Outlook 2024: Market regime shifts driving LNG portfolio value
Three main characteristics underpin a shift in global pricing dynamics creating a new regime
Russian supply cuts to Europe sent shockwaves through the global gas market across 2021-22. Market stress subsided to some extent in 2023, but the crisis is not over. The LNG market is set to remain in a tight regime until the next wave of supply ramps up from 2025-26, dominated by North American and Qatari volumes. In the meantime, demand response mechanisms in both Europe and Asia are setting global LNG prices. In Europe, the primary demand response mechanism is the switching of gas for coal plants in the power sector. In Asia, demand response is a more complex mix of fuel switching and industrial demand response. Asian demand flexib
Also in this section
18 June 2025
Egypt’s government was already preparing for potential energy shortages this summer, and the loss of Israeli gas supply has made things worse
18 June 2025
Eni is joining the first phase of the 30mt/yr ARGLNG, while consortium behind the smaller Southern Energy LNG has reached FID
17 June 2025
Israel’s attack on Iran caught oil firms with low inventories due to their efforts to protect themselves from falling prices, creating a perfect storm
17 June 2025
Sound development planning is essential in this diverse and rapidly evolving region
