• Natural Gas News

    Dunkerque LNG Reports Sharp Rise in Activity

Summary

Higher than forecast production and uncertain Asian demand are driving cargoes to Europe.

by: Tim Gosling

Posted in:

Natural Gas & LNG News, Asia/Oceania, Europe, Liquified Natural Gas (LNG), Corporate, Import/Export, Infrastructure, News By Country, France

Dunkerque LNG Reports Sharp Rise in Activity

France’s Dunkerque LNG terminal announced July 4 a massive rise in cargos in the first half of 2019, as booming global production seeks European customers.

The facility reported that it accommodated a record high total of 37 LNG carriers in January-May, and “over 40” by early July. Launched at the start of 2017, the terminal recorded 17 unloading and reloading operations in 2018.

The operator of the facility says shifting trends in supply and demand are behind the unexpected boost in activity.

Supply is higher than anticipated due in particular to surprisingly strong output from Novatek’s Yamal LNG export terminal in the Russian Arctic. Increased production capacity from the US is also a factor, while European imports from more established suppliers including Qatar, Nigeria, Norway and Algeria have also risen.

“However, the increase in supply occurs at a time when demand in Europe is stable and demand from Asia is rising more slowly than expected, particularly in China,” said Dunkerque LNG commercial director Pierre Dumont. "The LNG producers must therefore find the best possible markets taking into account these new market conditions," he added.