IPA hosts webinar on 10 November 2015 at 10:30 AM GMT to discuss:
Will LNG and European pipeline gas prices continue to converge if oil prices rebound?
Oil prices have recently been at their lowest since February 2009. Oil prices could rebound post 2016 due to low investment, field depletion, geopolitical tensions and rising demand. Significant new US LNG export capacity is coming on line in the next five years which may worsen the existing oversupply in the global LNG market. Because gas prices are increasingly linked to hub prices, even if oil prices rebound, it may still be possible for US LNG to compete with pipeline gas in Europe.
Large gas pipeline projects such as Nabucco, Nordstream and Turkstream have dominated news headlines in recent years due to their geo-political importance. However, a number of less high profile developments have taken place over the last three years in Central and Eastern Europe and these are likely to have a more profound and long-lasting effect on the region’s gas markets. These developments have increased the flexibility of gas flows across the region, reducing dependence on Russian gas and causing the price differentials between countries to narrow.
In this webinar IPA asks the following questions:
• Can LNG act as an effective cap to gas prices in Europe, and create pressure for further price convergence throughout the region?
• Will the surplus of LNG on world markets and reverse flow trends in European pipelines strengthen the hand of European pipeline gas buyers in ongoing price negotiations?
• What are the implications of Russia’s changing position?
• Can flexible pricing of LNG stimulate European gas demand, leading to a more rapid adoption in sectors such as transport?
We hear insight from Peter Stewart and Zuzana Princova.
Peter specialises in global oil and gas market analysis and price forecasting. Peter has had a distinguished career as Chief economist of KBC energy economics and Director of markets and pricing at Platt’s.
Zuzana provides analysis and forecasting on Central & Eastern Europe and CIS gas markets, infrastructure and regulation. Her career includes 22 years at Gas Strategies.