• 4 minutes US-backed coup in Venezuela not so smooth
  • 7 minutes Why Trump will win the wall fight
  • 11 minutes Oil imports by countries
  • 13 minutes Maduro Asks OPEC For Help Against U.S. Sanctions
  • 10 hours Climate Change: A Summer of Storms and Smog Is Coming
  • 9 hours Tension On The Edge: Pakistan Urges U.N. To Intervene Over Kashmir Tension With India
  • 10 hours The Quick Read On MBS's Tour of Pakistan, India And China
  • 10 hours Iran Starts Gulf War Games, To Test Submarine-Launched Missiles
  • 9 hours BMW to add 2,000 more jobs at Dingolfing plant
  • 8 hours Teens For Climate: Swedish Student Leader Wins EU Pledge To Spend Billions On Climate
  • 12 hours Saudi A to Splash $100 Bln on India
  • 1 day Itt looks like natural gas may be at its lowest price ever.
  • 11 hours Venezuela: Nicolas Maduro closes border with Brazil
  • 5 hours Washington Eyes Crackdown On OPEC
  • 1 day Amazon’s Exit Could Scare Off Tech Companies From New York
  • 20 hours NEW FERUKA REFINERY
  • 7 hours Indian Oil Signs First Annual Deal For U.S. OilIndian Oil Signs First Annual Deal For U.S. Oil
Alt Text

5 Things To Watch In Natural Gas

Global LNG markets are geared…

Oil & Gas 360

Oil & Gas 360

From our headquarters in Denver, Colorado, Oil & Gas 360® writes in-depth daily coverage of the North American and global oil and gas industry for…

More Info

Trending Discussions

U.S. Is A Net Exporter Of Natural Gas For First Time In 59 Years

Exports outweigh imports in February, April, May: EIA

The U.S. has been a net exporter of natural gas for three of the first five months of 2017, according to a note released by the EIA. This is historically significant, as February, April and May are so far, the only months in which the U.S has been a net exporter of natural gas since 1958.

Imports from Canada falling

The U.S. natural gas trade is dominated by pipelines, with pipelines from Canada supplying the vast majority of all imported gas. The TransCanada Pipeline was completed in 1958, transporting gas from western Canada to the northeastern U.S. Since then, the U.S. has always imported a great deal of Canadian natural gas. Net gas imports from Canada peaked in 2007, at over 10 Bcf/d. Since then, the U.S. shale boom has begun to replace Canadian gas, and the U.S. has begun to export gas to Canada in significant volumes. The U.S. is still a net importer of gas from Canada, but exports to Canada continue to rise.

(Click to enlarge)

Source: EIA

Declining Mexican production is being replaced by U.S. gas

Natural gas trade with Mexico is much more one-sided, with vastly more exports to Mexico than imports. Gas exports to Mexico are currently nearly at record levels, averaging over 4 Bcf/d in 2017. This value has increased quickly, as in 2010 the U.S. was exporting only 0.91 Bcf/d to its southern neighbor. Similar dynamics are influencing trade with Mexico in both natural gas and refined products. In both cases, Mexican production is declining, while demand is increasing. This creates an opportunity for American fuels to fill the gap, and steady expansion of export infrastructure in the U.S. makes continued export growth likely. Related: Natural Gas Prices Poised To Rise As Exports Boom

(Click to enlarge)

Source: EIA

LNG arrives on the scene

The U.S.’s natural gas with the rest of the world changed profoundly recently, when Cheniere’s (ticker: LNG) Sabine Pass terminal began operation. The facility set a new record of 1.96 Bcf/d in May, as it continues to spool up operations. Three liquefaction trains are currently operational, with a fourth expected to come online in the next few months. Additional expansion of Sabine Pass and a host of other LNG projects in the pipeline mean the U.S. will likely become more of a natural gas exporter in the future.

By Oil and Gas 360

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News