Projections of US natural gas production take centre stage at Gastech 2018
21 September 2018
Fri 21 Sep 2018 by Craig Jallal, reporting from Gastech Barcelona
From left to right: Susan Sakmar (University of Houston Law Centre) Marcelino Oreja Arburúa (Enagas) Pierre Chareye (Engie) Steven L Edwards (Black & Veatch) Astrid Alvarez (Grupo Energia Bogota).
Wood Mackenzie forecasts that by 2035 the USA will be the largest LNG exporter, in a complete contrast to the assertion made by Novatek deputy chairman Mark Gyetvay, that his company aims to become the largest producer of LNG in the world.
“By 2035, US LNG exports are forecast to reach more than 140 mta – far above that of Qatar (100 mta) and Australia (80 mta) as the next largest exporters,” said Wood Mackenzie head of Americas gas research Kristy Kramer.
The comment came during the press conference to launch Gastech 2019, which will be held with sister event GPEX – the global event to enhance energy transition – at Houston’s NRG Centre, between 17 and 19 September next year.
“At the start of 2014, more than 50% of US gas production was from shale and today it has reached 65%. Wood Mackenzie forecasts continued production growth of 47% by 2035,” she said.
“The outlook for US natural gas is extremely promising. With an abundance of low-cost gas resource and sustained demand growth, the size of the US natural gas market will greatly expand over the next 20 years. We expect the US to be the largest natural gas producer by 2040, with production increasing to almost 130 billion cubic feet per day – more than 50% over today’s level.”
The source of the increase is the shale gas revolution that has resulted in the US becoming the largest gas producer in the world, comprising 23% of total global production, according to Wood Mackenzie.