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Uncertain Supply Chain Management

ISSN 2291-6830 (Online) - ISSN 2291-6822 (Print)
Quarterly Publication
Volume 11 Issue 4 pp. 1677-1684 , 2023

Can the Arab’s natural gas secure the Europeans’ gas requirements? the case of liquified natural gas (LNG) Pages 1677-1684 Right click to download the paper Download PDF

Authors: Abdulkarim Ali Dahan, Rasha A. Altheeb

DOI: 10.5267/j.uscm.2023.7.001

Keywords: Natural Gas, Economic Analysis, Transportation, Optimization

Abstract: This article examines the possibility of answering the question” can the Arab’s natural gas secure the gas requirements in Europe? “To answer the question, an economic analysis of natural gas was conducted to examine reserve, supply, demand, and international trade first. Second, an economic model to examine distances and transportation costs, for transferring goods from various points of supply to various points of demand, was adopted. The North-West Corner model approach, a QM for Windows-based economic strategy to solve the transportation model problem structure in linear programming, has been used in this regard. Our findings demonstrate that the model is suitable for application since it provides the least distances and the least transportation costs compared to other alternatives. The model estimated that a cost of $309.41 is required to transfer one MMBtu of LNG from origins to final destinations. A decrease of $34.304/MMBtu, 10%, compared to $343.714 /MMBtu. It is concluded that the Arab’s gas could fulfil gas requirements in Europe, and mutual benefit can be accomplished for both parties. European countries will benefit from acquiring new places with less distances and lower delivery costs, and Arab countries would have the chance to get new consumers and play a role in the market given their collective gas reserves and their advantageous strategic locations.

How to cite this paper
Dahan, A & Altheeb, R. (2023). Can the Arab’s natural gas secure the Europeans’ gas requirements? the case of liquified natural gas (LNG).Uncertain Supply Chain Management, 11(4), 1677-1684.

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Journal: Uncertain Supply Chain Management | Year: 2023 | Volume: 11 | Issue: 4 | Views: 495 | Reviews: 0

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