The International Gas Union has stated that after the United States of America, Qatar, Russia, and Nigeria are the three largest LNG suppliers to Europe.
According to The Times, this was noted in the IGU’s 2023 Global Gas Report, which was published earlier today, on October 19.
The paper claimed that as Europe’s appetite for LNG increases, it will continue to collaborate with these countries. It was highlighted that there had been a notable increase in the imports of liquefied natural gas into Europe, rising from 74 million tonnes in 2021 to 124 million tonnes in 2022, a significant increase of about 68%.
A number of significant LNG exporters responded to this increase in demand, with the United States taking the lead by increasing its supplies to Europe by more than 30 million tonnes between 2021 and 2022. This significant growth marks a phenomenal 159% increase in LNG shipments year over year.
Among the major LNG exporters to Europe after the United States are Qatar, Russia, and Nigeria, according to a section of the report. These countries are essential in supplying LNG to Europe, which has an increasing need.
This increased import activity emphasizes how important LNG is as a source of energy for Europe and how well-established the relationships are between these exporting countries and the European markets.
The IGU analysis emphasized that from 2021 to 2022, gas production in Africa decreased by 2.9 billion cubic meters (Bcm) (or roughly 1.1%), mostly as a result of diminishing output from aging sources in Egypt. The decreases in output from mature fields were somewhat offset by Algeria and Libya, whose net production increases in 2022 totaled roughly 2.9 Bcm.
The continent offers enormous growth potential in the energy sector, according to the report, given that it is home to 8% of the world’s gas reserves and has ambitious development goals.
Africa’s energy sector is still dealing with the effects of a sharp drop in oil and gas spending levels in 2014, according to the International Energy Agency. Limited energy availability continues to be a major barrier to energy security in Sub-Saharan Africa.
According to projections from the World Bank, 600 million people lived in Africa and about 800 million people worldwide did not have access to electricity in 2021. The post-COVID-19 cost-of-living crisis, which drove up electricity prices globally, has made this problem worse.
To promote economic growth and industrialization, it is crucial to address energy availability in underdeveloped areas. A trustworthy and reasonably priced energy source is essential to satisfy the significant increase in energy demand.
With a gradually decarbonizing energy mix in the upcoming years, natural gas can be a flexible choice. Gas can offer heat, power, and feedstock for crucial sectors, such as the manufacturing of fertilizer for ensuring the security of one’s food supply and raw materials for building infrastructure.
Even though some rural communities in Africa are investigating alternatives like photovoltaic microgrids, these systems would not be able to support energy-intensive industrial operations like running cement or fertilizer industries.
