China holds the future of the Coal and natural gas industry

In the coming years it is expected that China would increase its demand for coal or natural gas in the coming five years. This is a great offer for many companies such as CONSOL Energy, 3M etc. to enter a potential market and then exploit the countries major reserves.

China is apparently sick and tired of the pollution caused by coal burning. The entire company is sucking up the smog thus incorporating natural gas reserves will be a great initiate to overcome the problem.

According to recent studies being held across America, China’s initiate to start a healthier venture is being applauded across the board. This is not simply ecofriendly but many natural gas related companies were looking for this glistening offer.

The west seems to be really contended with this offer as they intend to boost revenues by exporting natural gas wherever required. A deal has been signed that allows America to send tankers filled with liquid natural gas to China. This deal would become operational in 2019. It is expected that most of the natural gas for this venture would come from Texas, for which government consent is just required.

Many companies are trying their luck to export natural gas in China. Since there is still doubt about the American market so it is expected that the Australian and Russian lobby would take advantage of the solution to intervene in china. Russia also has signed a major deal with china regarding natural gas whereas Australia is top notch when it comes to services in the field of natural gas. Russian and Australian intervention makes sense but only critics. claim America to be the only candidate in the natural gas war. According to a report by IEA the market for liquid gas would increase substantially in the coming years. ExxonMobil is the world’s largest publicly traded international oil and gas company.

Although the future of natural gas seems bright but some critics believe that trading gas is not a fruitful decision due to the immense repercussions it might have.

China is also an intelligent game player thus apart from investing in US gas reserves it will also invest in drilling its own energy reserves. According to IEA’s prediction almost half of the demand for natural gas would be met by China itself through its local reserves. Although China itself has much shale rock reserves but it still not able to manage freckling which remains to be their weakness.