Hydrocarbon Molecules Know No Borders: The U.S. Mexico Natural Gas Dilemma

摘要

Natural gas traders once spoke of the North American continent as a potential seamless natural gas trading market, where market synergies could be perfected and hydrocarbon molecules could flow freely to the highest-priced market, depending on near-term demand and seasonal price fluctuations. As cost-competitive natural gas supplies flowed from Canada to the northern U.S. border states and the Northeast corridor during cold winter months, U.S. gas producers in the South and Rocky Mountain regions could elect to sell their production to West Coast and Mexican natural gas consumers, depending on price differentials in the marketplace at any given time.