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Natural Gas Forecasts Bode Well for U.S. Petchems

3:11 PM MDT | August 9, 2010 | GREGORY DL MORRIS

a study of North American and global natural gas production and demand economics indicates that olefins producers and other large petrochemical users of gas and natural gas liquids (NGLs) can look forward to prices at or below current levels for at least the next five years. Bentek Energy (Denver) forecasts the actual price of spot gas on the Henry Hub Index to remain below $5/million Btu through at least 2016, while the New York Mercantile Exchange (NYMEX) Forward Curve is anticipated to ratchet to higher than $7/million Btu. The forward curve is what industry...

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