International Energy Agency Reports Increasing Divergence of Oil and Gas Markets

JOHANNESBURG--June 21, 2011--Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land)--Commenting on the International Energy Agency's (IEA) report "Medium Term Oil and Gas Markets 2011," the agency's executive director Nobuo Tanaka said that oil's twilight as an industrial fuel continues, and this is becoming increasingly noticeable in the transportation and petrochemical sectors. "Gas on the other hand continues to increase in power generation, as well as industry and space heating. In terms of market structure and pricing, oil is a genuinely global commodity, while gas markets, although globalizing, remain bound by some key regional constraints, not least in terms of transportation," he said.