in terms of coal versus lng, our view, although not true today is that lng will be fairly inexpensive because there's a lot of capacity coming online. as a result of be a short-term opportunity. think prices will need to move out. i think this applies which will result in low prices will move up over time. there's also a risk there. a lot of countries where we do if indonesia, we certainly counsel a diversity of sources. with the falling cost of renewables there is more interest in including that in the mix. part of our work is talking about immigration issues and we do try to engage on that and energy efficiency as well. >> hello. i'm elizabeth from duke university. i'm wondering if you track in this reporter elsewhere, potential shocks to the system that may create a significant divergence. and if so, are you most concerned with natural disasters, technical logical innovations and checking if it pushes coal up or down. >> absolutely. certainly energy security is very central to the work we do. in the past is oil, today it's more natural gas and coal. also look at the indirect impact

and 23 facility sites for the import or export of lng. the commission acts as the lead agency to conduct -- coordinating federal authorizations and to comply with the national environmental policy act. as described in my written testimony, this environmental review is carried out through a process that allows corporation from numerous stakeholders including federal, state and local agencies, notive americans and the public. the commission's current approach allows for a systematic and collaborative process and has resulted in substantial additions to the nation's infrastructure. to a great extent, the prophecies envisioned by legislation such as fast 41 and the recent executive order 13-807 parallel the commission's own approaches in improving early consultation and improving transparency. staff is committed to working with all federal agencies to assist in the successful implementation of the goals and ensure matters before the commission. i would be happy to answer any questions you might have. >> thank you, mr. turpin. mr. brown, welco

whether it's energy production, pipelines, pump storage, water supply, lng or something else, our system needs to be improved across the board. we absolutely have the ability to establish a permitting process that works, one that protects the environment and promotes state and local input while not my ring projects in red tape and driving away private investment. and to achieve that goal we have to set aside and misguided idea that accelerating or coordinating approvals somehow weakens those protections or that simply spending more money with six all the problems. it doesn't get we know that. it won't work. both common sense and experience tell us that we can maintain our high standards while speeding reviews and approvals. so i view this hearing as the next and in our effort to improve our nation's infrastructure. i look forward the insights and ideas from our witnesses to do just that. thank you all for being here with us this morning. senator cantwell, i welcome your comments. >> thank you, madam chair. i certainly welcome this infrastructure permitting oversight hearing, but i do thi

lng imports into china just keep on growing.ised to overtake south korea as the second-biggest -- it's having a real impact on the market. rishaad: what's happening on the production front conjured leading to higher prices? computing two higher prices -- contributing to higher prices, perry? guest: lots of new supply coming onto the market and it's actually been a pretty bearish signal for what's happening with lng. it was expected that it was going to be this supply glut right into the next decade. but the big demand lever from china is actually changing that quite rapidly and what we are seeing is analysts changing their forecasts. some, including deutsche, are saying next year might be the year we are demanding -- demand catches up with supply. that's quite a shift. haidi: what about traders? guest: of course. obviously heating homes in china, a lot of demand for lng over the winter at the moment. those portfolio players are able to get into the market at the right time. it's likely to come off over summer. there's a real opp

it's a big position for me golar. >> karen, it's tim one of the big issues for the entire lng space hasn in terms of the fleet, has been the number of fleets and the supply of this enormous amount of tankers that get built up. how do you feel about this we've been here before, in a different place than the past, that's a big risk always >> tankers, it is a cyclical business right now they're in a really good part of the business. we've seen the fleet growing at a much slower rate we'll see older ships taken out of service the main driver of this story is the two enormous projects, and further down the pipeline, about the healey right here, right now, and the fortuna close as well those will be the main drivers of value those are not cyclical, those are a different kind of business, multi, multiyear contracts. >> all right let's vote what do you say, dan nathan? >> i think you buy it, a great take, high short interest. this thing gets to 30, it's off to the races >> bk? >> you look at the chart, it's a buy as well. the longer the base, the higher the space. that's what i think we're look

with offshore lng.ished and still have order books filled up 2019-2020, but for koreans, that is a challenge at the moment. betty: what does 2018 look like? >> if you look at 2018 market outlook for dry bulk and container shipping, that is looking better. the rates are already back up earnings, asset values, so it is a supply-driven story now. and the recovery in higherg is a result of growth. for 2018, it is better than the last few years. betty: what about the dry bulk shipping. how will that fair next year? >> it a must is hit a three-year high, and the largest ships have wild price swings and are dependent on china. they are having the best quarter in the last 3-4 years. if you see the chinese beginning initiatives, that is having an impact. is doing ok, so it looks like 2018 will be better. they can look at much better outlook over the next several years. note, and alighter lot of viewers are curious, 2017 has been a good year for the stock market. a lot of people are feeling rich as we approach ch

around 10% around 10% of foreign requirement of lng. all those countries are relying on qatar, and qatar tried, we tried our best not to affect although supplies by those measures being enforced against us. and now we are accused that we have a strongly with iran. we have no strong relation with iran. we had communication and we have more communication because of the crisis since the blockading countries are blockading the skies, locating the skies from our planes. it seems like it is counterproductive at least in terms of their objectives. is this correct? mr. al-thani: this is what we see, it is not only prescient as big we see most of the policies that admitted is counterproductive. mr. simes: yes, please. david: david with npr. do you see the u.s. as doing more to resolve this crisis? could it do more, and do you feel the u.s. has your back in this dispute? and also, what is the significance of the u.s. military presence in qatar for your sense of stability? how important do you see that as a guarantee for your country? regarding th

lng from russia.lls that and trading, he finds that interesting and as much as he is open to further partnerships with the russians he said it is not the last economic decision to make to buy lng from russia at this stage, an option that is being distant -- considered is widening out the operation and the u.s. through a subsidiary which is the largest refinery in the country. back on the oil story, government data showed crude piles slid more than forecast to a two-year low. helping support the oil price this morning. what is driving that? a fascinating set of numbers and quite a few people on our team have been spending time crunching through those and it shows you the drawdown is happening. 6.5 million barrels last week, more than double the average estimate as you pointed out. the energy minister from saudi arabia does not think the rebalancing will happen in time, nowhere close is what he said. 700 --orts also jumping 772,000 barrels. i will leave you with a final thought from jeffries, they're fo

and i want to know how you consider those in your analysis of worldwide coal exports and lng exports.question, first of all, we actually produce a separate gas report where we look at the impact on-- look at the exports. we see the u.s., for example, exporting 82 billion cubic meters by 2022. last year was only 5. when we look at it, when we look at gas versus coal and the particular country of it, you look at relative economics. in most of the world, gas is a more expensive way to make electricity, as a result. it's often a policy, it's either a policy push or a domestic resource in the case of a place like malaysia which has really driven gas use there. when we look forward, we look at-- then we look at what the changes in government policies are and the power demand and that's how we come up with our estimate. >> yes, sir, thank you so much. my name is sergio martinez, i wanted to ask a question about renewables that you mentioned at the beginning and the-- do you anticipate any change in the coal market given the pressure on climate change commitments and sustainability growth, in

>> the government was threatening to restrict lng exports out of queensland.other operator, they managed to dodge those curbs, but only by agreeing to supply more gas to the domestic market. gasesms as though that coming, but not quickly enough at this stage. haidi: if you are an austrian business how is it impacting you? >> it is tough. price has doubled the long-term averages, so that is having an impact on the bottom line. often these energy intensive businesses are a third of input costs, so that is tricky. they can only get it on one-to your time frames. that is making those long-term investment decisions quite tricky, so tough all around. haidi: are we likely to see import curbs bands come to pass? >> the government holds that as an option, so they will not be put in place for 2018 come a but will keep reviewing them if they don't like the look of the market and the way things are traveling. they could look at putting them in for the following year. haidi: thank you so much. perry williams talking about gas supply woes. willg up, goldman sachs join us to

it has been sort of a roller , theer year for australia lng industry has been growing apace. gas left on australia's east coast for local users. the prime minister threatened a few months ago to restrict some of the exports. that has not come to pass. ultimately those producers said, look, we will produce more gas for the domestic market. there is definitely more gas coming in, but not really enough to solve the issues. that is what we are hearing coming up christmas. haidi: is there anything else the government is actually doing about this? perry: what's happening this week is the competition regular -- regulator has been tasked by the government to provide a set of regular reports every couple of months on the market. using their powers to find out about how gas contracts are being offered in the market, at what sort of prices. that is traditionally not very transparent. i think what they are finding is prices are coming down, but perhaps not quickly enough. haidi: what has been the impact on businesses? perry: we spoken to some businesses for the story, and saying it isy a

ninety-five, lng philadelphia, t past bridge street, there had been disable vehicle going northbde, movedbut that's since cleared, looking goodne hhte atn delaware county. no delayl.s. 6:30 in the morning, if you are headed to work should be good drior many roadways including 42, minor delays, nothing you wouldn't expect 42 freeway, now, mass transit, having trole septa, on modified schedule already for the buses and normal, as normal as expected, then new years eve, there is rel rail service, plus patco on modified schedule, new jersey transit ono website and check them out. make sure you're getting on the right bus and train, you. >> burlington county home is destroyed, leaving three resideer injured. now, the flames broke out there around 1:00 a.m. inde the 600 block every union avenue in delanco. firefightersgh from all angles, and officials say ice on the ground was a hazard and construction be hom l the >> took two get, it took a while, chasing fire in the wallsf. >> a husband, wife and daughter all rescued from the burning home. are told, three dogswithdly, w did not make it out. t

lng orders up 60%.rlay that with the pipeline explosion in libya we have this polar vortex in the east coast of the u.s. and thinner holiday trading. it speaks of a real short squeeze here that we're seeing this morning. >> so do you believe that longer term, roberto, the opec production cut is working or are all the things you just mentioned transitory and oil prices will probably go back down in a few months >> that's two great points for the opec compliance, i think that it certainly is working i think there's a couple of points that you have to keep in mind the rig count, we saw two straight weeks last friday picked up so we have activity around 747 slowing down rigs there. and there's a 20-month lag time in terms of production so second half of '18 we can certainly see production ramp up significantly from the u.s. shale machine. in addition we have something like 7300 drilled uncompleted wells. so there's a lot of inventory which can cap pricing there. that being said, technically we have february

the united states will continue to support european infrastructure projects such as lng receiving supplies and ensure no country from the outside can use its resources or its resources to extort other nations. we continue to view the development of pipelines, like the northwardstream 2 as unwise as they only increase market dominance from a single supplier to europe. the united states recognizes the fragility of the balkans and will continue to work with the partners in the e.u. to bring prosperity and democracy to the region. the people of the ball can countries to them, we say, abandon your old and moss yits so peace may become permanent. soyour old animosities that peace may become permanent. you have a chance to direct the new course of history. blood lines should no longer be battle lines. the united states and the world long to see a new generation of serbs, croatians, and others who will forgive the past even if they can never forget it. a testament to america's shared values with europe is our cooperation on issues beyond the borders of europe which affect us all. the united states

and part of the reason is this region has not burned for a lng time.y have done a great job in this community to chop down the brush, all of that fuel, you can see how quickly it goes up. we were watching a few minutes ago and looked like the fire retardant was going to stop t but then started charging up the hill. we have firefighters all along this area, in case you are wondering the neighborhood we are in, i want my photographer to take a quick peak over to the left. you can see firefighters over there. they are watching this fire. and as you go back to looking at the burning hillside, there are firefighters basically surrounding any place that is burning. there are fire crews in the valleys. you can't quite see. but we have seen them working below. they have tools to try to create a line to try to have a physical barrier so that they can stop this fire. so here is the difference between what happened yesterday and what happens today. the wind here, even though this looks extremely frightening, even though people who may live here maybe concerned ab

. >> if we look at henry hub prices here versus asian lng, there's a big price differential is this a structural change in terms of what the u.s. is likely to export? >> one of the stories is demand from mexico for u.s. gas we expect this to continue we are constructive on the gas complex this year. >> let's touch on wti. crossing 60 overnight. it's been a good year, fantastic quarter. does that mean too much run up has happened late in the year for you to be kruk tconstructiv 2018 >> we expect some softness in demand, but one big push for oil prices has been geopolitics. we have to watch several big stories in q1. first in january, president trump will have tomake the decision on whether to extend the waivers for iran's sanctions. if he says i'm not going to waiver sanctions anymore, those sanctions will come back we have to watch venezuela they have a big debt payment to make in february so there's all these geopolitical stories which could give movement to prices higher, even though the fundamental should imply a softer price. >> iran is a story we focus on venezuela as well. what

it breaking out of the $3 range so we're not particularly excited about natural gas, but some of the lngers in the u.s. could do very well one company i don't cover but should do well is shell, the dominant lng player globally. >> there's a lot of good news there for everybody to research. paul, thank you very much for joining us. >> thank you, kelly. >> paul sankey from wolff research. >>> you might want to think twice about returning those christmas gifts. we'll tell you why after this. and on "fast money," one hedge fund manerag sees bitcoin surging and the crypto craze it far from over. re you retire? oh yeah sure... ok, like what? but i thought we were supposed to be talking about investing for retirement? we're absolutely doing that. but there's no law you can't make the most of today. what do you want to do? i'd really like to run with the bulls. wow. yea. hope you're fast. i am. get a portfolio that works for you now and as your needs change. investment management services from td ameritrade. us. it's what this country is made of. but right now, our bond is fraying. how do we get

it's not long after lunch that that snow starts to fall apart and move off to the east and it's o a lngy or snow shower later on in the afternoon. this snapshot of 4:30 looking like a coating to 2-inches of snow across-the-board here, most areas will pick up a fluffy inch. but every flake is going to stick with that steadiest before midday creating slick driving conditions on untreated surfaces but this is one of those snows that's going to be easy to remove off the car. if you have a broom, the sidewalk or bring out the leaf blower and just below your drive way with some of that snow, that's how easy you'll be able to remove it. then as we get into sunday for the eagles 1 o'clock, wind chills near 5 degrees the entire afternoon on sunday 'cause those winds will clock at speeds of near 30 miles an hour at times with air temperatures in the 20's and then as we ring in or say goodbye to 2017, and say hello to 2018, couple fireworks displays down at penn's landing, one at 6 o'clock, air temperature of 17 but ignore that number. dress for 0 degrees. and the same for midnight, 12 degrees, fe

part of the major projects in the arctic which has launched the first line of the first stretch of the lngt. so it will be 16.5 million tons, and that's an annual output. and china is one of the major investors. and this no -- the reason for it is, chinese interested economically and we will also cooperate on other products. pipeline, gas supplies. we have another great project, some high-speed transit. that's what, we do support it. the high transit link from china to western europe via russia. it will increase the speed of transit of goods and services of the times. we also have joint projects in aviation, in space, exploration. i'm sure we are moving the right way. we are fully determined to go that way. as for the election that will take place next year, i have full confidence that cooperation with china is beyond any political agenda. we will remain strategic partners for a long period of time. >> mr. putin, our people talk a lot about your future time in office. what kind of team will you have the next six years? i do what has about this. so with the existing government survive? with

china is using more lng as part of its campaign against pollution.earned a boost with china using it to buy oil from the middle east. to digital applications and smart contracts helped sinochem cut costs by 20%, 30%. it adds it will help improve transparency and risk management. it is being touted as saving the commodities sector $100 million -- hundreds of millions of dollars every year. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. i am jessica summers. this is bloomberg. looking at crude prices now, close to $60, levels not seen in 2.5 years, after a pipeline explosion in libya. we are joined by our deputy sydney bureau chief to tell us more about this explosion, what happened there, and why we are seeing this rally. >> yes. was anotheron reminder of how unstable things are in libya. what we are hearing from sources on the ground is this is up to 100,000 barrels in production from libya, a considerable part of their daily output, which can be around one million. that ha

we have been the biggest financers privately of lng export facilities, being constructed to export naturalorld. you have the transformation of how power is being produced. the cost of solar and wind have gotten down to where it is at parity with thermal power in many markets around the world. so the combination of that influence and change creates a really unique opportunities. 35%what is a market that is of global gdp, 50% of capex? that means it is extremely capital-intensive, which means the ability to find privately structured credit investments, for us, is not that difficult in the context of a market that large. scott: what makes it a credit investment versus an equity investment, what makes it more attractive for credit and equity? of yieldsmbination downside protection but also trying to create some asymmetric upside participation. versus capital markets, if you look at the high-yield market, you have an instrument that has very low yield, fewer rights than a citizen in north korea, if you invest in a high-yield bond market. when you are privately originating a transaction, you are

opportunity, the structural opportunity is in pipeline flows out to mexico and also global, exports of lngf the u.s.. alix: my favorite story. we are talking about -- david: talking about favorite stories. another one. alix: copper has a red hot streak. this is the quarterly on the comics. -- comex. we are at 12%, we have not seen that since 2005 and 2006. jay, tell me about the global recovery on this. jay: what is interesting to me about commodities, the base metals, is china. everybody has always talk about china, china is slowing and demand will not be as good, i think that is exactly wrong. i think the surprise is china, it is a supply issue. they are getting serious about making the lives of their people better and the way they will do it is they will fix pollution. if anybody has been to china in the last few years, it is a serious issue. the way to fix it is the shutdown a lot of these different situations that are a big polluters. it is not a demand story, it is a supply story. low-qualitying supply off the market and they are going to continue to grow their economy. you have that

china is using more lng as part of its campaign against pollution.powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. i am paul allen. to that heading in lunch break, we look at the sentiment overall. a slight move -- a slight move for the nikkei. when it comes to big movers, kawasaki heavy in pole position, leading the pack after an upgrade from nomura. jumped after a surge in profit. underhave tech shares pressure, led lower by the likes of china micro, tracking that drop on u.s. tech shares overnight. japanese oil players have been climbing him and that helped the topix trade wider this morning. you can see that on the chart 879. that is set for the highest close since 2007, helping the topix gain ground, tracking the rising oil overnight. in seoul, korea, the kospi losing ground, but the small-cap index jumping. stock leading gains, up almost 6%, for the health care sector. at quick check on the currency around the 50o mark, reaching it for the first time since june after that long christmas break. th

ordersre looking at new concern areas, maybe links more to lng.a global level that have exposure to that so that -- so some of it has not done well for a while. >> -- how seat will that rate hike the? conversation. tv is your function. , tv .ut this is bloomberg. guest,s return to our head of asia-pacific here. we were talking during the break better had rigs in the middle of the week. how steep the path will be. what is your view? >> we think that will be two to three rate hikes this year,, essentially a normalization of race which has also indicated the fed is much more comfortable with how the economy is doing. we are very comfortable with the type of rate hikes we are forecasting. we don't think it is sharp or steep and it is in line with what is happening in the economy. bondu look at what the markets are saying. words, not more than two. has aetna happening? >> i think there are more technical factors going on. >> we will see rate hikes move to where we mentioned. would be the early indications of inflation? what are the early signs

. >> and the saudi economy which i didn't fully realize needs that -- let's say it's lng they can get a number of places, it's actually the majority source of their electricity, it's not oil which is shocking to me. >> it's amaze pg. >> they need these deals or the technology down the road, i can understand it. again, on the surface db. >> it still appears like head scratcher. we've heard critics say the new changes will have unintended consequences, we explain why one of the consequences could actually help president trump's goal of slashing the u.s. trade deficit. later, inside what some are calling the crypto castle. it's a house where several entrepreneurs are trying to cash in on the craze. staff meeting. noon? eating. 3:45? uh, compliance training. 6:30? sam's baseball practice. 8:30? tai chi. yeah, so sounds relaxing. alright, 9:53? i usually make their lunches then, and i have a little vegan so wow, you are busy. wouldn't it be great if you had investments that worked as hard as you do? yeah. introducing essential portfolios. the automated investing solution that lets you focu

what else is happening on the lng side? we could have in gl's turning into propane and butane. i think we are at a major turning point where the commonality of russia and saudi arabia, which has been in the neighborhood of the middle east and the oil market, that colin analogy of interest is starting to the verge. -- commonality of interest is starting to diverge. opec wants to grow output because they can make more money , and there is a lot of reserves in the country. we are seeing a backlash coming from the central bank, which is worried the ruble will appreciate. the ruble-oil price correlation is still there, and worrisome for the russian economy, particularly for an economy that is barely seeing positive economic growth. tom: we will come back with ed morse. do not forget, your briefing in the morning coast-to-coast and across canada. bloomberg daybreak, look for that in our new york, boston, san francisco, and washington areas, and also sirius xm. this is bloomberg. ♪ ♪ london,m new york, from bloomberg "surveillance." good morning, worldwide. our single best chart with