follow us like us subscribe contact us
Loading, please wait

US LNG Exports … Who We Like

By James Stafford | Fri, 17 May 2013 19:29 | 0

This is it … the US Department of Energy is expected to decide on US natural gas exports this summer, and President Barack Obama has already suggested that the US could become a net exporter by 2020. At stake immediately are over 24 applications for natural gas exports to companies in countries that do not enjoy free-trade agreements with the US.

America now enjoys record gas supplies with prices only 25% of those in Europe and Asia, and as it stands we’re probably looking at 25% growth in US gas supplies by 2035. The European spot price is around $10 per million B.T.U.'s, while the Asian spot price hovers around $15, or higher.

While US natural gas exports have doubled since 2007, those exports have gone only to Canada and Mexico … we’re convinced that is about to change, and we might be only weeks away from a decision.

Check out these new markets:

Europe

With the exception of Norway and Demark, European countries are all net energy importers. Italy is the biggest importer—at about 75%, followed by Germany (50%), and France (40%, despite its nuclear prowess, just to top off the list. Europe’s economic growth, then, could actually hinge on getting its hands on cheap US natural gas.  Never has it been more urgent for Europe to replace Russian gas and its high prices fixed to the price of oil with something more feasible economically—something that would make Europe less vulnerable. And here’s…

To read the rest of this article Start a FREE subscription to our premium publication

Oil & Energy Insider - 30 day Free trial

30 day Free trial
A FREE Subscription Includes:
  • Investment advice normally reserved for hedge fund clients.
  • Market & sector research not available anywhere else.
  • Strategic advice from corporate & military intelligence analysts.
  • 9 Weekly Investment / intelligence reports.
  • Full access to all previous reports.
  • 30 days free trial.
Get FREE access to our research for 30 days

An essential resource for all investors in the energy sector whether you're a trader, fund manager or individual investor - this inside look at the energy markets is unlike any other report or service currently available.

About the author

Contributor
James Stafford
Company: Oilprice.com
Position: Editor

More recent articles by James Stafford

Fri 17 October 2014
Falling Oil Prices: Good News for the Pump
Fri 10 October 2014
This Week in Energy: The Oil Price Panic
Fri 03 October 2014
This Week in Energy: American Shale, Full Speed Ahead
Thu 02 October 2014
Will Ukraine Commit Economic Suicide?
Tue 23 September 2014
All Eyes On Kenya: The Next Big Oil Exporter