A new report from the International Energy Agency (EIA) forecasts that “global natural gas consumption is heading for an estimated 4% drop in 2020.” Among highlights in the report, Gas 2020, are:
- In the United States output of gas-fired power generation reached new highs in 2019, rising to a record share of about 38% of total generation. However, growth was lower than in 2018.
- Global natural gas production grew at a rapid pace, up by 3% in 2019, largely driven by the United States, which accounted for over 70% of incremental gas supply. Gas production in the United States grew by slightly more than 10%, with the Appalachian and Permian basins contributing almost two-thirds of this growth.
- In spite of an expected gradual recovery in 2021, the Covid-19 crisis will have long-lasting impacts on natural gas markets. This is because the main medium-term drivers of demand growth are subject to several key uncertainties.
- China will become the No. 1 LNG buyer of LNG in 2023, and the United States will be the No. 1 LNG seller in 2025.