Piped Gas vs. LNG: Competition May Be Heating UP

October 2017, Vol. 244, No. 10

By Mike Fulwood, Former Director, Global Gas and LNG, Nexant and Nishant Donchak, Consultant, Global Gas and LNG, Nexant, London, UK

Historically, the world trade of gas has been dominated by piped gas with first-ever commercial LNG cargo being delivered to the UK from Algeria in 1964. The growth of the fuel was steady, but accelerated when Qatar entered the supply market with huge LNG trains almost 10 years ago. Recent developments in U.S. shale gas and Australian reserves will unleash another surge in LNG exports. This transformation in the market has given rise to speculation of increased competition between LNG and pipeline gas. Demand Centers The Nexant base case projects that global natural gas consumption…

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