OPEC just pushed down oil and gas prices, and the main beneficiary will be Russia. U.S. and other sanctions to punish Russia for invading Ukraine already pushed the ruble down, which makes Russian fracking less exposed to this price drop. Natural gas prices are falling with oil prices. So a big winner could be Siberian natural gas fracking for China. Which could nip U.S. LNG exports at their budding export terminals. Since LNG export is the most profitable market for fracked methane, the pipeline craze could go bust. And that could help the U.S. get on with cheaper, faster, safer, and far cleaner solar power.

Will Kennedy and Jillian Ward, Bloomberg, 27 November 2014, OPEC Policy Ensures U.S. Shale Crash, Russian Tycoon Says, Continue reading →