The market for liquefied natural gas will be “tight” in the medium term as demand recovers in China and Europe boosts imports of the super-chilled fuel, according to the chief executive of Inpex, Japan’s largest oil and gas exploration company.
“The demand and supply situation will continue to be relatively tight perhaps until the end of 2030, but no one knows what will happen after that,” Takayuki Ueda told The National in an interview on Tuesday.
Global competition for LNG cargoes is set to intensify after China, the world’s second largest economy, reopened its borders for the first time in three years.
“The demand in China will increase after [the lifting of Covid-19 curbs] … that’s a good thing for us,” said Mr Ueda.
On the supply side, decisions from the Opec+ group of oil producers could be “very important” for short-term natural gas prices, he said.
The Russian military offensive in Ukraine has led to a “structural change” in global energy markets, with several countries severing diplomatic and trade ties to Moscow, effectively changing the dynamics long term, the Inpex chief noted.
Europe, faced with dwindling Russian natural gas supplies, has increased LNG imports from the Gulf and the US.
“I think long-term LNG [contracts] seem to be much more important after the Russian war,” said Mr Ueda.
“What seems to be clear for me during this crisis … is that natural gas [and] especially LNG will play a very important role for a long time.”
Last year, the International Energy Agency (IEA) said it expected fossil fuel demand to peak or reach a plateau in all its scenarios for the first time.
Based on current policies, natural gas demand will reach a plateau by the end of the decade while oil demand will “level-off” in the mid-2030s amid rising sales of electric vehicles, the agency said.
“There are a lot of LNG receiving terminals under construction in Germany and a lot of exporting facilities are also under construction in the US … I think the usage of LNG will be longer than we originally expected,” said Mr Ueda.
Last month, Inpex signed a long-term agreement with US-based Venture Global LNG for the supply of 1 million tonnes per annum for 20 years.
Meanwhile, the Tokyo-based company is also expanding its production and sales of LNG.
Inpex plans to boost the annual production capacity at its Australian LNG project — Ichthys — to 9.3 million tonnes this year, from 8.9 million tonnes, said Mr Ueda.
While most of the fuel produced from the mega-LNG project is going to the Japanese market, Inpex could potentially ship it to other markets in Asia.
“Demand in Japan … will gradually decrease in the long run, then South-East Asia, China or India will be much more important,” said Mr Ueda.
Several energy companies have announced plans to produce and sell clean hydrogen as countries move towards net-zero emissions targets.
Inpex has also been receiving blue ammonia shipments from UAE’s Adnoc.
Blue ammonia is a chemical compound produced using hydrogen manufactured through steam methane reformation. Ammonia is one of the easiest ways to store and transport hydrogen.
“We are also looking [at] the worldwide market of blue hydrogen [and] ammonia,” said Mr Ueda.
“There might be a turning point for demand somewhere between 2027 and 2033, so we need to prepare for [that].”
Hydrogen, which can be produced using renewable energy and natural gas, is expected to play a key role in the coming years.
French investment bank Natixis estimates that investment in hydrogen will exceed $300 billion by 2030.
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Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
Labour dispute
The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.
- Abdullah Ishnaneh, Partner, BSA Law
Where to donate in the UAE
The Emirates Charity Portal
You can donate to several registered charities through a “donation catalogue”. The use of the donation is quite specific, such as buying a fan for a poor family in Niger for Dh130.
The General Authority of Islamic Affairs & Endowments
The site has an e-donation service accepting debit card, credit card or e-Dirham, an electronic payment tool developed by the Ministry of Finance and First Abu Dhabi Bank.
Al Noor Special Needs Centre
You can donate online or order Smiles n’ Stuff products handcrafted by Al Noor students. The centre publishes a wish list of extras needed, starting at Dh500.
Beit Al Khair Society
Beit Al Khair Society has the motto “From – and to – the UAE,” with donations going towards the neediest in the country. Its website has a list of physical donation sites, but people can also contribute money by SMS, bank transfer and through the hotline 800-22554.
Dar Al Ber Society
Dar Al Ber Society, which has charity projects in 39 countries, accept cash payments, money transfers or SMS donations. Its donation hotline is 800-79.
Dubai Cares
Dubai Cares provides several options for individuals and companies to donate, including online, through banks, at retail outlets, via phone and by purchasing Dubai Cares branded merchandise. It is currently running a campaign called Bookings 2030, which allows people to help change the future of six underprivileged children and young people.
Emirates Airline Foundation
Those who travel on Emirates have undoubtedly seen the little donation envelopes in the seat pockets. But the foundation also accepts donations online and in the form of Skywards Miles. Donated miles are used to sponsor travel for doctors, surgeons, engineers and other professionals volunteering on humanitarian missions around the world.
Emirates Red Crescent
On the Emirates Red Crescent website you can choose between 35 different purposes for your donation, such as providing food for fasters, supporting debtors and contributing to a refugee women fund. It also has a list of bank accounts for each donation type.
Gulf for Good
Gulf for Good raises funds for partner charity projects through challenges, like climbing Kilimanjaro and cycling through Thailand. This year’s projects are in partnership with Street Child Nepal, Larchfield Kids, the Foundation for African Empowerment and SOS Children's Villages. Since 2001, the organisation has raised more than $3.5 million (Dh12.8m) in support of over 50 children’s charities.
Noor Dubai Foundation
Sheikh Mohammed bin Rashid Al Maktoum launched the Noor Dubai Foundation a decade ago with the aim of eliminating all forms of preventable blindness globally. You can donate Dh50 to support mobile eye camps by texting the word “Noor” to 4565 (Etisalat) or 4849 (du).
Ferrari 12Cilindri specs
Engine: naturally aspirated 6.5-liter V12
Power: 819hp
Torque: 678Nm at 7,250rpm
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How to watch Ireland v Pakistan in UAE
When: The one-off Test starts on Friday, May 11
What time: Each day’s play is scheduled to start at 2pm UAE time.
TV: The match will be broadcast on OSN Sports Cricket HD. Subscribers to the channel can also stream the action live on OSN Play.
MIDWAY
Produced: Lionsgate Films, Shanghai Ryui Entertainment, Street Light Entertainment
Directed: Roland Emmerich
Cast: Ed Skrein, Woody Harrelson, Dennis Quaid, Aaron Eckhart, Luke Evans, Nick Jonas, Mandy Moore, Darren Criss
Rating: 3.5/5 stars
UAE currency: the story behind the money in your pockets
The specs
Engine: 4.0-litre V8 twin-turbocharged and three electric motors
Power: Combined output 920hp
Torque: 730Nm at 4,000-7,000rpm
Transmission: 8-speed dual-clutch automatic
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On sale: Now, deliveries expected later in 2025
Price: expected to start at Dh1,432,000
Sole survivors
- Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
- George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
- Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
- Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
MATCH INFO
Champions League quarter-final, first leg
Ajax v Juventus, Wednesday, 11pm (UAE)
Match on BeIN Sports
