Floating LNG market overview: Has FLNG crested the wave?

L. Kelleher, Wood Mackenzie, London, UK Following the oil price crash in 2014, coupled with the view of an oversupplied LNG market, sanctioned volumes of new LNG supply dropped considerably between 2015 and 2017. However, throughout these stagnant years, FLNG was a bright spot in the market. The first FLNG cargo was shipped in 2017. Three FLNG vessels are now operational: Petronas’ PFLNG Satu, Golar LNG’s Cameroon FLNG and Shell’s Prelude. Of the seven major LNG projects sanctioned between 2015 and 2018, three were FLNG projects: Cameroon FLNG, Eni’s Coral FLNG and BP’s Tortue FLNG. In a world requiring tight capital discipline, FLNG offers lower capital investment and manageable costs. F