A ‘tidal wave’ of LNG supply will reshape global markets, says RBC Capital

The global market for liquefied natural gas (LNG) is set to undergo significant changes with a surge in supply expected to lead to oversupply and lower prices by 2030. The growth in LNG trade has been driven by disruptions in Russian pipeline gas to Europe, leading to increased focus on LNG for shipping rather than profit margins. Despite geopolitical tensions, LNG prices have remained stable, indicating a sufficient global supply. Challenges ahead include expiring contracts for Russian gas deliveries to Europe, which could result in higher LNG imports and a tighter global gas balance.