Yamal LNG predicts global deficit, Putin urges increased output

Global LNG market could face a deficit by 2018, opening doors for an increased Russian share in the sector. 

According to the Yamal LNG project said that it is expected for the European LNG imports to reach 107 million tons in 2025 from 38 million tons in 2013, reports Reuters. It was added that by 2020, global shortage of LNG would hit 50 million tons.

According to analysts, demand for LNG will rise pushing up prices as LNG projects get delayed or canceled, which could lead to a deficit in the market unless 90 million tons of LNG export capacity is built by 2020.

Russian president, Vladimir Putin is aiming an increase in LNG output by Russian companies in order to double the global market share by 2020. Currently, that market share is about 4.5%.

Yamal LNG expects to start production by 2017 and has recently revealed that it will place $4.6 billion bond issues to raise more funds for the project.

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LNG World News Staff; Image: Novatek