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LNG price spike causes energy crises in strapped Asian nations

Pakistan deals with power shortages and production cuts amid tenfold jump

Asian LNG buyers are competing with European purchasers reeling from Russia's move to tighten supplies in July.   © Reuters

TOKYO -- Prices for liquefied natural gas on the Asian spot market have surged nearly 10 times from average summer rates, causing crippling shortages in emerging nations strapped for foreign currency.

Spot prices for LNG bound for Japan, South Korea and other major Asian economies now hover in the upper $40 range per one million British thermal units. On Wednesday last week, the price briefly topped $50, a high not seen since early March, right after Russia invaded Ukraine.

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