September 16, 2008
In AER Interview, Qatargas Chief Forecasts Stronger LNG Prices and Demand in Atlantic Basin
To: FOREIGN EDITORS
Contact: Joe McMonigle of the Abraham Energy Report, +1-202-393- 4673WASHINGTON, Sept. 16 /PRNewswire-USNewswire/ -- As the world's largest liquefied natural gas (LNG) exporter brings four mega- trains online in the next five years, Qatargas' Chairman and CEO is forecasting stronger price levels as well as demand in the Atlantic Basin.
In an exclusive interview in the debut issue of the Abraham Energy Report(AbrahamEnergyReport.com), Qatargas Chairman & CEO Faisal Al-Suwaidi discussed the companys future and its role in meeting worldwide LNG demand with former U.S. Energy Secretary and Abraham Energy ReportPublisher and Editor Spencer Abraham.
Qatar sees much of the new growth potential in the Atlantic Basin and has executed strategies to develop secure markets there, Al- Suwaidi said in excerpts released by the Abraham Energy Report. Achieving these objectives required investing billions in terminals and ships to access the deep liquid markets of the northwest Europe and the United States. This investment ensures sufficient market capacity for the new large trains.
By 2010 over 120 million tons of LNG could be targeting the Atlantic Basin and there should be over 200 million tons of terminal capacity waiting for it. So what we see is solid growth in LNG demand in all markets and sufficient production, ships and terminals to deliver it where it is needed the most.
While declining to discuss specific price ranges, Al-Suwaidi added that we see that gas is deeply discounted in the Atlantic Basin relative to oil on an equivalent energy basis, and hope to see prices strengthen relative to oil in the coming years.
Sitting on 900 trillion cubic feet of gas reserves, the third largest reserves in the world, Qatar has invested billions in its infrastructure to ensure that it can meet its ambitious goals for exporting LNG to Asia, Europe and North America. Al-Suwaidi is positive about LNG growth for the future.
Eight new LNG trains around the world will come into production increasing capacity by some 20 percent, said Al-Suwaidi. This new capacity is meeting customers in Asia and the Atlantic Basin ready for the gas. This expansion will continue, albeit at a slightly slower pace, and likely to average over 10 percent per annum growth through the end of the decade.
The Abraham Energy Reportsentire interview with Qatargas chief is available on its web site at AbrahamEnergyReport.com
About theAbraham Energy Report
The Abraham Energy Reportis a new subscription-based monthly newsletter which offers a unique blend of timely and exclusive insights into global energy markets coupled with sharp analysis of geopolitics and energy policy. The ReportsPublisher and Editor is former U.S. Energy Secretary Spencer Abraham, who currently serves as chairman and CEO of The Abraham Group LLC in Washington, D.C.
Media Contact: Joe McMonigle 202-393-4673
More information: AbrahamEnergyReport.com
SOURCE Abraham Energy Report
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