French LNG containment giant GTT is expecting that there will be up to 450 orders for large LNG carriers over the 2023-2032 period, according to GTT’s chief Philippe Berterottière.
Due to a strong LNG demand outlook and more stringent environmental regulations, which will force owners to replace older tonnage, GTT is estimating that there will be between 400 and 450 orders for large LNG carriers in the next 10 years.
This is the same long-term estimate as the one GTT presented in July last year, despite the fact that in the second part of the year GTT won orders for 80 ships, Berterottière said during the company’s quarterly and 2022 results presentation on Friday.
Record LNG carrier orders
GTT received record 162 orders for LNG carriers and one FSRU in 2022.
The LNG carrier orders rose by 138 percent when compared to the 68 orders in 2021.
As of December 31, 2022, GTT’s order book, excluding LNG as fuel, stood at 274 units.
This includes 256 LNG carriers, 4 ethane carriers, 2 FSUs, 1 FSRU, and 12 onshore storage tanks.
GTT also did not change its long-term order forecasts for FSRUs, FLNGs, VLECs, and onshore and GBS tanks, Berterottière said.
The firm expects up to ten FSRU orders, not including conversions, five FLNG units, between 25 and 40 VLECs, and between 25 and 30 units for onshore and GBS tanks in the next ten years.
FIDs in 2023
Berterottière pointed out during the presentation that there were four final investment decisions for LNG production projects taken in 2022, representing some 28 Mtpa.
The projects include the expansion of Cheniere’s Corpus Christi and the first stage of Venture Global’s Plaquemines, as well as the third floating LNG producer for Petronas and Eni’s Congo FLNG project.
Also, more FIDs are expected in 2023 as there were SPAs for a total of 53 Mtpa signed in 2022, of which 90 percent are from US projects, he said.
The projects that may take FID this year include Sempra’s Port Arthur, second phase of Venture Global’s Plaquemines, NextDecade’s Rio Grande, and Energy Transfer’s Lake Charles.