Global Oil & Gas: China invests $7 billion in floating LNG in Africa

It is still an emerging technology, but China is hoping to seize the lead in floating LNG terminals. To that end, it reportedly is planning investments of $7 billion in floating LNG in Africa.

While the LNG markets remain oversupplied, China is betting that by the time the projects come to fruition in the early 2020s, the market will have tightened. At the same time, China is very hungry for imported gas so that it can shut down coal plants and clean up its air quality.

“We see a real commitment to FLNG in China both from the construction side and from the LNG consumption side where decreasing costs mean potentially lower cost LNG,” Steve Lowden, chairman of NewAge, a floating LNG developer in Africa, told Reuters.(source: Oilprice)