Punching Bag, Part 2 – Are Northeast Natural Gas Takeaway Constraints Back?

The Northeast natural gas market was supposed to have turned a new leaf. After years of pipeline takeaway constraints and constraint-driven prices, the region as of late 2018 had ample, even excess, takeaway capacity on its hands. Regional prices strengthened on both an absolute basis and relative to downstream markets, and Marcellus/Utica producers had room to grow.

New Jersey Denies Permits for Proposed Natural Gas Pipeline

WCAU NBC 10

By Mike Catalini

Oct 12, 2019

It's the latest setback for the years-old proposed project that would run from northeastern Pennsylvania and terminate near Trenton.

New Jersey denied permits for a $1.1 billion, roughly 120-mile long pipeline that would bring Marcellus Shale natural gas to New Jersey, Democratic Gov. Phil Murphy said Friday.

Punching Bag – Northeast Gas Prices Take Shoulder-Season Hits

Despite pipeline takeaway constraints being relieved this year, Northeast natural gas prices have averaged lower than last year through much of the injection season. They’ve been especially weak in recent weeks, with spot prices at Appalachia’s Dominion South hub averaging $1.27/MMBtu in October to date, which is about half of where they stood this time in 2018 and the lowest in two years.