Klugman CM Gas Report: Demand Could Overtake Production as Driver of Shale Gas Revolution

Non-Traditional Demand Sources Could Add in Excess of 4 Billion Cubic Feet per Day by 2019

 

Hong Kong -- (SBWIRE) -- 12/04/2014 -- Additional natural gas demand from re-emerging and non-traditional sources could exceed 4 billion cubic feet per day (Bcf/d) by 2019 an analytics and forecasting unit of Klugman CM, a full-service commodity advisory located in Hong Kong.

The 50-page, by subscription, report Debunking the Alternative Gas Demand Myth looks at the prospective demand stemming from new and old sectors - those that had downsized or closed in the early 2000s - and concluded that new demand, rather than new production, could become the driving force of the shale revolution during the next five years.

Evaluating the capacity of the power-generation, industrial, residential/commercial and export sectors, Klugman CM analysts focused on project types posing the greatest market-altering potential if they grow simultaneously at their estimated paces:

-Natural gas-fired power plants
-Ground and marine transportation
-Liquefied natural gas (LNG) exports
-Ammonia, methanol and nitrogen fertilizer production
-Gas-to-liquids (GTL) facilities, which convert natural gas and/or ethane into petroleum products

The report considers the viability of new and revitalized sectors given the inherent economics of each and expected market conditions between now and 2019.

"Given the magnitude of potential demand growth, it's critically important to provide a realistic assessment of industries that increasingly use natural gas as a fuel or feedstock in the production of other products," said Cheng Sze Lim, Klugman CM analyst and lead report author. "If demand growth reaches its full potential, we could expect a tighter market and upward price pressure - a sharp contrast to today's cheap and abundant natural gas from shale formations."

About Klugman CM
Klugman CM Capital Markets http://www.klugman-cm.com is a full-service commodity advisory located in Hong Kong. Our experienced advisors have continually strived to provide individually tailored advice to help speculators and producers achieve their marketing goals. In addition to our brokerage services, we specialize in currencies and metal advisory services for producers. The advisory services not only give personalized advice, but also execution on that advice. Klugman CM is committed to supporting the success of our customers. We provide our clients with a strong foundation for growth, and deliver industry-leading technology and innovative solutions to help them grow their investment.

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