America is now exporting our glut of shale gas, and despite some shaky market conditions we’re finding European buyers keen on importing these new LNG supplies. The WSJ reports:
On a gross basis, [European imports of American LNG] don’t make much sense. One key European gas price, known as NBP, was Monday trading at about $4.25 per million British thermal units. Buyers of LNG must generally pay about 115% of the U.S. natural gas price, about $2.10 per million BTU. Then there is $2.5-$3.0 in tolling costs to the LNG plant and perhaps $2 in shipping, fuel and regasification costs. That …read more
Source: The American Interest
