{"id":1059,"date":"2026-09-23T08:08:45","date_gmt":"2026-09-23T04:38:45","guid":{"rendered":"https:\/\/taachco.com\/en\/?post_type=blog&p=1059"},"modified":"2026-09-23T08:10:20","modified_gmt":"2026-09-23T04:40:20","slug":"hidden-emissions-in-the-lng-value-chain-what-carbon-footprint-does-natural-gas-leave-before-it-is-consumed","status":"publish","type":"blog","link":"https:\/\/taachco.com\/en\/blog\/hidden-emissions-in-the-lng-value-chain-what-carbon-footprint-does-natural-gas-leave-before-it-is-consumed\/","title":{"rendered":"Hidden Emissions in the LNG Value Chain: What Carbon Footprint Does Natural Gas Leave Before It Is Consumed?"},"content":{"rendered":"

Natural gas is often regarded as a cleaner fossil fuel because it emits less carbon dioxide during combustion than many alternative fossil fuels. However, a comprehensive assessment of its environmental impact requires looking beyond emissions at the power plant, industrial facility, or end-use consumer.<\/p>\n

Gas produced in one country and consumed in another travels through a complex chain before reaching its destination. From production wells and processing facilities to transmission pipelines, liquefaction plants, LNG carriers, and import terminals, every stage requires energy and can generate greenhouse gas emissions.<\/p>\n

In its recent report, Assessment of Emissions in LNG Supply Chains and Mitigation Opportunities<\/em><\/a>, the International Energy Agency (IEA) seeks to identify and quantify emissions across the entire value chain. The findings provide a more complete picture of an important reality: the environmental performance of liquefied natural gas (LNG) depends not only on the fuel itself, but also on production practices, facility technologies, methane leakage rates, energy consumption, and transportation routes.<\/p>\n

LNG Trade Continues to Expand<\/h2>\n

According to IEA data, approximately 580 billion cubic meters of natural gas were traded globally as LNG in 2025, representing around 13% of total global natural gas consumption. This volume was about 30 billion cubic meters higher than in 2024.<\/p>\n

The expansion of LNG trade provides countries with access to more diversified gas supplies. At the same time, it highlights the growing importance of understanding the environmental implications of LNG\u2019s extended supply chain. Two LNG cargoes may deliver the same amount of usable energy, yet their associated greenhouse gas emissions can differ substantially. These differences arise from factors such as the source of production, facility efficiency, methane leakage rates, technology choices, and transportation distances.<\/p>\n

Where Do Emissions Occur Along the Value Chain?<\/h2>\n

After extraction, natural gas is processed to remove water, impurities, and other associated substances. It is then transported via pipelines to liquefaction facilities.<\/p>\n

At these facilities, the gas is cooled to approximately \u2013162\u00b0C<\/strong>, transforming it into a liquid and dramatically reducing its volume, which enables economical transport by specialized LNG carriers.<\/p>\n

At the destination, LNG is reheated and converted back into gaseous form before entering transmission networks or end-user facilities.<\/p>\n

Throughout this journey, greenhouse gas emissions arise from several primary sources:<\/p>\n

    \n
  • Fuel consumption in equipment and facilities<\/li>\n
  • Methane leakage<\/li>\n
  • Gas flaring<\/li>\n
  • Release of naturally occurring carbon dioxide contained in produced gas<\/li>\n<\/ul>\n

    The IEA assessment incorporates emissions from all of these stages. However, emissions resulting from the final combustion of natural gas in power plants, industrial facilities, or buildings are not included within the supply-chain emissions indicator used in the report.<\/p>\n

    The Report\u2019s Key Indicator: 18.6 Grams CO\u2082 Equivalent<\/h2>\n

    The IEA estimates that the global average greenhouse gas emissions intensity of LNG supply chains in 2025 was approximately 18.6 grams of CO\u2082 equivalent per megajoule (gCO\u2082e\/MJ) of delivered energy<\/strong>.<\/p>\n

    This indicator includes emissions associated with:<\/p>\n

      \n
    • Production<\/li>\n
    • Processing<\/li>\n
    • Transmission<\/li>\n
    • Liquefaction<\/li>\n
    • Maritime transport<\/li>\n
    • Regasification<\/li>\n<\/ul>\n

      It does not<\/strong> include emissions from the final consumption of the gas.<\/p>\n

      To illustrate, imagine two LNG cargoes delivering the same amount of energy. The cargo associated with higher methane leakage rates or greater fuel consumption during liquefaction and transportation will exhibit a higher emissions intensity.<\/p>\n

      Methane: The Portion of Gas That Never Reaches the Consumer<\/h2>\n

      Carbon dioxide is not the only greenhouse gas of concern in LNG supply chains. Methane\u2014the primary component of natural gas\u2014has a significant warming effect when released directly into the atmosphere.<\/p>\n

      Methane emissions may originate from production equipment, valves, fittings, compressors, storage tanks, and various maintenance or operational activities.<\/p>\n

      From an economic perspective, methane leakage also represents product loss. Gas that required investment to produce and process never reaches the customer. Consequently, reducing methane emissions can simultaneously lower climate impacts and increase the volume of marketable gas.<\/p>\n

      Key mitigation measures include:<\/p>\n

        \n
      • Leak detection and repair (LDAR) programs<\/li>\n
      • Equipment upgrades and modernization<\/li>\n
      • Recovery of vented gas streams<\/li>\n
      • Improved operational practices<\/li>\n<\/ul>\n

        Liquefaction: One of the Most Energy-Intensive Stages<\/h2>\n

        Converting natural gas into LNG is an energy-intensive process.<\/p>\n

        Achieving the extremely low temperatures required for liquefaction requires compressors and refrigeration systems to operate continuously. In many conventional facilities, the energy needed for these systems is supplied by burning a portion of the gas itself.<\/p>\n

        As a result, even in the absence of significant methane leakage, energy consumption during liquefaction can remain a substantial source of carbon dioxide emissions.<\/p>\n

        One of the approaches proposed to reduce these emissions is improving equipment efficiency and utilizing low-emission electricity. However, electrification alone does not automatically eliminate emissions. The environmental outcome depends heavily on the source of the electricity. If the power supply is carbon-intensive, emissions may simply be shifted from the liquefaction facility to the electricity generation sector.<\/p>\n

        How Does Transportation Affect the Carbon Footprint?<\/h2>\n

        LNG is transported to distant markets using specialized vessels.<\/p>\n

        These ships require energy both for propulsion and for managing boil-off gas generated during transport. Consequently, maritime emissions depend on factors such as:<\/p>\n

          \n
        • Voyage distance<\/li>\n
        • Engine efficiency<\/li>\n
        • Fuel type<\/li>\n
        • Vessel speed<\/li>\n
        • Boil-off gas management practices<\/li>\n<\/ul>\n

          In the final assessment, the IEA incorporated actual shipping-emissions data from the European Union\u2019s Monitoring, Reporting and Verification (MRV) system. Such data provide a more accurate understanding of differences between cargoes and demonstrate that transportation routes and fleet characteristics must also be considered when evaluating LNG\u2019s environmental performance.<\/p>\n

          Reducing Emissions Requires a Coordinated Approach<\/h2>\n

          Lowering the carbon footprint of LNG supply chains cannot be achieved through a single technology or measure.<\/p>\n

          Reducing methane leakage in upstream operations, minimizing flaring, improving equipment efficiency, supplying low-emission electricity, and\u2014in some facilities\u2014implementing carbon capture and storage (CCS) can each address different portions of the emissions profile.<\/p>\n

          For example, carbon capture and storage can reduce emissions at facilities processing gas streams with naturally occurring carbon dioxide. However, it cannot replace methane leak mitigation or improvements in energy efficiency elsewhere in the value chain.<\/p>\n

          Selecting the most effective solutions requires understanding the contribution of each process to total emissions and evaluating site-specific technical and economic conditions.<\/p>\n

          The Future of Gas Markets: Growing Attention to Environmental Performance<\/h2>\n

          Historically, gas markets have focused primarily on price, fuel quality, and supply reliability.<\/p>\n

          Today, greenhouse gas emissions associated with supply chains are increasingly attracting attention from buyers, regulators, and financial institutions. The European Union\u2019s methane regulations and the continued development of emissions measurement and reporting methodologies are examples of this evolving landscape.<\/p>\n

          At the same time, measurement and reporting practices remain inconsistent across countries, and uncertainty persists in emissions estimates. Despite these limitations, the direction of travel is clear: environmental assessment of natural gas is moving beyond the point of consumption and increasingly encompasses the entire production and delivery pathway.<\/p>\n

          Conclusion: LNG\u2019s Carbon Footprint Must Be Assessed Across the Entire Value Chain<\/h2>\n

          The IEA\u2019s latest assessment demonstrates that emissions from natural gas cannot be fully understood by considering combustion-related carbon dioxide alone.<\/p>\n

          Methane leakage, energy use during production and processing, liquefaction, transportation, and regasification all contribute to LNG\u2019s environmental footprint.<\/p>\n

          Differences among supply chains also show that emissions are not an inherent and fixed characteristic of LNG. Rather, they are influenced by technology choices, operational efficiency, infrastructure quality, and management practices.<\/p>\n

          Improving environmental performance therefore requires action from the point of production through to final delivery. This perspective transforms energy efficiency, gas-loss reduction, and rigorous emissions monitoring into integral components of modern energy supply chain management.<\/p>\n","protected":false},"excerpt":{"rendered":"

          Natural gas is often regarded as a cleaner fossil fuel because it emits less carbon dioxide during combustion than many alternative fossil fuels. However, a comprehensive assessment of its environmental impact requires looking beyond emissions at the power plant, industrial facility, or end-use consumer. Gas produced in one country and consumed in another travels through […]<\/p>\n","protected":false},"author":1,"featured_media":1060,"menu_order":0,"template":"","meta":{"footnotes":""},"blog_category":[16],"blog_tag":[],"class_list":["post-1059","blog","type-blog","status-publish","has-post-thumbnail","hentry","blog_category-report"],"yoast_head":"\nHidden Emissions in the LNG Value Chain: What Carbon Footprint<\/title>\n<meta name=\"description\" content=\"Examining the International Energy Agency\u2019s Assessment of Greenhouse Gas Emissions Across the LNG Supply Chain\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Hidden Emissions in the LNG Value Chain: What Carbon Footprint\" \/>\n<meta property=\"og:description\" content=\"Examining the International Energy 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