LNG: the fundamental outlook

In this episode of Prospects, we dive into the complex question of LNG attractiveness.

Our conclusion is that LNG can be an attractive exposure to the global gas market if you are the owner of an advantaged portfolio of assets.

BHP’s integrated view of the global energy system sees global gas demand continuing to grow out to mid-century, with the LNG segment growing faster than the total.That stands in contrast to oil, where we see demand peaking in either in the mid-2020s (low case) or the mid-2030s (mid case). The diversified nature of gas consumption, and its advantageous carbon profile within the fossil fuel universe¹, are its core strengths. Demand is balanced across power generation, buildings (household and commercial) and industrial applications, allied to some emerging niches such as shipping².