Equinor Targets LNG Supply Expansion Amid Rising Demand
Norwegian energy producer Equinor is expanding its liquefied natural gas supply portfolio to meet rising demand from European and Asian markets. According to senior company executives, the goal is to increase LNG supply to between 10 million and 15 million metric tons per year by the early 2030s.
Equinor has already signed a 15-year LNG supply contract with India's Deepak Fertilizers and Petrochemicals Corp in May. The company plans to announce another LNG supply agreement with an Asian customer this week, said Ingvar Egeland, Equinor’s vice president for LNG.
The expansion is driven by the increased demand from Asia, which has been searching for alternative sources due to the disruption in supplies from Qatar and the United Arab Emirates caused by the U.S.-Israeli war on Iran. Equinor expects its supply portfolio to reach 7 million tons per year in 2030 when U.S. supplies reach full capacity.
The company will also diversify price exposure by including cargoes priced on futures contracts, Egeland said.