The global small scale LNG (liquefied natural gas) terminals market is expected to demonstrate strong growth in the coming few years. According to a market research firm, the global small scale LNG terminals market will expand at a CAGR of 10.4% during the forecast period of 2014 to 2022. In 2013, the global small scale LNG terminals market was estimated at 42 million metric ton per annum (MMTPA) and is projected to grow to 102 MMTPA by 2022.
Top Trends Driving Demand for Better Infrastructure in the Global Small Scale LNG Terminals Market
The global small scale LNG terminals market will experience a healthy growth due to a number of factors. All of these drivers are directly or indirectly related to the trend of increasing demand for infrastructure development.
Browse Market Research Report of Small Scale LNG Terminals:
- Lack of Efficient Transportation: LNG is one of the most preferred fuels around the world. It finds application in several end-use industries. However, the major concern associated with this fuel is that the utilization of natural gas is restrained because of the absence of efficient transportation from supply to demand centers.
- Mismatch in Exports and Imports: Additionally, there exists a distinct mismatch in the worldwide natural gas market, as major producers are involved in exporting a bulk of their production, while a majority of consumers are heavily dependent on imports. Hence, there is growing need for LNG infrastructure in the global small scale LNG terminals market. This infrastructure will help transport natural gas in the liquefied form, which is more cost-effective than laying down pipelines.
- Miniaturization of Infrastructure: Presently, the preference is to construct large-scale LNG terminals around the world. However, constructing small demand centers for natural gas in small regions will gradually shift the focus to miniaturizing LNG infrastructure. This will help drive the global small scale LNG terminals market to a great extent.
- Logistical Constraints: The global small scale LNG terminals market by terminal is segmented into liquefaction (onshore and offshore) and regasification (onshore and offshore). Offshore LNG infrastructure is mostly made of small scale vessels such as floating storage and regasification units. The accelerating consumption of LNG along with the logistical constraint of the natural gas’s transportation from regasification terminal ports to distant inland demand centers is growing rapidly. In these cases, the preference is more towards small scale LNG terminals.
The aforesaid factors are expected to drive the installation of more small scale LNG terminals. Furthermore, increasing capacity additions for small scale liquefaction terminals from LNG surface transportation and bunkering industries will fuel the global small scale LNG terminals market.
At present, Europe and North America are leading the global small scale LNG terminals market, as these regions are focused on reducing greenhouse gas emissions. Asia Pacific and Europe are expected to emerge as the most attractive markets in the global small scale LNG terminals market in the foreseeable future.
Browse Press Release of Small Scale LNG Terminals Market:
The global small scale LNG terminals market is anticipated to witness several mergers and acquisitions during the forecast period, as project management competence and technological expertise is required for USPs (Universal Service Providers) incumbents. Some of the top companies operating in the global small scale LNG terminals market are Nippon Gas, EcoEléctrica, Plum Energy, Santos, Linde, Skangass, and PT Donggi Senoro LNG.