Posted on 06/09/2022 8:49:24 AM PDT by blam
Europe’s natural gas prices jumped Thursday after one of the US’ largest liquefied natural gas (LNG) export terminals experienced an explosion on Wednesday and has been shut down. A large share of the terminal’s LNG has been destined for Europe as the continent weens off Russian supplies.
Been in the Freeport area all day for an “incident” at LNG facility on Quintana Island. Freeport PD and witnesses say no doubt about it: it was an explosion. 💥 The fire/release has been contained and employees are accounted for. Investigation underway. pic.twitter.com/8wuGEGazb2
— Erica Simon (@EricaOnABC13) June 8, 2022
According to Bloomberg, the Freeport LNG export terminal in Texas will be shuttered for at least three weeks, which will impact 20% of all US LNG exports. In the last four months, 75% of all US LNG exports have been sent to Europe.
“In the last three months, 68% of all Freeport cargoes were delivered into European markets,” said Tom Marzec-Manser, head of gas analytics at ICIS.
Ole Hansen, head of the commodity strategy at Saxo Bank A/S, said the situation at Freeport has upended European gas markets after “calm trading seen in recent weeks.”
Dutch front-month gas, the European benchmark, traded as high as 16% before giving up some gains and trading at 84 euros per megawatt-hour.
After the reports of the explosion, we noted that US natgas was sold due to export halt fears would build supplies on the domestic grid; inversely, EU natgas would soar because of a decline in export shipments.
For those puzzled by the price action, US NatGas’s slump is in response to the prospect that fewer LNG exports would mean more supply domestically, though inversely, it would mean higher prices in Europe since the US has been increasingly sending LNG across the Atlantic to ween European countries off Russian supplies.
Since the incident at Freeport, US natgas prices have plunged 15%.
Analysts at Houston-based energy firm Criterion Research said, “very little information is known about the extent of the damage and how long it will take to repair.”
“Explosion” = Sabotage
My first thought also.
“Let the bastards freeze in the dark” - all over the world.
“ Maybe Europe should be forced to return to that wonderful heating source called “COAL”?
Make them cut firewood and fetch their own water from the rivers
Totally.
Anybody think this was an accident?
Yup. At least some of us have this figured out.
Israel has a huge opportunity here, if they can deploy gas from their Leviathan reserve. But Victoria Nuland is trying to kill the project entirely, at the behest of Turkey.
What a coincidence.
Now LNG plants are having “accidents” just like food processing plants are.
Imagine that.
Yes, the EU is just being mean to Russia for no reason. Here is an idea, let Russia go home and then Russia and the world could conduct normal business dealings.
November will not stop them. They don’t even hide what they are doing these days.
so the gas gets sold here instead of going there?
Surfside now requires parking/entry permits, unless you go further toward Galveston to Follet’s Beach. But then you start running into the thugs that have been run off of Galveston’s beaches. There is practically no beach in “old” Surfside....they had to put riprap on the seaward side of Beach Drive to slow erosion.
Quintans is almost gone thanks to LNG. Bryan beach has been annexed by Freeport, who thinks beach maintenance is to regularly scrape the beach; there’s no dunes left and if you’re lucky you can access the mouth of the New Brazos at an extremely low tide, but don’t stay too long.
MUST BE linked to all the “food processing” attacks. Look HARD ENOUGH and you will find a connection. /s
I’m not personally familiar with the area, but the concentration of chemical and petro installations along the Houston ship channel is enormous. I used to sell equipment to Dow Chemical in Freeport and they bought a literal mountain of stuff from me. And they are only one (albeit a big one) of many, many petrochemical installations on the channel. I’m not familiar with the geographical distance between the ship channel and the “civilian” parts of the general area.
Sabotage. Let’s play chess for a minute, shall we?
You insist on a proxy war with a country you call with a snark: “a gas station with nukes”... while at the same time you surrender your southern border to, well... the rest of the planet.
If I’m that country you’re waging a proxy with while not watching your six, wouldn’t it only make sense to send my ‘cells’ over your un-checked border for if/when I need them?
Then again, I heard this could be done via computer hack as well.
Bottom Line: Who benefits?
That is all.
IMO this one is more suspicious than many of the food plant incidents.
“wouldn’t it only make sense to send my ‘cells’ over your un-checked border for if/when I need them?”
I know right? It’s insane to leave that border wide open especially at a time like this, though frankly I suspect there’s cells from both China & Russia already in place. Most incompetent administration ever.
It’s too easy for our enemies.
Though I agree, it is possible that they were trying to work too fast and got careless. But like I said, I agree.
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