00:00Donc Dan, des swingages vraiment quand il y a des prix US de gaz.
00:04Prends-nous ça.
00:05Sous-titrage Société Radio-Canada
00:10And that's done two things to the natural gas industry
00:13One thing it's done
00:15You go out to West Texas, Colorado
00:17These places where there's lots of gas wells
00:19It's freezing equipment at wells and pipelines
00:22And processing plants
00:23And that's cutting off natural gas
00:24And then at the same time
00:27You're just seeing people all over the country
00:29Need
00:29To add more heat
00:31You know
00:31They're burning more gas
00:32To keep their house warm
00:33They're running the electricity
00:34That it's burning more gas at power plants
00:36And so you know
00:37You have a huge rise in demand
00:39Pushed up against cuts in supply
00:42And you see these huge price increases
00:44You know
00:44From January 16th to the 26th
00:47The prices have almost doubled
00:48On the front month
00:49Of contract
00:49And so you know
00:51Anytime you see something like that
00:52You're going to start to have some
00:54Real big market dislocations
00:55And just walk us through
00:57The international pricing dynamic
00:59Here
00:59Because of course
00:59The war in Ukraine
01:00Had been a massive factor for Europe
01:04Yeah
01:04You know
01:04Natural gas for ages
01:06Had been a really
01:07Sort of localized
01:08De-
01:09Decentralized markets
01:10The US natural gas market
01:11Was one thing
01:11Europe was its own thing
01:13Asia was its own thing
01:14But because of the rise of LNG trading
01:16Those have really kind of melded together
01:18And as you mentioned
01:19After Russia invaded Ukraine
01:20The Europe really relied on U.S. LNG
01:24Imports
01:24To keep afloat
01:25And so what that means now
01:27Is you know
01:28You have
01:29Normally
01:29These LNG plants
01:31In the U.S.
01:32They buy their gas
01:33They liquefy it
01:33They ship it
01:34To Europe
01:34They pack away
01:35A tidy little profit
01:36But right now
01:37These higher prices
01:39Are signaling to them
01:39Hey
01:40You know
01:40Maybe we should
01:41Instead
01:42Supply our domestic
01:43Plans
01:44Buyers
01:44Who are paying
01:45A little bit more
01:46You know
01:46Make sure
01:46That there's enough gas
01:47To go around
01:48That
01:48If
01:49In theory
01:49Could eventually
01:50Cut off supply
01:51To Europe
01:52In reality
01:53I think
01:53We're probably
01:54This is going to pass
01:55Pretty quickly
01:56You already look
01:57At the next month
01:58Now
01:59Natural gas futures contract
02:00It's significantly lower
02:01Than the front month price
02:02So this is probably
02:03A pretty
02:04Quick event here
02:05But
02:05Over time
02:06I mean
02:07This is something
02:07That if you're
02:07In Europe
02:08If you're in Asia
02:08These American cold snaps
02:11Are really going to be
02:11Something that could
02:12Affect your gas supply
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