LNG to test market and infrastructure limits
The global LNG market will face significant change as a supply glut, infrastructure constraints and a rapidly restructuring market test market participants
The LNG market has already had a taste of the challenges to come as the past year saw an unprecedented surge in supply that swamped European and Asian markets, overwhelmed global storage capacity and tested the ability of market participants to manage a growing array of risks. Although it was expected, a surge of US LNG supply has struggled to find markets as slowing demand growth in China, a warm 2018-19 winter that left global storage higher than normal and a well-supplied European gas market have made it difficult for sellers to place cargoes. While Europe has taken large volumes of cheap LNG, Russian and Norwegian pipeline gas supply—combined with full European natural gas storage—has le
Also in this section
21 February 2025
While large-scale planned LNG schemes in sub-Saharan Africa have faced fresh problems, FLNG projects are stepping into that space
20 February 2025
Greater social mobility means increased global demand for refined fuels and petrochemical products, with Asia leading the way in the expansion of refining capacity
19 February 2025
The EU would do well to ease its gas storage requirements to avoid heavy purchase costs this summer, with the targets having created market distortion while giving sellers a significant advantage over buyers
18 February 2025
Deliveries to China decline by around 1m b/d from move to curb crude exports to Shandong port, putting Iran under further economic pressure
