The outlook for the Marcellus and Utica shale plays is closely tied to demand for LNG exports, according to GlobalData analysts. However, additional pipeline capacity is needed to reach the Gulf Coast from the Appalachian Basin.
Currently, the US has an export capacity of 9.17 bcfd. Planned projects and those under construction increase export capacity to 11.97bcfd in 2023.
Plays near the Gulf Coast, such as the Permian Basin, Eagle Ford, and the Haynesville, are better located to provide natural gas to meet LNG feedstock demand. however, with additional pipeline the Marcellus and Utice shales could also play a relevant role in supplying natural gas to the new LNG facilities located on the Gulf Coast.
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