Douglas-Westwood (DW) has announced that it has published its latest ‘World FLNG Market Forecast’ for the period 2017 – 2022.
According to the report, global CAPEX on floating LNG (FLNG) facilities is expected to increase significantly to US$41.6 billion during the forecast period, despite challenging market conditions.
The report suggests that near-term growth in expenditure will be driven by flagship liquefaction projects sanctioned prior to the oil price downturn, with expenditure to peak next year as the first wave of projects come on-stream. Nearly 60% of spend is expected to be on liquefaction vessels, with over 40% on import and regasification terminals. DW believes that the floating regasification market has been stimulated by a drive to move towards cleaner sources of energy.
DW expects the oil price downturn to impact the market towards the end of the decade. Meanwhile, both Africa and Asia have been touted as key areas for liquefaction and regasification units.
Edited from press release by Callum O'Reilly
Read the article online at: https://www.lngindustry.com/floating-lng/10082016/dw-flng-capex-to-increase-2891/