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Increased LNG Supply Will Temper Price Volatility

Increased and diversified gas supply, including LNG imports, may “not necessarily” lead to a substantial decrease in the price of natural gas on the West Coast, but will help ease price volatility, according to Northwest Gas Association executive directo
June 21, 2006

Increased and diversified gas supply, including LNG imports, may “not necessarily” lead to a substantial decrease in the price of natural gas on the West Coast, but will help ease price volatility, according to Northwest Gas Association executive director Dan Kirschner. He acknowledged that new sources of supply are needed to limit price fluctuations and that LNG must “be in the mix.” The importation of LNG “will create more resilience in the market to absorb shocks like Hurricane Katrina and Rita, which took off for at least a short period of time almost 80% of U.S. natural gas production,” he said. Today’s Vancouver Sun has the story.

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