LNG Disputes Beyond Price Reviews
Article from: OGEL 3 (2020), in Liquefied Natural Gas (LNG)
Abstract / Introduction
In this article we describe several types of commercial disputes in long-term liquified natural gas ("LNG") contracts that are not directly related to the more common price review type disputes. We identify a common thread to many such disputes: differences between contract and short-term prices give rise to arbitrage opportunities, and parties are unable to agree on how the payoff from arbitrage should be shared between them. LNG trade has increased at double digits in the last three years, and LNG markets have become increasingly complex over the last decade, with ...