Only recently have investors’ focus shifted from $120/BBL. (barrel of oil) to the soaring price of natural gas. Given the many uses of natural gas, from heating and cooling and generating electricity to the production of plastics and petrochemicals, the direction of prices could be critical to our economic well-being. On Wednesday, June 8, 2022, natural gas prices fell over 10% after a fire at a Texas liquified natural gas (LNG) export terminal shut down the Freeport LNG facility for at least three weeks. The terminal accounts for 16% of U.S. export capacity. Gas prices fell, because for a brief…
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Tag: natural gas prices
Out of gas
Winter approaches and with it a potential natural gas crisis. Areas of Europe are already scrambling to find the energy required to heat homes and continue their economic rebound. Could the U.S. be next? Over the last year, prices for European natural gas have jumped by almost 500%. Natural gas prices on this side of the pond have also spiked by more than 100% this year. But it isn’t just countries in the Northern Hemisphere that are feeling the scarcity. Parts of Asia, which are importing liquified natural gas (LNG) at record prices, are being forced to switch to coal…