When it comes to Texas natural gas markets, the Permian has been getting much of the attention lately, with its rapid supply growth, limited pipeline takeaway capacity and sometimes negative prices. However, a wave of gas infrastructure development just starting to come online along the Texas Gulf Coast is set to steal some of the Permian’s spotlight over the next few months. Two large liquefaction/LNG export facilities are ramping up on the coast, as are the pipeline reversal projects designed to supply them. Also, three announced Permian-to-Gulf-Coast gas pipelines slated for completion over the next 24 months will move supply cross-state to destinations spanning the area from the Houston Ship Channel to the Agua Dulce Hub near Corpus Christi. That’s a lot of change ahead for these key Texas gas markets. Today, we turn our attention downstream of the Permian to the Houston Ship Channel market, including upcoming gas infrastructure expansions and their potential impact on the greater Texas Gulf Coast gas supply and demand balance.
The RBN NATGAS Haynesville is a weekly natural gas fundamentals analysis focused on supply, flow, and LNG-driven demand dynamics within the Haynesville basin.
Let’s be fair, the real excitement in Texas natural gas has been mostly focused on the Permian lately and we’ve blogged on it extensively. (See our Sitting, Waiting, Wishing blog from a few days ago, for the latest on the potential impacts of the possible early start-up of Kinder Morgan’s Gulf Coast Express (GCX) pipeline.) For all that’s going on in the Permian, we can’t take our eyes off the region. But there are also important shifts occurring across the state along the coastline — what will soon be an even more important destination for Permian gas. Today, we focus on one of those developments: changes in the Houston Ship Channel (HSC) market. HSC pricing has trended decidedly weaker over the past few months, especially when compared to this time last year. Figure 1 plots the HSC basis price, which is the difference between HSC and Henry Hub. When HSC basis is positive, gas there is priced over Henry; negative basis means HSC gas is selling at a discount. Note that our prices come from the good folks at Natural Gas Intelligence (NGI).
Join Backstage Pass to Read Full Article
About the song
“Get Ready” was written by Smokey Robinson and appears as the fourth song on side one of The Temptations’ fourth studio album, Gettin’ Ready. The song was recorded in Detroit at Hitsville USA in Studio A during December 1965. The Smokey Robinson-produced song was released as a single in February 1966, a few months prior to the album being released. It went to #1 on the Billboard Rhythm & Blues chart and #29 on the Billboard Hot 100 chart. Personnel on the recording were: Eddie Kendricks (lead vocals), Melvin Franklin (lead vocals), David Ruffin, Melvin Franklin, Paul Williams and Otis Williams (background vocals). Instrumental accompaniment was provided by Motown’s house band, The Funk Brothers. The Supremes, Smokey Robinson and The Miracles, and Nancy Sinatra would later cover the song, but only fellow Motown artists Rare Earth would have a hit with the song again in 1970. Their version went to #4 on the Billboard Hot 100 and #20 on the Rhythm & Blues chart.
Gettin’ Ready was released in June 1966, where it went to #12 on the Billboard Top 200 Albums chart. Two charting singles were released from the album, the aforementioned “Get Ready” and “Ain’t Too Proud to Beg.” This album marks the transition from Smokey Robinson being The Temptations’ producer to having Norman Whitfield taking over the role.
The Temptations are an American rhythm and blues/soul music vocal group formed in Detroit in 1960. The “classic 5” version of the group included David Ruffin, Eddie Kendricks, Melvin Franklin, Paul Williams and Otis Williams, who were responsible for the majority of their hits in the 1960s. Ruffin was replaced by Dennis Edwards in 1968, and the group continued to have hits into the ’70s, such as psychedelic soul masterpieces “Cloud Nine,” “Psychedelic Shack” and “Ball of Confusion.” The group has released 43 studio albums, four live albums, 15 compilation albums, three soundtrack albums and 109 singles to date. They were inducted into the Rock and Roll Hall of Fame in 1989 and were inducted into the Vocal Group Hall of Fame in 1999. In 2013, the group received a Lifetime Achievement Grammy Award and was inducted into the R&B Music Hall of Fame. Twenty-four members have passed through the ranks of The Temptations over the years. Original member Otis Williams still tours with a version of The Temptations to this day.
