Already grappling with a supply glut in liquefied natural gas (LNG), global gas companies face fresh challenges due to two seismic events: the COVID-19 pandemic and the global oil price shocks. Together, these developments are set to deepen and lengthen the current imbalance between supply and demand in LNG markets, leading to a lower-for-longer price environment. As a result, up to 8% of global LNG demand could be at risk (more than 25 million tonnes per annum, or MTPA) in the near term while the low-price environment could last another one to two years.

The Report Russia and the World: 2018 continues the series of yearly publications by the RAS Primakov National Research Institute of World Economy and International Relations (IMEMO) and the Foundation for Prospective Studies and Initiatives. The annual Report consists of two parts dedicated to the economy (part I) and the foreign policy (part II).

This publication by the Oxford Institute for Energy Studies explores challenges faced by oil companies and oil-exporting countries. A key issue facing oil companies and oil-exporting countries is how they should now position themselves and how best to be part of the renewables ‘revolution’.