Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Shell warns more LNG projects needed ahead of supply crunch

Big ships moored
A Shell LNG shipping centre

Global supply of liquefied natural gas (LNG) will tighten next year despite more being produced, according to the latest forecast from Shell.

In its 2019 Outlook for LNG, Shell said demand will continue to rise next year, with “supplies to tighten in the mid-2020s”.

Shell warned that more new projects are needed.

Demand for cleaner fuels to improve air quality in Asia saw demand rise by 27million tonnes to 319million in 2018, with demand expected to reach around 384million tonnes in 2020.

Supply is expected to rise by 35million tonnes this year but it will not be enough to offset demand, with the additional supply to be absorbed completely by Asia and Europe.

China’s LNG imports increased by 16million tonnes, or 40%, last year compared to 2017 in a bid to improve air quality.

On the supply side, Australia caught up with Qatar as the leading exporter of LNG towards the end of 2018.

Its exports are expected to rise another 10million tonnes this year, with both countries “well-positioned” to supply rapidly developing economies in Asia, displacing coal-fired power and heating.

Maarten Wetselaar, Integrated Gas and New Energies Director at Shell, said: “The continued surge in Chinese LNG imports has helped improve air quality in some of its biggest cities over the last few years.

“China’s success in making the air cleaner for millions of people shows the critical role that natural gas can play in providing more and cleaner energy around the world.

“We saw Asian LNG demand growth exceed expectations again in 2018 and we expect this strong growth to continue. Investment in new supply projects is picking up, but more will be needed soon.”

Recommended for you


More from Energy Voice

Latest Posts