Canada gas exports defy forecasts
Canadian natural gas shipments to the United States remain doggedly above 2006 levels, despite persistent forecasts of a decline.
For the first eight months of 2007, exports were 2.48 trillion cubic feet, up 130 billion cubic feet from the same period last year, with August posting a 6.6 percent gain to 336.4 bcf, the National Energy Board reported.
Total revenues edged up about C$450 million to C$19.22 billion, although the average export price slipped to C$7.19 per gigajoule from C$7.40.
However, the weakened state of the gas market was evident in August, with revenues down 9.7 percent from a year earlier at C$2.12 billion and average prices off 15 percent at C$5.84 per gigajoule.
In contrast to Canadian exports, the U.S. Energy Information Administration reported that worldwide liquefied natural gas imports to the U.S. slumped in September to 41.7 bcf from 87.5 bcf in August, although the EIA still expects total LNG shipments to rise by 39 percent this year and a further 24 percent in 2008.
The EIA in March forecast a drop of about 2 percent or 180 bcf of pipeline imports from Canada this year.
—Gary Park
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