When you read that a market is overvalued because it has more production than demand, new uses can prop up the price due to increase of demand. Natural gas has been one of the most attacked products by the specialized media, however LNG has unexpected uses that may broaden its target market.
Can you imagine using NG as plane fuel? Click here.
Oil parity is the LNG price that equals the one of the crude oil under BOE basis (170 cubic meters of gas). A ratio of 17% is equivalent to the full oil parity. We should bear this ratio in mind.
20/10/2009
