18.08.2021 Prospects for the global LNG market and its production in Turkmenistan

Prospects for the global LNG market and its production in Turkmenistan

The specialists of the Lebap velayat liquefied gas production department are approaching the celebration of the 30th anniversary of the state Independence of Turkmenistan with high production rates. For seven months of this year, the growth rate for the production of liquefied gas, compared to the same period in 2020, amounted to 106.8%. About 44 thousand tons of commercial products were produced. The site of oil and gas information of Turkmenistan reports.

The bulk of finished products produced at the Naip and Bagadzha gas fields are exported. It is noted that export volumes also exceeded the level of 2020.

The largest producer of liquefied natural gas (LNG) in Turkmenistan is the Turkmenbashi complex of oil refineries: the annual volume of more than 300 thousand tons is two-thirds of the liquefied fuel produced in the country. About 200 thousand tons are used at TKNPZ for the production of polypropylene and a component of high-octane gasoline.

The production of liquefied gas is one of the promising areas for the development of the oil and gas complex of Turkmenistan, which is in line with global energy trends. Many countries are considering the transition to liquefied gas as an alternative to gasoline and diesel fuel, and the demand for this type of fuel is constantly growing in the world. Experts note that liquefied natural gas accounts for more than two-thirds of China's energy imports, which is Turkmenistan's main partner in the gas sector.

A report by the British-Dutch oil and gas company Shell on the prospects for the development of the LNG market predicts a great future for this sector. According to the company's analysts, the LNG sector has demonstrated resilience and flexibility in 2020. Global demand for liquefied natural gas rose to 360 million tonnes. The main importers of LNG in 2020 were China and India.

Global LNG demand is projected to reach 700 million tonnes by 2040, amid continued strong growth in demand for natural gas in Asia and increased use as a source of energy in industries where electrification is challenging. The company's analysts attribute the great prospects for LNG to the fact that gas plays a key role in the decarbonization of the world economy. Shell says that rebuilding the economy and overcoming the large-scale economic impact of the coronavirus pandemic at the expense of low-carbon resources, as well as consistently reducing emissions to zero levels, requires solutions based on the use of cleaner energy sources.

The use of natural gas - in combination with renewable energy sources (RES) or as an energy resource in sectors of the economy that are difficult to electrify - helps to reduce emissions in general. According to the forecast, for the period up to 2040, the total share of gas and renewables will amount to 74% of the total growth of the energy sector.