…It is the only region where gas production growth will more than double
A hefty sum of $9.7Trillion is required for investment in upstream projects between now and 2050, if the rise in the world’s demand for energy is to be met in that time frame.
As population growth surges with 1.8Billion additional people, mostly in Asia and South Pacific, “energy demand is expected to rise by 22% by 2050”, according to the latest edition of the annual Global Gas Outlook 2050, launched on January 29, 2023 by the Gas Exporting Countries Forum (GECF).
Natural gas trade will expand by more than a third, led by LNG, which will overtake pipeline trade by 2026, the outlook notes.
“Global GDP will more than double, from $95Trillion today to $210Trillion in real term”, the 91 page report indicates. ”Natural gas’ share in the energy mix will go from 23% today to 26% in 2050”, while the supply of the product “will increase by 36%”, the report assures. The Middle East will contribute the largest growth share, accounting for one-third of the total, followed by Africa and North America. North America, the world’s largest gas producer, will maintain its position until the end of the outlook horizon. The region’s natural gas production is forecast to grow by 10Trillion cubic feet (Tcf) to reach 50Tcf by 2050. However, the region’s share will decline from 28% in 2021 to 26% in 2050.
Africa will be responsible for the second-largest volumetric growth, gaining more than 11% share of global gas supply by 2050, compared with slightly more than 6% in 2021. Africa is the only region where gas production growth will more than double, from 9.2Tcf in 2021 to 21Tcf in 2050.
Global natural gas production will continue to rise by an average of 1.1% per annum, from 142Tcf in 2021 to 193Tcf in 2050, representing a total of 36%.
GECF is an intergovernmental organisation established in May 2001, becoming a fully-fledged organisation in 2008, comprising eleven Members and eight Observer Members from four continents. Member Countries include Algeria, Bolivia, Egypt, Equatorial Guinea, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, and Venezuela). Observer Members include Angola, Azerbaijan, Iraq, Malaysia, Mozambique, Norway, Peru and the United Arab Emirates.
Although the Global Gas Outlook 2050 was produced by a team constituted by GECF, the organization issues a strong disclaimer: “The data, forecasts, analysis, and/or any other information contained within this document and any attachments thereto are for information purposes only and are provided on a non-reliance basis and any obligation and responsibility is hereby disclaimed with respect to such content”. The GECF declares that t neither itself, “any of the GECF Members and Observer Countries, nor any of their officials, representatives, agents or employees, while fully reserving their rights with respect thereto, shall assume any liability or responsibility for the content of the Documents and any data, analysis, or any other information incorporated therein”.