Argentina Must Increase Gas Production by 54% to Supply LNG Projects

The international Liquified Natural Gas (LNG) market is experiencing an expansion phase, and Argentina seeks to join as a global supplier through two export projects. According to a report by Economía & Energía, the planned developments would require a 54% increase in the country's gas production.

Southern Energy and Argentina LNG would together add 18 million tonnes annually of liquefaction capacity, equivalent to 3.5% of currently installed global capacity. To supply them, the country would need to add 77 million cubic meters daily of gas to an average production hovering around 142 million cubic meters per day.

The study also notes that global gas trade grew 1% year-on-year in 2025, driven by a 6.4% increase in LNG exchanges. For the first time, the volume traded by sea exceeded that transported through pipelines, a trend that broadens the connection between producers and consumers in different regions.

The United States leads global LNG exports with 25% of the total, followed by Qatar and Australia. On the demand side, China, Japan, and South Korea, together with other Asia-Pacific markets, account for nearly 60% of global imports, while Europe maintains strong demand for cargoes to replace part of the Russian gas it previously received via pipeline.

Global liquefaction capacity reached 524.5 million tonnes annually in 2025 and could grow 36% by 2030, with North America as the primary expansion region. Meanwhile, global regasification infrastructure reached 1,114 million tonnes annually, with Asia concentrating 62% and Europe 22%.

The international scenario is also shaped by geopolitical tensions in the Middle East and their impact on maritime transport. Price evolution will depend, among other factors, on the duration of the crisis and normalization of transit through the Strait of Hormuz.

With information from Mejor Energía.