International trade in natural gas jumped by 6.2% in 2016 as Europe gas consumption resumed growth, according to the International Association for Natural Gas (CEDIGAZ).
Gas trade amounted 1.107 trillion cu m last year as pipeline trade increased by 6.1% and LNG flows by 6.4%.
Interregional, or long-distance, trade grew by 7.2% to 478 billion cu m (bcm) as Russian exports to Europe increased. While European dependence on long-distance trade rose by 3 percentage points, Asian dependence slipped because of growing intraregional LNG supply, largely from Australia.
Growth in European gas use—by 7.4% to 460 bcm in the European Union—came mainly from cold weather and fuel-switching from coal in electric power generation, CEDIGAZ said.
Consumption increased by 17 bcm each in Asia and the Middle East.
CEDIGAZ cited economic sluggishness as the reason for gas use declines in South and Central America, by 2.4%, and the Commonwealth of Independent States, by 1.6%.
Chinese gas use grew by 3% in 2016 and 2015.
Gas supply, excluding total storage changes, increased by 0.2% to 3.502 trillion cu m in 2016. Marketed production was stagnant last year after growing on average nearly 2%/year during the prior 5 years.
CEDIGAZ attributed most of the halt in marketed-production growth to the US, where output fell along with oil and gas prices for the first time since the shale surge began. Marketed production increased in the Middle East and Asia-Oceania.
Global gas production from unconventional resources jumped by 5.3% to 817 bcm, of which more than 85% is in North America.
Gross gas production increased by 0.6% in 2016 to 4.384 trillion cu m, according to CEDIGAZ.
The group noted increases of 1.2% in reinjected gas, 2.2% in flaring and venting, and 3% in shrinkage from liquids extraction, processing, and field operations.
