Singapore seeks to strengthen position as LNG, chemicals hub

Singapore LNG Corporation Pte Ltd (SLNG) is collaborating with Keppel Infrastructure (KI) through its wholly-owned subsidiary Keppel Energy Pte Ltd (KE) and another industry partner on the Front End Engineering Design (FEED) for a Natural Gas Liquids (NGL) Extraction Facility at the SLNG Terminal on Jurong Island. 

The project will unlock multiple benefits across the Liquefied Natural Gas (LNG) and Chemicals value chains, adopting a sustainable approach towards enhancing Singapore’s Energy Security and strengthening its position as an LNG and Chemicals Hub.

In a nutshell, the NGL Extraction Facility serves to remove the heavier hydrocarbons such as ethane or propane (also known as NGL) from LNG. The design of the Facility will adopt a sustainable approach, specifically through incorporating the use of cold energy from the SLNG Terminal’s operations in the extraction process – which can lead to significant carbon abatement.

The Project will allow for a higher handling flexibility of LNG through Singapore, which will in turn help to enhance Singapore’s energy security; open up more possibilities for the larger LNG eco-system, such as in the use of LNG as a marine fuel; and further advance Singapore’s ambition to be an LNG hub for the region.

Additionally, the NGL extracted could be delivered to Singapore’s Chemicals complexes, including those on Jurong Island, to be used as a competitive feedstock in the manufacture of various chemical-based products. This project is a positive outcome of the Jurong Island Circular Economy Study, led by JTC to explore utilization of cold energy on the island. It will contribute to Jurong Island’s transformation into a sustainable energy and chemicals park, as outlined in the Singapore Green Plan 2030.

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