US Natural Gas Production Slows

From Reuters:

EIA said the sharp drop in drilling activity and declining productivity of wells already in place will cause production to steadily drop as the year progresses.

In 2010, EIA said it expects total U.S. marketed natural gas production to decline another 1 percent despite expectations for higher prices and a rebound in drilling.

Projected U.S. imports of liquefied natural gas this year are expected to jump 36 percent from 2008 to about 480 billion cubic feet, or 1.31 bcf per day, as depressed demand in Europe and Asia and new global liquefaction capacity drives more LNG here.

But the increase in LNG shipments will be more than offset by an estimated 1 bcf per day, or 11 percent, drop in pipeline imports, primarily from Canada, EIA said.