Demand for LNG in Asia is growing and shipping and maritime-related enterprises should gear up for the business this will bring.
Speaking at Sea Asia on 23 April, Singapore LNG Corporation (SLNG) CEO John Ng said, “Asia is the growth engine for LNG demand with around 75% of total LNG consumption happening in this region.
“The shale development in North America as well as the growth of the LNG market in Australia and West Africa will have a huge impact on LNG trade flows and therefore the world’s shipping markets.”
SLNG operates Singapore’s LNG terminal.
Panama Canal Authority CEO Jorge L Quijano highlighted that the Panama Canal is preparing to manage this growth, with two to three LNG vessels expected to transit through the expanded canal every day by 2020. Earlier this year, the authority released proposed LNG tolls to take effect following the Canal’s expansion.
The Export-Import Bank of China’s (EXIM Bank’s) deputy director of transport finance, Li Xiang, said the trend is also helping to shape the bank’s financing decisions.
“China is importing large volumes of LNG and there will be huge potential in the coming years for the LNG market. We think LNG will be one of our priorities,” he said.
Going forward, EXIM Bank will continue to prioritise their lending to higher-technology and higher-value assets such as LNG vessels, offshore vessels, and eco-ships.