Producers Pass Buck to Portfolio Players

26 Feb 2016: As large-volume, long-term contracts with end users have been increasingly difficult to find, producers have resorted to selling millions of tons of LNG to portfolio players, who now account for about three quarters of the buyers in the most recent long-term deals. The vast majority contracted to portfolio players carries no destination restrictions. The portfolio players, also called aggregators, hold portfolios of LNG supply from different regions as well as various shipping, storage and regasification assets. The concept is that by optimizing their supply and infrastructure, they can provide LNG to end users as well as to participants in short- and medium term markets more efficiently than the traditional point-to-point arrangements that have dominated the LNG business for decades. Please fill out form below to view article.