Natural gas as fuel of future
The takeover goes to confirm Shell is convinced of natural gas' growing importance, especially in regard to feeding the growing energy needs of developing countries like China and India, who are trying to replace coal with greener, less polluting alternative fuels.
Natural gas is likely to exceed coal as second fuel in the world by the end of the 2020s.
Jonathan Stern, head of natural gas program of the Institute for Energy Studies in Oxford
Natural gas is a preferred fuel worldwide, as it burns much cleaner than coal and oil-based fuels. In 2011 the International Energy Agency made an announcement proclaiming the "golden age of gas” has begun and is here to stay.
The takeover of the BG Group by Shell is the second such operation within less than two years – in early 2014 Shell bought a natural gas liquefaction plant from the Spanish company Repsol, paying 41 billion dollars to seal the deal. Yet Shell isn't the only oil company expanding their natural gas capability – so are Chevron, BP, Total or Exxon Mobil.
And since big oil business changes its approach to gaseous fuels, it is basically good news to the CNG/LNG sector, obviously including the branches related to using natural gas as motor fuel.
- LPG and CNG cars
- Hybrids and EV's
- News and tips