U.S. will soon surpass Saudi Arabia in petroleum exports

Houston Chronicle ^ | Mar 8, 2019 | Jordan Blum

[eartick]

Yes I know that, I worked in and around ethylene production for 30 years. The building block for what you described.

Even with these products, the supply of NG for out weighs the uses this day.

[bert]

I saw gas advertised at three east Tennessee dealers yesterday at $2.11

It’s labor day. Gas usually goes up. This week it is coming down

[BeauBo]

“Even with these products, the supply of NG for out weighs the uses this day.”

Export it is then.

Ten cents cheaper, and the whole world is your market.

The construction of LNG export facilities began in earnest, several years before President Trump came to office, and has only picked up speed since then.

We are accumulating International customers who are signing long term contracts. Even the Germans, who are going ahead with their Nordstream II pipeline from Russia, are also significantly expanding their LNG port capacity, to diversify their supply options, and keep their prices competitive.

Rick Perry, as Energy Secretary, has played an active role in lining up long term overseas markets for our oil and gas.
His success in doing that, is one of the main reasons that he has served so long in the President’s cabinet, where people get swapped out quickly if goals are not met. The President is very attuned to the long term business opportunities, and has been very active in courting customers (and screwing over competitors).

[BeauBo]

Some folks are estimating that the South (where taxes are lower) will see gas prices under $2/gal this year.

And that is with two of the World’s biggest suppliers, Iran and Venezuela, virtually completely shut down (unthinkable only a few years ago, because of how it would increase prices).

That is how significant the surge in American production is on the World stage.

OPEC has already lost a good bit of its control over prices around the normal range, and now can only really control them at the more extreme high and low tails of the curve.

They can still strongly influence prices around normal range, but they are now subject to effective competitive counter moves, which they were not before.