Low Liquefied Natural Gas (LNG) prices could have an impact on the progress of LNG projects in the coming year.
LNG prices across the globe are currently described as low – natural gas is considered not just a clean hydrocarbon fuel, but also an economic fuel. In 2019 the development of significant new sources of LNG began, notably in Mozambique. Many countries requiring gas are announcing and continuing the development of LNG import schemes, including Brazil, which this year commenced the development of new LNG import schemes. China is considered the biggest new market for LNG imports.
But what does this mean for LNG developers looking to entice investment from banks and other investors as we approach 2020?
The low prices mean the market is likely to remain a buyer's market, with the trend of the announcement and development of new LNG import projects likely to continue.