While some countries see natural gas as a bridging technology, others are focussing on sustainable use with considerable investment in extraction and infrastructure. But how is the market developing?
While some countries are using gas as a transitional energy source, others are focussing on a long-term strategy with investments in gas production and infrastructure. This article looks at the future development of demand and production of natural gas on a global and regional level.
Rising demand - but where?
Regional differences
Asia-Pacific is the largest demand driver with 52% of global growth, especially China, India and Southeast Asia. Middle East & Africa are developing into important production and export regions. Europe will continue to be dependent on gas imports despite the expansion of renewable energies.
Investment in new sources necessary
By 2050, only 20 % of natural gas production will come from current fields, which is why investment in new projects is essential. In total, over USD 9 trillion needs to be invested in the upstream and midstream sector worldwide.
Conclusion
Natural gas remains a cornerstone of the global energy supply. The challenge is to utilise gas more sustainably, be it through CCUS technologies, methane emission reduction or the expansion of blue hydrogen.
