More Bad News For U.S. Natural Gas Exporters

“Sometimes you just can’t win. When you’re running for president, your energy policy or lack thereof can’t win either. The DOE has postponed its announcement of America’s policy regarding natural gas exports. As frustrating as the situation is, I can understand why Steven Chu is being so quiet on the issue. Careful examination of the impact exporting natural gas will have is currently being hurled against the incumbent as a sign that he is capitulating to environmental groups that don’t mind risking American jobs. On the flip side, promoting exports of natural gas to non-FTA countries, like China, would be twisted by the opposition as helping the enemy, and risking American jobs. In the meantime, the window of opportunity for profiting from the wide gap between domestic and global natural gas prices is closing.”

more: http://seekingalpha.com/article/931831-more-bad-news-for-u-s-natural-gas-exporters

Chasing Demand Lag: Assessing the Natural Gas Landscape

“Natural gas production in the US goes through the same kind of cycle that the oil industry has experienced for decades. Demand first grows faster than new supplies come online. Prices rise as a result, and companies increase investments into more production capacity and new exploration and production technologies. After the lag time that is required for new projects to come online, supplies then climb faster than demand grows, and prices crash. Low prices spur demand, and the cycle begins again.”

With winter approaching and demand for domestic natural gas likely to increase, will we see a spike in prices due to the cycle?

more: http://www.investingdaily.com/15815/assessing-the-natural-gas-landscape

Center for Liquefied Natural Gas to push for more LNG exports

“Although the Obama administration has approved gas exports for one project — Houston-based Cheniere Energy Inc.’s (NYSE: LNG) Sabine Pass terminal — about 10 more are waiting for approval, Reuters reports.”

The move by the Center for Liquefied Natural Gas is not intended to influence the upcoming presidential election, but rather to increase the general awareness and need to take advantage of the US abundance of natural gas.

“The Department of Energy won’t approve pending permit requests before a report on the commercial viability of exporting LNG is complete. The study’s release has been pushed until the end of the year, after the presidential election.”

more: http://www.bizjournals.com/houston/news/2012/10/22/center-for-liquefied-natural-gas.html

Estimate of Utica gas, oil bodes well

Previous estimates of oil and gas reserves in the United States are being revised. While data from more than 24,000 recently drilled wells show the U.S. has 890 trillion cubic feet equivalent of recoverable natural gas.  Adding to that total, the USGS calculated the shale formation of the Utica Basin holds about 38 trillion cubic feet of undiscovered, recoverable natural gas, 940 million barrels of oil and 9 million barrels of natural gas liquids such as ethane and propane.

more: http://www.washingtontimes.com/news/2012/oct/7/estimate-of-utica-gas-oil-bodes-well/