The ScottMadden Energy Industry Update takes a close look at a dynamic natural gas industry...
ScottMadden, Inc., one of North America’s leading energy consulting firms, recently released The Energy Industry Update. This semi-annual publication features our view of significant events and emerging trends in the energy industry, including a focus in this issue on gas and gas pipelines.
Continued low natural gas prices and the promise of a shale gas boom have altered the landscape both for gas and power markets. Surging shale supply will undoubtedly spur pipeline expansion. Long-time geographic flow patterns are likely to change, and the current midstream infrastructure is being tasked with moving gas in ways not anticipated when it was built.
While industry veterans continue to be mindful of the benefits of fuel diversity, cheap gas also poses the potential to move the power generation industry into another major gas “build-out.” Could this become another overbuild? The gas pipeline industry has also been focusing on pipeline safety issues, with inspections and maintenance programs targeting portions of the pipeline infrastructure that may benefit from retrofits. These developments mean that a significant amount of capital will be invested in this sector in several years.
“Everyone in the gas value chain – from producers to pipelines to distributors and large end-users – is evaluating strategies to deal with and profit from tectonic changes in the industry arising from cheap shale gas and expanding environmental and safety regulations,” says Stu Pearman, ScottMadden’s energy practice leader. “Changing basis relationships, major pipeline expansions, and industry pipeline integrity programs will reshape the economics for gas delivery and consumption alike. Our gas team helps gas clients develop scenarios and initiatives that create valuable options in a dynamic environment like this.”
For more than a decade, the ScottMadden Energy Industry Update has served as a catalyst for strategic discussion, debate, and decisions. Thousands of industry leaders rely on it for the most important trends and thought-provoking insights. Click to download the latest Energy Industry Update.
For nearly 30 years, ScottMadden has been a leader in energy consulting, serving more than 200 energy organizations, including 90% of the top 20, and has completed thousands of successful projects.
About ScottMadden, Inc.
ScottMadden is a management consulting firm delivering customized, practical solutions for clients in energy, clean tech and infrastructure, corporate and shared services, and the federal government. Our collaborative, small-team approach, coupled with deep content knowledge, experience, and insight, delivers an exceptional consulting experience and superior results. To learn more, visit www.scottmadden.com