LNG will provide supply diversity

LNG will provide supply diversity

November 5, 2018 | Budapest Energy Summit | News

Natgas is a flexibility – says Andrew Valker, VP Strategy and Communication of Cheniere Marketing Ltd., who will be one of our top speaker at the BUdapest Energia Summit 2018. We asked him on the future of USA LNG on the global market.

– How do you see the current role of LNG in the EU energy market?

– LNG has an important role to play in the EU energy market. The European gas market is expected to have a growing level of natural gas imports over time. The good news is that increasing volumes of globally traded LNG will be available to help meet the shortfall, including volumes from our growing export facilities in the US. LNG will provide supply diversity, supply flexibility and increased gas-on-gas competition – enhancing both the affordability and supply security of natural gas in Europe.

– What do you think about the perspectives of LNG here in CEE region?

– LNG has an opportunity to play an important role in the CEE region – but new terminals and / or new internal pipeline connections will be required for it to access all markets in the region. New terminals have emerged in recent years in North-Eastern Europe, and LNG has diversified supply into these markets with positive results, but a couple more are probably needed in the CEE region overall.

– Can LNG, or actually natgas compete with renewables in the low carbon age?

– Rather than view natural gas as a competitor to renewables it is probably more constructive to view it as complementary to renewables. Indeed its flexibility will be key in enabling a growing share of intermittent renewables in the future energy mix. Over time we can expect to see a growing role for sustainable gases and energy carriers such as biogas, low-carbon natural gas and hydrogen in the mix.