Gas Statistics

Gas statistics show that global consumption of natural gas grew by 3.3% in 2004. While natural gas consumption in the USA stagnated, the Middle East, China and Russia recorded big jumps. Gas statistics show that natural gas production declined in North America in 2004, but rose in Europe. Although oil continues to be the preferred fuel, natural gas is slowly gaining favour due to lower emissions. According to the International Energy Agency, the share of natural gas in total energy consumption will rise from 23% in 2001 to 28% in 2030.

Gas statistics show that proved natural gas reserves are more evenly distributed than oil reserves. According to the BP Statistical Review of World Energy 2005, 61.7% of proved oil reserves are located in the Middle East. By contrast, the Middle East accounts for only 40.6% of the proved natural gas reserves in 2004. Other regions, which have significant proved natural gas reserves, include Europe and former Soviet Union countries (35.7%), Asia Pacific (7.9%) and Africa (7.8%).

Gas statistics show that the distribution of proved reserves has undergone a significant change over the last three decades. The share of the Middle East, for instance, has increased from 28.4% in 1984 to 40.6% in 2004, presumably due to intensive exploration efforts. The share of Europe and the former Soviet Union countries, however, fell from 43.65% in 1984 to 35.7% in 2004. Gas statistics show that Russia has the largest share (26.7%) of proved gas reserves in 2004, followed by Iran (15.3%) and Qatar (14.4%).

Although the Middle East has increased its share of proved natural gas reserves over the years, it does not dominate the natural gas production as well as it does the oil production. According to the BP Statistical Review of World Energy 2005, Europe and former Soviet Union countries accounted for the largest share (39.1%) of natural gas production in 2004. followed by North America (28.3%), Asia Pacific (12%), Middle East (10.4%) and Africa (5.4%).

The Russian Federation was the largest producer of natural gas in 2004, accounting for 21.9% of the total natural gas production, followed by USA (20.2%), Canada (6.8%), UK (3.6%), Iran (3.2%) and Algeria (3%). Gas statistics show that Europe and the former Soviet Union states were the leading consumers of natural gas in 2004, accounting for 41.2% of total natural gas consumption, followed by North America (29.2%), Asia Pacific (13.7%) and the Middle East (9%).

Total natural gas exports through pipelines stood at 502.06 billion cubic metres in 2004 as against a total production of 2,691.6 billion cubic metres. A study of natural gas exports through pipelines throws up interesting trends. The Russian Federation is the largest exporter of natural gas (148.44bcm) through pipelines. The major export destinations for Russia include Germany, Italy, France and Turkey. The second largest exporter is Canada (102.05bcm), all of its exports heading to the USA. Gas statistics show that the largest importers of natural gas through pipelines include the USA (102.05bcm), Germany (91.76bcm), Italy (61.40bcm) and France (37.05bcm).

The advances in liquefaction and re-gasification technology have made natural gas exports through ships possible. In 2004, the exports of liquefied natural gas (LNG) stood at 177.95 billion cubic metres (bcm). Indonesia (33.49bcm) is the largest exporter of LNG followed by Malaysia (27.68bcm), Algeria (25.75bcm) and Qatar (24.06bcm). The largest importers of LNG include Japan (76.95bcm), South Korea (29.89bcm), the USA (18.47bcm) and Spain (17.51bcm). Large projects currently underway will significantly boost LNG exports in the coming years.

Gas statistics show that natural gas prices in countries such as the USA have increased due to higher demand and natural disasters such as Hurricane Katrina. The supply position is unlikely to improve drastically in the next few years as capacity additions and new LNG facilities may take time in becoming operational. In the next few years, the supply will remain tight and the prices are likely to rule high.