According to a news release from Fitch Ratings, the recent “oil drop” may slow U.S. LNG and weaken the economics of natural gas.
“The recent nearly 50 percent drop in oil prices may slow the momentum behind the development of U.S. liquefied natural gas (LNG) facilities,” according to Fitch Ratings. “Oil price declines have weakened global LNG prices and could increase Henry Hub gas pricing, weakening current U.S. LNG project economics.
The U.S. Environmental Protection Agency (EPA) signed two actions Friday, Nov. 14, amending subpart W of the greenhouse-gas reporting program and revising annual methane emissions reporting requirements by oil and gas companies.
One rule, effective Jan. 1, 2015, eliminates certain monitoring methods currently used by oil and gas companies to report methane emissions and was finalized Nov. 14. A second rule was proposed that would require new methane emissions data to be reported. This rule is expected to take effect in 2016.