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Impact of Shale Natural Gas Production on Energy Markets

Dynamics of Shale Natural Gas Production and Its Impact on Energy Markets

Written by Doug Hardwick on June 16, 2023

In recent times, the energy sector has witnessed significant shifts in production trends, particularly in the realm of shale natural gas. A fascinating insight into this trend can be found in the podcast “Energy Rogue,” which aired around July 12. This podcast episode delved into a chart that unveiled crucial information about shale natural gas production and its implications for the energy landscape.

Unveiling the Shale NatGas Net Change Chart

The highlight of the podcast episode was the Shale NatGas net change chart, a pivotal tool that gauges the industry’s production trends. This chart intricately showcases the difference between new production and declines in shale natural gas. If the net change is positive, it signifies an increase in production; conversely, a negative net change indicates a decline. Notably, the podcast discussed the substantial growth in production observed in the past year.

Interplay of Rig Count and Production Growth

The podcast hosts underscored the significance of rig count in the context of production growth. While the rig count saw a decrease of 122 rigs on July 13, 2023, based on the U.S. Daily Rig Count by Enverus, it’s essential to recognize that rig count isn’t the sole determinant of production trends. The hosts aptly noted that even during a period of declining rig count, production can continue to grow. This dynamic challenges conventional assumptions and highlights the complexity of the energy landscape.

Volume Growth and Declines

A critical observation from the chart analysis is the juxtaposition of production volume growth and declines. Despite the growth in rigs, the volume of production growth has shown a decline. This trend raises intriguing questions about the factors influencing volume growth and the underlying dynamics shaping the industry’s trajectory.

Anticipating the Effects of Rig Drops

The podcast delved into the impending impact of a recent rig drop, forecasting its effect on the overall production landscape. With declines in production catching up, there’s a looming concern about the timing of these developments, especially as the industry faces the challenges of the upcoming winter season. This anticipation brings to light the intricate balance between supply and demand, which significantly influences energy prices.

Link to Energy Rogue’s Insightful Analysis

For those seeking a visual representation of the discussion, the Energy Rogue video discussed in the podcast provides a comprehensive breakdown of the analysis. This video serves as a valuable resource for anyone interested in delving deeper into the intricacies of shale natural gas production trends.

Exploring Energy Rogue’s LinkedIn Presence

Beyond the podcast, Energy Rogue maintains an active presence on LinkedIn. Their LinkedIn page offers additional insights into their analysis, perspectives, and updates related to the energy sector. Engaging with their LinkedIn content can provide a more comprehensive understanding of their viewpoints.

Borderlands LNG Export Terminal Project Advancement

In another significant development, the article “Borderlands: $18B LNG Export Terminal Project Moves Forward at Texas Seaport” caught attention. With a target completion date of 2026, this project highlights the continuous efforts to expand the energy infrastructure, catering to the demand for LNG export.

Texas Producers’ Outlook on Oil Prices

Addressing the oil sector, a noteworthy report from on July 13 highlighted the expectations of Texas producers regarding higher oil prices. This report echoes the sentiment that the oil market is gradually aligning with fundamental factors. Notably, the desire to maintain oil prices above $80 per barrel is evident, reflecting the ambitions of major oil-producing nations.

Future Outlook: Higher Prices and New Wells

Conclusively, the podcast episode, along with additional insights, presents a compelling case for anticipating higher prices in both the oil and natural gas sectors. While predicting the future with precision remains elusive, the underlying fundamentals suggest an upward trajectory. Coupled with the potential increase in new wells, there’s optimism about improved financial prospects for those involved in the energy industry.

Frequently Asked Questions

What is the significance of the Shale NatGas net change chart discussed in the podcast?

The Shale NatGas net change chart reveals the balance between new production and declines in shale natural gas, providing insights into production trends.

How does the rig count impact production growth?

While rig count is a crucial factor, the podcast emphasizes that production growth can persist even during periods of declining rig count.

Why is the interplay between volume growth and declines important?

The podcast highlights the discrepancy between production volume growth and declines, raising questions about the factors influencing this dynamic.

How does the Borderlands LNG Export Terminal project contribute to the energy landscape?

The project’s advancement signifies efforts to bolster LNG export capabilities, addressing the growing demand for liquefied natural gas.

What is the key takeaway from the outlook on oil prices?

The outlook indicates a shift toward fundamental factors influencing oil prices, with the aim to maintain prices above $80 per barrel.