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New LNG Terminals Likely to Optimise Cross-Border Gas Flows

NATURAL GAS

The European gas market could become more efficient and cross-border gas flows likely optimised due to LNG terminals as well as joint LNG and gas purchases according to ICIS.

  • Optimised LNG deliveries on different markets will depend on unloading costs, congestion and utilisation rates of terminals with arbitrage opportunities to take into account cross-border spreads and fees.
  • This could potentially result in the price spreads between hubs trading within a tighter range compared to previous years.
  • Regional divergences could emerge between countries with direct access to LNG capacity and those dependent on cross-border flows.


Source: ICIS

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