NEB: Canada’s natural gas production to rise on LNG exports

Canada’s National Energy Board predicts in its Canada’s Energy Future 2016 that domestic natural gas production and consumption is set to increase over the next decade.

Natural gas production is expected to rise 22 percent from 2014 levels to 17.9 billion cubic feet per day, with LNG exports becoming a major driver of the production growth, NEB said in a report.

Exports of natural gas to the United States have already dropped 29 percent between 2007 and 2014, from 10.4 billion cubic feet per day to 7.4 Bcf/d.

According to the report, exports are expected to drop further to 2.5 Bcf/d by 2025 and even further to “negligible volume” by 2040.

LNG exports are predicted to play a major role in the rise of domestic production, following the drop in natural gas exports to the United States.

NEB analyzes two LNG cases, the no-LNG case that assumes no LNG exports will occur by 2030 and the high LNG case that assumes exports will reach 6Bcf/d by 2040, with the total production reaching 22Bcf/d by 2030.

Additionally, domestic consumption of natural gas is also expected to reach 18.6 Bcf/d by 2040.

LNG World News Staff