Shell plc (NYSE:SHEL) reportedly expects its Australian supplies of liquefied natural gas (LNG) to help meet demand from emerging markets in south and southeast Asia.
"That combination of decarbonisation, and declining domestic production (will drive LNG demand growth)," said Cecile Wake, Country Chair at Shell Australia, according to Reuters.
Wake sees the Philippines, Thailand, Vietnam , and Bangladesh as the key demand growth markets.
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Last week, Asian spot LNG prices rose to the highest levels since January as hot weather across the region spurred demand for the super-chilled fuel, per the report.
She added, "I think, we describe it as latent demand in south and southeast Asia," Wake said, adding that global LNG markets were "finely balanced" this year.
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"We see ourselves competitively positioned to Asian markets. It is about maintaining that supply position, ensuring that we've got high utilization, high reliability of our LNG assets here."
Shell stock has gained 18% in the last 12 months. Investors can gain exposure to the stock via Direxion Hydrogen ETF (NYSE:HJEN) and VanEck Natural Resources ETF (NYSE:HAP).
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Price Action: SHEL shares are down 0.77% at $70.85 at the last check Wednesday.
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