Traders play their part in LNG market maturity

Alongside the traditional buyers and sellers, the industry’s middlemen are making a contribution to greater efficiency

The past five years have been a period of significant growth for global LNG markets. The old model of producer-to-supplier trade flow has changed, and several expert trading companies have increased their presence in the sector through enhanced capabilities and a growing network. Physical LNG volumes traded on a short-term basis have roughly doubled to 130-150mn t/yr since 2015, while volumes of JKM swaps derivatives traded have been increasing roughly threefold every year across the same period. The growing participation of expert trading companies in LNG markets should bring significant benefits to the sector. More active participation from majors, such as Shell, Total and BP, NOCs includi