Sanctions against Russia, deterioration of plant equipment and attacks on tankers in the Red Sea could lead to a shortage of liquefied natural gas (LNG) worldwide. reported ag. Bloomberg citing the International Gas Union (IGU) report.
US sanctions against Russia's Arctic LNG-2 project, which forced foreign shareholders to suspend their participation in it, as well as a ban on transit of LNG from Russia to EU ports, will lead to global supply disruptions. An additional burden for the global LNG industry is the freeze in 2024 by the administration of US President Joe Biden on the issuance of licenses to US companies to export this type of fuel. In addition, new LNG plants under construction in Qatar and the United States will not be operational for several years.
The authors of the material also point out that about a quarter of all global LNG production facilities are more than 20 years old, exacerbating the need for equipment replacement. Rising fuel demand in the Asia-Pacific region and shipping security risks in the Red Sea are straining the global LNG supply chain, further increasing the likelihood of shortages.
November 2, 2023 The United States imposed sanctions on Novatek's Arctic LNG 2 project, as a result of which the company did not receive ice-class gas carriers ordered in South Korea. On December 12, 2023, the United States imposed sanctions on Russian companies manufacturing LNG production equipment, including Northern Technologies, Kazankompressormash, and Kazancompressormash. and "Gazprom Linde Engineering". The EU announced the introduction of restrictions on the transit of Russian liquefied natural gas through European ports to third countries from the spring of 2025 (after a transition period of nine months), and also banned investments, the provision of goods and services for the completion of Arctic LNG Projects 2. and "Murmansk LNG".