Jun. 22 at 1:46 PM
$VG
The recent explosion at Ras Laffan is at the Barzan plant, which primarily supplies domestic LNG, so technically not as relevant to exports as prior damage. On the other hand, this one likely has massive implications for morale, future expansion etc. Many lives have likely been lost, and this is the type event that changes the course of things.
VG does not need war damage to prosper. We need LNG to remain the go to choice for new plants in developing parts of the world.
Just like oil, LNG is held artificially low because long traders have been burned by all the "deal" effects that have messed with market. That reverses in due course as facts can no longer be ignored. TTF and JKM are both up ~50% YTD, and there is no good news on the supply side forward. We should not hope for events that risk hurting demand side.
