ADI Analytics was asked to provide an outlook on natural gas markets for CompressorTech2 magazine. Our article was featured in the August-September 2021 edition and provided insights from our research on the outlook of natural gas demand, supply pricing, projects, and implications on international trade. The article also covered the impact COVID-19 had on natural gas markets and our expectations on a recovery in 2021 and a moderate growth over the medium term.
The European Commission in July 2021 released far-reaching plans to help the region cut greenhouse gas emissions by 55% in 2030 and attain net zero status by 2050. Although a number of hard-to-abate industries such as steel and fertilizers will be regulated, oil and gas were excluded from the scope of these regulations at this time. However, leading natural gas producers are embarking on a number of initiatives – flaring cuts, carbon-neutral LNG, “responsible” gas procurement, and fugitive emission leak reductions to name a few – to burnish the relative carbon competitiveness of natural gas amidst growing societal demand for cleaner energy. While all long-term energy mix scenarios forecast a substantive role for natural gas even in 2050, the industry faces a number of challenges and pressures … Read the rest here.
