Increasing Importance of LNG in Global Gas Trade

Abstract

Natural gas is fast emerging preferred fuel globally. In 2015, total globally traded liquefied natural gas (LNG) volumes reached 244.8 mt, a 4.7 mt increase over 2014. It marks an all-time high for LNG trade market, surpassing the previous high set in 2011 by 3.3 mt on the back of Fukushima accident in Japan. The changing dynamics is leading to entry of new suppliers and buyers in gas business. The surging natural gas demand has been increasing the role of spot LNG. However, the absence of globally accepted pricing mechanism and lack of gas-to-gas competition are still a major impediment.

Keywords: Natural gas, fuel, liquefied natural gas, trade market

Cite this Article

Atul Rawat, Sitanshu Tiwari. Increasing Importance of LNG in Global Gas Trade. Journal of Offshore Structure and Technology. 2017; 4(1): 43–47p.