Shell Global on Thursday (20 February) published The Shell LNG Outlook 2020, highlighting key market trends in 2019.
It found global demand for liquefied natural gas (LNG) growing by 12.5% to 359 million tonnes in 2019, a significant increase that bolsters LNG’s rising role in the transition to a lower-carbon energy system.
“Record supply investments will meet people’s growing need for the most flexible and cleanest-burning fossil fuel,” said Maarten Wetselaar, Integrated Gas and New Energies Director at Shell.
Included in the outlook is an analysis on the acceleration of demand in LNG bunkering. It is estimated that demand for LNG as a marine fuel could reach over 30 million tonnes a year by 2040, as infrastructure develops and more LNG ships are ordered.
Announcements of some 71 million tonnes of new liquefaction capacity were made in 2019, making it a year of record LNG supply investments.
Over the longer-term, global LNG demand is expected to double to 700 million tonnes by 2040, according to forecasts, as natural gas plays a growing role in shaping a lower-carbon energy system.
Asia is expected to remain the dominant region in the decades to come, with South and South-east Asia generating more than half of the increased demand.
Note: The full study The Shell LNG Outlook 2020 is available here.
Photo credit: Shell
Published: 21 February, 2020