Story of the Week

Surprise Shift to Record July Heat Sends Natural Gas Forwards Surging; Market Eyeing Barry
NGI Weekly Intel
While fireworks lit up the night sky on the July Fourth holiday, natural gas forward prices put on a show of their own... Read More
Flpricechange

View Archived Issues

NGI Weekly Newsletter

July 15, 2019

FLPrice Change 20190711

Surprise Shift to Record July Heat Sends Natural Gas Forwards Surging; Market Eyeing Barry

While fireworks lit up the night sky on the July Fourth holiday, natural gas forward prices put on a show of their own...

Global FLNG Capacity Forecast to More than Double by 2022

Floating liquefied natural gas capacity in the next three years is predicted to more than double globally, as projects on both coasts of Africa and a second Malaysian export facility have been sanctioned for investment, Fitch Solutions said in a report Thursday.

Pennsylvania Well Permits Declined in 2018 but NatGas Production Hit Record Levels

Unconventional well permitting in Pennsylvania declined in 2018 by about 8% year/year as natural gas prices remained depressed and operators drilled longer laterals instead of developing more wells, according to the annual oil and gas report by the state Department of Environmental Protection (DEP).
Monthly_US_Propane_Exports_20190711

Fueled by Montney, Canadian Propane Heading Overseas with AltaGas Export Start Up

The Canadian natural gas industry has sailed into overseas markets for the first time with propane shipped from an export terminal erected on the Pacific...
Tango-FLNG-20190711

Vaca Muerta Boom Leads to First LNG Out of Argentina; More to Come

Argentina in June started exporting liquefied natural gas (LNG) for the first time in its history, marking a new milestone for the Vaca Muerta shale formation in Neuquén province and a portent of much more to come.
NGI-Monthly-Average-Marcellus-Shale-Price-Index-and-Appalachian-NatGas-Production-20190711

Rice Family Expected to Execute for EQT When Honeymoon Ends

After a remarkable victory to take control of Appalachian natural gas powerhouse EQT Corp. this week, the Rice family is expected to begin slashing costs and redirecting how the exploration and production (E&P) company works its core assets in the Marcellus and Utica shales, according to financial analysts.
Deliveries-to-Freeport-LNG-20190711

Freeport LNG Inches Forward with Latest FERC Approval; Total, Tellurian Clinch Deal

Progress continues in bringing online the third liquefied natural gas (LNG) export facility along the Gulf Coast after federal authorities approved some commissioning activities at Freeport LNG.

Natural Gas Expected to Replace Most Coal Capacity Lost to Shrinking Utility Demand

Amid efforts to reduce greenhouse gas emissions from the U.S. power grid, natural gas-fired generation will replace most of the thermal-coal electric-generation capacity that’s heading toward retirement, according to a new report from Moody’s Investors Service. 
US-Utility-Scale-Battery-Storage-Power-Capacity-20190710

Top States for Battery Storage Power Growth also Major Oil, Gas Players

Utility-scale battery storage power capacity is rapidly growing, more than quadrupling from the end of 2014 to March 2019, according to the U.S. Energy Information Administration. Of the top-10 states where battery storage capacity is at its highest, six are major oil and natural gas producers.

Federal Regulators Issue Stern Warning to Cheniere Over Shuttered Storage Tanks

Federal regulators, unsatisfied with Cheniere Energy Inc.’s progress in completing a list of corrective measures following the mandated shutdown of two liquefied natural gas (LNG) storage tanks in early 2018, told the leading U.S. exporter that neither tank would be allowed to return to service until the previously agreed upon actions were completed.

Inventories, Temperatures Battle for Natural Gas Price Control; Henry Hub to Average $2.50 to Year's End, Says EIA

Robust storage injections are likely to limit Henry Hub natural gas spot prices to an average $2.50/MMBtu in the second half of the year and $2.77/MMBtu next year, though swings in temperatures across the nation could put unexpected pressure on prices, according to the Energy Information Administration (EIA).

ChevronPhillips, QP Eyeing Another Huge Gulf Coast Ethane Cracker

Chevron Phillips Chemical Co.  LLC and Qatar Petroleum (QP) are stepping up to take advantage of Lower 48 natural gas and plan to jointly develop a huge petrochemical plant on the Gulf Coast that would include an ethylene cracker and two high-density polyethylene units.

Montage Cites Weak Commodity Prices as Appalachia Activity Scaled Back

Sticking to its commitment to a disciplined growth strategy, newly formed Appalachia-focused Montage Resources Corp. plans to scale back its drilling program amid expected lower commodity prices for the second half of 2019.

ExxonMobil’s XTO Adds Permian Natural Gas Processing in Deal with Lucid

Dallas-based Lucid Energy Group has secured a long-term natural gas gathering and processing agreement in New Mexico’s Permian Basin with ExxonMobil subsidiary XTO Energy Inc.
Andres-Manuel-Lopez-Obrador-20190404

López Obrador Barely Mentions Energy in One-Year Election Celebration

An exuberant Andrés Manuel López Obrador celebrated on July 1 the anniversary of the electoral tsunami that brought him to power as Mexico's president, but at least one fly was hovering over the ointment of joy.

Trump Takes Credit for U.S. Energy, Environmental Progress

Recent energy industry and environmental landmarks have been reached thanks to the policies of his administration, President Trump said Monday in a speech in Washington, DC.

Cheniere Achieves First Production at Corpus Christi Train 2

Cheniere Energy Inc. continues to dominate the U.S. liquefied natural gas export market, completing the first commissioning cargo from the second train at the Corpus Christi LNG terminal in South Texas.
Woodfibre-LNG-and-Surrounding-Natural-Gas-Pipeline-Infrastructure-20190708

Woodfibre LNG Secures Facility Approval from BC Commission

Sanctioning has taken another step forward for what would be the second liquefied natural gas export terminal on Canada’s west...
US-Upstream-Deal-Value-by-Top-Plays-20190703

Occidental/Anadarko Takeover Obscures Modest Rebound in U.S. M&A Activity

U.S. upstream merger and acquisition (M&A) activity rebounded in the second quarter from historic lows earlier this year, but the value was super-sized with Occidental Petroleum Corp.’s $57 billion proposed takeover of Anadarko Petroleum Corp., according to a review by DrillingInfo.
TVA-Range-of-MW-Additions-and-Subtractions-20190703

TVA’s IRP Foresees Natural Gas Growth Climbing 2-17 GW Over Next 20 Years

The Tennessee Valley Authority said its latest integrated resource plan calls for adding 2-17 GW of natural gas power and more renewables growth, as the region’s generation needs increase slightly over the next two decades.
california-net-electricity-generation-by-source-20190702

California Preparing to Accelerate Transition to Carbon-Neutral Economy

California has allocated $1.5 million to identify ways to speed a smooth transition to a carbon-neutral economy by 2050.
sdbaker0703

U.S. Adds One Natural Gas Rig but Oil Patch Drops Five, Says BHGE

New Mexico appeared to be the biggest beneficiary of rigs for the short week ending Wednesday (July 3), as U.S. operators added one natural gas rig and dropped five that were working the oil patch, according to Baker Hughes, a GE Company.
hh-bollinger0701

Cooler July Outlooks Leave Natural Gas Forwards Sharply Lower; Bulls Running Out of Hope

There weren’t enough sparklers and bottle rockets to ignite natural gas forward prices for the June 27-July 2 period as cooler long-range weather forecasts doused any hopes for an extension of last week’s gains.
Sur-de-Texas-Tuxpan-Pipeline-and-Nearby-Natural-Gas-Pipeline-Infrastructure-20190123-v2

CFE’s Bartlett Says Allowing Marine Pipeline To Operate Would Legitimize ‘Unfair’ Contract

Mexican State Power utility Comisión Federal de Electricidad (CFE) will not allow the start of commercial gas flows on the Sur de Texas-Tuxpan undersea natural gas pipeline until the transport contract that anchored its construction is renegotiated, CFE General Director Manuel Bartlett Díaz indicated Tuesday.
Monthly-Montana-Natural-Gas-Marketed-Production-20190703

Foothills Adds to Western Portfolio with Montana Natural Gas Wells, Acreage

California-based Foothills Exploration Inc. plans to acquire natural gas wells and acreage for production and development in Montana’s Stillwater and Golden Valley counties covering 5,769 acres and 12 shut-in wells.
Columbia-Midstream-NatGas-Gathering-Pipelines-20190703

UGI's $1B-Plus Deal for TC's Columbia Midstream Expands Service for Appalachia E&Ps

A UGI Corp. subsidiary has agreed to pay TC Energy Corp. $1.275 billion to acquire Columbia Midstream Group...

Weatherford Seeking to Wipe Out Debt in Chapter 11 Makeover

Weatherford International plc made it official on Monday as it filed for voluntary bankruptcy protection to wipe billions of debt from its bottom line.

Global Midstream Sector Eyes Opportunities as E&P Growth Continues Despite Spending Cuts

The oil and natural gas midstream sector offers attractive opportunities as production is set to continue growing, particularly in the Permian Basin, even as exploration and production (E&P) capital spending is expected to fall as much as 5% in 2019, according to Moody’s Investors Service Inc.

Dominion Cancels Sweden Valley Pipeline for Appalachia Gas Takeaway, Citing FERC Inaction

Dominion Energy Transmission Inc. has canceled its Sweden Valley Project and terminated the project’s application with FERC.
Delek-Drilling-Gas-Flow-to-Egypt-20190702

Israeli-Egyptian Natural Gas Settlement Could Open Middle Eastern Market

Egypt recently reached a landmark settlement with Israel, ending a multi-year dispute over natural gas deliveries and possibly opening the way for more growth in the Middle East.
Calysta-FeedKind-Protein-Manufacturing-Process-20190702

BP Finds New Market for Natural Gas in California Startup

BP plc has found another way to make use of its natural gas via a $30 million investment in a California startup that produces protein for fish, livestock and pet feeds.
The-Capacity-to-Combat-Corruption-Index-Overall-Score-20190701

Mexico Failing to Effectively Combat Corruption Despite Crackdown Efforts

Mexico President Andrés Manuel López Obrador surged to power in 2018 on a campaign that centered around defeating rampant corruption, but a new index published by Americas Society/Council of the Americas (AS/COA) and consultancy firm Control Risks shows a relative lack of progress in the country in comparison to its regional peers.

PTTEP-Malaysia-Area-Assets-20190701

Latest Malaysia Offshore Natural Gas Discovery May Hold 2 Tcf

Thailand’s state-owned oil and gas exploration unit has discovered an estimated 2 Tcf offshore Malaysia, adding to the bounty discovered in the...
Paradox-Basin-and-Nearby-Natural-Gas-Infrastructure-20190701

DOE Investing $8M in Paradox Basin to Test Unconventional Oil, Gas Potential

The Department of Energy (DOE) plans to invest nearly $8 million in a research project conducted by the University of Utah...

Colorado’s Boulder County Imposes Oil, Gas Drilling Permit Moratorium Until March 2020

County commissioners in Boulder on Friday imposed a temporary moratorium on accepting or processing oil and natural gas drilling applications until it has updated its land-use rules for energy extraction.

3D"Sign

NGI's Bidweek Alert Day 5 - June 28th for July 2019
For more detailed information please download the Excel data file
FIXED RANGE BASIS RANGE
South Texas
Agua Dulce -- --
Florida Gas Zone 1 -- --
NGPL S. TX -- --
Tennessee Zone 0 South -- --
Texas Eastern S. TX -- -0.0800 to -0.0800
Transco Zone 1 -- -0.0900 to -0.0900
East Texas
Carthage -- -0.2100 to -0.1850
Houston Ship Channel 2.320 to 2.345 0.0150 to 0.0250
Katy -- --
NGPL TexOk -- -0.2250 to -0.2200
Tennessee Zone 0 North -- --
Texas Eastern E. TX -- --
Transco Zone 2 -- --
West Texas/SE New Mexico
El Paso Permian 0.050 to 1.300 --
El Paso - Keystone Pool 0.050 to 0.170 --
El Paso - Plains Pool 1.150 to 1.300 --
El Paso - Waha Pool 0.100 to 0.180 --
Transwestern 0.140 to 0.170 --
Transwestern - Central 0.150 to 0.170 --
Transwestern - W. TX 0.140 to 0.150 --
Waha 0.050 to 0.350 --
Midwest
Alliance -- --
ANR ML7 -- --
Chicago Citygate 2.065 to 2.130 --
Chicago - Nicor Gas 2.065 to 2.105 --
Chicago - NIPSCO 2.100 to 2.130 --
Chicago - North Shore -- --
Chicago - Peoples -- --
Consumers Energy -- -0.1650 to -0.1575
Dawn 2.115 to 2.160 -0.1900 to -0.1625
Emerson -- -0.3050 to -0.2650
Joliet -- --
Lebanon -- -0.2500 to -0.2500
Michigan Consolidated 2.110 to 2.110 -0.2025 to -0.1900
NGPL Amarillo Mainline 1.860 to 1.880 --
Parkway/Union 2.125 to 2.125 -0.1700 to -0.1625
REX Zone 3 Delivered -- -0.2700 to -0.2500
REX into ANR - Shelby -- -0.2700 to -0.2500
REX into MGT - Edgar -- --
REX into NGPL - Moultrie -- --
REX into PEPL - Putnam -- -0.2550 to -0.2500
REX into Trunk - Douglas -- -0.2575 to -0.2550
Midcontinent
ANR SW 1.555 to 1.690 --
Enable East -- -0.2500 to -0.2150
NGPL Midcontinent 1.630 to 1.660 -0.6600 to -0.6000
Northern Border Ventura -- --
Northern Natural Demarc 1.920 to 1.965 --
Northern Natural Ventura 1.970 to 1.990 --
OGT 1.585 to 1.585 -0.8700 to -0.8500
Panhandle Eastern 1.450 to 1.560 -0.8850 to -0.7250
Southern Star -- -0.6200 to -0.6100
North Louisiana/Arkansas
Perryville -- --
Texas Eastern, M1, 24 -- --
Texas Gas Zone 1 -- -0.2350 to -0.2100
Trunkline Zone 1A -- -0.2500 to -0.2400
South Louisiana
ANR SE -- -0.1200 to -0.1200
Columbia Gulf Mainline -- -0.2350 to -0.2200
Columbia Gulf onshore -- -0.1300 to -0.1300
Florida Gas Zone 2 -- --
Henry Hub -- 0.0050 to 0.0050
Southern Natural -- -0.0800 to -0.0775
Tennessee Line 500 -- -0.0950 to -0.0850
Tennessee Line 800 -- -0.1150 to -0.1125
Texas Eastern E. LA -- -0.1700 to -0.1650
Texas Eastern W. LA -- -0.0900 to -0.0800
Texas Gas Zone SL -- --
Transco Zone 3 -- -0.0525 to -0.0525
Trunkline E. LA -- --
Trunkline W. LA -- --
Southeast
FGT Citygate -- --
Florida Gas Zone 3 -- 0.0200 to 0.0375
Texas Eastern M-1, 30 -- -0.1700 to -0.1700
Transco Zone 4 -- -0.0425 to -0.0350
Transco Zone 5 -- 0.0500 to 0.0575
Transco Zone 5 North -- --
Transco Zone 5 South -- 0.0500 to 0.0575
Appalachia
Columbia Gas -- -0.3175 to -0.2850
Dominion North -- -0.3900 to -0.3750
Dominion South -- -0.3900 to -0.3600
Leidy Hub -- --
Millennium East Pool -- -0.4500 to -0.3700
Tenn Zone 4 200L -- -0.3000 to -0.2300
Tennessee Zn 4 313 Pool -- -0.3150 to -0.2900
Tennessee Zn 4 Marcellus -- -0.5100 to -0.4400
Texas Eastern M-2, 30 Delivery -- --
Texas Eastern M-2, 30 Receipt -- -0.4075 to -0.3750
Texas Eastern M-3, Delivery -- -0.2850 to -0.2400
Texas Eastern M-3, Receipt -- --
Transco-Leidy Line -- -0.4050 to -0.3650
Northeast
Algonquin Citygate -- -0.1400 to -0.1150
Algonquin Citygate (non-G) -- -0.1400 to -0.1150
Algonquin Receipts -- -0.3500 to -0.3500
Iroquois Zone 2 -- -0.1450 to -0.1100
Iroquois, Waddington -- -0.1500 to -0.1350
Niagara -- --
Tenn Zone 5 200L -- --
Tenn Zone 5 200L East -- --
Tenn Zone 5 200L West -- --
Tenn Zone 5 300L -- --
Tenn Zone 6 200L -- -0.1200 to -0.1200
Tenn Zone 6 200L North -- --
Tenn Zone 6 200L South -- -0.1200 to -0.1200
Tenn Zone 6 300L -- --
Transco Zone 6 non-NY -- -0.2450 to -0.2250
Transco Zone 6 non-NY North -- -0.2450 to -0.2250
Transco Zone 6 non-NY South -- --
Transco Zone 6 NY -- -0.2250 to -0.2100
Rocky Mountains
Cheyenne Hub 1.615 to 1.700 --
CIG 1.580 to 1.755 --
CIG DJ Basin 1.200 to 1.300 -1.1000 to -1.1000
El Paso Bondad -- --
El Paso San Juan 1.840 to 1.850 --
Kern River 1.910 to 1.960 --
Kingsgate -- --
Northwest Rockies -- --
Northwest S. of Green River -- --
Northwest Sumas 2.000 to 2.180 --
Northwest Wyoming Pool -- --
Opal 1.930 to 2.000 --
Questar -- --
Stanfield -- --
Transwestern San Juan -- --
White River Hub 1.845 to 1.870 --
Arizona/Nevada
El Paso S. Mainline/N. Baja 2.550 to 2.550 --
Kern Delivery 2.850 to 2.900 --
California
Malin 1.980 to 2.050 --
PG&E Citygate 2.670 to 2.800 --
SoCal Citygate 3.700 to 4.080 --
Southern Border, PG&E 2.100 to 2.160 --
Southern Border, SoCal 2.500 to 2.850 --
SoCal Border Avg. 2.500 to 2.850 --
SoCal Border - Blythe -- --
SoCal Border - Ehrenberg 2.500 to 2.550 --
SoCal Border - Kern River Station 2.850 to 2.850 --
SoCal Border - Kramer -- --
SoCal Border - Needles -- --
SoCal Border - Topock -- --
SoCal Border - Wheeler Ridge -- --
Canada
Alliance (APC) - ATP 1.050 to 1.050 --
Empress 2.000 to 2.090 --
NOVA/AECO C 0.520 to 0.685 --
Westcoast Station 2 0.500 to 0.700 --
NOTE: Both the buy and the sell side of transactions are counted in this table, as they are in NGI’s daily, weekly and bidweek natural gas price tables, a standard practice which supports consistency and uniformity across products as explained in our price methodology.