HOUSTON, March 21 (Reuters) - If the U.S. pulls back
from permitting new liquefied natural gas (LNG) export plants,
demand for the fuel will still be met from projects in Qatar,
Argentina and Africa, the CEO of Baker Hughes ( BKR ), the
world's largest provider of equipment for the LNG sector, said
on Thursday.
The Biden administration in January paused new export
permits for LNG projects to study the impact of further
expansion, a move that has drawn criticism from LNG companies
and their advocates.
"We believe by 2030 there needs to be an installed base
capacity of LNG of 800 million tons per annum and either through
U.S. projects or international projects," Baker Hughes ( BKR ) CEO
Lorenzo Simonelli said in an interview on the sidelines of
CERAWeek conference in Houston.
Qatar, one of the top LNG exporters, has announced plans to
significantly expand its production, underpinned by the
additional resources in its North Field.
"If you look at projects in Africa, you have the Rovuma
project. In Argentina, we know they have plenty of gas. There
are plenty of opportunities internationally as well as floating
LNG," Simonelli told Reuters.
Africa is at the
forefront
of a global wave of new floating LNG facilities, including
Mozambique which shipped its first LNG cargo from its offshore
Rovuma basin to Europe in 2022.
Argentina's Vaca Muerta, a formation that rivals the
U.S. Permian basin, holds the
world's second-largest shale gas
reserves and could become a key global supplier of gas if
the country speeds up projects planned for exporting LNG.
So far, the U.S. permitting pause has not led to the
cancellation of any equipment orders from U.S. companies and has
had no impact on Baker Hughes' ( BKR ) business, said Simonelli.
The growth in artificial intelligence has had a material
impact on power demand and one that is being considered in Baker
Hughes ( BKR ) forecasts for supplying equipment, said Simonelli.