The LNG market is losing 7-8 mt per month of LNG out of the Middle East. Rising crude and coal prices are pushing up marginal switching price levels. And there is currently no clear path to a stable restoration of Middle East cargo flows through Hormuz.
Yet LNG market prices have declined substantially since peaking in mid March. The front of the JKM & TTF curves surged above 20 $/mmbtu in Mar, but have since given up 40-50% of this price rise.
In this webinar Luke Cottell, Seth Haskell and David Stokes discuss:
- What is driving marginal LNG market price formation
- Why Asian demand response is dampening price impact (see chart)
- Analysis of 2 potential scenarios for the way forward
- Commercial, value and risk impacts of the crisis that are emerging
You can view the webinar recording here
And download slides here
If you would like to discuss the implications of these developments for your portfolio or trading strategy, please contact our LNG & Gas Director, David Duncan (david.duncan@timera-energy.com).
