In this issue

 

Free ReadTight oil and gas production in the United States could soon become less sensitive to price as super-majors like Chevron and ExxonMobil increase their shale acreage and commit to development…
Australian-owned LNG trading platform GLX is now allowing European gas buyers and sellers to access its digital bid-offer system for global spot LNG cargo dealings. U.S. and Russian cargoes are…
The Commonwealth LNG export project, proposed for the west side of the Calcasieu Ship Channel in Louisiana, has signed a Heads of Agreement with Singapore-based commodities trading house Gunvor. The…
Free ReadCheniere Energy has produced first LNG at the second liquefaction Train at the Corpus Christi export plant in Texas. Completion was achieved ahead of schedule, the operator said, but gave…
China’s state-owned CNOOC is making a concerted effort to meet, and even overshoot, its target on capital expenditure. The company’s revised strategy follows President Xi Jinping's call for greater self…
Indonesia and the Philippines, archipelagos within the Association of Southeast Asian Nations (ASEAN), are in focus of MAN’s new integrated LNG-to-Power solutions. “We have new projects under development mainly in…
Free ReadKawasaki Heavy Industries of Japan is advancing the development of a floating power plant that will operate on regasified LNG, targeting utility customers in remote areas of Southeast Asia. The…
The American Gas Association has welcomed the balanced perspective taken in the draft guidance released by the White House Council on Environmental Quality in relation to the greenhouse-gas emissions of…
California-based Sempra Energy is striving to take a leadership role in modernizing North America’s natural gas infrastructure to help incentivize power plant operators to switch from coal to gas. On…
Trump-alley Andrew Wheeler, the head of the U.S. Environmental Protection Agency (EPA), has signed a final ruling that roles back Obama-era emission limits for thermal power plants. The new rule…
Free ReadThe biggest losers of tit-for-tat trade politics between the United States and China are developers of US LNG export projects. Debt-financing for such costly infrastructure projects is now hard to…
State-owned Saudi Aramco, the world’s largest oil and gas company, has signed a Heads of Agreement (HoA) or a definite 20-year LNG sale-and-purchase agreement (SPA) over 5 mtpa from Phase-1…
Falling gas prices in Europe and Asia pose no risk of reducing US LNG exports, the Cheniere Energy CEO Jack Fusco said. “There haven’t been any spot cargos that haven’t…
Free ReadAnnouncing non-FTA export approval for the Driftwood LNG project near Lake Charles, the US Energy Secretary Rick Perry said he “applauds the American private sector for continuing to reach new…

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.