Global LNG prices to fall to $300-$400 per 1,000 cbm within five-year period - forecast
None of the countries that have announced the development of LNG bunkering is to reject it plans
Global prices for liquefied natural gas (LNG) will fall to $300-$400 per 1,000 cbm within a five-year period if the geopolitical situation normalizes, Dmitry Grushevenko, expert of the Energy Research Institute of the Russian Academy of Sciences (ERI RAS), said at the 6th LNG Fleet, LNG Bunkering and Alternatives Conference being held by PortNews Media Group in Moscow today. According to him, oil price will fluctuate around $80 per barrel.
“LNG production facilities were excessive in 2020-2021 and now they are 100% loaded only due to the problems with supplies of Russian pipeline gas. As new projects enter the market, the excess will only grow, ‒ said the expert. ‒ In the current price situation, LNG is even a more costly alternative than oil products. But we cannot expect gas prices to remain as high as they are today on the horizon of 5‒10 years. None of the countries that have announced the development of LNG bunkering is to reject its plans. It cannot be excluded that not only sulphur but also CO2 emissions from ships are covered by restrictions in the future, which is to increase the attractiveness of LNG.
IMO has set a task of reaching net-zero carbon emissions from ships by 2050.
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