Securing LNG for Europe

A stable outlook for gas demand and falling domestic production means Europe is set to become more dependant on gas imports. And with the global LNG market long and slowing LNG demand growth in Asia in the near term, European LNG imports this year will reach record levels. But the amount of LNG contracted for delivery into Europe on a firm basis is falling and given that we expect absolute demand for LNG in Asia to rise over the next five years, European buyers may have to come into the market to secure LNG. Key members of Wood Mackenzie's LNG research and consulting team presented and debated on how Europe can Secure New LNG at our London forum, alongside a panel of buyers, sellers and financiers. The panel covered three themes; the terms on which European buyers are willing to procure LNG (duration and pricing), how contracts to supply LNG into the European market are changing and the implications that this has for financing new LNG projects.