LNG Supply Growth Struggles Amid Shipping Boom

Reported 2 days ago

Recent months have shown a bullish outlook for liquefied natural gas (LNG) markets, driven by European demand and shifts in U.S. energy policy. However, global LNG supply only grew 2.5% in 2024, partly due to a Biden administration export pause, while the shipping industry expanded rapidly, causing a surplus of shipping capacity. As a result, spot charter rates have dramatically dropped, leading to financial losses for shipping operators, though many believe the cycle will eventually turn. Additionally, emerging South American players like Guyana and Suriname are expected to boost LNG exports, further impacting the market.

Source: YAHOO

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