U.S. Gas Production Slows At The Worst Possible Time
We can see the prices. They are abysmally low by European standards but in the US I have not seen such prices for quite a while. What is this going to do? For starters, it raises the cost of US LNG cargos as pretty much all offtake agreements are linked to the Henry Hub gas price index. But considering where prices in Europe are this should still not be a dealbreaker. But now you can make a buck on Natural gas alone as well which has always been a bit of the ugly sister of oil. maybe some folks get serious on flaring now – it’s a commodity you waste away.