Bcf/D

Three natural gas pipeline projects that combined would carry up to 3.7 Bcf/d to Western Canada are racing toward regulatory approval, but if all three pass muster, it could be the worst possible outcome for shippers, an analysis indicates.

If U.S. energy demand and production take off some time in the next 12 to 18 months, a potential beneficiary is the Haynesville Shale in Louisiana, which is near Mexico export markets and liquefied natural gas (LNG) export terminals.

Only a breakthrough into global trade in liquefied natural gas (LNG) can pull Canadian supply development out of the doldrums, a senior economics agency in the industry capital of Calgary said.

October natural gas is set to open 3 cents higher Wednesday morning at $3.08 as traders mull the continued convergence of warm weather, nuclear outages and production losses. Overnight oil markets rose.

While it seems the natural gas and oil industry is convinced that the worst is over and markets are on their way to a comeback, the only certainty is that the road to recovery is going to be a long, bumpy one.

Oil and natural gas production from the nation’s seven largest unconventional plays, which has been on a downward trend since last fall, will slip again in August, according to the Energy Information Administration (EIA).

Henry Hub natural gas spot prices reached a nine-month high in June, according to the Energy Information Administration (EIA), which bumped its forecast for 2016 prices up to $2.36/MMBtu, with 2017 prices expected to average $2.95/MMBtu.

August natural gas is set to open a penny lower Friday morning at $2.77 even though traders are factoring in expected higher demand over the next two weeks. Overnight oil markets rose.

Falling supplies and healthy demand have led Raymond James & Associates Inc. to join other gas bulls by raising its 2016 Henry Hub forecast and lifting the outlook for 2017 and 2018.