India's natural gas consumption in 2023 revised upwards on softening LNG prices.

The International Energy Agency (IEA) has amended upwards the natural gas consumption of India in FY 2023, as international prices of liquefied natural gas (LNG) soften to $11-12/mBtu. In 4Q 2022 gas market report, IEA projected an increase of 2% in the country's local consumption in Oct 2022. Natural gas demand in Jan 2023 grew by 14% y-o-y according to 2Q 2023 report of IEA. The fertiliser market accounts for around 35% of the natural gas demand in the country, followed by city gas distribution at 20% and the power sector at 14%. Local gas prices from legacy fields fluctuated from a low of $1.79/mBtu in 2021 to a high of $8.57 in Oct 2022 to Mar 2023. In Aug 2022, spot LNG prices in Asia reached a record high of $70/mBtu, versus to $23.5/mBtu in Jun 2022. In Dec 2022, it softened to $35. In 2022, gas consumption in India dropped by 5%. LNG imports decreased by 17% y-o-y in 2022. Original Source: Chemical Weekly, http://www.chemicalweekly.com/.