Gas summit speakers note changing market patterns

11/14/2005
Soaring prices of natural gas are changing traditional market patterns by breaking up the gas-electricity link and increasing price volatility in LNG trade, speakers said Nov. 1 at the 10th Annual International Gas Summit in Paris.Gas prices have traditionally been linked to oil prices in Europe and have soared accordingly, even for long-term, take-or-pay supply contracts in which price changes are not as abrupt as they are in spot trades. The consensus at the summit was that this link would last.The major changes in the global market will result from US prices, which have jumped at times recently to more than $15/MMbtu and are influencing oil markets through the fast-developing internati...
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