LNG-to-power a hard nut to crack in Africa
There is strong interest across the industry in making LNG-to-power work in sub-Saharan Africa, but nobody has yet cracked a structure that works
Liquefied Natural Gas (LNG) is experiencing a purple patch which African stakeholders don't want to miss out on. A supply glut and growing global experience with the technology mean that contracts are becoming more flexible and suppliers are looking for buyers. Electricity generators also see the benefits, with many of Africa's cash-strapped state utilities viewing the technology as a way of reducing costs at expensive thermal plants and supporting renewable generation. For private developers, LNG offers a way to short-circuit difficult and politicised discussions around domestic gas and reliance on midstream projects coming to fruition (and operating reliably). North Africa has taken a lead
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