Until a decade ago, the prices of natural gas in Europe were tightly linked to oil prices. Back then, gas delivery points and gas markets were highly segmented across Europe, natural gas competed with oil and oil-derived products for power generation, and most supplies of natural gas were indexed to oil prices. This summer, however, European natural gas prices have not followed the typical oil price trends. Rather, they followed their own supply-demand and pricing logic, highlighting a fundamental change in Europe‚Äôs natural gas supply and market. Today, the gas market is not about following the oil price movements, because gas sourced at one place and shipped in one way to a European hub or point of consumption has started to compete with gas sourced at another place delivered through another means to another hub. The gas market is no longer localized, and competition has increased with the growing […]