https://finance.yahoo.com/news/natural-gas-soars-700-becoming-040106114.html " Natural Gas Soars 700%, Becoming Driving Force in the New Cold War Gerson Freitas Jr, Stephen Stapczynski and Anna Shiryaevskaya Tue, July 5, 2022, 6:01 AM [...] natural gas is the hottest commodity in the world right now. It’s a key driver of global inflation, posting price jumps that are extreme even by the standards of today’s turbulent markets — some 700% in Europe since the start of last year, pushing the continent to the brink of recession. It’s at the heart of a dawning era of confrontation between the great powers, one so intense that in capitals across the West, plans to fight climate change are getting relegated to the back-burner. In short, natural gas now rivals oil as the fuel that shapes geopolitics. And there isn’t enough of it to go around. It’s the war in Ukraine that catalyzed the gas crisis to a new level, by taking out a crucial chunk of supply. Russia is cutting back on pipeline deliveries to Europe — which says it wants to stop buying from Moscow anyway, if not quite yet. The scramble to fill that gap is turning into a worldwide stampede, as countries race to secure scarce cargoes of liquefied natural gas ahead of the northern-hemisphere winter. The New Oil? Germany says gas shortfalls could trigger a Lehman Brothers-like collapse, as Europe’s economic powerhouse faces the unprecedented prospect of businesses and consumers running out of power. The main Nord Stream pipeline that carries Russian gas to Germany is due to shut down on July 11 for ten days of maintenance, and there’s growing fear that Moscow may not reopen it. <... ctd, w/ some interesting charts ...> "
In just a month, NYMEX Natural Gas has dropped massively by 75% becoming a driving force in the new cold war.
@maxinger, FYI: gas has regional prices, Europe is the most expensive, then Asia, then Americas. And from your chart one can also read this: from Jan to Jun it went from about 3520 to 9500, that's about +170% increase, so then a massive drop is "very normal"
I strongly disagree with your statement that thereisn't enough of it to go around. As a former employee in the natural gas field, you're wrong. It's another trick by the fossil fuel industry. There is an abundance of natural gas out there, more than we'll ever use. Please check your facts...
The authors mean when Russian oil & gas is sanctioned/boycotted then the remaining suppliers are not enough to fill the gap...
This is true. The challenge is getting it to where it needs to be. That is not trivial and can not be changed quickly. As a result some people will be paying crazy high prices for natural gas this winter so that demand destruction is created in areas where it is in short supply.