Natural gas floating super-factories coming soon in cost-cutting innovation

|By:, SA News Editor

WSJ profiles plans by an increasing number of natural gas producers to pack entire gas production plants onto superships bigger than aircraft carriers instead of building expensive land-based industrial complexes.

The new fleet of FLNGs demonstrates how the global race to provide cheaper gas supplies to Asian economies is pushing the boundaries of technology in the oil and gas sector.

The world's first FLNG vessel likely be the joint gas project off the coast of Colombia from Pacific Rubliales (PEGFF) and Excelerate Energy, set to start in Q1 2015.

The most talked-about project at last week's annual Gastech conference in Seoul was the 1,600-ft. long Prelude FLNG project led by Shell (RDS.A, RDS.B); expected to be the largest floating structure ever built, production capacity is seen at 3.6M metric tons/year of LNG.

ETFs: UNG, DGAZ, UGAZ, BOIL, GAZ, BNO, KOLD, UNL, NAGS, DCNG