RasGas CEO, Hamad Mubarak Al Muhannadi said an LNG suppliers and buyers collaborative effort is needed to adopt a long-term view for maintaining a sustainable LNG market.
“LNG buyers are currently comfortable with the availability of LNG and have a general wait-and-see attitude towards making new longer-term commitments,” said Al Muhannadi.
However, if LNG suppliers fail to develop resources required to meet forecasted longer term demand growth, at the right time and place, there will be a supply and demand imbalance with longer term implications for LNG prices, he added.
Speaking at the recently held Gastech conference on the growing role LNG will play in the global fuel mix, he pointed out that the ‘voice of gas’ is increasingly being heard supporting the further penetration of natural gas in the energy supply mix.
“To help this vision along, we, as an industry, need to encourage the implementation of both market and policy-focused reforms that facilitate natural gas’ increased penetration,” he added.
Al Muhannadi stressed that both buyers and sellers need to work together to honour contractual commitments and to jointly influence and enhance the role of gas by providing appropriate support for initiatives promoted by governments and regulatory agencies.