Natural Gas News – January 16, 2018

Natural Gas News – January 16, 2018

Line Delays Mean Growth in Mexican Gas Imports Will Wait

Kallanish Energy reported: A recent Mizuho Securities USA research note expressed concern about a Platts estimate that as many as nine pipeline project delays — averaging 350 days from original in-service dates — within Mexico could force 2018 exports from the U.S. to remain stuck at the current 4.3 billion cubic feet per day (Bcf/d), according to a recent Platts estimate. Pipeline completion delays in Mexico’s interior are expected to have several immediate impacts, Hart Energy reports: * As much as 4,400 megawatts of the country’s 7,000 MW in new gas-fired power generation awaits fuel from the delayed pipelines, according to Platts; * Delays would eliminate the expected 2018 incremental gas exports of 0.7 Bcf/d from the U.S., and continued robust natural gas production in the U.S. requires demand growth to balance markets — delays to Mexico and the startup of the Cameron (La.) LNG export project diminish the hopes of achieving that in 2018. Among the challenges facing Mexican pipeline construction, one is very similar to that faced by pipeline companies in the U.S. and Canada: social protests, Hart reported. For more on this story visit kallanishenergy.com or click http://bit.ly/2mB1UbP

Natural Gas Futures Pull Back from 2-Month High to Start the Week

Investing.com reported: Natural gas futures edged lower to start the week on Monday, pulling back from a two-month high as market players monitored winter weather forecasts to gauge demand for the fuel. Below freezing temperatures will continue to linger across most parts of the Northeast through Jan. 20. Front-month U.S. natural gas futures shed 8.0 cents, or around 2.5%, to $3.120 per million British thermal units (btu) by 8:45AM ET (1345GMT). It touched its best level since early Nov. 15 at $3.224 in the last session. For more on this story visit investing.com or click http://bit.ly/2B3e1Uc