Sep. 20 at 1:41 PM
$VG This MW article talks about how European and Asian natural gas was recently around
$27/MMBtu versus under
$3/MMBtu in the U.S. Thummel’s argument is that the war has strengthened the incentive for Europe and Asia to secure gas from the United States, which benefits companies that source cheap U.S. gas and sell LNG into Europe and Asia. He specifically names VG and LNG as beneficiaries.
The important question isn’t merely “what happens to TTF when the war ends?” The longer-term question is whether the war permanently increases Europe’s/Asia’s willingness to pay for secure, diversified LNG supply from the U.S.
Interestingly, Pickering Energy Partners is making essentially the same broader argument independently: it thinks the Iran conflict has changed energy-security calculations for years, with buyers diversifying away from supply that has to pass through Hormuz and rebuilding strategic inventories.
