Driven by fears that Russia may cut supply to Europe, the EU imported more LNG from the U.S. than pipeline gas from Russia for the first time ever.
The unprecedented shift came as the EU scrambled to fill up its gas storage facilities ahead of the next heating season in fear Russia could turn off the gas tap at any moment. It also pushed LNG prices sky-high, making it unaffordable for developing countries.
"The European gas crisis is sucking the world dry of LNG," Valery Chow, head of Asia Pacific gas and LNG research at Wood Mackenzie, told the WSJ."Emerging markets in Asia have borne the brunt of this and there is no end in sight." "Asia is already in preparation for winter, with LNG vessels being snapped up on multi-month charters, as charterers fear being caught without shipping capacity during crunch months," said another analyst, Kaushal Ramesh from Rystad Energy.
Europe, on the other hand, has been notoriously reluctant to commit to long-term contracts for the delivery of hydrocarbons because of its energy transition plans. Now it may need to reconsider this reluctance: Qatar hasEuropean buyers that if they want Qatari LNG, they would need to make a long-term commitment.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Texans Brace For More Blackouts Amid Record Breaking Heatwave | OilPrice.comThe Electric Reliability Council of Texas is once again asking residents and businesses to reduce energy consumption to avoid blackouts amid record breaking heatwave
Read more »
Russia’s Plan To Cut Off Kazakh Oil Supplies To Europe | OilPrice.comThe European oil market is already incredibly tight and will soon face a supply crunch as its embargo on seaborne Russian oil imports comes into effect.
Read more »
Soaring Energy Exports Send Russia’s Account Surplus To Record High | OilPrice.comRussia’s account surplus reached a new record for the second quarter, according to data released by the central bank cited by Bloomberg.
Read more »
Iran Moves To Expand Supergiant Oilfield Amid Global Crude Crisis | OilPrice.comIran, as it continues to leverage its oil reserves in order to restart negotiations over the nuclear deal, is rolling out a huge expansion of its Azadegan field
Read more »
Exxon CEO Says All New Cars Will Be Electric By 2040 | OilPrice.comAll new passenger cars sold will be electric by 2040, ExxonMobil’s CEO Darren Woods told CNBC on Monday—not just in one country, but in the whole world.
Read more »
Soaring Prices Have Led To An Uptick In Oil Theft In Colombia | OilPrice.comA notable increase in lawlessness, corruption and violence, fueled by record cocaine production and heightened poverty, has marred the four-year term of outgoing Colombian President Ivan Duque.
Read more »