LNG

With more than 12 million barrels of oil equivalent per day (boepd) of Middle East crude oil and LNG production taken offline due to the Iran war, Russia emerges as the clear winner of global supply shortages. US President Trump’s sanctions relief for Russia’s short-term oil was meant to ease supply disruptions, but had little effect.

Bridging the cost gap between green and grey hydrogen will require public grants and operating subsidies – impacting LNG demand growth. Displacing half of current fossil-based hydrogen (H2) with low-emissions alternatives would reduce associated gas needs by up to 150 bcm per year, equivalent to 6% of global gas demand, the International Energy Agency (IEA) finds.

AI-powered analysis of oil and gas field performance shows existing fields are far from exhausted. Better recovery from producing fields could yield an additional 470 billion to over 1,000 billion barrels, along with associated gas, Wood Mackenzie explains.

Long-term LNG contracting is off to a strong start as Middle East sellers take advantage of the 'Biden Pause' on US project permitting. Over 58 mtpa of sales and purchase agreements (SPA) were contracted from January through September 2024, compared with over 94 mtpa of new LNG SPAs and HOAs signed last year.