In this issue

 

California-based Sempra Energy has settled a dispute with Chicago Bridge & Iron (CB&I), the contractors working on transforming the Cameron LNG facility at Hackberry in Louisiana from an import to…
Alaska LNG has reached an agreement with BP and Alaska Gasline Development Corp (AGDC) on feed-gas supplies, including price and volume. The parties aim to finalize a long-term gas sales…
Dry natural gas production in the United States is forecast to reach a new record of 80.5 billion cubic feet per day (Bcf/d) in 2018, up from 73.6 Bcf/d in…
U.S. pipeline company Energy Transfer Partners has received approval from the Federal Energy Regulatory Commission (FERC) to place additional Phase-2 facilities into service. The $4.3 billion pipeline project will allow…
Chicago-based Exelon has approached the U.S. Federal Energy Regulatory Commission (FERC), suggesting it would keep operating two gas-fired power plants and the LNG import facility in Everett between 2022 and…
Where no pipeline or electrical grid exists, Chart offers solutions enabling clients to access natural gas, through LNG for on-site power generation. For a Canadian client, the operator of a…
Air Products, the US maker of equipment for LNG production and for industrial gas plants, said it had completed the acquisition of the Coal Gasification Technology licensing business from Shell…
Orka Energy, through its Peruvian subsidiary Lantera Energy, has entered a power purchase agreement (PPA) with Flesan Enregia of Chile that will see the provision of gas generator sets for…
Use of combustible, or fossil fuels, for power generation has fallen by 1% in OECD countries over the course of 2017, according to a monthly assessment compiled by the International…
About 21 GW of natural gas-fired generators are scheduled to come online in the United States this year out of a total 32 GW of new-built electric capacity. “If these…
Challenges in securing long-term offtake agreements, as well as rising construction cost, have made the second wave of US LNG projects difficult to finance. Developers have to get creative, if…
Dry natural gas production in the United States will keep growing over the next three decades, driven by demand from the industrial and electric power sectors. Beyond 2020, production is…
Dresser-Rand, part of Siemens Group, has commissioned an LNGo-HP (high-pressure) micro-scale natural gas liquefaction system for Altagas Ltd. in Dawson Creek, British Columbia, Canada. Producing approximately 30,000 gallons of LNG…
Initial optimism of global LNG suppliers that South Korea’s new electricity policy might lead to higher demand growth has been replaced by the recognition that more needs to be done…

News Nudges

U.S. net gas exports double in H1-2019 and keep growing

Start-up of two liquefaction trains – Cameron LNG Train 1 and Corpus Christi LNG Train 2 –have pushed total U.S. net gas exports to 4.1 billion cubic feet per day (Bcf/d) in the first half of this year, more than double pre-year levels. Apart from LNG, pipeline gas is exported to Canada and Mexico. As of June, total U.S. LNG export capacity reached 5.4 Bcf/d across four facilities and nine liquefaction trains – a significant rise compared with 2.0 Bcf/d net exports in 2018. Net natural gas exports is forecast to continue rising through the end of 2019 as additional LNG export capacity comes online and pipeline infrastructure in Mexico is placed into service. In its Short-Term Energy Outlook (STEO), the U.S. Energy Information Administration (EIA) foresees net gas exports averaging 4.6 Bcf/d in 2019 and 7.2 Bcf/d in 2020. Cameron Train, the fourth U.S. LNG placed into service since February 2016, was followed by Freeport LNG Train 1 and the small-scale Elba Island LNG venture. Together, these three project are seen to nearly double U.S. LNG export capacity to 8.9 Bcf/d by the end of 2020. Although U.S. LNG exports have grown substantially, most U.S. natural gas trade is transported via pipeline across shared borders with Canada and Mexico. In the first half of 2019, net exports of natural gas by pipeline to Mexico grew by 5%, and net exports of natural gas by pipeline to Canada remained relatively flat. Exports to Canada surged when the second phase of both the Rover pipeline and the new NEXUS pipeline entered service, allowing gas flows from the Appalachian Basin to the St. Clair point of exit northeast of Detroit. Deliveries to Mexico grew following the start-up of the Texas-Tuxpan pipeline, transporting gas from the U.S. Permian Basin.