Supply & Demand

Freight economics to favour Canadian LNG

Cargoes from liquefaction plants on Canada’s west coast could reach Northeast Asia in 8-9 days compared with 20 days for those from the US Gulf Coast, giving Canadian LNG a significant market advantage Cargoes from liquefaction plants on Canada’s west coast could reach Northeast Asia in 8-9 days compared with 20 days for those from the US Gulf Coast, giving Canadian LNG a significant market advantage.
By Peter Stewart 22 November 2018 0 33400
LNG Canada marks Canada’s biggest-ever private sector investment project. (LNG Canada)

Freight economics could play a key role in the competitiveness of LNG projects in Canada compared with those on the Gulf Coast of the United States.

LNG Canada took an FID in October on the first large-scale liquefaction project in Canada, making it more likely that some of the nearly 50 other LNG and NGL related projects that have sought licences in the country will go ahead. However, these projects will be competing for finance with a growing number of liquefaction facilities planned across the world....