Equinor is looking to scale up its LNG trading activities, reported Reuters, citing a senior company executive.
The Norwegian oil and gas company is also engaging with potential clients in Europe and South East Asia.
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As nations strive to achieve net-zero emissions by 2050, LNG is anticipated to play a critical role, particularly in Asia, the leading energy importer.
Speaking to the news agency on the sidelines of the Flame Gas and LNG conference in Amsterdam, Equinor senior vice-president of gas and power Helge Haugane said: “Asia is very relevant for us as some of these growing economies are going to be big energy consumers in the future and they will have their form of transition.”
Europe’s shift from Russian pipeline gas has led to a surge in LNG imports, making it the largest LNG importer globally in 2023, surpassing China.
“All the way up to 2050 and beyond, Europe will still need gas,” Haugane added, underscoring the continent’s ongoing demand.
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By GlobalDataIn 2022, Equinor surpassed Gazprom as Europe’s top natural gas supplier.
Haugane revealed that Equinor traded 6mt of LNG in 2023, focusing on value rather than volume.
“Our mantra is value over volume, hence we do not have a specific volume target but we do believe that LNG is a growing market, which is going to be crucial for the energy transition, and where we will find opportunities,” he said.
Haugane anticipates increased price volatility, which could enhance trading prospects.
Despite a decline in profits for Equinor’s market, midstream and processing division, from $1.3bn to $887m, the company still outperformed its projected earnings of $400–800m, buoyed by robust trading in liquids and LNG.
Recently, Equinor entered a 15-year contract to supply LNG to India’s Deepak Fertilisers.
The company is also considering additional third-party LNG sources and has a contract for around 3.5mt from the US’s Cheniere, starting in 2026.
