Florida’s gas market enjoys stability despite changes upstream

Nearly two decades into the shale boom, the fates of US producing basins are diverging. Some, like the Permian, boom while others stabilize or slow. For the demand markets they serve, these upstream changes might ordinarily spell trouble. But Florida isn’t sweating it. The prolific, low-cost resource basin in the Northeast is set to fill the gap left by two of the state’s producing basins in Texas and Oklahoma. Ultimately, Florida will manage to avoid disruption. The state will source more gas from different regions, ensuring that pipeline utilization rates into the state remain high and leaving the gas market largely stable.