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Title: Renewed Interest In LNG Imports
Author: James P. Lewis, Pat Outtrim
Source: American Gas Association 2002
Year Published: 2002
Abstract: The renewed interest in LNG imports into the US strongly suggests the potential participants view the divergence in the demand and supply curves for natural gas in North America will create an attractive floor price for natural gas. This floor price will be higher than current prices. The floor price will be determined primarily by the increasing complexity and costs of new reserves. This will allow LNG imports to be attractive for the gas marketers and as a supplemental supply downstream to pipelines, LDCs and the consumers. Imports contracted on a long-term basis would provide both stability to domestic prices and an incentive for investments in facilities that use gas such as power plants.

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