Seeking Alpha
  • Mike Maher
    Why does Nat Gas have to rally to get back to historical valuations with crude? What if crude is going to fall to bring the valuations back?
    12/2/11
    Reply (14)
    • sean.parmelee: With no recession, a collapse of crude prices seems less likely.
      12/2/11
    • 1980XLS-2.0: The massive increase in supply of NatGas , will keep prices well below the historical ratios for many years to come.
      12/2/11
    • Augustus: The low NG price is a US anomoly. The world price for LNG is much more in line with the world price of oil. Transport is the problem.
      12/2/11
    • Mike Maher: With the US industry focusing more towards using fracking to open up oil shale, I think its possible for the industry to collapse that price
      12/2/11
    • 1980XLS-2.0: Transport. GLNG is the play. http://bit.ly/sfmXgk
      12/2/11
    • Mike Maher: I think id rather own GMLP than GLNG. The problem with the LNG tankers right now is that so many are under multiyear charters
      12/2/11
    • 1980XLS-2.0: Interesting, Thx
      12/2/11
    • Mike Maher: Not sure if u mean the stock or the commodity, but I think that once the US begins to export LNG around 2015, world prices should move down
      12/2/11
    • Mike Maher: As for Cheniere Energy (LNG), the export terminal wont be built til 2015-2016, so y buy the shares now, if they wont begin shipping til then
      12/2/11
    • Augustus: Once the US begins exporting LNG in a few years, US prices will move up considerable to converge with world oil price. Oil determines price
      12/5/11
    • Mike Maher: A few years will also see big Brazilian offshore fields producing, nd Australia exporting LNG. US nat gas prices will be <$5 for a decade.
      12/5/11
    • Augustus: The forecast for continuing low NG price is based upon a slow development of export facility. There is no case for greatly lower oil price.
      12/7/11
    • Mike Maher: Weak GDP growth prospects, greater efficiency, rising US production levels, restoration of Libyan oil all make a case for lower oil prices
      12/7/11
    • Augustus: 2 billion people in China and India operating motor scooters make the case for increasing oil demand. Coal out, NG in, price up for NG.
      12/8/11