Outlook 2024: LNG investment - Hydrocarbon challenges or green opportunity?
Many LNG projects already incorporate emissions mitigation methods, hastening adoption for future projects
This decade’s unprecedented LNG supply investment is strongly focused on managing emissions intensity. Wide-ranging measures, particularly CCS, renewable-energy-powered liquefaction trains, carbon offsets and FLNG conversions, are being aggressively rolled out globally. While previous cycles of LNG production growth focused on the environmental benefits of offsetting buyers’ coal demand and shippers’ liquid fuel usage, supply projects are now under the greenhouse gas (GHG) microscope. Geopolitics and supply under-investment combined to push LNG spot prices to record highs in 2022 and c.$20/m Btu this winter. While LNG cargos will remain scarce until 2026, new trains, mainly in the US and Qat
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