[Compare the Storage of Natural Gas Underground with Another Storage Method of Storing them as LNG in Cryogenic Tanks]

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Acknowledgement

I would take this opportunity to thank my research supervisor, family and friends for their support and guidance without which this research would not have been possible.

DECLARATION

I, [type your full first names and surname here], declare that the contents of this dissertation/thesis represent my own unaided work, and that the dissertation/thesis has not previously been submitted for academic examination towards any qualification. Furthermore, it represents my own opinions and not necessarily those of the University.

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Abstract

The volumes of natural gas that are needed for a wide variety of industrial processes plus domestic uses vary significantly with respect to time, location, and demand. Thus, mechanical storage of natural gas in manufactured containers is not economically feasible or even logistically possible. Although much of the storage and withdrawal have been associated with seasonality, storage is becoming essential in an integrated natural gas supply network. It is particularly important in large operations, such as being a backup fuel in power generation and in sustaining the rate for liquefied natural gas (LNG) production. Therefore, the design of underground natural gas storage becomes essential. This paper compares the storage natural gas underground with storing them as LNG in cryogenic tanks.

Table of Contents

ACKNOWLEDGEMENTII

DECLARATIONIII

ABSTRACTIV

CHAPTER 1: INTRODUCTION6

Rationale of the study8

Research Objective9

CHAPTER 2: LITERATURE REVIEW10

Owners and Operators of Storage11

Storage Measures13

Underground Gas Storage17

The Main Characteristics And Functions Of An Underground Gas Storage Facility18

Three types of underground gas storage facilities19

Storage costs21

LNG: An Eco-Friendly Cryogenic Fuel for Sustainable Development24

Important Features Of Lng26

Worldwide Use of LNG : Transportation27

Electricity Production28

Storage and transport of LNG29

Worldwide LNG technology30

CHAPTER 3: METHODOLOGY32

Research Methods32

Overview of Qualitative and Quantitative Research Approaches33

Literature Search34

Research Design34

Reliability/Dependability36

CHAPTER 4: DISCUSSION37

Benefits of Underground Gas Storage (UGS)39

Geological Limitations41

CHAPTER 5: CONCLUSION43

Chapter 1: Introduction

Natural gas is playing an increasing role in meeting the world's energy demand because of its abundance, versatility, and its clean burning nature (Wang, 2009). According to the U.S. Energy Information Administration (EIA) and the Paris-based International Energy Agency (IEA), in the next 20 years, the average growth rate of global natural gas demand is forecast to be over 7.5% per year, while the developed countries growth is expected to be over 3% per year, but the developing countries growth rate, led by China and India, likely to be over 11% per year. That clearly suggests that there will be a very large increase in natural gas demand (Brandshaug, 2001, pp.255-269).

With increasing natural gas trade and applications, underground natural gas storage in a variety of manifestations will become even more important in the proper functioning of the natural gas food chain. For example, traditionally in North America, natural gas storage has been seasonal with demand higher in the winter, prompted by residential heating. Thus, the “base load” and the “peak load” natural gas, not just in different seasons, but also for different days within a season, can be quite different. This situation could create an imbalance between the receipts and deliveries of a pipeline network or ...