China will increase imports of liquefied natural gas

Mao Jiaxiang, vice president of the Economic and Technical Research Institute of China Petrochemical Corporation, stated that China will increase its LNG imports in the next decade.

Mao Jiaxiang expects that by 2020, the import volume will increase from about 10 billion cubic meters to about 80 billion cubic meters.

China promises that carbon emissions per unit of GDP will decline by 40% to 45% on the basis of 2005 by 2020, which greatly promotes the exploration and development of domestic natural gas, because natural gas is cleaner than coal or crude oil. The rapid development of China’s economy has also stimulated the growth of domestic energy demand.

Mao Jiaxiang added that China's LNG imports in 2015 are unlikely to exceed 40 billion cubic meters. Nevertheless, this figure still occupies a considerable proportion compared to the estimated consumption of about 200 to 230 billion cubic meters at that time.

Mao Jiaxiang also said that China's natural gas production in 2015 is expected to be 150 billion cubic meters, of which 15 billion cubic meters will be unconventional natural gas such as coalbed methane and shale gas; by 2020, natural gas production may further increase to 200 billion to 250 billion yuan. Cubic meters, which will include 30 billion cubic meters of unconventional natural gas.

Mao Jiaxiang said that this year's domestic natural gas production may exceed 100 billion cubic meters.

He added that China's natural gas consumption in 2020 is expected to be 350 to 400 billion cubic meters, which is nearly double the estimated consumption in 2015.