Oil macro analysis, page-79

AMERICA: The U.S. shale gas boom displaced the need for LNG imports. The U.S. Department of Energy has advised American companies not to allow Chinese companies to invest in U.S. LNG export projects. Current storage level is high

ASIA: Liquefied natural gas volumes contracted by Japanese buyers may exceed their combined demand from 2017 to 2021. Sanctions on Iran are expected to be lifted early next year. They are expected to unveil LNG orders in South Korea & China. Russian’s Power of Siberia pipeline to China is expected to be completed in 2019, other pipelines in the works are, the Siberia-2 pipeline & the North-South gas pipeline

EUROPE: Competing proposals of Gas pipelines to supply Europe is fueling the war in Syria. No end in sight

As supply ramps up, demand wanes. Unfavorable market conditions increase the difficulty in securing long-term contracts in the near future.