Bio-LNG is Gasrec’s proprietary fuel blend. The standard blend is 25% Liquefied Biomethane (LBM) (which in pure form reduces CO2 by up to 70% compared to diesel) and 75% Liquefied Natural Gas (LNG), which is widely available and cheaper than diesel.
Bio-LNG’s price/performance characteristics make the decision to move away from diesel commercially and strategically logical:
- Bio-LNG is cheaper than diesel.
- Bio-LNG is the only fuel which will reduce CO2 in the HGV fleet today.
- The “bio” content in the Bio-LNG is derived from waste; it is sustainable; it is not imported and it meets all the criteria contained within the Renewable Energy Directive; for these reasons Bio-LNG should be a core part of the renewable transport fuel offering – for many years to come.
- A range of commercial vehicles that can use Bio-LNG are available direct from original equipment manufacturers and there is a strong after-market conversion supplier base; all benefit from manufacturers’ warranties.
- The fuel is proven; it has been tested and used for a number of years by major fleet operators like Coca-Cola, Sainsbury’s and Tesco.
Gasrec sells a proprietary blend of Bio-LNG; it is proprietary because currently Gasrec is the only large scale producer of Liquefied Biomethane in Europe.
The importance of the Liquefied Biomethane content is encapsulated in the table below. The information was prepared by CENEX, an independent UK government funded entity, which monitored the performance of vehicles over an extended period, using Liquid Biomethane as the fuel.
Gasrec’s Liquefied Biomethane production plant in Albury, Surrey is capable of producing over 5 million diesel litres equivalent per annum. The plant is located adjacent to a large municipal landfill site; the gases created by the decomposition of the organic waste are cleaned and liquefied at the plant. The fuel produced is guaranteed to be at least 96% biomethane and no more than 4% nitrogen.
Consistent fuel quality has been achieved since the plant started production in 2008. The fuel has been tested successfully in many different makes of vehicle including Iveco, Mercedes and Volvo and by many of the leading HGV fleet operators in the UK.
The price of Liquefied Biomethane is not influenced by international geo-political tension in the way fossil fuels are, which allows Gasrec’s customers some visibility on future fuel costs.
The Liquefied Natural Gas (LNG) sector is one of the fastest growing areas of the energy markets.
Its growth has been predicated not just on its low price against oil products, but also on the ability of the producer to deliver to remote markets/locations where pipelines will not reach – combined with the energy density of the product. Natural gas supplies in liquefied form should increase for the foreseeable future as huge investments in production, transportation and storage of LNG continue to be brought on stream.
Gasrec presently sources most of its LNG for its Bio-LNG blend from National Gridâ€™s storage facility at Avonmouth. This source guarantees a consistent composition of the liquefied gas with certain high end hydrocarbons removed. As a result, smooth vehicle engine performance is assured.
Many experts offer views on the future direction of natural gas and diesel prices and their interrelationship. We make only two observations:
- The cost of refining diesel will increase, when Euro VI specifications are enforced
- The oil price has been effectively managed by OPEC for many years and its influence shows few signs of diminishing
With fuel as the HGV fleet operator’s largest operating cost, Gasrec advises its customers to diversify its risk at a minimum and to cease to be completely diesel dependent. Bio-LNG provides this hedge against diesel, a commodity with a consistently volatile price.
Liquid Biomethane (LBM) Specification
Composition of a typical sample of Liquefied Biomethane is as follows:
97% Methane (CAS Nr 00074-82-8 EEC Nr 200-812-7)
3 % Nitrogen (CAS Nr 7727-37-9 EEC Nr 231-783-9)
< 5ppm oxygen (CAS Nr 7782-44-7 EEC Nr 231-956-9)
< 1ppm H20
< 60 ppm CO2 (CAS Nr 124-38-9 EEC Nr 204-696-9)
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