US Flying Standby with Liquefied Natural Gas

US and Canadian gas consumers are averse to long-term physical contracts-the traditional mechanism for securing LNG in the world market. While North America will become increasingly reliant on LNG, without committing to this form of natural gas supply, it may not be available if needed in the years ahead. We highlight the risk that in any given period, LNG flows could fall to low levels, even zero, depending on events outside of North America.