HOW CAN US PRODUCERS BENEFIT IN THE EXPANDING GLOBAL LNG MARKET?

There’s no doubt that the global Liquified Natural Gas (LNG) markets are booming, with record demand and a growing network of LNG liquefaction facilities producing increasing volumes to supply those buyers around the world. Recently, the International Group of Liquefied Natural Gas Importers (GIIGNL), an organization of global LNG market participants, released their 2019 Annual Report on the state of the global LNG markets.

In that report, they noted the global LNG market grew by more than 8 percent in 2018, with deliveries totaling 314 million tons per annum (MTPA) or more than 41 billion cubic feet per day (BCFD) - almost three times the amount delivered in the year 2000. In total, 42 countries imported some volume of LNG in 2018, with Asian markets accounting for more than 75 percent of global demand, primarily China, Japan, South Korea and India.

Though demand in Japan, the world’s largest consumer of LNG, was down slightly in 2019 at 82 MTPA, China saw a 38 percent increase in demand in 2018, with imports totaling 54 MPTA.