Any which way you slice it, the preponderance of reserves surplus to local needs (Siberia, Middle East, coastal Africa, Canada, maybe the US although I'm not sure for how long) require multi-$10b pipes or liquifaction plants.  And Asian governents and buyers aren't staffed by BA graduates, they're engineers and technocrats who know the relevance of energy equivalence in setting energy economics.

 

Amazing how having virtually none of a resource (i.e.: Japan, Korea, Taiwan, Philippines, India) and using buckets of that same resource focuses one's intellect on the essentials.

 

Regards,

Naamkat  

 

P.S.  I've read figures that suggest Power of Siberia #2 will cost upwards of $50b.  That sets a bar for supply costs that supports North American incremental supply well above $7/mcf, the only question being whether Canada has the political will to follow the economics over sound bite politics.