UK utility Centrica last week extended the halt at the Rough natural gas storage facility until March-April, which has potentially huge ramifications for the LNG market.
Russian gas has long been an instrument of political influence on Ukraine, the former ‘Eastern Europe’, and the continent as a whole. This is abundantly clear in Moscow’s full-on promotion of the Nord Stream 2 project where contested cost forecasts, energy diplomacy, and the tying in of firms from EU countries are all part of a strategy with geopolitical as much as commercial aims. Continue reading
The index of London-listed oil and gas producer share prices hit a more than one year high this morning. Of course, an index that embraces everything from the most tiddlerish of minnows through to the blue whales of BP and Shell contains many fallers as well as risers. But as an Argus blog noted on the day of the UK EU referendum result, the kneejerk sell-off of BP and Shell shares that morning was just a blip on a 12-month graph of prices, as was the down dip in crude prices.
A quick blog on how the UK vote to leave the EU — known as Brexit — is affecting LNG prices.
Since the start-up of new LNG production over the past two years in Australia, the US and Papua New Guinea, global gas prices have become more interlinked than ever.
The creeping global LNG glut is turning trade flows upside down. Sellers are searching far and wide for someone to take their cargoes.