GAZB - Insights At A Glance: Not All Natural Gas Pipelines Are Equal
Since the oil price war began earlier this month, we have focused primarily on crude's fall and the consequences for midstream. However, with the price of natural gas at Henry Hub hitting a 25-year low last week at $1.60 per million British thermal unit (MMBtu), natural gas pipelines are also a worthy topic of discussion. While natural gas pipelines may seem like they are all the same (i.e., steel in the ground), their customer bases are a key differentiating factor in a low-price environment. Supply-push pipelines are more susceptible to fluctuations in prices, since they