US becomes net natural gas exporter next year, predicts EIA
New LNG-export capacity will turn the US into a net exporter of natural gas from the middle of next year, according to the latest Energy Information Administration (EIA) Short-term Energy Outlook.
Continuing declines in pipeline imports from Canada and increasing pipeline exports to Mexico contribute to the US becoming a net exporter, the EIA reports. Mid-2017 will be the first time since 1955 that the US exports more natural gas than it imports.
Development of US shale gas has supported an increase in natural gas production, leading to a decline in imports of natural gas, the EIA found. In the first 10 months of 2015, domestic natural gas production was 35 per cent higher than the same months in 2008. Over that period, imports of natural gas into the US have declined 31 per cent and its exports of natural gas, largely to Mexico, have increased 90 per cent.
The EIA forecast includes the start-up of exports from Cheniere’s export terminal at Sabine Pass in Louisiana, which were due to start this month but will now push back to February or March. “Exports of domestically produced natural gas [are] expected to start in the first quarter of 2016, and expand through 2017 as more of the facility’s liquefaction capacity enters service,” the EIA said.
Monthly net natural gas imports into the US peaked in August 2007, when they averaged 11.8 billion cu ft a day (Bcf/d). In September last year, net imports into the US averaged 1.5 Bcf/d, its lowest level since 1986 and the fifth-lowest level ever, according to EIA records.