Future Forward
Over the last year, LNG has been further validated as a clean, alternative fuel source. In recent months, the European Union has recognized that LNG is indeed the energy source needed to decarbonize our world. In fact, more and more stakeholders are no longer speaking out against LNG, but are now advocating for it. Recent Russian aggression in Ukraine has also highlighted the critical role of LNG, and particularly U.S. LNG, in providing energy security. LNG’s key contribution to the global energy mix has never been more apparent and vital than it is today. U.S. LNG is uniquely positioned to provide a stable source of supply as a buffer against both climate change and geopolitical uncertainty.
Aaron Neus, Senior Vice President, Chief Marketing and Strategy Officer
Natural gas is the most environmentally friendly fossil fuel, burning cleaner than coal and oil, improving air quality and providing grid stability wherever used. In many emerging markets, it serves as a cost-effective cleaner alternative to coal that can provide all of the energy these economies need to grow. In more developed markets with substantial renewal power generation, natural gas-fired power plants are the backbone of the grid, providing reliability when there is intermittency with renewables, and ensuring that critical energy is delivered when needed.
Emerging market countries are in a delicate situation that requires public policy to balance the power generation needs of socioeconomic growth with clean energy programs that support global decarbonization. To do this, gas-fired power generation through LNG-to-Power projects will play a fundamental role. Growing wealth and urbanization in the developing world will push electricity demand to new heights in emerging market countries. These countries, and the cities growing inside their borders, are starting from a low degree of energy penetration that will need to increase at a very significant pace in order to satisfy the evolving and increasing energy needs of their citizenry. At the same time, these populations will be seeking cleaner air and less emissions. This is a combination that can only be delivered through expansive adoption of LNG.
Fast reacting natural gas fired generation serves as an excellent complement to the growing renewable component of every country’s power grid.
The ability to deploy natural gas fired generation quickly and on a highly variable basis supports the irregular daily power demand curve associated with renewable power generation and will serve as a catalyst for the build-out of solar and wind generation.
This demand-load curve associated with solar power typifies the need for a base load non-renewable power resource that can be dispatched rapidly. Power grid operators will appreciate the value of power/generator flexibility in the absence of economic electricity storage when it comes to properly pairing natural gas with renewable generation. All the while, power customers will of course be thankful for the enhanced grid reliability of such a complimentary dichotomy. (Source: Interstate Natural Gas Association of America, and Resources for the Future)
Freeport LNG is proud to produce the cleanest LNG available.
Our all electric motor-driven facility reduces carbon emissions by over 90% as compared to gas turbine generated LNG facilities. At the forefront of our operational philosophy is how we can consistently and efficiently produce LNG that is a cleaner energy alternative.
Being an innovator and a leader in the LNG export business means being at the forefront of global efforts to transition to a lower-carbon future. At the very heart of our advances on this front are our employees, who contribute their time, experience, and dedication to our continued success. We look forward to sharing in this report each year more of what makes Freeport LNG a recognized industry leader and an organization that is safely and responsibly taking U.S. Gas Global.