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Release of GHG gases from LNG supply chain could be cut by more than 60%, says IEA

New IEA report finds that emissions from LNG supply chain could be cut by more than 60% using today’s technologies – and many measures could be implemented at low or moderate cost.

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RESIZED Chris Pagan

An IEA report released on Friday (20 June) found that the release of greenhouse gases from the liquefied natural gas supply chain could be cut by more than 60% using today’s technologies – and many measures could be implemented at low or moderate cost.

Reducing methane leaks alone could cut annual emissions by close to 90 Mt CO2-eq, or 25% of total LNG emissions, and around half of that reduction could be realised at no net cost. Reducing flaring at the LNG facilities and fields providing feed gas could lower annual emissions by a further 5 Mt CO2-eq.

The report provides a comprehensive new estimate of greenhouse gas emissions from across the global liquefied natural gas (LNG) supply chain and identifies key opportunities to bring them down.

Assessing Emissions from LNG Supply and Abatement Options examines upstream production, processing, pipeline transmission, liquefaction, shipping and regasification worldwide. The report estimates that greenhouse gas emissions associated with global LNG supply are roughly 350 million tonnes of carbon dioxide equivalent (Mt CO2-eq) annually. Around 70% of this is in the form of CO2 emissions that are either combusted or vented; the remaining 30% is methane that escapes unburnt into the atmosphere.

Globally, the average greenhouse gas emissions intensity of delivered LNG is just under 20 grammes of carbon dioxide equivalent per megajoule (g CO2‑eq/MJ), compared with an average of 12 g CO2/MJ for natural gas supply overall. However, there are considerable variations across different geographies and supply routes.

According to the report, when all direct and indirect greenhouse gas emissions are factored in, more than 99% of the LNG consumed in 2024 had lower lifecycle emissions than coal. Globally, on average, LNG results in about 25% less emissions than coal. Nevertheless, the report emphasises that for those making an environmental case for LNG use, comparing it only to coal – the most carbon-intensive fuel – sets the bar too low, especially given the strong opportunities at hand for improving the emissions performance of LNG supply.

Other cost-effective strategies that could substantially reduce emissions include increasing process efficiency across the supply chain and implementing carbon capture, utilisation and storage (CCUS) at liquefaction facilities to capture the naturally occurring CO2 present in the feed gas. And while the upfront costs can be high, the electrification of upstream facilities and LNG terminals using electricity from low-emissions sources would further reduce the emissions by about 110 Mt CO2-eq.

The report forms part of the IEA’s broader work on LNG markets, which play an important role in energy security. The report is being presented today by IEA Director of Energy Markets and Security Keisuke Sadamori at the 2025 LNG Producer-Consumer Conference in Japan, an annual event co-organised by Japan’s Ministry of Economy, Trade and Industry and the IEA.

Note: The full report of ‘Assessing Emissions from LNG Supply and Abatement Options’ can be found here. 

 

Photo credit: Chris Pagan on Unsplash
Published: 23 June, 2025

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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July 21, 2026

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.
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July 21, 2026

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.
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July 21, 2026

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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