NIGC Reports Higher Capacity
EghtesadOnline: Natural gas refining capacity has surpassed 1 billion cubic meters a day, coordinating manager at the National Iranian Gas Company said Tuesday.
“Close to 1.3 bcm can be processed daily in gas refining units in the country,” IRNA quoted Masoud Zardouyan as saying.
This capacity is 44% more compared to last December when it was 900 bcm/d.
Regarding NIGC’s daily supply (at 1.150 bcm/d), he noted that the company’s daily gas delivery to households, industries and power stations now is 570 mcm, 310 mcm and 270 mcm, respectively.
Gas delivery to power plants can increase up to 310 mcm when the need arises.
“If necessary, the current production (1.150 bcm/d) can increase by at least 150 million cubic meters per day.”
Gas refineries go under routine renovation and overhaul in the first half of the calendar year (March-September) to ensure sustainable supplies in winter.
The bulk of natural gas sold to refineries is processed for household consumption and the rest goes for refined products, including LNG, which has high demand outside Iran especially in the neighboring countries.
According to Hassan Montazer Torbati, head of NIGC, the company extracted 270 bcm of gas (740 mcm/d) in 2019.
Iran sits on the second largest gas reserves in the world after Russia and ranks third in terms of output.
This progress is largely due to development plans at South Pars, the world’s largest gas field shared with Qatar in the Persian Gulf. Developed in 24 phases, the giant reservoir covers an area of 3,700 square kilometers of Iran's territorial waters.
According to the International Energy Agency, global gas demand is expected to grow 1.6% a year until 2024, fueled by Chinese consumption which will account for over a third of the demand growth.
The Asia-Pacific region will remain the largest source of gas consumption growth in the medium term with an average rate of 4% per year, and will account for 60% of the total consumption increase until 2024.
Domestic demand in the United States, the Middle East and North Africa, will contribute to demand growth, the IEA said in its annual gas market report. Gas demand in Europe will benefit from the shutdown of coal and nuclear power plants, but gains would be limited by the expansion of renewables and lower demand for heating, it said.
The industrial sector is expected to be a strong source of growth, accounting for almost half of the global increase, replacing power generation as the main growth driver.
In the LNG market, trade is expected to reach 546 bcm by 2024 from 432 bcm in 2018. China will become the largest LNG importer by 2024 at 109 bcm, ahead of Japan.