US: New shale gas options bring market changes and challenges

The shale production boom has changed the dynamics of the North American natural gas infrastructure grid. Pauline McCallion looks at the potential implications for hedging strategies

The boom in shale gas production in North America has prompted the need for an infrastructure rethink. The northeast region of the US is particularly in need since it is highly populated, but also supply-constrained. Long-haul pipelines, such as the 1.8 billion cubic feet (bcf) per day Rockies Express Pipeline (Rex), have been completed or approved in recent years to bring supply into the region