March 2016, Vol. 243, No. 3
In The News
Solomon Forecasts North American LNG Exports to 2022
Solomon Natural Gas Services has released its “North American LNG Exports to 2022 report. The report examines the rapidly expanding global liquefied natural gas (LNG) market and forecasts exports to 2022 with a focus on the main gas demand regions within Asia and the competition for growing LNG supply additions.
The report also details the status of more than 50 liquefaction proposals in both the United States and Canada, including full-cycle costs to market and existing commercial offtake agreements.
“Potential supply additions are 85% greater than the projected demand by 2022, and for every one buyer, there are eight proposed sellers, so culling of the herd is inevitable,” said Jihad Traya, Manager, Natural Gas Consulting at Solomon and co-author of the report. “For North America,” added Traya, “brownfield, LNG portfolio players, or integrated LNG projects with significant cost advantages are most likely to proceed.”
Figure 1 shows global LNG export supply by project development phase, including existing, under construction, and proposed. The report indicates that the U.S. and Canada will lead the world in LNG supply additions.
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