Europe

The US has had a lackluster response to the emergence of the technology, currently lacking any comprehensive roadmap for adoption, which translates into a low adoption rate.

The US accounted for 75% of global growth in LNG liquefaction capacity last year as Europe’s worldwide imports jumped 66%, according to the International Gas Union.

Energy security in Europe—and globally—now rests on US natural gas exports. Europe’s shift from Russian gas to other supplies has dramatically and permanently changed global gas trade and energy markets.

The Russian/Ukrainian conflict has shown that a division between energy-transition rhetoric and reality can lead to profound global consequences by creating an imbalance in nations’ access to diverse flows of energy. The Energy Basket composition is determined by the demands and fluidity of the grid, as opposed to high-minded rhetoric.

Europe is providing a stark look at the vagaries of geo- and energy politics and how quickly complacency can be shattered. Will its lessons learned be heeded by the rest of the world?

Tanker transit statistics via the Suez Canal broke historic records in April as Europe sought to import more crude oil and LNG from the Arab Gulf to replace traditional supplies from Russia.

Russia is pouring investment into liquefied natural gas projects as it seeks to leverage the world’s largest natural gas reserves together with the logistical advantages of delivering it at a competitive price to Asia and Europe along the now-navigable Northern Sea Route.

The EU sees the tightening requirements for gas investments, along with the cancellation of planned gas projects, as being in favor of renewables.

Europe’s gas pipeline wars are in a muddle as the US throws its support to the EastMed project to supply Israeli gas to Italy, transiting Greece and Cyprus; while at the same time the US is sanctioning the Russian-German Nord Stream 2 pipeline, which is already 90% complete.

Sandvik and Van Oord’s announcements come a week after oil major BP said it’s slashing 10,000 jobs.