Chris McGill Natural Gas Market Indicators

Without early season tropical storm influences, domestic daily natural gas production remains at historically high levels. Solid demand for natural gas in the residential and commercial sectors for the first six-and-a-half months of 2011, as well as strong demand for gas to power generation in July, have resulted in U.S. demand that now exceeds last year’s record pace by about five percent.

Yet acquisition prices have remained relatively low and the current one-year futures strip is priced below $5 per MMBtu. In addition, natural gas market-center prices around the country are trending within a narrow range – prices are not wildly divergent between regions, as has been the case periodically in the past.

Visit this link to download the full Natural Gas Market Indicators.Topics covered include: Reported Prices, Weather, Working Gas in Underground Storage, Natural Gas Production, Rig Counts, Pipeline Imports and Exports, and LNG Markets.

Posted in Natural Gas | Tagged | Comments Off

Hannah Bozian Troops to Energy Jobs: A Win-Win Partnership

The Center for Energy Workforce Development (CEWD), a non-profit consortium of electrical, natural gas, and nuclear utilities, their associations, and their unions, has started a new program designed to address the increasing need for workers in the energy industry by enlisting America’s hard working veterans.

The Troops to Energy Jobs initiative is an effort to create an accelerated program for returning military veterans into the national energy workforce. Our military does an amazing job preparing our troops with the skills they need to succeed in the field, so why not take these skills and translate them into a career in energy?

The program works by speeding up the training process required for those in the energy workforce, by applying relevant military training to class credits.  And for added convenience, those classes will be available online.

Troops to Energy Jobs will work with the U.S. Departments of Defense, Energy, and Labor, as well as a variety of other institutions to help foster this partnership between the U.S. military and the energy industry.  A survey by CEWD estimated that by 2015, there would be 100,000 job openings in the energy industry, and we clearly need well qualified, dedicated and hardworking people to fill these positions. Who better than our veterans!

The program will target all branches of the military, so all service men and women are eligible.

AGA, as a member of the CEWD, fully supports this program that provides excellent job opportunities to America’s finest, while at the same time training highly skilled workers to help our industry.  The program provides rewarding jobs to those who truly deserve them—a true win-win in our book.

Posted in people | Tagged | 1 Comment

Dan Gibson Tom Ridge at the Natural Gas Roundtable

The Honorable Tom Ridge will be the guest speaker at the July 14th Natural Gas Roundtable luncheon.  Ridge will discuss “Natural Gas: The 21st Century Energy”.

Following the tragic events of September 11, 2001, Tom Ridge became the first Assistant to the President for Homeland Security and, on January 24, 2003, became the first Secretary of the U.S. Department of Homeland Security.  Before the events of September 11th, Tom Ridge was twice elected Governor of Pennsylvania.

You can read the rest of his bio over at Ridge Global. Very interesting read. Hope to see you there on Thursday.

Posted in events | Tagged | Comments Off

Dave McCurdy Hydraulic fracturing is a safe process that results in needed energy

The following appeared in the Denver Post on July 10

When engineers first coined the term “hydraulic fracturing,” it’s a safe bet they never expected that such an arcane technical phrase would need to be understood by the general public.

For years, this innovative, natural gas well completion process, which has been used to release natural gas by fracturing shale and other rock formations, was only understood by industry scientists who perfected the technique, by the state and federal officials who regulated them, and by the hard-working men and women who carried out the jobs to bring natural gas to the millions of Americans who use it every day.

Today, however, the term has gone mainstream as the increased production of natural gas from hydraulic fracturing has resulted in an economic boom in the areas it is being used. The result has been significant job creation and increased tax revenues for cities and states in those areas, as well as economic benefits to local mineral owners.

In Colorado, natural gas activity is helping fuel the economy. The natural gas exploration and distribution industries provide more than 137,000 jobs in the Centennial State. And the people of Colorado are also consumers: More than 1.7 million Coloradans consume about 327 billion cubic feet of natural gas each year.

The additional supply in the marketplace has also resulted in lower, more stable natural gas prices for customers across the country. In fact, over the past four years, hydraulic fracturing and horizontal drilling techniques have combined to increase domestic natural gas production nearly 20 percent. All of this has helped keep natural gas prices at almost half the levels they were only five years ago.

Despite the benefits of natural gas, the public still isn’t much closer to understanding how hydraulic fracturing really works, or the safety steps involved in the process. As a result, some advocacy groups have taken advantage of the public’s confusion to instill fear about the safety of the hydraulic fracturing process.

I represent the largest purchasers of natural gas in this country, utilities that deliver natural gas to 175 million Americans. Our customers have seen the benefits of this increased production of natural gas, not just in the jobs created and the lower prices for customers, but also through energy production from American sources rather than unstable foreign regimes.

And these benefits have great potential to continue through this century. A recent estimate of the future supply of U.S. natural gas from the nonprofit Potential Gas Committee, hosted by the Colorado School of Mines, shows that the United States has more than a 100-year supply of natural gas to meet America’s diverse energy needs — a number that continues to grow.

All industry leaders have a responsibility to make safe and sustainable extraction, transport and delivery of natural gas our first priority. It is equally important that we engage the public in a fact-based and constructive conversation to make the process of natural gas exploration more transparent, and that we convey what the industry does to produce natural gas in an environmentally sound manner.

As just one example, opponents of hydraulic fracturing have used the complexity of the ingredients in drilling fluids to create fear and confusion about their environmental effects, which is why I support the disclosure of the contents included in fracturing fluids. The natural gas industry is already stepping forward with disclosure registries in order to provide additional information to the public. This is a positive step in getting the facts out to the public and in easing concerns regarding the potential impact of these fluids.

Educating the public with regard to the overall benefits and risks associated with employing hydraulic fracturing technologies will foster greater understanding of the practice. Making certain that state regulators have sufficient resources to enforce critical operating rules will also bolster public confidence in American natural gas.

The industry has begun the education effort. Websites such as fracfocus.org provide information about hydraulic fracturing. Representatives across the natural gas industry—from wellhead to burner tip—realize that we need to do more as an industry to engage in a transparent and fact-based public dialogue on shale gas development.

Natural gas will not address all of our energy challenges, but hydraulic fracturing has resulted in one of the largest developments of an American source of energy in the past century while creating hundreds of thousands of high-paying jobs. It’s worth looking past the headlines to learn the facts before turning a blind eye to the tangible benefits associated with ensuring continued, reliable access to America’s foundation fuel: natural gas.

Posted in Natural Gas | Comments Off