Advances In GTL Requires Effective De-risking
Authors: Blanco Herib , Balk Wim 
Published: March 2015

Abstract
With the realisation and start-up of Pearl GTL in Qatar - the largest Gas to Liquids plant in the world, a memorable milestone has been reached for both Qatar and Shell. For Shell, the journey started with a vision and ambition in the 1970's to develop GTL technology, commercializing stranded gas and converting it to high quality hydrocarbon products as an alternative and differentiator to LNG. Following a successful commercial scale 14,000 barrels per day GTL plant application in Bintulu, Malaysia, the GTL technology and product marketing was well-matured for further scale up and was matched with the vision of Qatar to not only become the LNG capital but also the GTL capital of the world.
The Shell GTL journey has been extensive with an ongoing evolution in applied technologies in syngas production, Fischer-Tropsch synthesis and product refining besides continuous development of new products and markets.
Effective deployment of new technologies in highly complex and capital intensive GTL operations requires efficient and thorough de-risking processes for markets, technology and its operations. The commercial operations in Bintulu, along with additional dedicated industrial scale test units, continue to play a crucial role to test and develop new technologies and prepare products for market developments. This paper will cover elements of the development journey, with particular focus on the process of de-risking for new GTL technologies, operations and products.
The Shell Gasification Process for syngas production is an example of a technology that evolved with considerable scale-up and could be effectively de-risked and subsequently successfully applied. An example of a new product development is the "clean burning and high energy" GTL Jet Fuel now used in commercial flights by Qatar Airways.

Introduction
With the world population exceeding the 7 billion mark, projected to reach 9 billion in 2050 [1], there is an increase in energy demand which requires alternative energy sources and continuous innovation of applied technologies.
It is estimated that the world demand for diesel will increase by approximately 50% from 25 MMbpd in 2011 to 37 MMbpd in 2035, due to an increase in demand for transportation fuels [2]. The conversion of gas to middle-distillates can contribute to this growing market.
At the same time, there is a continuous drive for cleaner products. CO2 emissions have increased 40% since 1998. Transportation contributes to 21% of the total GHG emissions, where 90% of these are due to road transport [3].
Gas to Liquid (GTL) enables the conversion of natural gas reserves into ultra clean products supporting the world's growing energy demand and demand for cleaner products. It provides market diversification, by converting the natural gas into a variety of liquid products, which can be tailored to the market needs.
The gas outlook looks promising. The gas reserves have increased by 57% in the last 20 years (Figure 1), while the consumption has done so by 60% in the same period (Figure 2). World natural gas production increased by 1.9% in 2012 alone. The US once again recorded the largest national increase. Production grew in every region except Europe and Eurasia [4]. Thus, both availability and demand are foreseen to continue the increase for the coming years.