An Outline Of The Global Gas Market

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.0 Introduction This report is an outline of the present status of the global gas market, its advancement from the past to the present basic market interface and the future of global natural gas markets. The comparison of Liquefied Natural Gas (LNG) as source energy with other sources of energy, the impacts around the globe, market structure between regions, the challenges created and a forecast in regions around the globe based on prices, demand and supply of the natural gas market. 1.1 What is Natural Gas? Natural gas is one of the safest and cleanest forms of energy used for daily living. It is the mixture of gases which are rich in different hydrocarbons such as Methane, Ethane, Propane, Butane and Pentane and mixture of…show more content…
Within 2007-2012, gas consumption in China doubled to about 150 bcm while the gas production in US gained 25% to reach 681 bcm this same period. 1.2 The Global Gas Market In recent years, the globalization of natural gas market is largely based on past patterns of intercontinental shipping basin (i.e. Atlantic and Asia Pacific Basins) or the major regions for natural gas trades (i.e. North America, Europe and Asia). The gas demand has gradually grown more than expectation in the past years and demand is mostly specific to the country, based on high price of crude oil, security of supply and climate change of the country. Nevertheless, natural gas is still the highest source of energy after renewable energy due to its less carbon dioxide emission. The global gas demand over the last decade increased by around 800 bcm by having 2.8 percent yearly increase, by 2012 demand was an estimate of 3427 bcm. Fig1.2.1 Atlantic basin This market developed later after the Asia Pacific market was developed. In this region, European based countries drive the market, also attempting to supplement gas from Russia and USA while North Africa is relatively out of the market supply. The pricing in this region is significantly more complex compared to
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