UK and US natural gas appears closely followed each other until the drop in natural gas price in US and UK occurs after 2008 and started to diverge since then. The drop in 2008 was likely to be due to the global financial crisis effect on demand for ng but also around this time Mitchell Corporations also achieved their method of shale fracking (by fracking pioneer the late George Mitchell) and kicked started the shale gas production in US. Demand for ng in both UK and US has since returned but the price in US stay flat while UK price has rocketed back to pre 2008 levels. The only difference between US and UK was fracking was adopted in the US and not in UK. So it is reasonable to say shale gas fracking has kept the ng down for the US.
AJL Price at posting:
1.2¢ Sentiment: Hold Disclosure: Held
