In the News
U.S. Department of Energy Authorizes Additional Liquefied Natural Gas Exports from an Offshore Project
Energy.gov reports: The U.S. Department of Energy announced today that it has approved a long-term application to export liquefied natural gas (LNG) from the first offshore project, Delfin LNG, LLC (Delfin). Exports in the amount of 1.8 billion cubic feet per day (Bcf/d) of natural gas are approved from Delfin’s proposed offshore Louisiana floating LNG terminal in the Gulf of Mexico. Development of the Delfin project offshore of Cameron Parish, Louisiana will include the construction of floating liquefaction and storage vessels. The Energy Department conducted an extensive review of the Delfin LNG, LLC application. Among other factors, the Department considered the economic, energy security, and environmental impacts, including macroeconomic studies that showed positive benefits to the U.S. economy in scenarios with LNG exports up to 28 Bcf/d.
Natural Gas: Why Have Traders Turned Bearish?
Market Realist reports: In the last two trading sessions, natural gas July futures have lost 7.3% to settle at ~$3.07 per MMBtu on May 31, 2017. Natural gas July 2017 futures fell in three out of the last four trading sessions due to mild weather. The EIA (US Energy Information Administration) has set a bearish tone for natural gas prices in the summer of 2017. It forecasts cooling degree days could fall 11% in the summer of 2017 compared to the summer of 2016. Also, natural gas’s share in electricity generation could fall to 34% in the summer of 2017 compared to 37% in the summer of 2016. Mild temperatures could push natural gas prices lower.