Start of service on Appalachian pipes to lift Midwest supply, cut prices in 2019

摘要

The recent buildout of new pipeline capacity from Appalachia to the Midwest should boost outflows to the region to record highs by later this year and is looking increasingly bearish for 2019 Midwest gas prices. On October 3, downstream Midwest deliveries from Rover Pipeline climbed to a record high 3.1 Bcf/d as utilization of the greenfield pipe edges closer to its designed capacity of 3.25 Bcf/d. The startup of Nexus Gas Transmission, being jointly developed by DTE Energy and Spectra Energy, promises to offer another 1.5 Bcf/d in new capacity from Appalachia to the upper-Midwest. NEXUS said it plans to start gas flows on October 13.