The Big Story For The Day -- NGL -- The Permian -- The US -- May 13, 2024

Locator: 47141LNG. 

RBN Energy: Azul -- January 20, 2021. Link here. Now, four years later (2025), Sempra says Costa Azul may be ready for action.

RBN Energy: new pipe will upend Permian NGL flows to non-Belvieu markets -- again. Archived.

For years, the South Texas NGL market was a world of its own — a self-contained liquids ecosystem centered around the refineries and petrochemical plants in the Corpus Christi area.

But that all changed about six years ago when EPIC Midstream built a new NGL pipeline from the Permian into Corpus and a new fractionator to process those liquids. Corpus morphed into a vibrant NGL market in its own right. But nothing with South Texas NGLs is easy.

Before the EPIC system was even up and running, a consortium calling itself BANGL — short for Belvieu Alternative NGL — announced another pipeline to compete for Permian NGLs that would parallel EPIC’s route out of the Permian, but then make a hard left toward Sweeny and Texas City, setting up a battle of the pipes for Permian NGLs.

The Panama Canal and US LNG.

• Link here. The Panama Canal is key to American LNG. 

Azul updates:

Azul: A number of RBN Energy blogs. Start here.

EIA:

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Biden's LNG Export Pause

RBN Energy: gauging the impact of the DOE's pause in LNG export licenses. Archived.

There’s no doubt about it: The Biden administration’s decision to pause approval of LNG export licenses poses a new threat to a number of projects thought to be nearing a final investment decision (FID).

The questions brought on by the move are profound: how big of a problem is this for U.S. developers, how does the timeout affect the projects now in limbo, and — over the longer term — what does the added uncertainty regarding incremental LNG exports mean for U.S. crude oil and natural gas production and what does it mean for the global energy landscape? In today’s RBN blog, we discuss the factors that led to the administration’s announcement — and the case to be made that expanded LNG exports are in the U.S.’s economic and strategic interest.

The U.S.’s mammoth reserves of natural gas, combined with strong global demand for LNG, have spurred a sharp rise in LNG export volumes over the past few years. As recently as December, an average of about 14 Bcf/d of LNG — or around 14% of the dry gas produced in the U.S. each day — is being liquefied and shipped overseas, almost all of it from export terminals along the Gulf Coast. And, with several new LNG export projects under construction, we expect those volumes to nearly double over the next four years.