Insight
Permian gas takeaway capacity: two's company, three's a crowd
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Report summary
Growing Permian gas production is squeezing takeaway capacity. Although Mexican exports could provide some immediate relief, delays south of the border prevent their utilization, and while brownfield expansions are underway, they represent only 0.6 bcfd of incremental capacity. The first of two post-FID greenfield pipes are a year away from entering service, so what happens until then? However, another 10 bcfd of pipeline proposals are looking to cash in on the growing play, vying for the next route out of the region. But for the short and medium term, how much is necessary? Is the saying true—that two's company, but three's a crowd?
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