Export infrastructure and monetizing options for Lebanon's natural gas

Abstract

Lebanon stands to benefit significantly from extracting and monetizing its potential natural gas reserves. However, significant uncertainty has resulted in stakeholders adopting a wait-and-see approach in decision-making and investment in the hydrocarbon sector. This paper aims to address this uncertainty by providing a structured framework to determine the conditions that make various export options under consideration feasible and attractive. Our analysis particularly focuses on the LNG option that Lebanon could use to ship its gas to market. This option is broad and the alternatives range from building an LNG liquefaction plant in Lebanon, deploying floating LNG vessel, leasing an existing underutilized LNG plant, to a brownfield expansion of an existing LNG facility in Egypt.