

CHAPTER 14
PURGING, DRYOUT AND COOLDOWN
The cryogenic nature of LNG and the fire hazards associated with natural gas require that special
steps be taken to ensure safe and trouble-free startup. Among the many important steps, three
deserve particular attention: purging, dryout and cooldown.

Purging
Purging is an operation intended to avoid the formation of combustible mixtures when an enclosed
space is changed from air to combustible gas or vice versa. If air contained in a chamber
(equipment or piping) is directly replaced by a combustible gas (such as natural gas), a mixture
within the flammable limits of the gas and air will be formed during part of the replacement
operation. Similar mixtures within the flammable limits will also be formed if the gas in the
chamber is directly replaced by air. Although ignition of such combustible mixtures can be
prevented, avoiding their formation is an accepted safety precaution.
Flammable limits: These are the lowest (lower limit) and highest (upper limit) concentrations of a
specific gas or vapor mixture with air that can be ignited at ordinary temperature and pressure.
Other terms used are explosive limits, limits of inflammability, and limits of flame propagation.
(Note that the word inflammable is often misunderstoodit has the same meaning as flammable).
The flammability limits vary with temperature and pressure. If natural gas is assumed to be
methane, its flammability limits at normal ambient conditions are 5% (lower limit) and 15% (upper
limit).
When purging into service, sufficient inert gas is added to dilute the air so that upon subsequent
addition of natural gas there will be no chance of the mixture falling within the flammable limits.
Similarly, when purging out of service, sufficient inert gas is added to dilute the natural gas so that
upon subsequent addition of air there will be no chance of the mixture falling within the flammable
limits. Flammability end-point diagrams can be constructed to determine the end points for the
purging operation. In any purging operation, it is a good rule to purge too much rather than too
little. Hence, a substantial margin (at least 20%) should be allowed beyond the end-point
concentrations calculated from the diagram.
After a satisfactory end point has been reached the purged atmosphere must be closely rechecked to
make sure that residues, leaks or other conditions will not create a dangerous situation later. The
importance of properly conducting a purging operation should not be underestimated Many
avoidable accidents, including fatalities, have occurred because purging was not properly
conducted. Close attention must also be paid to the sampling and testing procedures, the number of
samples, the sampling locations etc.
For cryogenic systems nitrogen is the most convenient purge medium. Its advantages include
constant quality, relatively easy availability, reasonable cost and non-toxic nature.
The mechanisms of purging are fairly simple. Replacing one gas by another in an enclosed space is
accomplished by two distinct actions: 1. displacement, and 2. dilution or mixing. In a purging
effected entirely by displacement, the gas or air originally present is pushed out (pistoned out) of

14-1

the escape vents by the entering inert purge medium. There is little or no mixing. Under ideal
conditions the volume of inert gas required will be equal to the volume of air or gas to be replaced.
Purging by displacement may be effective if there is a significant difference in densities between
the purge medium and the gas or air to be purged out. Thus, upward displacement of natural gas
by nitrogen (about 75% heavier than natural gas) can be quite effective, but displacement of air by
nitrogen (nearly same densities) will not be. For displacement to be effective, the inlet velocity of
the inert gas must be low, and the outlet nozzles should be properly located to maximize the
displacement effect.
Mixing or dilution is the other mechanism for purging. If one assumes that the gases in the
container are completely mixed at every point during the purging operation, the concentration
profile as a function of time can be calculated mathematically. Purging by mixing will be most
effective if there is sufficient turbulence in the entire container. Both the velocity of the purge
medium and the location of the outlet nozzles will determine the effectiveness of mixing.
In practice, neither the displacement mechanism nor the mixing mechanism will be 100% efficient.
That is, there will be some mixing when purging by displacement. And, mixing will not be perfect
when purging by that mechanism. Hence, calculated purging medium quantities and purging time
should be considered as approximate. This also emphasizes the need for proper sampling methods
and procedures to verify that the purging end point has been achieved.
Good organization, planning and preparation are essential for a successful purging operation.
Responsibility and authority for the operation should be vested in a person who is familiar with the
properties and nature of the materials involved, and the construction and function of the equipment
to be purged. A written procedure detailing the sequence of all operations related to the purging
must be prepared.

Dryout
Dryout is the operation by which the moisture in cryogenic equipment and piping is completely
removed. The assurance of complete dryness in cryogenic piping and equipment is of utmost
importance due to the undesirable effects of moisture freezing on valves and equipment. Even small
amounts of moisture, at cryogenic temperatures, could freeze in valve stems or valve seats and
render them incapable of proper operation. Floating ice crystals act as abrasive particles and could
bind and damage rotating elements.
The level of dryness is usually measured by the moisture dew point. For cryogenic installations,
dryout to a moisture dew point of 75 oC is desirable. This may be difficult to achieve in practice,
especially in certain difficult-to-reach points of piping and equipment. A dew point of 20 to 40
o
C is usually considered acceptable so long as it can be confirmed that it is the true dew point,
properly sampled and measured.
Table 14-1 shows the moisture content of air, expressed in parts per million (ppm) volume, as a
function of dew point, at atmospheric pressure. The figures will be very similar for natural gas
also. It is clear from this tabulation that at 20 oC dew point the amount of water in the system will
be about 1,000 fold compared to a 75 oC dew point. Because of this rapid increase in saturation
moisture content at higher dew points one should attempt a dryout to as low a dew point as

14-2

possible. The moisture remaining in the plant will eventually accumulate in certain cold areas and
cause blockage after a period of operation.

TABLE 14-1
Approximate Moisture Content of Air as Function of Dew Point
(at atmospheric pressure)
Dew Point Temperature, oC
0
-20
-40
-60
-80

Water Content, ppm volume

6,200
1,000
125
11
<1

The most common method used to dryout process equipment and piping is to use a dry gas
typically air, natural gas or nitrogen. The level of dryness (that is, the dew point) of the drying
medium is extremely important. The end dew point achieved in the equipment and piping can be no
better than the dew point of the drying medium.
Natural gas is a good drying agent. However, it may not be conveniently available for initial dryout
of an LNG terminal. Dry, inert nitrogen is another medium that is commonly used. It can be hauled
to remote locations, in a liquid state, by trucks. Portable vaporizers are also available which can
vaporize the liquid nitrogen and heat it to the desired dryout temperature. The warmer the
temperature the faster the dryout will be. But care should be exercised not to exceed the upper
design temperature of the equipment and piping, which can be quite low for cryogenic applications.
The dryness of the vaporized nitrogen must be carefully monitored. The main disadvantage of
nitrogen as a drying medium is its high cost when imported in liquid form. Also, dryout of a
terminal might require several truck-loads in a short time, and transportation and delivery could be
a problem.
Air is a satisfactory drying agent in many applications. Portable generators can be used to produce
dry air with dew points as low as 75 oC. Air produced by this method gives a moisture content as
low as that obtained from vaporizing liquid nitrogen. However, dry air can be generated at a
fraction of the cost of liquid nitrogen. If combustion hazards do not exist (for example during
initial dryout of an LNG terminal there would be no natural gas present in the system) air drying,
followed by nitrogen purging, will often prove to be more economical than accomplishing the entire
dryout using vaporized nitrogen.
The careful planning and control required for conducting a successful purging project also apply to
dryout. One major difference is that estimating the time and quantity of gas required to achieve a
low water dew point is much more difficult than estimating these parameters for a purging end
point. In addition to the planning and control, the reliability of the measuring instruments and the
ability of the dryout team to correctly interpret the readings are key elements to success.

14-3

Cooldown
A gradual and systematic cooldown of piping and equipment should be done before normal
operating conditions are established in the system. The purpose of such a cooldown is to prevent
thermal shock to the equipment and piping, and to avoid overstressing of piping supports, vessel
walls, pump casings, etc.
In principle, cooldown can be accomplished by introducing LNG directly into the system.
Experience has shown that such a procedure will almost always result in separation of liquid and
vapor. As a result, the bottom portion of piping, where liquid will tend to accumulate, will be
cooled more rapidly than the top. This will cause a greater thermal shrinkage at the bottom portion
of the pipe before an equal shrinkage occurs at the top. When this happens the pipe can bow,
even to the extent of lifting the pipe off of its supports. In extreme cases permanent distortion of the
pipe can occur. For this reason the preferred method of cooldown is with cold vapor which ensures
a uniform temperature change in piping and equipment.
Every effort should be made to avoid conditions that will cause the difference in pipe temperature
between the top and bottom to exceed 40 oC. This requirement is less critical for smaller diameter
pipes, especially those less than 8-inch (200 mm) in diameter.
Cooldown of cryogenic systems should be done gradually. Limiting the maximum temperature
differential within the equipment or pipe is more important than the rate of cooldown. But a slow
cooldown rate allows for better control of the maximum temperature differentials. The limit on
maximum cooldown rates is usually set as a method of ensuring reasonably uniform temperature
profiles. Vendors of equipment will usually specify the cooldown parameters, and these should be
followed. For large vessels and exchangers (except LNG tanks), a cooldown rate of 25 oC per hour
is typical. For LNG tanks, 2 to 4 oC per hour would be typical. Membrane type tanks are easier to
cool because the thin stainless steel membrane reduces overall thermal stresses. Hence, faster
cooldown rates are possible for these tanks. For all major equipment and piping, sufficient number
of thermocouples should be provided to allow proper monitoring of cooldown.
In a receiving terminal, a test cooldown of critical piping systems is often carried out prior to
arrival of the first cargo. This will provide an opportunity to observe pipe movements and ensure
the integrity of the pipe supports. If any corrective actions are necessary, they can be completed
before the first LNG cargo arrives. Cold nitrogen, vaporized from its liquid form, is the most
convenient medium for a test cooldown. Also, if possible, at least one tank and the associated
unloading piping, should be cooled and ready for accepting LNG when the first ship arrives. This
will minimize ship turn-around time and thus reduce demurrage costs. If pre-cooling is not
possible, or is too expensive, LNG from the ship can be used for the initial cooldown. Sendout
piping and equipment, and subsequent tanks, can be cooled with LNG from the first tank.
The initial cooldown is also a good opportunity to monitor the general behavior of the insulation.
The integrity of the insulation system, particularly its expansion/contraction provisions, can be
confirmed at this time. Areas where sweating occurs must be examined and the cause determined
and corrected.

14-4

The first cooldown of an LNG receiving terminal is a major operation. Large amounts of nitrogen
are consumed in a relatively short period. Typically, cooldown of terminal piping would require 20
to 30 truck loads (18,000 kg per truck) in a period of 8 to 16 hours. Cooldown of one LNG tank
might require about 20 truck loads over a period of about 2 days.
If large quantities of liquid nitrogen are not available, cooldown using the LNG from the first cargo
ship may be the only practical option. For example the Inchon terminal in South Korea,
commissioned in 1996, used LNG from the ship to cool the unloading system and the first LNG
tank. It is reported that 12 days were required to complete this operation, at which time the ship
was able to leave. Subsequent tanks and the remaining terminal systems were cooled using LNG
from the first tank. It took a total of 40 days from the first arrival of the ship to cooldown the entire
facility.
Methods to calculate cooldown flows and estimate nitrogen quantity are fairly straightforward. The
planning and coordination for cooldown are similar to purging and dryout. There is however one
major difference. If cooldown is stopped midway, the system will warm up due to heat leak from
the surroundings. Recommencing the operation after a long delay will be equivalent to a new start
and will require additional liquid nitrogen. These uncertainties make the planning of a cooldown
project more complex.

14-5

CHAPTER 15
PROJECT DEVELOPMENT AND IMPLEMENTATION
An LNG receiving terminal project goes through many complex, and often prolonged, phases
before it reaches the implementation phase. Once it reaches the implementation phase (often
referred to as the engineering/procurement/construction/commissioning or EPCC phase) project
schedule becomes critical, both for reasons of project cash flow and LNG offtake obligations. This
chapter will discuss the key steps involved during each of these phases of an LNG terminal project.
Figure 15-1 is a simple flow chart showing the major project steps. Typically, the project
development phase includes:
q
q
q
q
q
q

Initial feasibility studies

Site selection, completion of basis of design and detailed feasibility report
Completion of Front-End Engineering Design (FEED)
Selection of Project Management Consultant (PMC)
Selection of project financing consultants and securing project finance
Invitation of EPCC bids

The implementation phase includes:

q
q
q

Evaluation of EPCC bids and award of contract

Detailed engineering, procurement and construction
Commissioning and startup

FIGURE 15-1
Major Steps in Developing and Implementing
an LNG Receiving Terminal Project

Initial Feasibility Studies

Select Site & Establish

Basis of Design

Front-End Engineering
Design (FEED)

Select Project
Management Consultant

Invite
EPCC Bids

Complete Project
Financing Activities

Evaluate EPCC Bids

and Award Contract

Detailed Engrg, Procurement

and Construction

Commissioning and
Startup

15-1

Initial Feasibility Studies

During this phase the commercial and technical viability of the LNG import project is evaluated.
Potential end users for the gas must be identified, and initial discussions held with the potential
purchasers. Market studies should be done to evaluate competing fuels and the projected
robustness of gas demand and price. Baseload LNG projects require long-term take-or-pay
contracts, and pricing and market projections will require forecasting far into the future. Based on
these market studies the capacity, including the potential for future expansion, should be
determined.
An approximate cost estimate, with a +/-30% accuracy, should be developed to evaluate the
economics. Likely sources of LNG should be identified, and preliminary discussions may be held
with the potential sellers. This step is important because the source of the LNG will have a major
impact on shipping cost, and hence on the price of the imported LNG. During this phase,
consideration should also be given to the likely project financing options. Because of the large
investments involved the commercial robustness of the import project will attract close scrutiny not
only from its own financiers but also from institutions that will finance other parts of the LNG
Project chain.
On the technical side, likely sites should be identified. As much basic site data as possible, for each
candidate site, should be obtained. These include meteorological, bathymetric, soils, seismic and
topographic information. A preliminary design basis will be necessary to support the approximate
cost estimate. Maximum ship size, maximum and average sendout rates, the number and capacity
of LNG tanks, applicable codes and standards, type of vaporization equipment, required batterylimit pressure, etc. are some of the technical parameters that should be established at this stage. If
appropriate, initial shipping evaluations should also be performed.
An initial feasibility study may be done either by the owners themselves or with the help of
consultants. Often the owner might decide to use his own resources for doing the market and
commercial portions of the study, and seek outside assistance for the technical and cost estimate
parts.

Site Selection, Basic Design and Detailed Feasibility Report

If, based on the initial feasibility studies, the owner decides to proceed further, the next logical
steps would be to select the site and establish a clear design basis. Simultaneously, steps for
marketing the gas, for establishing a price structure, and for establishing LNG purchase terms
should proceed.
Site selection criteria are described in Chapter 3. As the candidate sites are narrowed down it may
become necessary to obtain more site data than are available from existing sources. Topographic
and bathymetric surveys, soils analysis, geotechnical studies, etc. may be required before a site is
finalized as being suitable and optimal.

15-2

The basic design of the facility can be completed once the design basis is clearly established. Table
15-1 is a list of parameters that must be defined to arrive at a good basic design. Obviously, this
list is only indicativemany items can be added, and likewise some can be defined later.
The basis is sufficiently defined at this stage to produce what is called a Basic Design Package. A
cost estimate of +/-20% accuracy should be possible with such a definition. A clear idea of the
project execution schedule should also emerge at this point. All these data, supplemented by the
necessary market, economic, safety and environmental studies, can be compiled into a detailed
feasibility report. A report with this level of detail will be necessary to establish credibility with
potential financers, and for entering into serious negotiations with potential LNG sellers.
Most owners would engage the help of a technical consultant to prepare the basic design package.
The detailed feasibility report, of which the basic design package is a component, may be prepared
by the owners team or by outside consultants.

Front-End Engineering Design

If, based on the detailed feasibility report, the project still looks promising, a front-end engineering
design (FEED) might be undertaken. As explained later, the timing and format of the FEED
depends on the contracting strategy adopted by the owner. The purpose of the FEED is to
unambiguously define the project configuration and scope so that it can be used as the basis for
inviting lump-sum turn-key bids from EPCC contractors. This phase is also called the basic
engineering phase.
The technical output from this activity is a complete set of engineering documents defining the
project facilities. It would include process and mechanical flow sheets, plot plans, technical
specifications and equipment specifications. Initial hazard reviews would be done at this stage.
This level of technical definition will, almost always, require the help of an experienced engineering
contractor.
Contractual documents, in a form ready for submission to EPCC bidders, are also usually prepared
at this stage. These documents can be prepared either wholly by the owners team or by the
engineering contractor working closely with the owners team.
The advantage of a well-defined FEED is that EPCC bids can be obtained on a uniform and
consistent basis. This will greatly facilitate evaluation of the bids, especially if a lump-sum turnkey (LSTK) contracting strategy is adopted. But some owners prefer an alternative approach
because a predefined FEED has the following drawbacks:
q

The facility configuration and design/operating philosophy is completely defined by the

FEED contractor. It limits creative and lower-cost solutions that the EPCC contractors
might have to offer. Even when the EPCC contractors are encouraged to offer alternatives,
it makes evaluation of the bids difficult and defeats (at least partly) the purpose of doing
the FEED.

FEED preparation, invitation to bid, and bid evaluation are sequential activities. This
requires a longer project development schedule. Pre-selecting an EPCC contractor, and

15-3

integrating the FEED activities into the EPCC phase, can reduce overall project schedule
by six months or more.

TABLE 15-1
Typical List of Design Basis Parameters
to be Defined for Basic Design
Final site location
Meteorological data
Temperature
Rainfall/snowfall
Barometric pressure
Met-ocean data
Bathymetric data
Wind, wave, and current data
Ocean subsurface data
Seawater temperature
Onshore site data
Soils data
Topography data
Geotechnical and seismicity information
Marine and Jetty facilities
Plans for future jetty addition
Breakwater requirements
Other traffic, cargo handled at port
Construction jetty requirements
LNG ship data
Size and cargo capacity of largest carrier
Other ship sizes to be accommodated
Cargo tank pressure: max, average, min
Ship pump capacity and head
Ship vapor return requirements
Nitrogen and bunker fuel requirements
Data for breasting and mooring dolphins
Unloading and vapor return arm interface
Ship boil-off rate
Custody transfer requirements
Emergency shutdown system interface
Coast Guard/other regulatory requirements
(Continued)
15-4

Table 15-1 (continued)

Unloading Philosophy
Maximum rate and unloading time
Number of unloading /vapor return arms
Number of unloading lines
Applicable Codes and Regulations
LNG tanks
Siting and layout
Fire protection and safety
Environmental and ecological
Piping, electrical, civil, pressure vessel, etc.
Compressors, pumps
LNG Data
Average and extreme compositions
Maximum nitrogen content
Possible additional future sources

LNG Storage Tanks

Number and capacity of each
Type of containment (single, double, full)
Type of construction (membrane, steel,concrete)
Foundation type
Design pressure
Design heat leak
Number and capacity of in-tank pumps
Recirculation pumps and philosophy
Boil-off Gas Handling
Recondenser (yes or no)
Pipeline compressor (yes or no)
Number of B.O. compressors (holding mode)
Number of B.O. compressors (unloading mode)
Spare compressor requirements
LNG Pumpout
Required battery limit pressure
Number of stages
Maximum, average, minimum pumpout rates

15-5

Table 15-1 (continued)

LNG Vaporizers
ORV or SCV or both
Maximum, average, minimum sendout rates
Capacity of each and sparing needs
Allowable seawater temperature drop
Energy integration/cold utilization philosophy
Utilities/Offsites
Electric powerpurchased or generated on site
Service/potable waterpurchased or produced
Flaring or venting
Number of flares
Basic philosophy for fire and safety systems
Insulation, Fireproofing
Type of insulation
Extent and type of fireproofing
Dryout and Cooldown Plans/Philosophy

One contracting strategy, which is finding increasing popularity for liquefaction plants, can also be
used for receiving terminals. The owner pre-qualifies a small number (two or three) contractors,
each of whom prepares his own FEED and a corresponding LSTK price associated with it. This
allows individual contractors to propose their own creative design solutions. This strategy does not
offer a schedule advantage. Also, most contractors would expect a compensation (or at least
partial compensation) to defray the expenses of doing the FEED work.

Project Management Consultant

Not all owners have the internal resources or experience to oversee the award, execution and startup of an LNG terminal project. A project management consultant (PMC) can help the owners
management team with these activities. The extent of help required from the PMC, and the time
when the PMC is brought in, can vary from project to project, and also from one owner to another.
Many owners would prefer to bring in a PMC team prior to evaluation of the EPCC contractor.
The PMC is often an EPCC contractor himself, and thus has a thorough understanding of how to
assess the bids and how to execute a complex project in a remote location. Early mobilization of
the PMC team will ensure that the owners team and the PMC team can work in a coordinated and
seamless manner, and allow the integrated team to be part of the contractor selection process. The
project management consultant may also be called upon to assist with the financing negotiations or
to interface with the financiers.

15-6

Evaluation of EPCC Contractor and Award of Contract

If the contracting strategy is based on a pre-defined FEED followed by LSTK bids, the evaluation
of the bids will be relatively easy. While contract price will be a major criterion in making the
decision, close attention should be paid to other factors. These could include: the number and
extent of deviations between the contractors proposal and the FEED requirements; the
contractors experience; his past history, particularly in the location where the project is to be built;
his engineering and management capability, particularly those of the key personnel assigned to the
project; the financial strength of the contractor and its parent company; extent of sub-contracted
work and qualifications of the proposed sub-contractors.
The alternative to an LSTK contract is the Reimbursable or Cost Plus contract. With this strategy
the contractor is usually paid based on hourly rates for personnel or unit rates for tasks. Such a
strategy allows the owner considerable flexibility to change the project scope, but has a major
drawback in that the project cost is not fixed. For this strategy to be successful the owners team
(including the PMC) must be experienced enough to control project costs, because the
responsibility for the final cost is no longer the contractors alone.
For a reimbursable contract, price is not the main evaluation criterion. The hourly rates, the
productivity of the contractors staff, their ability and willingness to control project cost, past
record, etc. will form the main basis for selection.
Another strategy that is sometimes considered is the Negotiated Lump Sum. It combines elements
of the LSTK and Reimbursable strategies. The project starts out as if it was reimbursable, but
once a clear definition is established the owner and the contractor agree on a lump-sum price for
completion of the project

Project Financing
Cash outflow, in large amounts, will commence as soon as the EPCC contract is awarded.
Therefore it is imperative that the project financing arrangements be fully completed and in place
before contract award. Ideally, the financial closure for the project should coincide with the
selection of the EPCC contractor. But this does not always happen, and a time-gap between
contractor selection and contract award is sometimes inevitable. Contract terms, especially LSTK
prices, have limited validity periods, and it is in the owners interest to achieve financial closure
soon after the contractor has been selected.

15-7

Project Execution
The schedule for a terminal project will depend on a number of factors, the more important ones
being:
q
q
q
q
q

Project location
Number and type of LNG tanks
Extent of port development required
Existing infrastructure
Owners philosophy on pre-ordering

If full-containment LNG tanks are selected, completion of the first tank could take 36 to 40 months
from award to mechanical completion. Additional tanks may be completed in 4 to 6 month intervals
after the first. Assuming that the first LNG cargo can be unloaded with one tank in service, about
42 months should be allowed from EPCC contract award to sendout.
Single-containment tanks can be completed in 24 to 28 months. With this type, the LNG tanks may
no longer be in the critical path for the schedule. About 36 months from contract award to first
sendout would be typical.
The location of the project and the extent of existing infrastructure can have a big influence on the
schedule. For example, significant port development or construction of an extensive breakwater
could alter the critical path.

TABLE 15-2
Typical Project Development and Execution Schedule
for LNG Receiving Terminal

Activity
Preliminary feasibility study
Site selection, basic design, detailed feasibility study
Front-end engineering design
Issue invitation to bid, receive LSTK bids
Evaluate bids, negotiate with contractors
Project award to mechanical completion
Commissioning, purging, dryout, cooldown
Receive first cargo and commence steady sendout
TOTAL

Months
4
6
6
4
3
36 to 42
2
1
62 to 68

One technique available to owners for shortening the project schedule is pre-awarding of critical
sub-contracts. For example, once financial closure appears certain, the owner may decide to
commence engineering work on the tanks, or commence limited site work related to the port
facilities. Obviously, there are some financial risks associated with this strategy, and these must be
weighed against the benefits of earlier project completion. Other factors to consider include the
contracted date for LNG cargo arrival, and the schedule for LNG ship delivery.

15-8

Table 15-2 shows a typical overall schedule for developing and completing a baseload LNG
receiving terminal project. It assumes that marketing, sales/purchase agreements, permitting
activities, and project financing activities are also conducted in parallel.
The schedule could be reduced if the contracting strategies used are different from those assumed
above. On the contrary, if marketing, permitting and project finance activities do not proceed at the
required pace, the project development schedule will be longer.

15-9

CHAPTER 16
CAPITAL AND OPERATING COSTS
Needless to say, no simple formula or equation can be given to estimate capital and operating costs
with even reasonable accuracy. However, certain general observations can be made. These, along
with data from a recent case study, will be used to demonstrate typical cost trends.

Capital CostsGeneral Observations

Some general observations regarding capital costs are:
q
q
q
q
q
q
q
q

The cost will be site specific

Port and harbor development can add significantly to the cost. If breakwater(s) are needed,
expect the cost to go up substantially
Extensive dredging or a long trestle will increase cost. A site with deep water close to the
onshore plant will lower cost significantly
Storage tank costs represent a large percentage of terminal costs. The type of containment
system, the number of tanks and their capacity will have a big influence on the total cost
The applicable codes and regulations will have a major impact
Seawater vaporization is capital intensive, but has much lower operating cost (see Chapter
10)
Existing infrastructure such as access roads, housing, reliable public utility, etc. will help
reduce plant investment
There will be economy of scale; but trends expected in normal process plant practice do
not hold for LNG terminals

Typical Capital Cost

Table 16-1 shows cost data derived from a recent cost study for an LNG terminal in South Asia.
The information should be read in close conjunction with the design assumptions as well as local
site factors, which are included at the bottom of the table.
This type of information can be used to estimate order-of-magnitude costs for different terminal
configurations and different locations, provided proper judgment is used in adjusting the figures.
As an illustration, see Table 16-2 where a somewhat different terminal configuration is assumed,
but for the same South Asia region. The design assumptions are summarized below the table.
A careful comparison of Tables 16-1 and 16-2 will illustrate the importance and validity of many
of the general observations made at the beginning of this chapter.

16-1

Decisions regarding the site (in particular the marine facilities), the type of LNG storage, and the
applicable codes are the biggest contributors to cost differences. The decision between open-rack
(ORV) and submerged-combustion (SCV) vaporizers should be based on total life-cycle costs, and
usually, for a baseload facility, this will favor ORV. The cost for process equipment and related
bulk materials are significant but differences among alternative designs/configurations may not be
large. The same comment applies for utilities, offsites and fire/safety systems, but with one
exception. Onsite power generation equipment is expensive and if reliable power is available from
the grid there can be a significant capital cost reduction. Again, this must be weighed against the
cost and reliability of purchased power.

TABLE 16-1
Cost Breakdown from Recent Study for South Asia Location

Item
Jetty, topworks, trestle
LNG tanks
Vaporization, boil-off handling, pumpout
Utilities, offsites, fire and safety
Allowance for land
Allowance for small township
Owners project management team
Allowance for new port, including
breakwater
TOTAL

Cost, US$
(millions)
48
113
93
49
1
7
15
110

Percent of Total

436

100.0

Basis and Notes for Table 16-1

q Terminal capacity of 3.0 million tpa
q Rural location but close to major roadway
q All utilities generated within the facility
q No existing port. Harbor and breakwater to be built
q Land is plentiful and inexpensive
q Long trestle but no dredging required
q One jetty, capable of berthing 135,000 cubic meter LNG tankers
q LNG tanks are full containment, full hydrotest
q Two LNG tanks at 125,000 cubic meters each
q Seawater vaporizers are used including one spare unit
q Local skilled labor is available
q Import duties and other levies are about 15% of total field costs

16-2

11.0
25.9
21.3
11.3
0.2
1.6
3.4
25.3

TABLE 16-2
Cost Data from Table 16-1 (Adjusted for Different Configuration)

Item
Jetty, topworks, trestle
LNG tanks
Vaporization, boil-off handling, pumpout
Utilities, offsites, fire and safety
Allowance for land
Allowance for small township
Owners project management team
Allowance for port expansion
TOTAL

Cost, US$
(millions)
38
78
147
70
10
15
20
378

Percent of Total
10.1
20.6
38.9
18.5
2.6
4.0
5.3
100.0

Basis and Notes

q
q
q
q
q
q
q

q
q

q
q
q
q
q
q
q

Terminal capacity is 5.0 million tpa

Semi-urban location
All utilities generated within the facility
Existing port, expanded for LNG cargo
Land cost is significantly higher compared to Table 16-1
One jetty, capable of berthing 135,000 cubic mmeter LNG tankers. But shorter trestle
reduces cost compared to Table 16.1
Two LNG tanks, 150,000 cubic meters each, single-containment, partial hydrotest.
Note that tank cost has dropped significantly, despite capacity increase, because of
single-containment and partial hydrotest
Seawater vaporizers are used including one spare.
Boil-off rates during ship unloading is expected to be higher because metal-roof tanks
operate at lower pressure compared to full-containment concrete roof tanks. These and
other factors indicate that an exponent of 0.9, for scaling from 3 million tpa to 5
million tpa, is reasonable
Local skilled labor is available
Import duties and other levies are about 15% of total field costs
Utilities, offsites and fire/safety protection costs were adjusted using a capacity
exponent of 0.7
A larger allowance for land cost is based on the semi-rural location, as opposed to the
rural location for Table 16-1
No allowance is made for a township on the assumption that operating personnel will
find housing in the adjoining community
Owners project management cost is assumed to be unchanged
A major reduction in cost is achieved because of the existing port and harbor
infrastructure

16-3

Like for all process plants, the capital costs will vary significantly from one geographic area to
another. The factors that contribute to this are well recognizedavailability of skilled and semiskilled labor, labor productivity, percentage of equipment and materials that have to be imported,
import taxes and local tariffs, etc. Table 16-3 shows indicative figures for localization cost index
relative to U.S. Gulf Coast.

TABLE 16-3
Localization Cost IndexIndicative Figures (USGC = 1.0)
Region
Alaska
Australia
Caribbean
China
FSU
Japan
Middle East
Pacific Rim
South Asia
South Africa
U.S. Gulf Coast
West Africa

Localization Index
1.31
1.35
1.10
1.37
1.25 to 1.50
1.23
1.17
1.15
1.37
1.25
1.00
1.25

Operating Costs
Significant components of operating cost include:
q

q
q

Personnel costwages, salaries, benefits, etc. for management, operations and administrative
staff associated with the terminal. This is subject to large variations among regions, both due
to differences in staffing structure and in pay scales.
Plant maintenance costincludes maintenance and repair of equipment, consumables (except
fuel gas and electricity), and maintenance labor. This category also varies from one facility to
another, but over a smaller range compared to personnel cost. For planning purposes plant
maintenance can be assumed to be 1% of plant replacement cost.
Marine operations maintenancecan vary over a wide range. In a case study for a Middle
East location, with a dedicated LNG harbor, this was estimated at $6.0 million per year. It
included maintenance of tugs and launches, lube and supplies, structural maintenance supplies
and other operations supplies, but excluded labor costs. If maintenance dredging is required, it
would be an added cost.
Fuel gasmain users of fuel gas will be the SCVs (if these are used) and the power generation
turbine (if power is generated on site).
Other operating costs include insurance, property tax, etc., and should be calculated based on
local rates.

16-4

In addition to the above there may be significant port charges related to the LNG ships. Here they
are assumed to be part of the shipping costs, and not included in the terminal operating cost.
Table 16-4 shows estimated operating costs for the LNG terminal configuration described in Table
16-1.

TABLE 16-4
Estimated Operating Costs for Terminal Described in Table 16-1

Operating Cost Component

Operating Cost,
million US$
per year

Personnel salaries, wages

2.4

Plant maintenance
Marine operations maintenance

2.8
4.0

Fuel gas

1.5

TOTAL

10.7

Remarks
115 local staff + 5 expatriate. This
component is quite low because of the
location.
Assumed to be 1% of plant cost (excluding
port, marine).
Based on specialist estimate.
Primarily for gas turbine generator,
average 6 MW usage. Fuel gas valued at
$3 per million Btu.
This is 2.5% of total terminal capital cost.

For this illustrative example the total annual terminal operating cost is 2.5% of the capital cost.
Personnel salaries and wages are low because of the location. This component can be many times
larger in other locations, especially if more expatriate staff is employed. Fuel use is largely limited
to power generation, because seawater vaporizers are used. Use of SCV will increase fuel usage
many times over (see Chapter 10).
For this example, the terminal operating cost contributes about 7 cents per million Btu vaporized.
The total cost of unloading, storage and regasification will of course include capital charges. For
the example considered here, this total cost, which includes capital charges and operating costs,
ranged between 50 cents and 65 cents, depending on the financing structure and interest rate
assumptions.

16-5

CHAPTER 17
ENERGY INTEGRATION
Many techniques have been considered, and several have been implemented, to improve the energy
efficiency of an LNG receiving terminal. These techniques can be classified into two broad
categories:
1. Methods to use the cold (refrigeration) in the LNG and
2. Methods to use the heat energy from the power generator gas-turbine exhaust (the power
generator may be captive to the terminal or may be part of an adjoining power plant)

Use of LNG Cold

It is a principle of thermodynamics that the lower the temperature at which refrigeration is supplied
the larger is the energy or work required to produce one unit of refrigeration. For example, it is
relatively easy and inexpensive to provide a kW of cooling for a home air-conditioner or
refrigerator. The same kW of cooling at the 160 oC level will require many times the power
required for ambient refrigeration. This explains why the fuel consumption in a liquefaction facility
accounts for nearly 10% of the plant feed.
The expensive refrigeration contained in the LNG is essentially wasted when the LNG is vaporized
in an ORV or SCV. Use of LNG cold can be accomplished in one of two waysdirect use of the
refrigeration, or use of the cold potential to generate power.
Possible direct uses of refrigeration include:
q
q
q
q
q

For air-liquefaction and separation, to produce liquid oxygen, nitrogen and argon
For production of liquid carbon dioxide (for industrial or beverage use)
Provide air-conditioning for buildings in the facility
Provide refrigeration for the food industry
Inlet air cooling for power generation gas turbine

Air Separation
An air separation plant is an attractive option if there is a sufficient demand for the industrial gases
produced from it. The power consumption for such an integrated air separation plant would be
substantially lower compared to a stand-alone plant because the cryogenic refrigeration is free.
There will also be a reduction in capital cost, though some of it will be offset by the extra interface
with the LNG terminal.
Table 17-1 shows typical production rates from air-liquefaction plants integrated with LNG
receiving terminals in Japan.

17-1

TABLE 17-1
Typical Air-Liquefaction Capacities Using Refrigeration from LNG
LNG Usage and
Pressure

Liquid Production, kg/hr

Electric Power
Consumed

Oxygen
Nitrogen
Argon
tph
bars
kW
10,000
3,750
270
8
1
7,900
10,700
9,375
270
23
29.6
8,790
8,570
7,500
180
34.5
9.4/5.4
6,050
8,570
5,000
220
26
9
5,770
Sourced from: Yoshikawa et al, LNG-6 Conference, Session 2, 1980
The pressure of the LNG is an important parameter because a lower pressure provides a lower
temperature and hence higher quality refrigeration. If the vaporized LNG is to be delivered at a
high pressure the quantity of LNG required per kg of liquid produced will increase. For example, if
the LNG vaporization pressure is above 80 bars, it is estimated that about 150 kg of liquid air
products can be made for each tonne of LNG. The typical power consumption in an air
liquefaction plant using LNG cold is less than 50% of the power that would be required without the
LNG refrigeration.
Liquid Carbon Dioxide, Air Conditioning, Food Freezing
These applications require relatively modest amounts of refrigeration, especially compared to the
scale available from a baseload terminal. Typical usage rates are illustrated in Table 17-2.

TABLE 17-2
Typical LNG Usage for Small-Scale Cold Utilization Applications
Application

LNG Usage, tph

Capacity/remarks
Power consumed: 430 kW
Cost reduction compared to stand-alone plant:
50% in power and 10% in plant construction

100 tpd liquid carbon

4
dioxide production,
99.99% product purity
Air conditioning
2.5
Approximate cooling load: 800 kW
Freezing warehouse
4
Warehouse capacity: 12,000 tonnes
Sourced from: Yoshikawa et al, LNG-6 Conference, Session 2, 1980

It is clear that these applications use relatively small quantities of LNG compared to the scale of a
baseload terminal. Except in special instances, practical difficulties make the realization of such
projects improbable. Specifically, these difficulties relate to safety aspects and the expensive
materials/equipment required to handle the cryogenic LNG.

17-2

Inlet Air Cooling for Power Generation Gas Turbine

With the advent of high-efficiency combined-cycle gas-turbines, a major use for imported LNG is
electric power generation. In many cases the power plant is located adjacent to the LNG terminal.
Using LNG to cool the gas-turbine inlet air can result in a significant increase of power output
from the gas turbine. This is possible because the cooler air has a higher density, and for a fixed
volumetric flow a larger mass of air enters the air-compressor of the gas-turbine. This in turn
increases power output and improves combustion performance and efficiency. The fuel
consumption in the gas turbine will increase because of the increased power output.
Even after accounting for certain pressure drop penalties associated with the equipment required
for cooling the inlet air, reduction of inlet-air temperature by each oC will increase power output by
about 0.5%. The increased power output will have to be assessed against the additional investment
in equipment. Typically, inlet air-cooling would be attractive in locations where ambient air
temperatures are high.
Power Generation Using LNG Cold Potential
In a conventional thermal power plant using steam turbines, high-pressure high-temperature steam
is generated using combustion heat. Expansion of the steam across the turbine produces shaft
power which is converted into electricity. The low-pressure steam is condensed using water as the
cooling medium, the condensate is pumped to high pressure, and again used to generate steam. This
is the simple Rankine cycle for power generation.
The same thermodynamic cycle can be used whereby the heat is provided by seawater, and the
cooling for condensation is provided by the LNG. Figure 17-1 illustrates this. Such a cycle is
possible because there is a sufficiently large temperature potential difference between the
seawater and the LNG. For this cycle to work the working fluid or circulating medium should boil,
under pressure, at seawater temperature, and condense at a low temperature. Thus, the seawater
provides the heat (corresponding to the boiler in the steam cycle), and the LNG provides the cold
for condensing (corresponding to the seawater in the steam cycle). Propane is a convenient working
fluid, but other fluids can also be used.
Another cycle that can be used is called the direct-expansion cycle. The principle is the same as in
a gas turbine. LNG is pumped to high pressure and vaporized against seawater. This step is
exactly the same as open-rack vaporization. The high pressure gas from the discharge of the
vaporizer is expanded across an expander (turbine) producing shaft power which is converted to
electricity. Figure 17-2 illustrates the direct expansion scheme for power generation. Such a
scheme may be attractive if the natural gas need not be delivered at high pressure. Combinations of
Rankine and expansion cycles are also possible.
Table 17-3 are sample data for power generation systems using the cold potential of LNG. These
data were published by Osaka Gas based on their experience from operating units. Pay out period
for these units were reported to be about six years.

17-3

FIGURE 17-1
Power Generation from LNG Cold Using Rankine Cycle

LNG/GAS

EXPANDER/GENERATOR

WORKING FLUID

WORKING FLUID
CONDENSER

SEAWATER
NATURAL GAS

LNG

LNG PUMP

SEAWATER

LNG VAPORIZER/HEATER

WORKING FLUID
VAPORIZER

FIGURE 17-2
Power Generation from LNG Cold Using Direct Expansion

NATURAL GAS

LOW PRESSURE
LNG PUMP

HIGH PRESSURE
LNG PUMP

LNG
VAPORIZER

LNG
HEATER/VAPORIZER

EXPANDER/GENERATOR

17-4

TABLE 17-3
Sample Data for Electric Power Generation Using LNG Cold Potential
Power
Output, kW
1,450
6,000
2,500

Cycle Used
Rankine (propane)
Rankine (propane) +
Natural Gas Expansion
Rankine (Freon)*

LNG Usage
tph
60

Seawater Used,
tph
3,000

150
120

6,000
4,000

2,400
Natural Gas Expansion
83
Sourced from: Noda et al, LNG-9 Conference, 1989, Poster Session
*
Note: Freon would not be considered an appropriate medium today, because of current
environmental restrictions.

Recovery of Heat Energy

This scheme recovers heat from the gas turbine exhaust. The gas-turbine might be located within
the terminal facility (such as for in-plant power generation), or it might be located in an adjoining
power plant. Closed circulation of water is perhaps the most convenient medium to transfer the
heat.
With open-rack vaporizers, the recovered heat can be used to supplement the heat provided by the
seawater. However, the savings are expected to be maximum when submerged-combustion
vaporizers (SCV) are used because the recovered heat directly reduces fuel consumption. In the
Zeebrugge LNG terminal in Belgium, such a heat recovery unit has been used since January 1997.
The gas turbine produces 40 MW of power for export to the grid. An additional 72.5 MW is
recovered as heat, and used to vaporize the LNG. It is reported that at 500,000 Nm3/hr of sendout
(approximately 400 tph) this recovered heat provides all the vaporization needs. The burners in the
SCV need to be fired only at higher sendout rates.
Table 17-4 is a summary of the heat and power balance reported for the Zeebrugge terminal. The
energy utilization efficiency is the heating value of the fuel burned in the gas turbine (105.3 MW)
divided by the combined production of power and heat (112.5 MW), which works out to 106.8%.
The efficiency exceeds 100% because the latent heat released by the condensation of water vapor,
which is produced by the combustion of natural gas, is also recovered. Such a high recovery has
been possible because of the unique design of the heat recovery system.

17-5

TABLE 17-4
Example of Combined Heat and Power Recovery Effectiveness
MW

Item
Heat content of fuel to gas turbine
Power output
Sensible heat extracted from GT exhaust
Water latent heat extracted from GT exhaust
Total recovery of heat and power

105.3
40
62
10.5
112.5

Sourced from: J-L Pairon, LNG-12 Conference, 1998, Poster Session

17-6

APPENDIX A
Korea Gas Corporations Inchon Terminal:
Layout, Flow Scheme, Equipment Summary and Expansion Phases
The purpose of this section is to give the reader an overview of a recently-built, large,
world-scale LNG terminal. The figures and information presented here are from Korea
Gas Corporation, and are reproduced with their kind permission.

Layout of Inchon LNG Terminal

Appendix A-1

Process Flow Scheme of Inchon LNG Terminal

Appendix A-2

Equipment Summary/Expansion Plans for Inchon Terminal

Phase 1

Oct.
1996

LNG
TANK

Jetty

BOG
Compressor

LP LNG
Pump

12,000
m3/hr
x3

150 t/hr
x9

Dec.
1996
First
Extension

Dec.
1997

1(#4)

150 x 2

Jan.
1998
Dec.
1998

1(#5,6)

Aug.
1999

2(#7,8)

12,000 x 1

Second
Extension

2(#17,18)
Total

Recondensor

90 x 1
90 x 2

110 x4

90 x 2

110x8

90x4

110 x 2

90x1

150 x 4
150 x 4

12,000 x 3

Nov.
1999

1(#9)

150 x2

Jan.
2000

1(#11)

150 x2

Oct.
2000

30x2

Nov.
2000

Jun.
2004

HP
SMV

110 t/hr
90 t/hr x 2 30 t/ht x 2
x9
110 x 6

Oct.
1999
Phase

HP LNG
Pump

Jun.
2001

2(#10,12)

Jul.
2002

2(#13,14)

Jun
2003

2(#15,16)

12,000 x 1

150 x 6

12,000 x 1

150 x 6
150 x 6

12,000 x 1 150 x 6
18
(2,480,000 kl)

12,000 x10
150x47
110 x26
90x13
30x4
(120,000
(7,050 t/hr) (2,860t /hr) (1,170t/hr) (120t/hr)
m3 /hr)

(continued on next page)

Appendix A-3

Equipment Summary/Expansion Plans for Inchon Terminal

(continued)

Phase 1

First
Extension

Sea Water
Pump

Cogen

Sea Water
Heater

Oct.
1996

10,000 m3/ hr
x3

9MW x 2

12 MW X 7

Dec.
1996

10,000 x 2

Gas Compressor (High

Pressure)

Send out
Capacity

1,080 t/hr

Dec.
1997

180 t/hr

Jan.
1998

12 MW X 1
24 MW X 1

360 t/hr

540 t/hr

Dec.
1998
Aug.
1999
Oct.
1999
Phase

12,000x4

24 MW X 2

20x 2

720 t/hr

Nov.
1999

Jan.
2000
Second
Extension

990 t/hr

Oct.
2000

9 MW X1

Nov.
2000

24 MW X 1

270 t/hr

Jun
2002
Jun
2003

20 X 1

Jun.
2004
Total

10,000 x 5
12,000 x 4
(98,000
m3/hr)

9 MW x 3 =
(27MW)

Appendix A-4

12 MW X8
24 MW X4

80 t/hr
x2
= (160 t/hr)

2,016 t/hr

APPENDIX B
LIST OF BASELOAD LNG IMPORT TERMINALS
(Listed in chronological order of startup year)

Year

Terminal

Owner

Approximate
LNG imports,
million tpa
Terminal no longer
in use
Terminal closed and
dismantled

1964

Canvey Island, U.K.

British Gas

1965

Le Havre, France

1969

Negishi, Japan

Gaz de France
Tokyo Gas,
Tokyo Electric

1969

Panigaglia, Italy

SNAM

2.3

1970

Barcelona, Spain

ENAGAS

1971

Everett, Massachusetts, USA

Distrigas

4.8
Vaporization
capacity, 4.1 million
tpa

1972

Senboku 1

Osaka Gas

0.7

1972

Fos-sur-Mer, France

3.6

1973

Sodegaura, Japan

Gaz de France
Tokyo Gas,
Tokyo Electric

1977

Senboku 2, Japan

1977

Tobata, Japan

1977

Chita, Chita City, Japan

1978

Elba Island, Savannah, Georgia,

USA

Osaka Gas,
Nippon Electric,
Nippon Steel
Kyushu Electric,
Nippon Steel, and
others
Chubu Electric,
Toho Gas

Southern LNG

Appendix B-1

3.3

10.3

5.8

4.2
1.8
Terminal inactive
since 1982.
Vaporization
capacity 4.1 million
tpa. Plans to
reactivate the
terminal under way.

Year

Terminal

Owner

1979

Himeji, Hyogo Prefecture Japan

Kansai Electric

1978

Cove Point, Maryland, USA

Cove Point LNG

1980

Montoir de Bretagne, France

Gaz de France

1981

CMS Trunkline , Lake Charles,

Louisiana

1983

New Chita, Aichi, Japan

1984

Niigata, Japan
Himeji, Hyogo Prefecture, Japan

1984

CMS Energy
Chubu Electric
Power
Tohoku Electric,
Nihonkai LNG

Approximate
LNG imports,
million tpa
2.3
Vaporization
capacity 7.3 million
tpa. Now being
operated as a
peakshaving facility.

7.4
Spot shipments.
Vaporization
capacity 5.3 million
tpa
2.6
2.9

Osaka Gas

3.7

Tokyo Electric

4.6
4.0

1985

Higashi-Ohgishima, Kawasaki
City, Japan
Futtsu, Futtsu City, Chiba,
Japan

1986

Pyeong Taek, Korea

1987

Yokkaichi, Mie, Japan

Tokyo Electric
Korea Gas
Corporation
Chubu Electric
Power

1987

Zeebrugge, Belgium

Distrigaz

3.3

1988

Huelva, Spain

Enagas

2.7

1989

Cartagena, Spain

Enagas

2.9

1990

Shin Oita, Japan

1.1

1990

Yanai, Japan

1990

Yung-an, Taiwan

Kyushu Electric,
Oita Gas
Chugoku Electric
Power
Chinese
Petroleum
Corporation

1984

Appendix B-2

7.4
2.1

1.2

4.5

Year

Terminal

Owner

Approximate
LNG imports,
million tpa

1991

Yokkaichi, Japan

Chubu Electric,
Toho Gas

1993

Fukuoka, Japan

Saibu Gas

0.2

1994

Marmara Ereglisi, Turkey

3.9

1996

Kagoshima, Japan

BOTAS
Nippon Gas
Company

1996

Hatsukaichi, Hiroshima, Japan

0.1

1996

Sodeshi, Japan

1996

Inchon, Korea

1997

Kawagoe, Japan

Hiroshima Gas
Shizuoka Gas
Company
Korea Gas
Corporation
Chubu Electric
Company

1997

Shin Minato, Sendai City, Japan

0.16

1998

Ohgishima, Japan

1999
Under
construction
Under
construction
Under
construction
Under
construction

Revithousa, Greece
EcoElectrica Terminal,
Penuelas, Puerto Rico, USA

Sendai City Gas

Tokyo Gas
Company
Public Gas
Corporation of
Greece

Chita Midorihama, Japan

Dabhol, India
Tong Yong, S. Korea

EcoElectrica LP
Toho Gas
Company
Dabhol Power
Company
Korea Gas
Corporation

Appendix B-3

0.3

<0.1

0.45
5.4
4.0

3 (by year 2010)

1.95
0.7
Eventually 4.0
million tpa
Eventually 5.0
million tpa
6.0 (planned)

APPENDIX C
LIST OF LEADING ENGINEERING CONTRACTORS AND TANK
CONTRACTORS FOR BASELOAD LNG RECEIVING TERMINALS

Bechtel
Engineering Contractor
Address:
3000 Post Oak Blvd.
Houston, Texas 77056 U.S.A.
Phone: 1-713-235-2000
Fax: : 1-713-960-9031

Chicago Bridge & Iron Company

Tank Contractor, Engineering Contractor
Address:
1501 North Division Street
Plainfield, Illinois 60544-8929 U.S.A.
Phone: 1-815-439-6000
Fax: 1-815-439-6010
Contact: Mr. Don H. Coers, Business Development Manager

Chiyoda Corporation
Engineering Contractor
Address:
12-1, Tsurumichuo 2-chome
Tsurumi-ku, Yokohama 230, Kanagawa Japan
Phone: 81-45-521-1231
Fax: 81-45-503-0200

Appendix C-1

Cryogaz Technologies
Engineering Services, Tanks (through SN Technigaz)
Address:
3, rue Stephenson
78180 Montigny-le-Bretonneux, France
Phone: 33-1-30 60 88 88
Fax: 33-1-30 57 03 92
Note: Cryogaz is a commercial joint-venture formed between Sofregaz
and SN Technigaz, and promotes liquefied gas terminals as a prime target.

Entrepose Montalev
Tank Contractor
Address
15, rue de Saint-Denis
93125 La Courneuve, Cedex, France
Phone: 33-1-48-35 69 00
Fax: 33-1-48-35 73 80
Contact: Mr. Alain Malherbe, Commercial Director

Ishikawajima-Harima Heavy Industries Co., Ltd. (IHI)

Engineering Contractor, Tank Contractor
Address:
Head Office: Shin Ohtemachi Building
2-1 Ohtemachi 2-chome
Chiyoda-ku, Tokyo 100-8182 Japan
Phone: 81-3-3244-5886
Fax: 81-3-3244-5894

Appendix C-2

JGC Corporation
Engineering Contractor
Address:
Yokohama World Operations Center
2-3-1 Minato Mirai
Nishi-ku, Yokohama, 220-6001 Japan
Phone: 81-45-682-1111
Fax: 81-45-682-1112

Kawasaki Heavy Industries (KHI) (tanks)

Engineering Contractor, Tank Contractor
Address:
Tokyo Head Office
World Trede Center Building
4-1 Hamamatsu-cho 2-chome
Minato-ku, Tokyo 105-6116 Japan
Phone: 81-3-3435-2111
Fax: 81-3-3436-3037

Kellogg Brown & Root

Engineering Contractor
Address:
601 Jefferson Avenue
Houston, Texas 77002-7990
Phone: 1-713-753-2000
Fax: 1-713-753-5353
Contact: Mr. M. A. Aldag, Vice President and Director, LNG Operations

Appendix C-3

Mitsubishi Heavy Industries, Ltd. (MHI)

Tank Contractor, Engineering Contractor
Address:
Head Office, Storage System Section
5-1, Marunouchi 2-chome
Chiyoda-ku, Tokyo, 100-8315 Japan
Phone: 81-3-3212-9124
Fax: 81-3-3212-9833

NKK Corporation
Tank Contractor
Address:
1-1-2 Marunouchi
Chiyoda-ku, Tokyo, 100-8202 Japan
Phone: 81-3-3212-7111
Fax: 81-3-3214-8400

PDM
Tank Contractor, Engineering Contractor
Address:
10200 Grogans Mill Road, Suite 300
The Woodlands, Texas 77380 U.S.A.
Phone: 1-281-774-2243
Fax: 1-281-774-2207
Contact: Mr. Jeffrey G. Steimer, Vice President, LNG/Aerospace

SN Technigaz
Tank Contractor, Engineering Contractor (see also Cryogaz).
Address:
3 Rue Stephenson
Montigny-le-Bretonneux 78180 France
Phone: 33-1-30 60 89 73
Fax: 33-1-30 57 03 92
Contact: Mr. Jean-Pierre Jolly, Vice President, Marketing

Appendix C-4

Technip
Engineering Contractor
Address:
La Defense 6
92973 Paris La Defense, Cedex, France
Phone: 33-1-47 78 21 21
Fax: 33-1-47 78 33 40

Toyo Kanetsu KK
Tank Contractor
Address:
19-20, Higashisuna 8-chome
Koto-ku, Tokyo 136-8666, Japan
Phone: 81-3-5690 7545
Fax: 81-3-5690 7550
Contact: Mr. Yoji Kurashige, Director, International Business Development

Tractebel Engineering
Engineering Contractor
Address:
Ariane Avenue, 7
B-1200 Brussels, Belgium
Phone: 32-2-773 78 12
Fax: 32-2-773 75 20
Contact: Mr. Jean-Louis Pairon, Director of Projects

Whessoe LGA Gas Technology Ltd.

Tank Contractor
Address:
Brinkburn Road
Darlington DL3 6DS U.K.
Phone: 44-1- 325 390000
Fax: 44-1- 325 390001
Contact: Mr Chistopher John Fleetwood, Chief Executive Officer

Appendix C-5