The “New Age” of U.S. Gas Exports
Despite relentless industry propaganda that shale gas is patriotic and will give the United States energy security and independence, we are starting to see what we’ve expected for quite some time: wholesale exports of U.S. gas via liquid natural gas (LNG) terminals. See last week’s 20-year, $8 billion exporting deal between Britain’s BG Group and Cheniere Energy.
We’ve been warning that gas extracted from our region will be sold to the highest global bidder. And Reuters notes,
Asian spot LNG prices are now around $17 per million British thermal units, compared to less than $4 in the United States, making export a viable option.
Brendan DeMelle of DeSmogBlog has extensive commentary on this deal and the future of gas exports at The Huffington Post.
The natural gas industry’s favorite public relations ploy about the necessity of hydraulic fracturing (fracking), the process through which “clean natural gas” is now procured, is that the patriotic gas industry is championing the shale gas boom for domestic consumption and for “national security purposes.” We now know definitively that this is pure propaganda.