Sunday, April 3, 2022

U.S. Energy Outlook for 2022

Some thoughts on the Outlook of U.S. Energy in 2022:

- U.S. Oil Production could aversge 11.8 million barrels per day (bpd), up from 2021 at 11.2 million bpd, and 2020 at 11.3 million bpd, but less that 12.3 million bpd in 2019.

- Overall Supply and Prices will depend on serveral uncertain factors including: the impact of the Omicron Variant on Oil Demand, and whether Organization of Petroleum Exporting Countries (OPEC) decides to to Boost Production.

- Natural Gas Production will also Increase, in part to meet growing demand for U.S. Exports of Liquefied Natural Gas (LNG),which will average 11.5 billion cubic feet per day, a 17% increase from 2021. Top markets for U.S. LNG Exports include: South Korea, Japan, China, Spain, U.K., India, Brazil, and France.

- U.S. will have the World's Largest LNG Export capacity by the End of 2022, though Demand for Exports may ultimately ease later in the year.

- U.S. National Gas Production will average 96.0 billion cubic feet per day. That's an Increase from 93.4 billion in 2021, and 91.5 billion in 2020.

- The White House is restoring Limits on hauling LNG by Rail, reversing a 2020 Rule Change implemented by the Trump Administration. The Old Rule was intended to Speed Delivery of Natural Gas to Markets where Pipeline Infrastructure is either Limited or Nonexistent. But Regulators non say the Changes were Premature and have Postponed approval until July 2024, or until a New Regulation is issued.

Note that Rail Transport of LNG is still Permitted on a Case by Case basis. A Major U.S. Task Force says that Transporting LNG by Rail is largely Safe.

NYC Wins When Everyone Can Vote! Michael H. Drucker

No comments: