The International Energy Agency (IEA) has released a new report detailing greenhouse gas emissions from the global liquefied natural gas (LNG) supply chain, identifying significant opportunities for reducing these emissions.
The report, titled "Assessing Emissions from LNG Supply and Abatement Options," examines emissions from various stages of LNG production, including upstream production, processing, transportation by pipeline, liquefaction, shipping, and regasification.
Greenhouse Gas Emissions Overview
According to the report, global LNG supply is responsible for emitting approximately 350 million tons of carbon dioxide equivalent (Mt CO2-eq) each year.
About 70% of these emissions come from CO2 that is either combusted or vented
About 70% of these emissions come from CO2 that is either combusted or vented, while the remaining 30% consists of methane emissions. The average emissions intensity of delivered LNG is reported to be just under 20 grams of CO2 equivalent per megajoule (g CO2-eq/MJ), in contrast to the 12 g CO2/MJ average for natural gas overall, with notable variations depending on region and supply route.
LNG vs. Coal Emissions
When evaluating the lifecycle emissions, the report highlights that more than 99% of the LNG consumed in 2024 will have lower emissions than coal.
On average, LNG emits about 25% less than coal; however, the report cautions against only comparing LNG to coal, as it suggests a higher threshold for improvement is needed based on the available technologies to enhance LNG's emissions performance.
Strategies for Reducing Emissions
Reducing methane leaks could lower annual emissions by nearly 90 Mt CO2-eq,
The report identifies potential for over a 60% reduction in LNG supply emissions using existing technologies.
Reducing methane leaks could lower annual emissions by nearly 90 Mt CO2-eq, accounting for 25% of total LNG emissions, with a significant portion of this reduction achievable at no net cost. Additionally, minimizing flaring at LNG facilities and gas fields could cut emissions by another 5 Mt CO2-eq annually.
Cost-Effective Emission Reduction Measures
Suggested strategies for decreasing emissions include enhancing process efficiency across the supply chain and implementing carbon capture, utilization, and storage (CCUS) at liquefaction sites to manage naturally occurring CO2 in feed gas. Furthermore, although requiring substantial initial investment, using low-emission electricity for the electrification of upstream facilities and LNG terminals could decrease emissions by about 110 Mt CO2-eq.
This report is part of the IEA's broader examination of LNG markets, underscoring their significance in maintaining energy security. The findings were presented by IEA Director of Energy Markets and Security, Keisuke Sadamori, at the 2025 LNG Producer-Consumer Conference in Japan, an event co-hosted by Japan’s Ministry of Economy, Trade and Industry and the IEA.
Drawing on the latest data, an IEA report released provides a comprehensive new estimate of greenhouse gas emissions from across the global liquefied natural gas (LNG) supply chain and identifies key opportunities to bring them down.
Assessing Emissions from LNG Supply and Abatement Options examines upstream production, processing, pipeline transmission, liquefaction, shipping, and regasification worldwide.
Greenhouse gas emissions
Around 70% of this is in the form of CO2 emissions that are either combusted or vented
The report estimates that greenhouse gas emissions associated with global LNG supply are roughly 350 million tons of carbon dioxide equivalent (Mt CO2-eq) annually.
Around 70% of this is in the form of CO2 emissions that are either combusted or vented; the remaining 30% is methane that escapes unburnt into the atmosphere.
Globally, the average greenhouse gas emissions intensity of delivered LNG is just under 20 grams of carbon dioxide equivalent per megajoule (g CO2‑eq/MJ), compared with an average of 12 g CO2/MJ for natural gas supply overall. However, there are considerable variations across different geographies and supply routes.
25% less emissions
According to the report, when all direct and indirect greenhouse gas emissions are factored in, more than 99% of the LNG consumed in 2024 had lower lifecycle emissions than coal.
Globally, on average, LNG results in about 25% less emissions than coal. Nevertheless, the report emphasizes that for those making an environmental case for LNG use, comparing it only to coal – the most carbon-intensive fuel – sets the bar too low, especially given the strong opportunities at hand for improving the emissions performance of LNG supply.
The report finds that emissions from LNG supply could be cut by more than 60% using current technologies – and many measures could be implemented at low or moderate cost.
Reducing methane leaks
Reducing methane leaks alone could cut annual emissions by close to 90 Mt CO2-eq, or 25% of total LNG emissions, and around half of that reduction could be realized at no net cost.
Reducing flaring at the LNG facilities and fields providing feed gas could lower annual emissions by a further 5 Mt CO2-eq.
Cost-effective strategies
Other cost-effective strategies that could substantially reduce emissions include increasing process efficiency across the supply chain and implementing carbon capture, utilization and storage (CCUS) at liquefaction facilities to capture the naturally occurring CO2 present in the feed gas.
And while the upfront costs can be high, the electrification of upstream facilities and LNG terminals using electricity from low-emissions sources would further reduce the emissions by about 110 Mt CO2-eq.
The report forms part of the IEA’s broader work on LNG markets, which play an important role in energy security. The report is being presented by IEA Director of Energy Markets and Security Keisuke Sadamori at the 2025 LNG Producer-Consumer Conference in Japan, an annual event co-organized by Japan’s Ministry of Economy, Trade and Industry and the IEA.