A brutal cold snap in the US drove natural gas prices higher globally, highlighting the world’s growing dependence on American fossil fuels.
The Trump administration has, largely successfully, prioritized the export of liquefied natural gas, with Europe particularly dependent on US supplies after slashing its reliance on Russia.
But the storm — which has left 10 people dead and a million without power — has led to surging gas prices in the US, up around 120% in the past week, as suppliers have had to shut drilling sites because of the cold and prioritize domestic demand. “Prices have likely peaked,” ING commodities analysts forecast. As one Reuters columnist put it: “When the US freezes, the global LNG market catches a cold.”