KAPSARC and the Oxford Institute for Energy Studies (OIES) have assembled a group of leading experts to address the current changes faced by the LNG industry in a new book: LNG Markets in Transition: The Great Reconfiguration.
Co-edited by KAPSARC research fellow Anne-Sophie Corbeau and David Ledesma of the OIES, the book was published on September 6.
The book is unprecedented in its scope and draws on a global pool of natural gas experts with backgrounds at the Oxford Institute of Energy Studies, IHS CERA, the International Energy Agency, KBR, Shell and BP.
Topics in the book include:
- The uncertain future of LNG demand (with regional focus on Asia, Europe, Latin America and ME-Africa
- LNG suppliers: winners and losers
- Sellers adapting to a new environment
- Reconfiguring current business models
This book challenges the inevitability of robust LNG demand and whether supply investments will be made in the face of such uncertainty. A substantial increase in LNG export capacity is under way while LNG demand appears weaker than expected, notably in the ‘premium’ Asian market. Natural gas is struggling to compete against cheap coal, cheap oil and incentivized renewables.
New technologies, new small importing regions and new companies entering throughout the value chain are putting pressure on the traditional structures and expectations of the LNG industry. The result of these pressures and challenges will see a more flexible LNG business environment.