Relatively

As a natural gas-only utility in a relatively slow-growth area, NW Natural sees some growth opportunities in the shift to more gas-fired electric generation and in the increasing interest in compressed natural gas (CNG) for transportation.

With relatively little economic growth forecast, the outlook for natural gas in the Pacific Northwest may look deceivingly quiet, too, but a report by the Northwest Gas Association (NWGA) offers a few areas of concern.

With relatively little economic growth forecast, the outlook for natural gas in the Pacific Northwest may look deceivingly quiet, too, but the 2013 outlook by the Northwest Gas Association (NWGA) offers a few areas of concern.

Natural gas shale plays have become “relatively well delineated,” which is sending production costs south in many onshore basins, a trend that should continue as adequate infrastructure opens the door to more opportunities, according to Credit Suisse’s energy team.

North Dakota is “turning the corner” on the volumes of natural gas flared despite the relatively high percent of associated gas that is still being burned at the wellhead, state officials recently told NGI.

Natural gas shale plays have become “relatively well delineated,” which is sending production costs south in many onshore basins, a trend that should continue as adequate infrastructure opens the door to more opportunities, according to Credit Suisse’s energy team.

For 2013, Southwestern Energy Co. is dialing down spending by $100 million but expects to increase net natural gas and oil production by 11-13% from this year. Drilling is increasing on the eastern side of the Fayetteville Shale, and new pipeline infrastructure is taking more gas to market from the Marcellus Shale, the company said.

The potential of the New Albany Shale is still unproven, industry officials said.

With an eye on economic development, still relatively untapped shale natural gas deposits in southern Illinois carry the potential to create $9.5 billion in new investment and 45,000 jobs, according to a report by the Illinois Chamber of Commerce.