Despite the increasingly important role that liquefied natural gas (LNG) plays in global energy supply, it still lacks a market-based mechanism and a forward curve to allow for efficient price discovery and risk management.
Traditionally, the vast majority of LNG supply deals have been long-term (typically 15-20 year) bi-lateral contracts between producer and consumer, with defined delivery points. Contract prices are usually indexed to a basket of other commodities, including Brent crude and cru
The week on Risk.net, October 6-12, 2017Receive this by email
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Leaked EU doc could shield legacy swaps from clearing grab
- Quantile, TriOptima face off in cleared swaps compression battle
- ABS set for revival under US Treasury’s liquidity buffer plans
- Quants stymied by lack of alternative risk premia flows data