Welcome to Week 3
Much has been written about the impact of shale revolution.
America is tapping into unconventional gas sources such as shale rock, opening up vast reserves of gas that were considered unobtainable only a few years ago. The result is a gas bonanza, with global implications for gas prices.
In the years ahead, this gas bonanza is likely to spread around the globe as more and more countries learn how to extract gas from their own unconventional reserves. Accompanying this expansion in gas supply will be a corresponding increase in the ability to transport and trade this gas.
The world’s liquid natural gas (LNG) infrastructure, which uses ships to transport gas instead of pipelines, is expanding every year, creating a truly global gas market for the first time in history. With a much more integrated global gas market, the behavior of buyers and sellers is changing.
This week we provide an analysis of the impact of shale revolution on the energy market and global LNG market in particular.