Surging imports to Europe of liquefied natural gas (LNG) are driving down prices. Surging imports to Europe of liquefied natural gas (LNG) are driving down prices, but in the long run that is seen as a benefit to gas producers in the region. For years Europe has been considered the market of last resort for LNG shipments, which has led to an active spot market and a wide variety of physical and financial hedging systems. “The price of gas at European hubs continues to drive LNG price formation globally,” according to a global LNG analysis released at the end of October by S&P Global Platts. It noted further that competition is increasing between the two major trading hubs in Europe, the UK gas trading market, the National Balancing Point, and the Title Transfer Facility in the Netherlands. “Meanwhile, Europe’s LNG import infrastructure remains severely underused,” stated the S&P Global […]