China’s demand for clean energy is expected to rise at a rate of 12% per annum with annual consumption of LNG in 2020 to be in the region of 160-210 billion cubic metres per annum.

China currently has 1,300 to 1,600 billion cubic metres of proven gas reserves but, according to Fu, China’s domestic output would be unable to meet the rising demand for clean energy over the next 15 to 20 years meaning the country needs to import to make up the shortfall.

“Forty-nine percent of China’s natural gas source will rely on import by then, with 39% from liquefied natural gas import and possibly 10% provided by the pipe project from Russia and Central Asian nations,” said Fu.