A sharp surge in costs to develop liquefied natural gas projects risks halting a growth boom in the industry that has been driven by soaring demand, an Exxon Mobil Corp
. an executive said.
Exxon expects global demand for LNG to double by 2010 and quadruple by 2020 said the president of Exxon's LNG Market Development
But a surge in project costs could put the brakes on the bonanza for gas producers, he said.
Still, advances in technology and the development of high-cost gas pipeline projects in the former Soviet Union and Russia mean that LNG may not always forever remain the more expensive option in delivering gas.