The US war on Iran has boosted prices of globally traded natural gas by throttling exports from the Gulf. In West Texas, gas is so abundant that some producers must pay to have it taken away. The war and Iran’s attacks on Gulf energy producers have halted 20 per cent of global liquefied natural gas (LNG) supply. Qatari LNG facilities have been damaged, and tankers have been unable to sail through the Strait of Hormuz waterway at the Gulf’s entry because of Iranian threats to fire on them. The crisis has exposed a major split in the global gas market: Import-dependent countries across Europe and Asia are scrambling for scarce supplies, but the US — the world’s largest gas producer, consumer and exporter — remains awash in fuel, with prices near 17-month lows. But US pipelines are full and LNG export plants are at capacity, so that cheap US gas cannot reach overseas buyers, creating a bifurcation much more stark than in the oil markets. Since the war began on February 28, gas futures at the US Henry Hub benchma...