Soaring Asian LNG prices to boost EU gas in Jan
Asia is not going to bolster gas prices in Europe. Remember, Europe (or better North-Western Europe) is a sink market for LNG that nobody needs. This means that if you have a cargo you cant sell for a better price, you sell it to a terminal in North-Western Europe as they usually are the only ones with available terminal capacity and a gas market thats capable to absorb cargos at almost any clip. No other market can do that. Usually, prices won’t budge very much as the market is rather biggish. A single cargo – or a couple thereof – won’t make a ruckus. Prices rise and fall with demand developments in NW-Europe. Developments in Asia are not irrelevant but hardly the big drivers.
