2 October 2023
Rollercoaster ride: Is LNG now locked into boom and bust cycles?
Publication date: 12 July 2019
Gas Strategies Group
10 Saint Bride Street
London UK
EC4A 4AD
ISSN: 0964-8496
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With a wave of new capacity coming on stream contributing to a slump in LNG spot prices, just as a wave of new FIDs seems to be building, there is much talk at the moment about cyclicality in the LNG business. Capital intensive industries, like petrochemicals and refining, are prone to cyclicality and boom-and-bust cycles of investment, overcapacity and price slumps that are generally bad news for long-term profitability. Is this now also the future of the LNG industry?