First US shale gas shipment to Europe

The Ineos Intrepid, the world’s largest LNG multi gas carrier, left the Markus Hook terminal near Philadelphia on 9 March, bound for Rafnes in Norway carrying 27,500 cm of US shale gas ethane. This is the first time that US shale gas has ever been imported into Europe and gives the continent the chance to benefit from US shale gas economics which did so much to revitalise manufacturing in the US.

The shale gas was cooled to –90^oC (–130^oF) for the journey of 3,800 miles, which was expected to take nine to ten days. US shale gas will complement the reducing gas feed from the North Sea.

Jim Ratcliffe, Chairman and Founder of Ineos, said: ‘This is an important day for INEOS and Europe. We know that shale gas economics revitalised US manufacturing and for the first time Europe can access this important energy and raw material source too.’

The Ineos Intrepid is one of four specially designed Dragon class ships that will form part of a fleet of eight of the world’s largest ethane capable carriers. The vessel has ‘SHALE GAS FOR PROGRESS’ emblazoned along its 180-metre length.

The project will create a virtual pipeline across the Atlantic; connection to the new 300-mile Mariner East pipeline from the Marcellus shale in Western Pennsylvania to the Markus Hook deepwater terminal near Philadelphia, with new export facilities and storage tanks.

To receive the gas, Ineos has built the largest two ethane gas storage tanks in Europe, at Rafnes in Norway and Grangemouth in Scotland. The company will use the ethane from US shale gas in its two gas crackers at Rafnes and Grangemouth, both as a fuel and as a feedstock. It is expected that shipments to Grangemouth will start later this year.

Source: Ineos