Lower rig use fails to cut oil and gas supply

Prices may be down and the oil and gas rig count falling, but the effect on global output has been minimal so far.

As winter ends in Asia, Europe and North America, regional hub prices are low while markets are well supplied and not expected to tighten before summer.

• Americas

  The US and Canada are expecting moderate weather-related gas demand this summer

• Asia Pacific

  Weak demand growth continues to weigh on spot prices

• Europe & Russia

  Stocks are low but supplies look strong through the end of winter

• Middle East & Africa

  Challenges ahead for Nigerian gas and LNG exports

• Yemen’s investment landscape worsens

  Yemen is going through turbulent times that may reduce its oil and gas exports. The country must make structural reforms if it is to sustain exports in the longer term.

• Pakistan to enter the world of LNG imports

  The commissioning cargo for Pakistan’s first LNG terminal is due to arrive in March, marking the start of gas imports for the country. However, how much gas Pakistan will take – and in what timeframe – remains in question.

• Supply crunch looms in Colombia and Venezuela

  High domestic gas demand in Colombia and Venezuela, where there is limited flexibility to increase production, will make the two countries reliant on imported gas and LNG in coming years.