Fredericton, N.B. September 28, Natural Gas Update. Northeast Power Coordinating Council General Meeting

Size: px

Start display at page:

Download "Fredericton, N.B. September 28, Natural Gas Update. Northeast Power Coordinating Council General Meeting"

Darcy Burns
5 years ago
Views:

1 Fredericton, N.B. September 28, 2006 Natural Gas Update Northeast Power Coordinating Council General Meeting Stephen Leahy Northeast Gas Association

2 NGA Members Non-profit trade association Local gas utilities (LDCs) serving New England, New York, and New Jersey Several interstate pipeline companies LNG importer (Distrigas) and LNG trucking companies Over 250 associate member companies, from industry suppliers and contractors to electric grid operators NY VT NH MA RI CT NJ ME

3 North American Gas Pipeline System Map: National Petroleum Council

4 Projected Demand Growth by Sector, Northeast U.S. Power generation remains the leading projected growth sector. New England Middle Atlantic Quadrillion Btu Residential Commercial Industrial Electric Gen. Quadrillion Btu Residential Commercial Industrial Electric Gen Source: U.S. Energy Information Administration, 2006 Annual Energy Outlook, 1/06

5 Canadian Gas Exports to Northeast U.S. Canadian Exports to Northeast U.S., Tcf Source: National Energy Board, Canada All new pipeline systems added in New York and New England since 1990 are linked to Canada (e.g., Iroquois, Empire, PNGTS, M&NE)

6 Storage Levels / Commodity Price Projection Today: Tcf Last Year: Tcf 9/20/06: $4.87 /MMBtu 9/20/05: $12.76 /MMBtu Source: U.S. Energy Information Administration

7 Projected U.S. Supply Additions, Source: Strategic Energy & Economic Research, Inc.

8 Planned Northeast Pipeline Projects Prepared by NGA, 8-06, based on publicly available information. Project locations approximate. PNGTS, Recent Open Season National Fuel Gas, Empire Connector Project Tennessee, Northeast ConneXion NE Iroquois, MarketAccess Expansion M&NE, Phase IV Expansion Columbia, DTE Energy, KeySpan, Millennium VERMONT Tennessee, Atlantic Supply Expansion Tennessee, Essex Middlesex Project Duke/Algonquin, Cape Cod Lateral Williams, Leidy to Long Island Williams, Sentinel Expansion Project Tennessee, Northeast ConneXion NY/NJ Duke/KeySpan, Islander East Algonquin, Ramapo Expansion Iroquois, Brookhaven Lateral

Existing & Proposed LNG Import Terminals, Northeast Blue = In-service [Distrigas] Yellow = Approved by FERC Orange = Approved by Canadian regulators Green = Proposed 1 2 NEWFOUNDLAND QUEBEC ONTARIO

9 Existing & Proposed LNG Import Terminals, Northeast Blue = In-service [Distrigas] Yellow = Approved by FERC Orange = Approved by Canadian regulators Green = Proposed 1 2 NEWFOUNDLAND QUEBEC ONTARIO QUEBEC Proposed Terminals MARYLAND Map source: U.S. FERC; Updated by NGA based on public information as of Locations approximate. Not all pipeline systems shown Rabaska, Levis-Beaumont, QU: 0.5 Bcf/d (Gaz Métro, Gaz de France, Enbridge) 2. Gros Cacouna Energy, QU: 0.5 Bcf/d (TransCanada, Petro-Canada) 3. Canaport LNG, St. John, NB: 0.75 to 1 Bcf/d (Irving Oil, Repsol) 4. Bear Head LNG, Point Tupper, NS: 0.75 to 1 Bcf/d (Anadarko) 5. Maple LNG, Goldboro, NS: 1.0 to 2.0 Bcf/d (Keltic Petrochemicals, 4Gas, Suntera) 6. Downeast LNG, Robbinston, ME: 0.5 Bcf/d (Kestrel Energy Partners) 7. Quoddy LNG, Pleasant Point, ME: 0.5 Bcf/d (Quoddy Bay LLC) 8. BP Consulting LNG, near Calais, ME: (BP Consulting LLC) 9. Northeast Gateway Project, Off Cape Ann, MA: 0.4 Bcf/d (Excelerate Energy) 10. Neptune LNG, Off Cape Ann, MA: 0.4 Bcf/d (SUEZ Energy Resources) 11. AES Battery Rock, Outer Brewster Island, Boston Harbor: (AES Corp.) 12. Weaver s Cove LNG, Fall River, MA: 0.4 to 0.8 Bcf/d (Hess LNG) 13. KeySpan LNG, Providence, RI: 0.5 Bcf/d (KeySpan & BG LNG) 14. Broadwater Energy, offshore Long Island, NY: 1 Bcf/d (TransCanada and Shell US Gas & Power) 15. Safe Harbor Energy, off south shore, Long Island, NY: 1 Bcf/d (Atlantic Sea Island Group) 16. Crown Landing LNG, Logan Township, NJ: 1.2 Bcf/d (BP)

10 Canaport LNG Aerial View (August 31st) Courtesy of Repsol

11 Existing & Potential Eastern Canadian Supplies Quebec Potential exploration in the St. Lawrence region New Brunswick McCully natural gas field; planned development of small field by Corridor Resources Offshore Nova Scotia Current Production SOEP producing since 1999; MMcf/d Offshore Newfoundland White Rose Field; estimate of 2.7 Tcf of gas Potential development within next decade Offshore Nova Scotia Future Potential Deep Panuke field; Projected in-service date of 2010

12 Gas Electric Interface Value of protocols ISOs and gas industry Regular communication between ISOs and pipelines / Distrigas; committees (EGOC) Winter and summer For the power sector, gas contract terms remain a key issue (firm vs. non-firm); gas system is designed to meet firm market commitments; no guarantees for non-firm arrangements Generators for most part not making investments in gas system infrastructure.

13 Upcoming Meetings

Toronto, ON September 27, Natural Gas Update. Presentation to: Northeast Power Coordinating Council (NPCC) General Meeting

Toronto, ON September 27, Natural Gas Update. Presentation to: Northeast Power Coordinating Council (NPCC) General Meeting Toronto, ON September 27, 2007 Natural Gas Update Presentation to: Northeast Power Coordinating Council (NPCC) General Meeting Thomas Kiley, President and CEO Northeast Gas Association Topics Winter Outlook