June 13, 2023
June 2023 – Energy News
As spring showers give way to summer heat, the U.S. is seeing growing demand for natural gas-driven power generation. In this month’s newsletter, we will outline the market impact of summer temperatures, continued infrastructure development for liquified natural gas exports (LNG), and how producers are responding to short-term natural gas prices.
Natural Gas Demand
Natural gas is the largest source of electricity generation in the U.S. at 38 percent, so as more Americans try to beat the heat this summer, demand for natural gas will continue to grow. This can be seen in the latest Energy Information Administration’s (EIA) weekly update from June 8th, with power generation demand growing more than 11 percent at 36.2 billion cubic feet per day over last year. According to the National Oceanic and Atmospheric Administration’s (NOAA) Summer Outlook, this summer is going to be a hot one, with a majority of U.S. states leaning towards a hotter-than-average summer.
New U.S. LNG Export Facilities
Since 2016, the U.S. has rapidly grown its ability to export liquified natural gas (LNG). As one of the top LNG exporters in the world, the U.S. currently has the capacity to export about 12 percent of all U.S. production. That percentage will soon grow as three more facilities come online in the U.S. Gulf Coast, along with a significant expansion of the LNG facility in Corpus Christi, Texas. As the U.S. continues to export a larger share of its production, the U.S. consumer will be competing on a global stage for natural gas and will be more vulnerable to geopolitical events.
Production & Supply
For the first time since July 2020, U.S. producers have cut oil and natural gas rigs for six weeks in a row, with rig count now down nine percent from last year. With higher labor and material costs compounded with lower natural gas prices, U.S. producers are responding by reducing investment.
Although the rig count is down from last year, production remains steady at 106.3 Bcf per day on average, and supply is healthy at 2,550 Bcf in storage. U.S. natural gas storage remains above the 5-year average and nearly 30 percent higher than this time last year.
Market Data:
June 13, 2023
June 13, 2023
June 2023 – Energy News
As spring showers give way to summer heat, the U.S. is seeing growing demand for natural gas-driven power generation. In this month’s newsletter, we will outline the market impact of summer temperatures, continued infrastructure development for liquified natural gas exports (LNG), and how producers are responding to short-term natural gas prices.
Natural Gas Demand
Natural gas is the largest source of electricity generation in the U.S. at 38 percent, so as more Americans try to beat the heat this summer, demand for natural gas will continue to grow. This can be seen in the latest Energy Information Administration’s (EIA) weekly update from June 8th, with power generation demand growing more than 11 percent at 36.2 billion cubic feet per day over last year. According to the National Oceanic and Atmospheric Administration’s (NOAA) Summer Outlook, this summer is going to be a hot one, with a majority of U.S. states leaning towards a hotter-than-average summer.
New U.S. LNG Export Facilities
Since 2016, the U.S. has rapidly grown its ability to export liquified natural gas (LNG). As one of the top LNG exporters in the world, the U.S. currently has the capacity to export about 12 percent of all U.S. production. That percentage will soon grow as three more facilities come online in the U.S. Gulf Coast, along with a significant expansion of the LNG facility in Corpus Christi, Texas. As the U.S. continues to export a larger share of its production, the U.S. consumer will be competing on a global stage for natural gas and will be more vulnerable to geopolitical events.
Production & Supply
For the first time since July 2020, U.S. producers have cut oil and natural gas rigs for six weeks in a row, with rig count now down nine percent from last year. With higher labor and material costs compounded with lower natural gas prices, U.S. producers are responding by reducing investment.
Although the rig count is down from last year, production remains steady at 106.3 Bcf per day on average, and supply is healthy at 2,550 Bcf in storage. U.S. natural gas storage remains above the 5-year average and nearly 30 percent higher than this time last year.
June 13, 2023
June 2023 – Energy News
As spring showers give way to summer heat, the U.S. is seeing growing demand for natural gas-driven power generation. In this month’s newsletter, we will outline the market impact of summer temperatures, continued infrastructure development for liquified natural gas exports (LNG), and how producers are responding to short-term natural gas prices.
Natural Gas Demand
Natural gas is the largest source of electricity generation in the U.S. at 38 percent, so as more Americans try to beat the heat this summer, demand for natural gas will continue to grow. This can be seen in the latest Energy Information Administration’s (EIA) weekly update from June 8th, with power generation demand growing more than 11 percent at 36.2 billion cubic feet per day over last year. According to the National Oceanic and Atmospheric Administration’s (NOAA) Summer Outlook, this summer is going to be a hot one, with a majority of U.S. states leaning towards a hotter-than-average summer.
New U.S. LNG Export Facilities
Since 2016, the U.S. has rapidly grown its ability to export liquified natural gas (LNG). As one of the top LNG exporters in the world, the U.S. currently has the capacity to export about 12 percent of all U.S. production. That percentage will soon grow as three more facilities come online in the U.S. Gulf Coast, along with a significant expansion of the LNG facility in Corpus Christi, Texas. As the U.S. continues to export a larger share of its production, the U.S. consumer will be competing on a global stage for natural gas and will be more vulnerable to geopolitical events.
Production & Supply
For the first time since July 2020, U.S. producers have cut oil and natural gas rigs for six weeks in a row, with rig count now down nine percent from last year. With higher labor and material costs compounded with lower natural gas prices, U.S. producers are responding by reducing investment.
Although the rig count is down from last year, production remains steady at 106.3 Bcf per day on average, and supply is healthy at 2,550 Bcf in storage. U.S. natural gas storage remains above the 5-year average and nearly 30 percent higher than this time last year.
June 13, 2023
June 2023 – Energy News
As spring showers give way to summer heat, the U.S. is seeing growing demand for natural gas-driven power generation. In this month’s newsletter, we will outline the market impact of summer temperatures, continued infrastructure development for liquified natural gas exports (LNG), and how producers are responding to short-term natural gas prices.
Natural Gas Demand
Natural gas is the largest source of electricity generation in the U.S. at 38 percent, so as more Americans try to beat the heat this summer, demand for natural gas will continue to grow. This can be seen in the latest Energy Information Administration’s (EIA) weekly update from June 8th, with power generation demand growing more than 11 percent at 36.2 billion cubic feet per day over last year. According to the National Oceanic and Atmospheric Administration’s (NOAA) Summer Outlook, this summer is going to be a hot one, with a majority of U.S. states leaning towards a hotter-than-average summer.
New U.S. LNG Export Facilities
Since 2016, the U.S. has rapidly grown its ability to export liquified natural gas (LNG). As one of the top LNG exporters in the world, the U.S. currently has the capacity to export about 12 percent of all U.S. production. That percentage will soon grow as three more facilities come online in the U.S. Gulf Coast, along with a significant expansion of the LNG facility in Corpus Christi, Texas. As the U.S. continues to export a larger share of its production, the U.S. consumer will be competing on a global stage for natural gas and will be more vulnerable to geopolitical events.
Production & Supply
For the first time since July 2020, U.S. producers have cut oil and natural gas rigs for six weeks in a row, with rig count now down nine percent from last year. With higher labor and material costs compounded with lower natural gas prices, U.S. producers are responding by reducing investment.
Although the rig count is down from last year, production remains steady at 106.3 Bcf per day on average, and supply is healthy at 2,550 Bcf in storage. U.S. natural gas storage remains above the 5-year average and nearly 30 percent higher than this time last year.
June 13, 2023
June 2023 – Energy News
As spring showers give way to summer heat, the U.S. is seeing growing demand for natural gas-driven power generation. In this month’s newsletter, we will outline the market impact of summer temperatures, continued infrastructure development for liquified natural gas exports (LNG), and how producers are responding to short-term natural gas prices.
Natural Gas Demand
Natural gas is the largest source of electricity generation in the U.S. at 38 percent, so as more Americans try to beat the heat this summer, demand for natural gas will continue to grow. This can be seen in the latest Energy Information Administration’s (EIA) weekly update from June 8th, with power generation demand growing more than 11 percent at 36.2 billion cubic feet per day over last year. According to the National Oceanic and Atmospheric Administration’s (NOAA) Summer Outlook, this summer is going to be a hot one, with a majority of U.S. states leaning towards a hotter-than-average summer.
New U.S. LNG Export Facilities
Since 2016, the U.S. has rapidly grown its ability to export liquified natural gas (LNG). As one of the top LNG exporters in the world, the U.S. currently has the capacity to export about 12 percent of all U.S. production. That percentage will soon grow as three more facilities come online in the U.S. Gulf Coast, along with a significant expansion of the LNG facility in Corpus Christi, Texas. As the U.S. continues to export a larger share of its production, the U.S. consumer will be competing on a global stage for natural gas and will be more vulnerable to geopolitical events.
Production & Supply
For the first time since July 2020, U.S. producers have cut oil and natural gas rigs for six weeks in a row, with rig count now down nine percent from last year. With higher labor and material costs compounded with lower natural gas prices, U.S. producers are responding by reducing investment.
Although the rig count is down from last year, production remains steady at 106.3 Bcf per day on average, and supply is healthy at 2,550 Bcf in storage. U.S. natural gas storage remains above the 5-year average and nearly 30 percent higher than this time last year.
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