Supply & Demand

Equatorial Guinea to face perils of spot LNG

Equatorial Guinea’s overreliance on spot LNG risks deterring interest in the proposed Fortuna FLNG project Equatorial Guinea’s overreliance on spot LNG risks deterring interest in the proposed Fortuna FLNG project.
By Abhishek Kumar 21 August 2017 0 27261
Malabo, Equatorial Guinea's capital. The country’s overreliance on spot LNG risks deterring interest in the proposed Fortuna FLNG project. (Wikipedia)

Directional impact on forecast:
Downbeat on LNG exports from Equatorial Guinea

LNG from Equatorial Guinea has capitalised on the recent opportunities presented by the Argentine market. However, the African country’s excessive reliance on spot transactions will present challenges for its LNG exports that could further delay the proposed Fortuna FLNG project.

Almost 70% of Equatorial Guinea’s LNG exports were traded under short-term contracts or on the spot market in 2016, and this figure is expected to rise in 2017. The country has become a...