SCT&E LNG executives returned from a trip to Latin American and Asia for meetings with government officials, potential off-takers, and investors regarding the development of the SCT&E LNG $9.2 billion export terminal in Southwest Louisiana.
Greg Michaels, Chairman and CEO of SCT&E LNG said, “Countries like Japan and South Korea have been attractive to U.S. LNG developers. However, global demand for LNG continues to grow, particularly in Southeast Asia and Latin America. Countries like China and others globally have a tremendous increasing demand for LNG.” Most nations seek LNG for environmental benefits, fuel diversification, and efficiencies.
SCT&E LNG notes in its statement that China, the largest energy consumer in the world, currently burns approximately 50% of the world’s coal. Because China has instituted aggressive climate change policies to reduce their C02 emissions, they are turning to LNG as a fuel source to fulfill their energy demands and diversify their energy portfolio. These policies will double their demand for natural gas in the next five years and their long-term LNG demand is expected to make China the second largest LNG importer by 2025.
Michaels notes, “There are currently no announced off-take transactions between major U.S. LNG developers and China. SCT&E LNG intends on changing that!”
During the China visit, SCT&E LNG team focused their discussions on the synergies between China’s energy needs and how U.S. LNG can fulfill the demand China and others in the region have in order to meet their energy needs with a clean fuel source. Overall, the market’s continued response to the SCT&E LNG project has been extremely positive. SCT&E LNG is currently in negotiations with off-takers and investors in both Latin America and Asia, the company added.