The problem with exporting NG again is our infrastucture. You need to liquify it, and transportation costs are approx. $3MBtu, so if it's $5 here and you add the transportation costs, sell at $8, then there's no profit. Nix that idea.

We also compete against middle East NG which is often burned off as a waste product, or sold at under $1 MBtu.

Put in sufficient LNG infrastruture and you can turn NG into much more of a Global product.

WE NEEDED BROADWATER !!!!!!!!!!!!!!!!

The pricing is linear in the sense that when oil goes to $145 a barrel it creates an umbrella and if you think of NG as an alternative fuel then it now has a much higher upper range into which it can be priced. Whether NG competition allows this rise or not is another thing but typically when there are oil pricing spikes the NG producers will manage production so that they can price under the oil umbrella. Remember, oil pricing was just as volatile over the past three years. Look at its range. Anyway, maybe linear was not the right word but you get the point I was on. Both fuels rise and fall based upon country economics and global demand.
On the question of selling NG to Japan the answer is yes, we will sell into the market with the best margins if those are better than domestic sales, though NG into Japan may be a bad example. For example, some North Slope oil is sold into Asia. It is cheaper to put it on a huge tanker, one that can't navigate the Panama Canal, and send it off to Asian refineries than to navigate around South America and bring it into the Texas refineries. To offset this oil export we will import heavy crude into Texas from Venezula. On balance, the domestic oil company makes more money doing this.
The main economics of LNG terminals in Long Island Sound is that there is very poor NG infrastructure in the Northeast. There just isn't the piping around here whereas when I lived in western NY everyone burned NG and there were literally few oil burners in homes.
So there is a lot of work to switch to NG from oil for heating and transportation but this transition will either start now or will be forced on us. That is what Cap & Trade is all about, make energy so expensive there are no other options but to go green but green can't produce the energy that is needed in the forms we need it.

Sportfishing Industry Urges President Obama to Provide Immediate Financial Assistance to Businesses in the Gulf

Recreational fishing-dependent businesses will not survive without immediate financial assistance

June 4, 2010 - Alexandria, VA – Today, representatives from every sector of the sportfishing industry sent a letter to President Obama urging the administration to make federal financial assistance immediately available to recreational fishing-dependent businesses impacted by the Gulf of Mexico oil catastrophe. The industry also recommended that the administration develop a long-term compensation plan for these businesses to cover losses for the duration of the economic impact resulting from the current crisis.



The full news release from ASA: http://asafishing.org/newsroom/news_pr060410.html

OFF TOPIC HERE BUTTTTT HOW IS HOOP DOING???? I thought this thread he was using to keep us updated on his take of how things were going down there.

I am sure there are other boards out there to discuss energy alternatives and the political crap that seems to go with it! NOW you guys are bringing up BROADWATER WTF this guys livelyhood is gone and your using this thread to spew out your political ideology give it a rest!!!!

Hey how about this .....http://www.alternativeenergyforums.com/ SEE there are forums where you can have your rants!!! For the two CTF's mini Limbaughs here is a place for you....http://www.republicanforum.com/

Redfish in response to your post about me going off topic earlier Hoop started this thread to let us know how he was doing and how this disaster was affecting the people in his community. For some reason it seems no matter what happens in this world their are two individuals on this site that love to bring politics into the issue as fast as they can.

This disaster is not a liberal or conservative disaster its an American disaster in one way or another WE ALL will be hurt by this spill.