Loading the Elevenlabs Text to Speech AudioNative Player...
LNG market set for balance and expansion as Asia drives demand, say Experts, ET EnergyWorld
New Delhi: The global LNG market is expected to remain stable and balanced over the coming decade, driven by phased capacity expansion, consistent demand, and evolving infrastructure, experts said at the Economic Times Oil & Gas Annual Conference & Expo 2024.
Speaking during a panel discussion on The Role of LNG Infrastructure in Global Energy Security, Evgeny Griva, Deputy Trade Commissioner of Russia in India, highlighted the long-term outlook for LNG pricing. “LNG prices are expected to remain stable over the long term, supported by consistent global demand and market dynamics,” he said.
Griva also pointed to Russia’s critical role in LNG supply. “Russia, with its vast energy resources, currently supplies only 50% of its LNG to Europe, leaving ample capacity to cater to other global markets,” he added.
Phased growth and market readiness
Sandeep Jain, Executive Director – Gas, Indian Oil Corporation Ltd, noted that LNG capacity additions would occur incrementally rather than in sudden surges. “This capacity addition in LNG will occur in phases, not as a sudden wave. The markets are prepared to absorb these incremental increases over time, ensuring steady integration,” he explained.
Addressing market volatility
Sumit Kishore, Executive Director (BD and E&P) at GAIL (India) Ltd, outlined the complexities of the LNG market. “The LNG market has remained volatile over the last two decades, influenced by four key factors: rising demand, upcoming FID projects, geopolitical tensions impacting operations, and infrastructure readiness in high-demand regions like Asia, particularly India,” Kishore said.
Balanced market outlook
Despite past challenges, a balanced market is on the horizon, said Gyanendra Sharma, President-Head (Marketing), Petronet LNG. “Based on current analysis, from 2026 to 2033-34, the LNG market is expected to remain well-supplied and balanced, avoiding the tight market conditions observed in recent years,” he noted.
Path ahead for LNG
The panel underscored the importance of strategic planning and phased development in LNG infrastructure to support energy security globally. With Asia, especially India, driving demand, the LNG market is poised for steady growth and stability in the years ahead.
Keep Up to Date with the Most Important News
