Weak Alberta Gas Prices To Hurt Producer, Provincial Revenues

Once the maintenance is complete capacity on the northwest part of the NGTL system will increase by 700 million cubic feet a day, adding 6 percent to the entire network and helping alleviate the bottleneck.

However BMO analysts expect prices to remain under pressure as western Canadian production grows from 15.8 billion cubic feet a day (Bcf/d)in 2017 to 18.7 Bcf/d in 2019.

"The resulting structural imbalance could place downward pressure on Western Canadian natural gas prices through 2019," analyst Randy Ollenberger said in a note.

(Reporting by Nia Williams; Editing by Susan Thomas)


View Full Article


Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.