Canadian Natural Gas

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sl6886
Posts: 138
Joined: Tue Jul 14, 2020 7:57 am

Canadian Natural Gas

Post by sl6886 »

Dan,

Historically, it would appear that net Canadian imports average around 6 BCF per day, and exports of natural gas via pipeline to Mexico are about this same amount, so basically a wash.

I'm seeing where Canadian Natural Gas imports jumped 3 BCF this week. What's the story? Do they have this much capacity to export to us, if if so, why haven't they been doing this before?

Freeport is around 2 BCF once started back up, but if Canada is sending us 3 BCF more, won't that depress our prices? This seems like it "came out of the blue."
dan_s
Posts: 34463
Joined: Fri Apr 23, 2010 8:22 am

Re: Canadian Natural Gas

Post by dan_s »

We also export gas to eastern Canada, which offsets much of the import from western Canada. Think Canada+US as one region.
Dan Steffens
Energy Prospectus Group
sl6886
Posts: 138
Joined: Tue Jul 14, 2020 7:57 am

Re: Canadian Natural Gas

Post by sl6886 »

Yep, I understand that we export to them, which is why I put “net” of 6 BCF inbound from Canada historically, but it jumped 3 BCF in one week, which is both material and highly unusual. Wondered if you knew what the deal was?
dan_s
Posts: 34463
Joined: Fri Apr 23, 2010 8:22 am

Re: Canadian Natural Gas

Post by dan_s »

Super cold up north so we just needed more gas in the region south of Alberta is my guess. Also, spot market prices in the Northwest spiked to over $20/MMBtu, so they were taking gas from any company that could get it into Washington or Montana.
Dan Steffens
Energy Prospectus Group
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