◂ Event Timeline

Jul 5, 2017TRADEQatar

Qatari LNG development to extend LNG surplus into mid-2020s

Qatar will double the size of its planned North Field development to 4 Bcf/d and raise LNG capacity from 77 to 100 million mt/year over five to seven years. The International Gas Union lists 879 million mt/year of proposed LNG projects.

Global LNG capacity is set to grow about 50% between 2015 and 2020.

WHY IT MATTERS

A large LNG capacity wave is expected to depress global spot gas prices and may displace other LNG projects. This pressure eases gas-linked energy and fertilizer costs for feed producers.

AFFECTSNatural Gas▼

SOURCE
spglobal.comRoss McCrackenJul 5, 2017

Price reaction & history

Natural Gas▼bearishSO FAR1d -1.9%5d +1.6%20d -5.3%

After 24 past bearish trade events, Natural Gas moved a median +2.8% over 5 sessions (54% higher; middle half -4.5% to +7.3%), and -1.2% over 20.

Mar 10, 2020US LNG developers try to ride out market turmoil with China's door shut | S&P Global+5.3%
May 13, 2020Factbox: US gas markets see minimal upside from rising global LNG prices | S&P Global+10.6%
Dec 27, 2019European LNG Imports Hit Record Levels as Global Market Shifts-4.3%
Feb 3, 2017Europe set to absorb more LNG in 2018 | LNG Industry-1.0%
Feb 15, 2019European LNG influx plays into Gazprom’s hands this winter+5.3%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

Natural Gas NATGAS · GP ▸

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