Natural Gas News – April 19, 2019
API: U.S. Continues to Lead the World in Natural Gas Liquids, Crude Oil Production
World Oil reported: The American Petroleum Institute’s latest monthly statistical report showed that the U.S. sustained its position as the world’s leading oil producer, continuing a pace of 12.1 MMbopd, matching February 2019. In addition, petroleum demand in March was the strongest for that month in more than a decade at 20.7 MMbopd. “Robust and record levels of U.S. natural gas and oil production continue to lead the world and have played a predominant role in meeting increased global demand for gasoline, distillate and jet fuel,” said API Chief Economist Dean Foreman.
Record 2018 US Natural Gas Demand Largely Driven by Power Demand: FERC
S&P Global reports: US natural gas and power markets experienced higher average prices in 2018, while gas markets had record high demand and supply, and power generation capacity additions were led by gas-fired and wind-powered resources, federal regulators said Thursday. “In 2018, natural gas demand reached a record high, driven primarily by increased demand for natural gas-fired generation and LNG export growth,” according to the Federal Energy Regulatory Commission’s 2018 State of the Markets Report that was presented at the commission’s monthly agenda meeting in Washington. Record-high gas demand was coupled with record-high production, with the largest growth from the Marcellus Shale and the Permian Basin. But demand growth outpaced production growth, which resulted in consistently lower than- average storage levels that “at times were the lowest in more than a decade,” the report said. The low gas storage levels contributed to gas price increases across the US, the market recap said.