China throws Europe an energy lifeline with LNG resales

Surplus gas eases Russia's stranglehold, but gives Beijing outsize influence

20220823 UKRAINE lights facade CRISIS-GERMANY-ENERGY

Facade lights have been turned off at the Frauenkirche, Church of Our Lady, to save energy in Dresden, Germany on Aug. 22.  © Reuters

MISA HAMA, Nikkei commodities editor

TOKYO -- Europe's fears of gas shortages heading into winter may have been circumvented, thanks to an unexpected white knight: China.

The world's largest buyer of liquefied natural gas, is reselling some of its surplus LNG cargoes due to weak energy demand at home. This has provided the spot market with an ample supply that Europe has tapped, despite the higher prices.

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