If America fails to export its surplusgas supplies, Asian consumers face very little chance of getting gas markets working on the basis of gas fundamentals, rather than oil indexation folly of old.
Even though the power surplus is happening in the northwest, the effect on the gas market will be felt across the country as gas that would have ended up being burned in California instead gets pushed east into Texas and up into the northeast.
The other major recommendation was a reiteration of their view that global liquefied natural gas (LNG) markets have come out of two years of cyclical, as opposed to structural, surplus and will begin to tighten.