TransCanada Alberta continues to show daily withdrawals from natural gas storage, despite a switch to storage injections by this time in each of the last two years. This is increasing the storage deficit and should lead to much lower exports to the US throughout the summer.
Some producers are reporting that maintenance related pipeline pressure reduction notices have been received from TC NOVA in northern Alberta, suggesting that pipeline receipts could be curtailed by as much as 400-500 MMCFD until further notice.
Here is an example from Questerre Energy last week (highlights added):
The Company reported that on March 25, 2014, it was advised that the National Energy Board issued an order requiring Nova Gas Transmission Ltd. ("NGTL"), a wholly-owned subsidiary of TransCanada PipeLines Ltd., to implement pressure reductions on a limited number of pipeline sections. This will materially reduce transportation of natural gas at 26 receipt points in Alberta, impacting approximately 400 MMcf/d to 500 MMcf/d of production in the province. NGTL has advised that it is working diligently to expedite remedial work on the affected pipeline sections and restore full service as soon as possible. As a result of this order, Questerre's production in the Kakwa-Resthaven area is currently shut-in by 50%. Questerre is awaiting further information from NGTL regarding the length of the disruption to its production.
Some decline in Alberta field receipts is possibly observable, though volumes recovered a bit over the weekend.
Through the winter, withdrawals from storage have now exceeded last winter by 194 BCF.
