Baku, Azerbaijan, Sept.5
By Leman Zeynalova – Trend:
Chinese gas demand may more than triple if its gas consumption reaches 8-10 percent of the energy mix, Trend reports with reference to Wood Mackenzie research and consulting company.
“China is the world’s largest energy consumer, and already Asia’s largest gas consumer, but gas plays a relatively small role in its energy mix – below 8 percent in 2018. However, as part of its energy transition the government is targeting gas consumption to reach 8-10 percent of the mix by 2020, and 15 percent by 2030. If these targets are met, given China’s growth in energy consumption, Chinese gas demand would more than triple,” the company said in its analysis.
“Meanwhile, a reduction in indigenous production means we see greater headroom for LNG demand in our latest outlook. By the early 2030s Chinese LNG demand will exceed 100 mmtpa and reach 127 mmtpa by 2040 – some 15 mmtpa higher than our previous view,” Wood Mackenzie believes.
The report shows that Russia will retain its position as the biggest net exporter of gas as its export infrastructure expands, particularly due to new LNG projects.
“The US will overtake Qatar in the mid-2020s to become the second largest gas exporter globally. Much of the global gas export growth will be attributed to LNG, which is expected to overtake global piped exports as early as mid-2020s. We forecast multiple new LNG developments in the Arctic, as well as on Sakhalin and the Baltic sea. This will help increase Russia’s total LNG exports to over 140 bcm by 2040.”
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