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The report examines the effects on AECO hub gas pricing, the Canadian benchmark price for naturalgas, from what is expected to be exceptional levels of condensate-directed Montney drilling in the coming years. Due to insufficient growth within the highest-yielding condensate regions of the Montney gas play in B.C.
Non-upgraded Canadian oil sands production is expected to rise by around 100 Mbbl/d annually until 2028. However, this increased demand for condensate will also have implications for AECO hub gas pricing. As Montney E&Ps pivot towards condensate-directed drilling, they will likely produce large quantities of associatedgas.
NaturalGas & NGL Infrastructure Expansion ONEOK is expanding its naturalgas and NGL (naturalgas liquids) infrastructure in the Permian to capture growing production volumes. This move supports the companys growing gas gathering and processing footprint. Bcf/d in 2025.
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