Gas, NGL and Oil

Over the last 30 years, EVA has developed an extensive practice in providing consulting services to a wide array of clients for the natural gas, NGL or midstream, and crude oil and petroleum products markets. These consulting services range from market and financial analysis to expert witness testimony for almost every segment of these three interrelated energy industries.  In addition, EVA has developed a series of periodic reports for each of these critical energy industries.  A sample of EVA’s most recent natural gas research is featured in our FUELCAST Special Articles.

To learn more about the markets, expand the sections below.

Natural Gas

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While the North American natural gas industry has existed for over 100 years and witnessed numerous highs and lows, the dramatic changes that have occurred to almost every segment of the industry since the emergence of the ‘game changing’ shales in 2008 are unprecedented.  Natural gas is becoming rapidly the fossil fuel of choice for the industrial and power sectors.  Concerning the former, four key industries are rapidly expanding capacity.  Within the power sector, gas-fired generation is routinely competing with coal for market share and is creating a parity standard for renewables that tends to require mandates or subsidies to compete. Further, virtually all new base load generation is being satisfied with natural gas combined cycle plants.

EVA has authored or co-authored over 40 industry publications, which cover nearly every facet of the U.S. and global natural gas industry.  In addition, EVA maintains a suite of proprietary databases and models concerning the natural gas industry, which provide the backbone for its series of periodic multi-client publications concerning the industry and the outlook for its fundamentals.

Furthermore, a near metamorphosis is occurring within the global natural gas industry, as the LNG segment of the industry is transitioning from a niche component serving primarily the historically wealthier Asian nations to being a global phenomenon.  LNG importing countries are expanding rapidly, while LNG exporting countries are also increasing.

EVA’s natural gas team has over 30-years of experience providing consulting and analytical experience for various stakeholders in the natural gas industry and can help you solve whatever business problems you face as you navigate this growing and dynamic industry.

EVA’s natural gas team has proven itself as one of the leading consulting groups in the industry and possesses numerous accomplishments to illustrate our success. EVA is equipped to help you solve any financial, regulatory or market issue that concerns your business.

Natural Gas Liquids

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The shale revolution also has caused a near metamorphosis of the U.S. midstream industry.  The latter was in decline until the industry started developing the liquids rich shales in about 2008 and since that time has been in a period of steady expansion, as domestic NGL production has rapidly increased in a few short years.  EVA tracks with its proprietary database the numerous changes occurring to the infrastructure (i.e., processing plants, fractionators, NGL pipelines and export terminals) for the midstream industry.

This assessment of infrastructure change also extends to numerous projects being pursued by the petrochemical industry to expand domestic ethylene capacity.  In addition, EVA analyzes the significant changes occurring in the markets for each of the components of the U.S. NGL stream.  The latter includes excess supply and declining prices for the lighter components (i.e., ethane and propane); with each having a unique set of fundamentals, as well as a critical assessment of the fundamentals for the heavier components (i.e., butane and gasoline).

EVA has performed an array of market and financial analyses for the rapidly changing domestic NGL industry and has been the lead analyst for a major acquisition within the midstream industry.  In addition, EVA has authored a number of industry publications and prepares periodic reports on the industry for its client base.

Oil and Petroleum Products

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While historically crude oil prices have been driven primarily by the tenent that short-term supply increases cannot keep pace with short-term demand increases, global markets, absent major geopolitical events, appear to be adapting to a new reality that supply increases are outpacing demand increases.  The latter is creating downward pressure on global prices rather than steady upward pressure.

EVA, which has over 30 years of experience in tracking the crude oil and petroleum products industries, provides detailed assessments of both this growing supply dynamic (i.e., U.S., Canada, Brazil and Iraq), as well as the combination of economic policies and high energy efficiency standards that are suppressing demand growth.

EVA’s granular assessment of global oil markets and their impact the U.S. is aided by its series of proprietary databases and models.  Included in the latter is EVA’s U.S. transportation model, which incorporates the latest fuel efficiency standards, which are almost byzantine, to project by vehicle class and major model future transportation fuel consumption (i.e., gasoline, diesel, natural gas, propane, and electricity).

Included in EVA’s assessments of global oil markets are the following:

  • Long and short-term global oil supply/demand balances.
  • Core developments in key Non-OPEC countries, such as the U.S., Brazil and Canada.
  • The growth in North American unconventional liquids.
  • Current and future OPEC production and spare capacity.
  • Oil price basis differentials and their dynamics; specifically due to U.S. infrastructure developments, such as the pipeline capacity serving Cushing, OK and the Keystone XL pipeline.
  • The growth in U.S. NGL markets and their pricing relationships to oil/oil products.
  • Short-term and long-term price outlooks for key oil markets, as well as an array of U.S. petroleum product prices that include both N.Y. Harbor and Gulf Coast locations and five grades of distillate, nine grades of residual fuel oil, gasoline, jet kerosene, and propane.

In addition to preparing a wide variety of consulting assignments for its client base, EVA has authored numerous industry publications and periodically publishes a series of multi-client reports in the crude oil and petroleum markets.

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