Los Angeles, California, October 18, 2012 – With the rapid development of its prolific shale gas plays combined with the high gas prices overseas, North America is poised to become not only energy independent, but a net exporter to the rest of the world. “Prospects for continued production growth are good, especially in the United States and Canada, with production possibly exceeding 40 Tcf in the next 25 years.” So says Dr. Thomas Woods, Senior Energy Analyst of RBAC, Inc. in a report release today.
However, despite the clear opportunities available there are still several hurdles that need to be overcome. According to Dr. Woods, “Investments to liquefy North American gas production for delivery to Eastern Hemisphere markets are unlikely to be made without long-term, base-load delivery agreements. Such agreements will be based on either a desire to diversify supply sources, even if delivered North American LNG prices are somewhat higher than other sources, or expectations that North American LNG prices will be competitive with other, principally Eastern Hemisphere, LNG sources.”
RBAC Inc. is a leader in the development of energy market models, most notably the GPCM® Natural Gas Forecasting System. Dr. Woods is an expert in energy economics and has over 35 years of experience in North American oil, gas, NGL, electricity and transportation market issues.