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Ride to lower costs for LNG-run trucks rockier than expected

Screen Shot 2014-02-10 at 16.29.29Extracts from a Reuters article by JULIE GORDON published Wed 9 April 2014

While the lack of fueling infrastructure remains the largest hurdle, other operational teething pains are now tempering some of the growth in LNG use that was expected to further reduce oil demand in North America, as well as carbon emissions, according to interviews with industry experts and officials from five transport companies. Royal Dutch Shell last month surprised the LNG industry when it scrapped a small-scale liquefaction unit it was building at its Jumping Pound complex near Calgary. “This additional demand has not developed in line with market expectations,” said Shell spokeswoman Destin Singleton. The company also paused work on two other plants, in Ontario and in Louisiana, but Singleton said those projects may resume due to better opportunities for LNG-powered marine vessels.


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