Here are the top five things you need to know about what’s happening in the natural gas industry.
Natural gas prices are falling due to the prediction of a mild summer.
In Spring 2017, West Texas Intermediate (WTI) crude oil (USO) (OIIL) (USL) (DBO) June futures closed at $48.84 per barrel, which was ~1% lower than the previous closing price. Oil prices fell on worries of rising US oil production and bearish demand drivers. (Source: MarketRealist.com)
Americans used more clean energy in 2016.
According to US News, solar and wind power became more prevalent while coal use declined in 2016.
The Clean Power Plan is on hold.
The Clean Power Plan is a set of regulations intended to reduce environmentally harmful carbon dioxide emissions from power plants. President Donald Trump signed an executive order May 2, 2017 to overhaul the Obama administration’s Clean Power Plan. (Source: US News)
Ohio and Pennsylvania increased natural gas production more than other states in 2016.
Pennsylvania and Ohio had the two largest annual natural gas production increases from 2015 to 2016, reflecting higher production from the Utica and Marcellus shale plays, which have accounted for 85% of the U.S. shale gas production growth since 2012. Production in Pennsylvania and Ohio has accounted for an increasing share of total U.S. natural gas production in recent years, growing from less than 2% in 2006 to 24% in 2016. (Source: EIA.gov)
Several new natural gas pipeline projects were certified by FERC in 2017.
The Federal Energy Regulatory Commission (FERC) certificated 17.6 billion cubic feet per day (Bcf/d) of new natural gas pipeline capacity. Two large-capacity projects, the Rover Pipeline Project (and related projects) and the Atlantic Sunrise Pipeline Project, were among those that received certificates in early 2017. Other recently certificated pipeline projects include the Orion Project, Transco to Charleston Project, Rayne and Leach Xpress, Northern Access, and Northern Lights 2017 Expansion. (Source: EIA.gov)
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