Europe’s gas pivot and Asian demand boost global midstream
Europe has been hastily building out LNG and pipeline capacity since Russia’s invasion of Ukraine, while demand is rising in Asia
Global midstream markets continue to face near-term headwinds and economic uncertainties, but Europe’s rapid transition from Russian energy and projected higher demand in Asia continue to drive midstream expansion in those regions and those that supply them. While macro trends continue to favour growth in gas demand and infrastructure development, several factors have combined to depress pricing and threaten production growth during a period of shifting global trade. A milder-than-expected winter and unprecedented European conservation efforts have led to high gas storage levels in both Europe and the US, contributing to a significant sell-off in gas prices during the first half of the year.
Also in this section
9 May 2024
Pipeline boosts Canada’s oil industry by widening its export options, making it less reliant on US market and bringing Asia into the mix
8 May 2024
Despite Australia’s first import terminal nearing completion, the prospect of additional regasification projects is far from certain
7 May 2024
Ample stocks and a soft demand outlook will limit how much LNG Europe can import this year