Developing a Prototype for Determining Alternative Sources of Natural Gas Supply

By Alijani, Ghasem S.; Kwun, Obyung et al. | Academy of Information and Management Sciences Journal, January 2011 | Go to article overview

Developing a Prototype for Determining Alternative Sources of Natural Gas Supply


Alijani, Ghasem S., Kwun, Obyung, Omar, Adnan, Kemah, Celestine, Academy of Information and Management Sciences Journal


INTRODUCTION

Despite its rapid growth in recent years, Liquefied natural gas (LNG) remains a relatively small contributor to world gas demand (under 7% of the total world gas demand in 2005) and even to total internationally traded gas, (about 22% of gas trade) according to the National Petroleum Council (2007). Pipeline gas still dominates international trade most notably supply to Western Europe from Russia, North Africa and Norway and supply to the US from Canada. With regards to regional LNG trade, the Pacific Basin and Asian markets almost double the size of the Atlantic Basin and Mediterranean markets.

By end of 2010, LNG trade is expected to be more than 10 trillion cubic feet (tcf) annually from the recent 6.5 tcf, with the United States expecting most demand followed by Northern Europe, Japan, South Korea, China and India (BP, 2005). Although trade movement is lower in the Pacific, countries in this region supplied 59% of the global LNG market. In 2006 and 2007 LNG shipment rose by 11.8% and 7.3% respectively; which is in line with historical average considering increased shipments from Qatar and Nigeria (Riihl 2007 & BP 2008). Asia, recorded an incremental average of 10% in LNG imports with Japan and South Korea being the major importing nations (PRLog, 2007), while European imports rose by 20%. In 1995, there were eight LNG exporting countries and nine importing countries (Ogj, 2007). By 2007 the number has increased to 15 exporting countries and 17 importing countries. World trade in LNG reached a total of 211.1billion cubic meters (bcm) in 2006, an increase of 11.7% on figures for the previous year, according to Cedigaz (2008).

In 2002 only 23% of world gas consumption was imported and 26% of that was in the form of LNG (Jensen et al., 2004). Between 2000 and 2020 world demand is forecasted to grow by 1727bcm (IEA, 2002). In the same light the US energy information administration also predicts a similar growth of 54tcf between 2005 and 2030 (EIA, 2008). With the exception of Russia and other countries of Eurasia, natural gas production is expected to represent a significant portion for exports in the Mideast (Qatar) and Africa (Nigeria, Algeria, Egypt and Libya).

STATEMENT OF THE PROBLEM

The evolution of natural gas trade between Eurasia and its western neighbors cannot be cited without upheavals. In the past, gas importing countries feared an interruption in important gas supplies for a variety of reasons such as contract disputes between Algeria and its customers (Hayes, 2006), political unrest in Indonesia (von der Mehden & Lewis, 2006) and transit country risk such as in Ukraine and Belarus for Russian exports (Victor & Victor, 2006). In March 2008 disputes between Russia and Ukraine accompanied a reduction of Russian supply for 3 days, and Turkmenistan cut supplies to Iran citing technical issues with the pipeline and a breach of pricing contract (EIA, 2008). According to Stratfor (2008), Turkmenistan shut natural gas supplies to Iran (which holds the world's second largest natural gas reserves) at the start of 2008 due to pricing squabbles between the two countries.

STATEMENT OF THE OBJECTIVE

The objective of this project is to investigate the present status and trends of natural gas supply and develop a prototype to accommodate planning and implementation by providing the following capabilities: (i) provision of alternative efficient natural gas distribution routes in terms of minimum cost and risk, (ii) identification of the alternative natural gas supply sources given a scenario (supply crisis), and (iii) assess the influence of stakeholders in the selection of alternative sources of natural gas supply. This paper focuses on the exposition of the prototype components and its features while special emphasis is placed on the contribution of this system in providing integrated solutions to the natural gas supply source problem. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Developing a Prototype for Determining Alternative Sources of Natural Gas Supply
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.