China will dominate the addition of liquefied natural gas (LNG) regasification capacity in Asia, according to London-based global data and analytics company GlobalData.
Contributing around 34% of the region’s capacity additions with projects that have already received the necessary approvals, China is expected to add a capacity of 5.7 trillion cubic feet (tcf).
However, 2.1 tcf from projects are in the theoretical stage and have not been approved yet, according to GlobalData’s latest report, LNG Regasification Terminals Capacity and Capital Expenditure (CapEx) Forecast by Region, Key Countries, Companies and Projects (New Build, Expansion, Planned and Announced), 2023-2027.
According to Bhargavi Gandham, an oil and gas analyst at GlobalData, China is rapidly expanding its LNG regasification capacity while meeting growing natural gas demand, mitigating environmental pollution, diversifying energy resources and meeting its carbon neutral objectives.
China is looking to expand its LNG regasification through two projects that are set to begin operations in 2025. Tangshan II, an onshore regasification terminal planned in the Hebei province, and Zhoushan II, an announced LNG regasification terminal in the Zhejiang province, will each have a capacity addition of 584.4 billion cubic feet (bcf) by 2027.
Furthermore, the Yantai I LNG regasification terminal, scheduled to operate later this year with an expected capacity of 487 bcf by 2027, ranks second in terms of LNG regasification capacity among the upcoming terminals in China.
‘Gas from the terminal will help meet the growing demand for natural gas in the Shandong province, which is primarily known for its consumption of coal,’ she concluded.
