78 new LNG contracts signed in the global energy market

According to a compilation by AA correspondent from the annual report of the International LNG Importers Association (GIIGNL), last year, various countries, including Oman, the United States, Norway, the United Arab Emirates and Qatar, reached agreements with different countries to sell LNG.

Among the countries that purchased LNG were TotalEnergies, Shell, ExxonMobil and Turkey with their agreements with Oman LNG. Other importing countries included Thailand, South Korea, Singapore, India, Kuwait, Japan, Germany, the United Kingdom and China.

LNG trade was calculated as 88.3 million tons

A total of 78 LNG trade agreements were signed in 2024, 48 of which were long-term contracts ranging from 5 to 27 years. Last year, a total of 7 short-term contracts, 21 preliminary agreements and 2 terminal capacity utilization agreements were also signed.

Based on the contracts whose details have been announced, the amount of LNG to be traded annually, including long- and short-term contracts, is calculated as 88.3 million tons.

The largest agreement in terms of volume was signed between QatarEnergy and Petronet LNG from India, with an annual volume of 7.5 million tons. The length of the agreement was notable as 20 years. The delivery of LNG from Qatar to India is planned to begin in May 2028.

Coal-to-gas shift in Asia boosts interest in LNG

According to the report, interest in LNG is growing at the intersection of factors including rising demand in Asia, its status as a low-emission transition fuel, its use in maritime transport and the need for energy security .

The report stated that LNG demand in Asia has increased, especially in China and India, and emphasized that the acceleration of the transition from coal to natural gas has also increased interest in LNG.

The report noted that a large number of LNG-fuelled ships were added to the global fleet last year, with major companies such as Maersk ordering more than 30 LNG container ships.

On the other hand, the report emphasized the necessity of natural gas turbines to balance variable resources such as solar and wind, and reminded that Europe increased its LNG import capacity after 2022 due to security concerns. It was shared that the import volume in the region in question has increased by more than 50 million tons annually with 18 new terminals and additional capacities since 2022.