The BC LNG Co-op signed the very first Canadian LNG export agreement today, so the process is finally under way. While the pricing will be based on our nat gas prices, rather than on the oil price, we pretty much knew that would be the case, as the americans already fcked that up by signing similar deals previously.
What this deal does do is that it makes it clear that Canada will be exporting LNG in the very near future, and it could grow into a massive industry. The price of Canadian nat gas will then rise to much more profitable levels, and all Canadian nat gas companies should benefit, including Donny.
One of my longtime holds, PPY is a partner in the BC LNG Co-op, so it is especially good for them.
But Donny, with their condensate-rich gas, will benefit with the prodcution of both a high-value liquid product, plus increasingly-valuable dry gas.
We will all benefit.