Regional U.S.-Canada Gas Trade on a Roll

✍ Scribed by Benham, William T.

• Publisher: John Wiley and Sons
• Year: 2008
• Weight: 431 KB
• Volume: 10
• Category: Article
• ISSN: 0743-5665
• DOI: 10.1002/gas.3410101004

✦ Synopsis

ne of the major success stories for the gas industry has been the development of vibrant cross-border commerce in natural gas over the past decade between Canada and the United States. From a modest level of about 800 billion cubic feet in the early 19SOs, Canadian gas exports have surged to the point where Canadian supplies have become an integral and growing part of a booming North American gas industry. Spurred on by open access transportation in the United States, the U.S.-Canada Free Trade Agreement, the resolution of political conflicts over U.S. pipeline rate design, and the aggressiveness of Canadian marketers in seeking out U.S. customers, Canadian gas is already a key element when people discuss future North American gas supplies, transportation, and grom-th.

Better Prices, High Reserves Yield Better Shipments

What is behind all this bullishness? A number of factors. First, Canadian supplies offer a major increment to the overall North American supply picture. Canadian proved reserves (excluding the Frontier) are about 70 trillion cubic feet. with undiscovered potential resources conservatively estimated at about 115 trillion cubic feet.