The world is witnessing a new wave of liquefied natural gas (LNG) demand boom. Despite the decline of spot gas and LNG prices and the impact of COVID-19 pandemic, Qatar has had a “remarkable” run in the first half of 2020.
Dexter Wang, Manager for Asia Pacific (APAC) Market Engagement at S&P Global Platts, said at the 43rd monthly Gas Lecture series of the Gas Exporting Countries Forum (GECF), that Qatar managed to increase its LNG exports for the majority of the first half of this year which is truly remarkable, considering the current low price environment.
Qatar, the world’s largest exporter of LNG, has a historical partnership with APAC as a reliable LNG supplier to the region. It is also worth mentioning that Qatar is one of the key member countries of the GECF, hosting its permanent Secretariat since its inception in 2008.
In February this year, H E Saad bin Sherida Al Kaabi, Minister of State for Energy Affairs and President and CEO of Qatar Petroleum, said that Qatar is moving forward with implementing its mega projects that will see its LNG production rise from 77 to 126 million tonnes per annum (mtpa) by 2027. “This will not just enhance our ability and flexibility to meet additional global demand, but will also help the shift to less carbon intensive energy in many parts of the world,” H E Al Kaabi said.
“Addressing environmental concerns remains a key focus area for the energy industry, as global efforts continue to combat climate change and to reduce CO2 and other emissions,” H E the Minister added.
According to the key findings of the 4th edition of the Global Gas Outlook report, the global natural gas demand is expected to increase by about 52 per cent from 3,924 billion cubic metres (bcm) in 2018 to 5,966 bcm by 2050, with 1.3 percent CAAGR (compounded average annual growth rate) over the period. And the gas production in GECF countries, including Qatar, will grow by almost 50 percent by 2050 to over 2.5 trillion cubic metres (tcm), underlining the continued importance of the group.
Oil and gas companies have heralded LNG as the fossil fuel of the future thanks to its relatively low carbon emissions. Qatar already has strong and good relations with major LNG consumers in the world. LNG is the cleanest of hydrocarbon fuels and Qatar is well-placed to meeting world’s energy demand in environment-friendly way.
