LNG operating system out of date?

Are you running an LNG 3.0 business in a 4.0 industry?

An LNG business optimised to capture value in yesterday’s world is a business at risk. It ignores a fundamental shift in the natural gas and LNG market. As supply-side disruption feeds through to uncertain demand, we’re entering an era of abundance. Of customers leveraging their new-found power to bargain harder. Of intensifying competition. Of squeezed margins. Of LNG 4.0.



In LNG 1.0 the talent lay in building projects. In 2.0 it was building markets. LNG 3.0 rewarded the players who built out and optimised portfolios. But competitors have copied the 3.0 playbook and caught up. LNG 4.0 changes the rules. Those who set a target portfolio size miss the point. Size alone will not determine who wins in LNG 4.0. The question is no longer ‘what do you own?’ but ‘how much value is your business capable of getting from it?’.

In a world too often dominated by IT solutions, we help you establish a more fundamental reset. We help you upgrade your business’ operating model around your assets, contracts and optionality to capture value from them in a 4.0 world.

We are LNG consulting experts: practitioners who know the industry, the players and the moves. Our global exposure as an energy business consultancy gives us a forward view of where the industry is moving. Our LNG expert witness work gives us real-world perspectives on where contractual provisions are being tested and commercial relationships put under pressure.

Put those perspectives together and you get something more useful than a benchmark or a generic transformation model. You get an independent, clear-eyed view of the need for change and your options. Of where new market realities leave you exposed, where value is at risk and where you have room for manoeuvre.

As LNG independent experts, we work with you in lean, senior teams, making the case for change and driving the decisions that will accelerate your ability to capture value as competition intensifies.

The result is an LNG 4.0-ready business. One not just resilient enough to withstand the pressures of this new industry, but built to compete harder, move faster and capture more of its value.

Getting there requires more than a new portfolio strategy. It means rethinking where value comes from, how your business is configured to capture it, and how effectively it can act. We work with you across three interconnected stages: Define, Design and Deploy.

Define

Understand where you stand and where value lies.

Build a clear, shared understanding of how the market is changing, what that means for your business, and where the greatest risks and opportunities lie. Establish the commercial foundations for making better choices.

Define sources of value

Understand how disruption has shifted where value sits in the LNG value chain and where the industry and market is heading next.

A business-wide view

Define a single, shared objective and view across assets, contracts, shipping, markets and customers.

Expose hidden risk

Reveal the vulnerabilities of legacy assumptions and contracts created by volatile markets and more aggressive counterparties.

Find the value gaps

Identify where value is leaking, trapped, underexploited or being captured by counterparties.

Know your room to manoeuvre

Understand the flexibility and optionality you really have, and which levers can create the greatest commercial advantage.

Design

Build a business configured to compete.

Translate insight into a more competitive portfolio and operating model. Connect assets, contracts, capabilities and commercial choices to create greater flexibility, resilience and the ability to capture value.

Reconfigure your portfolio

Design your portfolio around the current market realities and sources of value.

Create an advantage others can’t copy

Shape the portfolio around distinctive positions, capabilities and choices that let you outmanoeuvre counterparties and competitors.

Connect the whole

Connect assets, contracts, teams, capabilities, processes and markets in a portfolio designed to capture more value.

Put flexibility to work

Build optionality into supply, contracts, shipping, markets and customers so the portfolio can move as value moves.

Build resilience into value creation

Design and stress test your portfolio to absorb shocks without losing its ability to capture upside.

Deploy

Turn competitive potential into commercial performance.

Put the decisions, capabilities and behaviours in place to act on opportunities as they emerge. Embed the agility to respond faster, compete harder and continually capture value as markets evolve.

Turn strategy into trades

Spot opportunities and ensure governance and decision rights support timely action before the window to capture value closes.

Close the speed gap

Implement the visibility, governance and decision rights to act while opportunities still exist.

Build portfolio muscle

Develop the skills, behaviours and processes required to win.

Put the levers in the right hands

Give people the authority and information to use the portfolio’s flexibility commercially and responsibly.

Keep value moving your way

Build a culture that continually senses change, reallocates resources and adapts the portfolio as markets evolve.