Deals
Why Energy Giants Will Continue to Dominate LNG Market
- Oil majors seen dominating with easier route to financing
- Trading houses seek bigger slice of expanding market
Trade in the $90 billion market for the superchilled gas is poised to double by 2040
Photographer: Tomohiro Ohsumi/Bloomberg
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Total SA’s billion-dollar deal to buy liquefied natural gas assets from Engie SA shows how much size matters in the industry.
After Royal Dutch Shell Plc’s takeover of BG Group Plc last year, industry consultant Wood Mackenzie Ltd. says the latest accord is evidence that the biggest energy companies with access to large volumes of diverse supplies will continue to dominate, even as commodity traders from Glencore Plc to Trafigura Group Pte are expanding.