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LNG storage tanks in Shanghai, China.
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Chinese demand for LNG 'almost infinite'

Chinese consultant points to China's coal-to-gas switching campaign as cause for huge growth in natural gas demand and LNG imports.

An article on JWN quotes Chinese energy consultant Yao Li saying that China's demand for LNG is "almost infinite."

Li was speaking at the annual Canada Gas and LNG Conference in Vancouver. She is the CEO of SIA Energy. 

While China's made major investments in renewable energy and electric vehicles, a major part of its plan to reduce greenhouse gas (GHG) emissions is to shift from coal to natural gas power. Much of that natural gas will need to come from LNG imports since even at current levels China is only able to supply 57 per cent of its natural gas needs domestically.

“In China, we have a coal-to-gas switching campaign going on, which contributed to huge demand growth, as well as imports of LNG,” Li was quoted as saying in the article. Li estimates that China's demand for LNG imports will more than double: rising from the current 40 million tonnes per annum (mtpa) to 90 mtpa by 2030.

LNG Canada recently committed to a $40 billion LNG project on Canada's West Coast. There is potential for Canada's industry to grow further to meet this demand. Canada has advantages over key LNG competitors like the United States when it comes to sailing distance and environmental performance. 

Read the full JWN story here.