Global LNG Crisis Underscores Case for Domestic Synthetic Natural Gas, Says Loa Carbon
Company's modular methanation systems enable any nation to produce synthetic natural gas domestically, eliminating dependence on foreign LNG imports.
New York, NY, March 17, 2026 --(PR.com)-- Loa Carbon, a pioneer in modular synthetic fuel production technologies, today highlighted the urgent need for domestically produced synthetic methane as the ongoing shutdown of Qatar's Ras Laffan Industrial City, the world's largest LNG export facility, exposes the structural fragility of the global natural gas supply chain.
On March 2, Iranian drone strikes forced QatarEnergy to halt all liquefied natural gas production at Ras Laffan for the first time in the facility's three-decade history. Iran's Islamic Revolutionary Guard Corps subsequently declared the Strait of Hormuz closed to maritime traffic. Approximately 20% of global LNG supply has gone offline, European gas benchmark prices have surged more than 70%, and maritime insurers have suspended coverage for Strait of Hormuz transit.
The disruption has underscored a vulnerability that extends far beyond any single conflict. The global LNG market depends on a small number of exporting nations and a handful of geopolitically sensitive sea lanes. Qatar, Australia, and the United States together account for the vast majority of global LNG production, and much of that supply transits routes that can be disrupted or denied. For import-dependent nations, this concentration represents an existential energy security risk. Pakistan depends on Qatar for 99% of its LNG; Kuwait, at 60%; Bangladesh, at 50%; Singapore and Italy, each at roughly 45%; and India, at 40%. Even countries with lower percentage exposure, such as Japan and South Korea, import such large absolute volumes that any disruption reverberates through their entire energy systems.
"The pattern is clear, and it is accelerating," said Ryan Shearman, Cofounder and CEO of Loa Carbon. "Fukushima drove Asian spot prices above $15 per MMBtu in 2011. Russia's invasion of Ukraine in 2022 sent European prices above $50. Now, a single facility shutdown has produced the steepest price spike since that crisis. The nations most exposed to these shocks are the same nations where demand is growing fastest, and they cannot diversify their way out of a supply architecture that depends on tankers and geopolitical chokepoints."
Global natural gas demand is projected to grow through 2030 across all scenarios, with LNG demand expected to increase by 65-90% by 2040, according to McKinsey's 2025 Global Energy Perspective. Even with over 215 million tonnes per annum of new liquefaction capacity under construction, a demand-supply gap of 135 to 220 million tonnes per annum is projected to open by 2040, requiring investment decisions on projects that do not yet exist.
Loa Carbon has developed a proprietary solution to this structural challenge. The company's modular Nyx reactors convert CO2 and hydrogen into synthetic methane, a fuel chemically identical to conventional natural gas. Because the process requires only hydrogen and CO2 as inputs, production facilities can be sited in any country, converting natural gas from an imported commodity subject to geopolitical disruption into a locally produced fuel.
Synthetic methane is a drop-in replacement that flows through existing pipelines, burns in existing power plants, and can be distributed through existing LNG infrastructure, requiring no downstream infrastructure investment. When produced using green hydrogen and captured CO2, the fuel is carbon-neutral, allowing nations to address energy security and climate commitments simultaneously.
"The question is no longer whether nations need alternatives to imported LNG. The question is how quickly they can deploy them," said Shearman. "Our technology gives any country the ability to produce its own natural gas. That is a fundamentally different energy security posture than depending on supply chains that cross oceans via vulnerable shipping routes."
"We continue to see episodes of disruption, including the present moment, that demonstrate the limits of supply diversification within the existing LNG architecture," notes Loa Carbon Board Member Adam Goldstein, former President & CEO of Royal Caribbean Cruises and current Co-Chair of the SAFE Energy Security Leadership Council. "Technologies that enable domestic production of pipeline-quality gas represent a strategic imperative for any nation serious about energy sovereignty."
Loa Carbon's technology offers a secure, physical hedge against geopolitical risk by enabling any nation to produce pipeline-quality methane from locally available resources. The company holds proprietary intellectual property covering key elements of the methanation process and is positioned as both a technology licensor and project developer as the global market for domestic synthetic methane production scales.
About Loa Carbon
Loa Carbon builds modular synthetic fuel infrastructure. The company’s proprietary Nyx™ reactor converts CO₂ and hydrogen into synthetic methane, a cost-competitive, carbon-neutral, drop-in replacement to fossil natural gas. Loa serves customers across the energy and transportation markets. Founded by veteran deeptech founders, the company is backed by leading climate tech, energy, and infrastructure investors.
For additional information, visit loacarbon.com.
On March 2, Iranian drone strikes forced QatarEnergy to halt all liquefied natural gas production at Ras Laffan for the first time in the facility's three-decade history. Iran's Islamic Revolutionary Guard Corps subsequently declared the Strait of Hormuz closed to maritime traffic. Approximately 20% of global LNG supply has gone offline, European gas benchmark prices have surged more than 70%, and maritime insurers have suspended coverage for Strait of Hormuz transit.
The disruption has underscored a vulnerability that extends far beyond any single conflict. The global LNG market depends on a small number of exporting nations and a handful of geopolitically sensitive sea lanes. Qatar, Australia, and the United States together account for the vast majority of global LNG production, and much of that supply transits routes that can be disrupted or denied. For import-dependent nations, this concentration represents an existential energy security risk. Pakistan depends on Qatar for 99% of its LNG; Kuwait, at 60%; Bangladesh, at 50%; Singapore and Italy, each at roughly 45%; and India, at 40%. Even countries with lower percentage exposure, such as Japan and South Korea, import such large absolute volumes that any disruption reverberates through their entire energy systems.
"The pattern is clear, and it is accelerating," said Ryan Shearman, Cofounder and CEO of Loa Carbon. "Fukushima drove Asian spot prices above $15 per MMBtu in 2011. Russia's invasion of Ukraine in 2022 sent European prices above $50. Now, a single facility shutdown has produced the steepest price spike since that crisis. The nations most exposed to these shocks are the same nations where demand is growing fastest, and they cannot diversify their way out of a supply architecture that depends on tankers and geopolitical chokepoints."
Global natural gas demand is projected to grow through 2030 across all scenarios, with LNG demand expected to increase by 65-90% by 2040, according to McKinsey's 2025 Global Energy Perspective. Even with over 215 million tonnes per annum of new liquefaction capacity under construction, a demand-supply gap of 135 to 220 million tonnes per annum is projected to open by 2040, requiring investment decisions on projects that do not yet exist.
Loa Carbon has developed a proprietary solution to this structural challenge. The company's modular Nyx reactors convert CO2 and hydrogen into synthetic methane, a fuel chemically identical to conventional natural gas. Because the process requires only hydrogen and CO2 as inputs, production facilities can be sited in any country, converting natural gas from an imported commodity subject to geopolitical disruption into a locally produced fuel.
Synthetic methane is a drop-in replacement that flows through existing pipelines, burns in existing power plants, and can be distributed through existing LNG infrastructure, requiring no downstream infrastructure investment. When produced using green hydrogen and captured CO2, the fuel is carbon-neutral, allowing nations to address energy security and climate commitments simultaneously.
"The question is no longer whether nations need alternatives to imported LNG. The question is how quickly they can deploy them," said Shearman. "Our technology gives any country the ability to produce its own natural gas. That is a fundamentally different energy security posture than depending on supply chains that cross oceans via vulnerable shipping routes."
"We continue to see episodes of disruption, including the present moment, that demonstrate the limits of supply diversification within the existing LNG architecture," notes Loa Carbon Board Member Adam Goldstein, former President & CEO of Royal Caribbean Cruises and current Co-Chair of the SAFE Energy Security Leadership Council. "Technologies that enable domestic production of pipeline-quality gas represent a strategic imperative for any nation serious about energy sovereignty."
Loa Carbon's technology offers a secure, physical hedge against geopolitical risk by enabling any nation to produce pipeline-quality methane from locally available resources. The company holds proprietary intellectual property covering key elements of the methanation process and is positioned as both a technology licensor and project developer as the global market for domestic synthetic methane production scales.
About Loa Carbon
Loa Carbon builds modular synthetic fuel infrastructure. The company’s proprietary Nyx™ reactor converts CO₂ and hydrogen into synthetic methane, a cost-competitive, carbon-neutral, drop-in replacement to fossil natural gas. Loa serves customers across the energy and transportation markets. Founded by veteran deeptech founders, the company is backed by leading climate tech, energy, and infrastructure investors.
For additional information, visit loacarbon.com.
Contact
Loa Carbon
Eric Greene
201-877-1829
loacarbon.com
Eric Greene
201-877-1829
loacarbon.com
Contact
Categories