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Comment by _delirium

Gas is easy to transport, but only really by pipeline. LNG is a lot more expensive and capital-intensive. And there is only one place with rising demand where it's easy to transport U.S. natural gas: Mexico. Pipeline gas exports to Mexico did nearly triple between 2011 and 2016 [1]. Exports to Canada over the same period fell, however.

Anywhere besides Canada and Mexico requires liquefied natural gas (LNG) terminals, which are very expensive and have low capacity compared to a pipeline. You'd need a lot of them to make up for the lost demand from even a relatively small percentage of American natural-gas power plants shutting down. So if production is really going to continue apace, it depends almost entirely on Mexico's demand continuing to increase.

[1] https://www.eia.gov/dnav/ng/ng_move_expc_s1_a.htm

parent _delirium 9 years ago

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