In 2010, international natural gas trade recorded a spectacular growth to accompany the expansion of gas markets and set a new record in 2010, with a volume of 1014 bcm, a vigorous increase of 11%, the highest rate of growth achieved over the past decade.
Both pipeline and LNG trade posted substantial growth worldwide and respectively explained 48% and 52% of the additional traded volumes.
A portion of 32% of global marketed production is now dedicated to world gas trade.

In terms of exports, the CIS kept a dominant share of 29% of global trade flows, followed by Europe (19%). The Middle East improved its ranking and became the third largest exporting region, with a market share of 13.4%,
As the LNG import option was privileged in increasingly import-dependent consuming markets, the share of LNG in global gas flows soared from 26% to 29%. LNG now accounts for more than 9% of world marketed production. This share keeps rising every year.

The sharp rise in Gazprom exports comes as the result of an increase in shipments to CIS neighbouring countries (Ukraine, Belarus and Kazakhstan), which rose by more than 30% in 2010. Within Western Europe, between January and September, the largest increases in Russian exports were recorded in Germany (+33%) and France (20%).

In response to Europe’s rapidly increasing demand, intra-community trade is expected to expand substantially in 2010, at a speed of approximately 10%. This represents additional import flows via gas pipelines of roughly 8 bcm.   Conversely, Norwegian gas exports to continental Europe are expected to maintain levels similar to those from 2009. Over the first ten months of 2010, the increase in shipments to the United Kingdom, Czech Republic and, to a lesser degree, Germany were unable to compensate for sales losses in Italy, France (-2.3%), the Netherlands, Belgium and Austria.

Exports from the United Kingdom to the continent via the Interconnector grew by 23-24% over the year’s first seven months, therein illustrating the expansion of cross-border cooperation.

Outside Europe, US gas imports from Canada are expected to retain levels similar to 2009, following two years of sharp decline.

As for the rest of the world, gas pipeline trade is expected to make great progress in Latin America, from Bolivia to Brazil (+13% between January and September 2010), and Asia-Oceania, where we continue to see significant growth in the supply of gas via pipes from Myanmar (formerly Burma) to Thailand and from Indonesia to Singapore.

According to Oil and Gas Journal's annual report on gas pipelines under construction, some 9,500km of gas pipeline were under construction around the world in 2010. From this figure, 23% are located in Asia-Pacific and 126 in the Middle East, the areas in which this activity proves strongest. 1,000km of gas pipeline are currently being constructed in Europe.

CHANGES IN THE INTERNATIONAL TRADE IN NATURAL GAS

 

Year

• 1970
• 1980
• 1990
• 1995
• 2000
• 2005
• 2007
• 2008
• 2009
• 2010

Total

10⁹m³

• 45,7
• 201,0
• 307,4
• 391,7
• 630,0
• 859,7
• 931,2
• 969,3
• 914,8
• 1.014,1,8

%A/Product.

• 4,4
• 13,2
• 14,9
• 17,8
• 25,3
• 30,7
• 31,4
• 31,6
• 30,7
• 31,7

Gas pipelines (1)

10⁹m³

• 43,0
• 169,6
• 235,3
• 298,5
• 492,8
• 670,8
• 704,3
• 743,4
• 672,4
• 719,9

%A/Total

• 94,1
• 84,4
• 76,5
• 76,2
• 78,2
• 78,0
• 75,6
• 76,7
• 73,5
• 71,0

LNG

10⁹m³

• 2,7
• 31,3
• 72,1
• 93,2
• 137,2
• 188,9
• 226,9
• 225,9
• 242,4
• 294,2

%A/Total

• 5,9
• 15,6
• 23,5
• 23,8
• 21,8
• 22,0
• 24,4
• 23,3
• 26,5
• 29,0

(1) Since 2000 includes trade between CIS states

Source: CEDIGAZ