Appalachia is the largest natural gas-producing basin and supplier of gas to the eastern half of the U.S., including one of the primary sources of feedgas supply for LNG export terminals. The supply basin and its outflow dynamics — i.e., its capacity to find interregional outlets for its surplus gas — not only drive gas prices within the U.S. Northeast, but they also affect prices and gas flow patterns in just about every other region in the U.S. and Canada, either directly or through displacement, and play a starring role in the overall U.S. supply-demand balancing act.
The region has experienced a number of critical inflection points over the past decade, from its history as a net demand region to becoming a year-round net supply region in 2015, which then led to oversupply conditions, weak prices, and “the great reversal” of pipeline capacity to flow gas supply out of the region instead of into the region. By the end of the previous decade, Appalachian producers finally had sufficient pipeline capacity to avoid constraints, and for a while prices strengthened. But now they are again headed for a constraint-driven market in the next five years.
When will the next inflection come, how bad could it get, and what will that mean for Northeast prices as well as downstream markets? RBN is working to take its expertise — built over years of consulting on Appalachian gas market fundamentals — and consolidate it into a concise weekly report to address these critical market questions.
The RBN NATGAS Appalachia report will deliver to subscribers the data and insights to monitor the twists and turns and identify the risks and opportunities along the way, including tracking supply-demand trends, outbound capacity and their impact on takeaway pipeline utilization and regional prices.
If you’re interested and want to receive more information about the report as it becomes available, please sign up below