LNG is the clear winner of the global gas transformation. This article analyses the most important trends and risks.
LNG as the dominant form of trade
As demand increases, trade is evolving towards more flexible markets with geopolitical challenges. By 2050, 64% of traded gas will be LNG, with a trade volume of 805 Mt LNG (1,110 bcm).
Global LNG liquefaction capacity increases from 476 Mtpa (2022) to over 1,000 Mtpa (2050)
Regasification capacity grows to 1,800 Mtpa, with Asia recording the largest increase
Sustainability and decarbonisation
CCUS technologies and methane reduction are crucial for the carbon footprint of natural gas.
Blue hydrogen could account for 43% of global hydrogen production by 2050
Energy efficiency measures and flaring reduction could bring further CO₂ savings
Conclusion
Natural gas and LNG remain indispensable components of the global energy supply. Nevertheless, massive investments are needed to drive forward the decarbonisation of the sector and overcome the challenges of geopolitical dependencies.