Small-scale, domestically produced LNG has the opportunity to capture at least a share of an 8 trillion cubic foot a year market, but risks to adoption could hamper investment by both potential suppliers and end-users. Much of the discussion about liquefaction of domestically produced US gas has revolved around the potential for large-scale projects for… Keep reading →
The U.S’s gas boom is both a threat and an opportunity, the head of Saudi Basic Industries Corporation (Sabic), one of the world’s top petrochemical companies, told CNBC. Speaking from the World Economic Forum in Jordan, CEO Mohamed Al-Mady said the uptick in shale gas production in the U.S. would provide “more severe competition” for… Keep reading →
Some companies see gas-to-liquids (GTL) as a promising means of converting the US’ massive gas resources into vehicle fuel, but Chevron has little interest in GTL projects in the US.
Chevron is a large player in GTL. The company is a partner in the Escravos GTL plant in Nigeria, which will convert 325 million cubic feet of natural gas per day into 33,000 barrels of liquids, mostly synthetic diesel, and is scheduled to come onstream later this year. Commissioning is underway, but “it’s a complex plant and the commissioning activity will really go on for the bulk of this year,” said Chief Financial Office Pat Yarrington during the company’s first-quarter 2013 earnings call on Friday. Keep reading →
The oddest thing about the meteoric rise in the price of natural gas over the past year might be supplies of the energy commodity have never been more abundant.
That’s not how economics usually works: When supplies go up, the price is supposed to go down, and vice versa. Keep reading →
As the U.S. produces more of its own energy, pressure is mounting on the federal government to move quickly to export its natural gas bounty-a move that has encountered stiff resistance from some energy market players.
Natural gas, an abundant fuel source that is cheaper and cleaner than standard gasoline, is increasingly seen as a successor to diesel and regular gas, particularly as the world’s largest economy produces more of it. Keep reading →
Last week I had the opportunity to attend and participate in LNG17, the largest global gas event of 2013. Liquefied natural gas (LNG) is a rapidly growing part of the larger natural gas industry and is especially relevant today because of the increasing global demand for transportation fuels. At the conference, it was clear to me that LNG is a priority for not only Shell, but also the entire industry because of its potential to provide real economic and environmental benefits to the transportation industry in trucks, trains and ships.
For around 50 years, LNG has been used as a source of energy for power generation in cities but new technology and increasing demand has inspired Shell to invest in LNG for transport. Resources around the world, especially in North America, are abundant but supply is growing far faster than demand. It is the industry’s responsibility to build the infrastructure and develop innovative technology to utilize this energy source to its fullest potential. Keep reading →
Oilfield services firm Halliburton anticipates that US natural gas prices, which have strengthened substantially from year-ago levels, could rise to levels that reinvigorate natural gas drilling in 2014.
“We are becoming increasingly optimistic about gas activity in 2014,” said Halliburton chief executive Dave Lesar during the company’s first-quarter 2013 earnings call on 22 April. Keep reading →
US natural gas prices have begun to strengthen as oil prices have begun to drop, but both remain far from levels that would prompt exploration and production companies to shift capital back to gas from liquids.
For the past few years, with Henry Hub natural gas trading mostly in the $2.00-$4.00 per million Btu range, higher-priced and higher-margin oil and liquids have been the target of choice for US onshore drillers. But as natural gas prices have recently edged above $4.00/MMBtu and West Texas Intermediate oil prices have dipped below $90 per barrel, some analysts are questioning at what price levels gas drilling might look appealing, and oil or liquids drilling less so. Keep reading →
One of the largest independent natural gas producers in the US, Southwestern Energy, is optimistic about the US natural gas industry outlook despite anticipated cost increases associated with upcoming EPA rulemaking.
Southwestern President and CEO Steve Mueller said his company was not concerned about fracking regulations, but described methane emissions as a “big concern” when fielding questions from Wall Street analysts at the Independent Petroleum Association of America’s Oil & Gas Investment Symposium in New York on Monday. Keep reading →
Low natural gas prices in North America have prompted many oil and gas companies to jettison their dry gas assets, Fort Worth-based Quicksilver is capitalizing on Asian buyers’ efforts to secure lower-cost LNG feedstock to attract joint venture partners for its acreage in areas like the Horn River and Barnett shales.
Quicksilver is in negotiations for a joint venture partner in its Horn River Basin acreage in Canada. The company appears to be favoring an Asian buyer with an eye to exporting natural gas across the Pacific. Keep reading →
