PetroChina Official Projects Record-High LNG Imports for China in 2024

Forecast Indicates Potential Surge in Demand Driven by Industrial Sectors

According to a PetroChina official, China’s liquefied natural gas (LNG) imports could soar to record levels in 2024, with expectations of shipping between 78-80 million metric tons of LNG this year. Zhang Yaoyu, global head of LNG and new energies for PetroChina International, highlighted that industrial and commercial sectors are anticipated to be the key drivers of this heightened demand. The projected increase, representing a 9-12 percent rise from the 2023 imports, is indicative of China’s persistent position as the world’s leading importer of LNG. Notably, China imported a record 78.8 million metric tons in 2021.

Zhang emphasized the feasibility of this forecast based on first-quarter data, revealing that China has already shipped nearly 20 million tons of LNG in the same period, primarily fueled by demand growth from the chemicals, paper, steel, and cement industries. Despite this optimistic outlook, Zhang noted that LNG prices would need to drop below $6 per million British thermal units (mmBtu) for consumption to escalate in power plants. He underscored the ongoing reliance on coal for grid stability in China, suggesting limited adoption of LNG in power generation amidst the increasing utilization of renewable energy sources. The projections reflect China’s dynamic energy landscape and its strategic considerations amidst evolving market conditions.

Source: OGN