This Day: Liquefied Natural Gas Price Crashes by 50%, Says Report

As the price of crude oil dropped from $115 per barrel in June 2014 to less than $60 in December, a new report by Wood Mackenzie indicates that the spot price of Liquefied Natural Gas (LNG) also crashed from a peak of over $20 per million British Thermal Unit (mmbtu) in February 2014 to less than $10 per mmbtu in November 2014.

Since October 12, 1964 when ‘Methane Princess’ delivered the first LNG cargo to United Kingddom’s Canvey Island regasification terminal, the LNG business has expanded from a single trade between Algeria and the UK to over 400 trade routes, involving 45 countries.

Also from October 1999 when Nigeria exported its first cargo through the Bonny Island plant of the Nigeria LNG Limited, the company has since shipped over 3,000 cargoes to its customers in Europe, America and Asia, converting over four trillion Cubic Feet (tcf) of associated gas to LNG and Natural Gas Liquids (NGLs) for both export and domestic uses.
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