The westernmost peninsula of Eurasia, Europe is bordered by the Arctic Ocean to the north, the Black Sea to the southeast, the Mediterranean Sea to the south and the Atlantic Ocean to the west. The economic and political association of 27 European member states, the European Union (EU) has developed a single market through which a standardized system of laws apply, and under this union, sixteen member states have adopted the euro as its common currency. In 2006, the EU had a gross inland energy consumption of 1,825 million tonnes of oil equivalent, with nuclear energy as the primary source of energy produced in the region. Currently, the EU imports around 82% of its oil and 57% of its natural gas resources.
Liquefied natural gas (LNG) is made from natural gas that undergoes the process of liquefaction where it is converted to liquid, making it feasible to store and transport. It is exported globally via specialized tankers and regasified at receiving terminals for distribution. LNG is used as fuel for power generation, vehicles, and offshore vessels, and can also be used to produce heat for residential use.