LNG Supply Crisis Pushes Buyers Toward Coal and Oil

The resumption of the Iran conflict, including the effective closures of the Strait of Hormuz and now the Strait of Bab el-Mandeb has driven up natural gas prices, particularly in Europe and Asia. Asia accounts for nearly 90% of liquefied natural gas (LNG) shipments from key Middle East producers like Qatar and the UAE, while Europe imports 7-11% of its LNG imports from the region. European gas prices surged to four-month highs amid fears the US-Iran war will cause winter shortages. As The Guardian wrote, The Dutch natural gas benchmark briefly…