The number of ports capable of bunkering LNG worldwide could top 200 within two years, according to the latest forecasts from shipping services company Clarksons Research.
The firm reports that there are already 147 ports offering LNG bunkering services around the globe and predicts that this number will rise rapidly as the energy transition accelerates over the next decade.
The findings, published in Clarksons’ most recent LNG Trade & Transport report, suggest that geopolitical tensions may have helped to accelerate certain trends in the LNG sector as governments have scrambled to develop energy infrastructure.
“The LNG industry is experiencing a significant expansion phase, with recent focus on energy security enhancing an underlying growth outlook supported by Asian gas demand, energy transition dynamics and a significant LNG export project program,” Steve Gordon, Managing Director of Clarksons Research, said.
Record LNG-ready newbuild orders
The report estimates that 37% of all newbuild capacity currently under construction is LNG-ready, with a far higher share of LNG vessels amongst those ordered in the last six months.
“With the ‘Fuelling Transition’ gaining momentum, alternative fuel capable vessels have accounted for 62% of orders in 2022 so far in CGT terms, a record share, while the alternative fuel capable orderbook is now larger than ever before,” James Allen, research analyst at Clarksons notes.
Increased demand for LNG fuel is expected to drive unprecedented growth in global LNG trade, with Clarksons forecasting a ‘positive and improved long-term outlook’ with volumes projected to reach around 620 million tonnes by 2030.
Multi-billion newbuild investments
This equates to an uplift of around 40 million tonnes compared to previous forecasts and is supported in part by a downgrade of European imports of Russian pipeline gas as well as continued Asian demand growth, growth in liquefaction capacity and greater energy security necessities.
In combination these factors are expected to drive a new wave of investment in LNG infrastructure, with Clarkson forecasting a potential requirement for around US$99 billion of newbuild investment between 2023 and 2030.
Headquartered in London, Clarkson is a provider of shipbroking service as well as maritime consultancy and research.
