Up until recently, most nat gas "associated" with oil field operations overseas ( mideast, africa) was either vented or flared. The venting of methane worsens the global warming issues, and the venting or flaring is also a colossal waste of a clean fuel.
The process of liquifying the associated gas was greatly improved a few years ago, by the use of a refrigerant mixture that improves the efficiency of the refrigeration process. Also, fabtrication methods that allow a higher pressure , plate and frame extended surface aluminum HX's helped. The use of more efficient large frame gas turbines to drive the compressors also reduced the energy requirements of the process. Liberalized, global capital markets made available the cash needed to build these plants in remote undeveloped areas, so these nations that had been flaring the gas can now liquify and sell the LNG as a commodity.
The market for LNG improved due to the EU new rules that recognize CO2 as a global pollutant- power produced by a LNG fired combined cycle power plant produces 2.5 times less CO2 per MWe than a coal fired plant. This means, to lower CO2 emissions , the EU is lowering their coal fired plant output and replacing it with LNG fired capacity. The Russian choking of gas pipeline exports last year further increased the demand for LNG- to lower the EU dependence on Russian nat gas.
In the US, there is expected to be a decrease in available canadian nat gas, due to their preferred use of this fuel for in situ cracking of the athabascan tar sands. Domestic US gas production is decreasing due to accelerated depletion cuased by modern methods of drilling. The end result is an increased need for LNG imports into the US.
