World News
Gas Exporting Countries Target 33% Bunker Market Share for LNG by 2050
LNG bunker demand may take up as much as 33% of the total marine fuel market by 2050, according to a forecast from producer coalition the Gas Exporting Countries Forum (GECF).
In its latest GECF Global Gas Outlook 2050 report, the organisation forecasts LNG bunker demand rising from 11 bcm/year as of 2019 to more than 90 bcm/year by 2050, with its share of the overall bunker market climbing from 3% to 33% over that period.
"Demand will accelerate post-2025, as in the mid-term LNG propulsion will face competition from low-sulfur oil products as well as from the installation of scrubbers," GECF said in its report.
"Moreover, the widespread adoption of LNG is currently hindered by a lack of refuelling infrastructure in ports across the world, but infrastructure is unlikely to remain a serious constraint given the significant market potential."
The report gives no forecast for how other marine fuels will fare over the coming decades. The GECF forecast for LNG is towards the more bullish end of the bunker demand forecasts made in recent years.
DNV's 'Maritime Forecast to 2050' report, published in September 2019, puts LNG's share of the overall bunker market at just over 40% by 2050, while ABS's 'Pathways to Sustainable Shipping Report', published last year, sees LNG taking just 10% of the market by then.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 570.00 | 1.00 | 683.00 | 2.50 |
| Rotterdam | 515.50 | 1.00 | 685.00 | 7.50 |
| Houston | 555.00 | 1.00 | 678.00 | 1.00 |
| Fujairah | 563.00 | 2.00 | 754.50 | 0.50 |
| Global 20 Ports Average | 587.50 | 1.50 | 765.00 | 0.50 |
| Global 4 Ports Average | 551.00 | 1.00 | 700.00 | 1.00 |
| Global Average Bunker Price | 634.50 | 1.00 | 812.50 | 1.00 |
Popular Now More
-
Nov 26The new hire previously worked as a bunker trader for IBT Bunkering & Trading in Hamburg. -
Nov 21CCO Christoffer Berg Lassen is stepping down from the company to be replaced by Anders Grønborg, while Peder Møller becomes its first chief operating officer. -
Nov 25The organisation has been focused on developing a standard clause that is workable for most scenarios and commercial relationships, following feedback from industry consultations.