Reduced coal capacity adding to gas price volatility Russia-Ukraine conflict driving market uncertainty Permitting delays limiting gas production growth Recent volatility in the US and global gas prices will likely continue over the next 12 to 18 months fueled by diminished capacity in the coal market and supply uncertainty in Europe, experts say. But the current global crisis could drive new infrastructure investments that help to ease volatility longer term.
Over the past six months, US gas prices have hit historic highs, briefly trading at over $6/MMBtu this winter. Global prices meanwhile have surged, recently trading as high as $65 in Europe and nearly $85 in Asia in the wake of Russia’s invasions of Ukraine, data from S&P Global Commodity Insights shows. While short-term drivers of volatility will be slow to change, meaningful additions to the […]