LNG industry could reduce emissions by 60%, according to IEA

A study by the International Energy Agency reveals that global emissions from liquefied natural gas could be significantly reduced using current technologies.

Share:

Gain full professional access to energynews.pro from 4.90$/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90$/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 $/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99$/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 $/year from the second year.

The International Energy Agency (IEA) has published a new analysis detailing greenhouse gas emissions from the global liquefied natural gas (LNG) supply chain. The report specifies that these emissions currently reach approximately 350 million tonnes of carbon dioxide equivalent (Mt CO2-eq) each year, divided between carbon dioxide (70%) and methane released unburned into the atmosphere (30%).

Variable emissions intensity by region

Globally, the emissions intensity of LNG supplies reaches just under 20 grams of CO2 equivalent per megajoule (g CO2‑eq/MJ). This figure contrasts with natural gas as a whole, estimated on average at around 12 g CO2‑eq/MJ. However, data highlight significant variations depending on geographical areas and specific supply routes.

The document also highlights that over 99% of LNG consumed in 2024 had lower lifecycle emissions than coal. On a global average, the use of LNG generates about 25% fewer emissions compared to coal. However, the report insists on the necessity of not limiting comparisons to coal alone—considered the most carbon-intensive fuel—as other possibilities exist to further reduce emissions associated with LNG.

Available technologies for emissions reduction

According to the study, it would be possible to reduce emissions from the LNG production chain by more than 60% using currently available technologies. Among low-cost measures is notably the reduction of methane leaks, which could achieve an approximate reduction of 90 Mt CO2-eq per year, representing 25% of the sector’s total emissions. Nearly half of these gains could be realised without additional net costs.

Other moderate-cost emissions reduction strategies include improving energy efficiency of existing facilities and reducing flaring activities at the installations and fields supplying natural gas. This latter measure could reduce annual emissions by an additional 5 Mt CO2-eq.

The role of electrification and carbon capture

Moreover, the IEA suggests electrification of production facilities and LNG terminals using electricity from low-emission sources could provide an additional substantial reduction, estimated at 110 Mt CO2-eq annually. The integration of Carbon Capture, Utilisation and Storage (CCUS) technologies into liquefaction plants also represents a significant possibility, although requiring substantial initial investments.

The report was presented by the IEA Director of Energy Markets and Security, Keisuke Sadamori, at the annual LNG Producer-Consumer Conference in Japan, jointly organised by the IEA and Japan’s Ministry of Economy, Trade and Industry.

The European Commission proposes bringing forward by one year the ban on imports of Russian liquefied natural gas, as part of a new sanctions package backed by Washington.
The Cedar LNG project, 50.1% controlled by the Haisla Nation, marks a first in the global gas industry, supported by a record C$1,4bn ($1,03bn) loan.
Natural gas executives report delays due to turbines, steel and legal risk, even as federal approval timelines improve.
The European Commission is preparing a new sanctions package including an accelerated ban on Russian liquefied natural gas, with negotiations already underway among member states.
H2G Green Limited’s subsidiary completed the conversion of an industrial site from diesel to liquefied natural gas, marking a shift in local manufacturing energy demand.
Russian producer Novatek rerouted part of its gas condensate output to the port of Novorossiisk, following a temporary shutdown at its Ust-Luga complex after a drone attack caused a fire.
Despite gas stocks covering over 80% of winter needs, Kyiv must still import more to offset the impact of Russian strikes on energy infrastructure.
The European Commission and the United States plan to intensify their economic measures against Russia, targeting the energy sector and cryptocurrencies in a new sanctions package.
The consortium led by Adnoc ends its acquisition plans for Santos, the Australian liquefied natural gas supplier, citing commercial and contractual factors that impacted the evaluation of its offer.
Eskom must restart the entire administrative process for its Richards Bay gas plant after South Africa’s Supreme Court cancelled its permit, citing insufficient public consultation.
QatarEnergy, TotalEnergies and Basra Oil Company begin construction of the final infrastructure components of Iraq’s integrated gas project, mobilising more than $13bn in investments to modernise the country’s energy supply.
Texas-based utility CPS Energy acquires four natural gas power plants from ProEnergy for $1.39bn, strengthening its footprint in the ERCOT market with operational dual-fuel infrastructure.
MCF Energy has completed drilling of the Kinsau-1A well in Bavaria at 3,310 metres, reaching its geological targets with hydrocarbon presence, reaffirming the company’s commitment to its European gas projects.
A Ukrainian national arrested in Italy will be extradited to Germany, where he is suspected of coordinating the 2022 attack on the Nord Stream 1 and 2 gas pipelines in the Baltic Sea.
Starting the ban on Russian gas as early as 2026 would raise benchmark prices, with a spread close to $1/MMBTU in 2026–2027 and spikes above $20/MMBTU in Austria, Hungary and Slovakia, amid tight regional supply and limited LNG availability.
Cairo has concluded three new exploration agreements with Apache, Dragon Oil and Perenco, for a total investment of over $121mn, as national gas output continues to decline.
The Iris carrier, part of the Arctic LNG 2 project, docked at China’s Beihai terminal despite US and EU sanctions, signalling intensifying gas flows between Russia and China.
Blackstone Energy Transition Partners announces the acquisition of a 620-megawatt gas-fired power plant for nearly $1bn, reinforcing its energy investment strategy at the core of America’s digital infrastructure.
Argentina aims to boost gas sales to Brazil by 2030, but high transit fees imposed by Bolivia require significant public investment to secure alternative routes.
Nigeria and Libya have initiated technical discussions on a new pipeline project to transport Nigerian gas to Europe through the Mediterranean network.

Log in to read this article

You'll also have access to a selection of our best content.