Winds of Change in the Near-term LNG Market
Article from: OGEL 5 (2013), in Liquefied Natural Gas (LNG)
Abstract
LNG liquefaction projects require a set of commercial imperatives in place before they are deemed viable. Of late, challenges posed by high capital expenditures, contractors' availability, geopolitics and environment meant project investment decision delays. This combined with a significant upturn in global LNG demand to create a Seller's market in the recent past. However, the ongoing reversal of that trend, due to the global demand recession and the excess supply caused by a new wave of LNG projects, presents a window of opportunity for buyers to cash into the resulting commercial ...