The Strategist

Qatar forecasts wave of demand for new LNG projects after 2030

05/16/2024 - 03:12

Natural gas demand will only increase, and additional LNG projects will be required globally beyond 2030, according to Qatar Energy Minister Saad Sherida al-Kaabi, who spoke at the Qatar Economic Forum, cited by Bloomberg.

According to al-Kaabi, the kingdom is moving forward with a multibillion-dollar plan to expand its LNG capacity and may take into account building other facilities.

"With normal economic growth in the future, we will see supply and demand equalize and we will need a new phase of gas development in the 2030s, al-Kaabi stated. - I don't believe that gas will vanish from the market very soon."

Given the flood of new LNG project launches starting in 2026, industry experts are concerned that the market for LNG may see oversupply later this decade.

By 2027, Qatar intends to boost its LNG capacity from 77 million tons/year to 126 million tons/year, and by 2030, it wants to reach 142 million tons/year.

The minister thinks that despite the increase in capacity, there won't be enough LNG supplied globally because of the anticipated rise in demand brought on by population growth and economic recovery.