This article provides economic analysis of the outlook for a gas market currently overshadowed by several negative factors. In Europe the level of reserves is high with only moderate demand, while in Asia decisions regarding the type of technology to be used for electrical power generation are an important factor. The first signs of oversupply are also beginning to show in Asia, and unless oversupply issues can be resolved, there could be convergence between the three main global markets (Asia, Europe and American) with a consequent drop in gas prices.