RE:U.S. gas industry increasingly relies on LNG exportsGonatgo Interesting read and thanks for posting.
Here is an excerpt from an article on the effect of Suez Canal blockade and LNG supply:
"News of the Suez blockage drew in buyers, and along with other economic data contributed to international benchmark Brent crude’s one-month futures contract gaining “its biggest one-day gain in nearly a year to close at $64.41” on Wednesday, according to Arctic Securities, though it lost some of those gains by Thursday.
In the meantime, between 5% and 10% of all seaborne oil is transported through the Suez, meaning that for each day that the ship remains stuck, it delays the shipment of another 3 million to 5 million barrels of oil per day. Several tankers carrying jet fuel and gasoil are also held up on the Persian Gulf-Europe route, as well as empty tankers crossing to pick up North Sea oil, S&P Platts reported Thursday.
The canal is also a transit point for around 8% of global liquefied natural gas (LNG), and a prolonged disruption could impact flows to primarily the European market.
Any price effect will likely be brief, however, says Peter Sutherland, president of Houston-based energy investment firm Henrietta Resources.
“It won’t have a lasting impact on prices, but it will help lend support in the run-up to the OPEC+ meeting,” Sutherland told CNBC.
“The risk premium in oil markets will likely be short-lived, but the canal back-up still managed to shift the market narrative.”"
The entire article can be found here:
Suez Canal Blockade