Friday, August 7, 2009

Russian LNG Coming Here

Here is a quick article about Russian giant gas producer Gazprom and the company’s intent to send some shipments to North America this winter. The Gazprom Sakhalin-2 LNG plant is Russia's first and is not expected to be at full capacity until next year. Most of the gas is contracted to Asian customers, but the company is eager to gain a foothold in the U.S., hence these first shipments.

This is a big deal because the more LNG that comes to the U.S., the more downward pressure on natural gas prices. It will be interesting to keep an eye on countries like Russia and Qatar as their LNG ports ramp up.

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