Insight
For sale: fixed price LNG
Report summary
A challenge for LNG fixed pricing offers is the current oil and LNG price outlook. Several Asian LNG buyers have highlighted the a fixed price offer of $8/mmbtu really doesn’t look that attractive. But fixed price LNG could be attractive to LNG into power projects in emerging markets.
Table of contents
-
Key messages
- Fixed price offer is at a premium to recent Asian LNG prices
- A challenge for fixed pricing LNG offer is the current oil and LNG price expectations
- Fixed pricing could offer index diversification but creates risk of being out of the money
- The fixed pricing offer makes some legacy US LNG supply deals look expensive
- Fixed price LNG improves prospects for gas to into power
- Gas plants are cheaper to build but more expensive to run than alternatives
- Portfolio LNG suppliers have an advantage compared to pre FID LNG projects
Tables and charts
This report includes 4 images and tables including:
- For sale: fixed price LNG: Image 1
- For sale: fixed price LNG: Image 2
- Fixed price LNG vs oil indexed deals
- Cumulative CAPEX and OPEX of a single power plant burning fixed price LNG or coal without CO2 tax
What's included
This report contains:
Other reports you may be interested in
Asset Report
Corpus Christi LNG - Phase 1
Corpus Christi LNG Phase 1 is the first two trains of a twelve-train LNG export development. The project is owned by Corpus Christi ...
$2,250
Insight
Long-term Brent price maintained at US$65/bbl – oil and gas price assumptions versus forecasts
Defining our price assumptions and methodology, their use in our tools and services, and why these are independent of our price forecasts.
$1,350
Insight
LNG in brief
Our LNG in brief is a rolling coverage of events as they happen in the global LNG market
$1,050