US President Trump is, with some success, aiming to reduce oil prices to cut US petrol prices. If sustained, lower oil prices translate into lower oil-linked LNG prices and lower LNG spot prices. Movements in oil prices take time to feed into LNG prices but in theory the fall in oil prices from a peak of US$86.07/barrel in October to US$58.41/barrel in late November should also translate into lower east coast natural gas prices. Oil-linked netbacks (the value of gas for LNG) as measured at Wallumbilla in Queensland would fall from $14.02/gigajoule (GJ) to $9.23/GJ as a result of the fall in the oil price.

Whether or not Saudi Arabia and other OPEC members decide to to cut production at the meeting on 6 December is likely to have an indirect impact on east coast gas prices.