Global LNG demand is set to surge starting in 2020 as the International Maritime Organization (IMO) implements tighter regulatory limits on sulfur in bunker fuel.
Compliance with the cap will be paramount, and is initially likely to drive purchases of ultra-low-sulfur fuel. As new ships are constructed, we believe that LNG will become the favored bunker substitute, well ahead of heavy and bulky batteries or competing fuels. At the current dollar per MMBtu value, LNG still provides incentives to build the infrastructure needed to support adoption.
On this report, read about rates and expectations for global LNG shipping, information about LNG carriers, IMO's new sulfur standards and enforcement for bunker fuel, limits on low-sulfur fuel availability, and LNG being set to become the bunker fuel of the future.
