Florida’s Natural Energy

Presentation on theme: "Florida’s Natural Energy"— Presentation transcript:

Florida’s Natural Energy- DISCOVER THE DIFFERENCE -

Since 1961, the objective of the Florida Natural Gas Association has been to advance and promote the delivery, sale and use of natural gas, natural gas appliances, and the necessary services in Florida.With a membership of more than 100 companies, the FNGA represents every segment of the natural gas industry.

It is committed to foster governmental understanding of, confidence in and cooperation with the natural gas industry.

Natural Gas Serving Florida Consumers

Investor Owned Gas Utilities (5)

Peoples Gas

Florida City Gas

Florida Public Utilities

Sebring Gas

St. Joe Gas

Municipal Gas Systems (27)

Gas Districts (4)

Interstate Pipelines (4)

Florida Gas Transmission

Gulfstream Natural Gas

Southern Natural

Gulf South Pipeline

Direct Use of Natural Gas ResidentialWater heatingCooking

Space heatingClothes dryingPool/spa heatingOutdoor lighting and cooking

CommercialLodgingFood ServiceHealth CareSchools

Groceries

Laundries &Dry Cleaners

Industrial

Citrus

Pulp/Paper

Phosphate

Gypsum

Natural

Gas Vehicles

Interest

has grown rapidly over the past 18 months.

Our

focus is on

fleet vehicles.

Florida History of Pipeline Expansions

Pipeline’s HaVE Consistently Grown Capacity to Meet Or Exceed Market Demand

Florida Gas Transmission

FGT

has over 5,400 miles of pipe and a mainline system capacity of 3.1

Bcf

/day

Over 240 delivery points in Florida

Delivery connections to over 50 electric generation plants

Over 50 interconnects with interstate and intrastate pipelines

Direct connections with ten major storage facilities

Gulfstream Natural Gas

Southern Natural

Gulf South Pipeline

Sabal Trail PipelineSabal Trail Transmission, LLC (“Sabal Trail”), a joint venture of Spectra Energy Corp and NextEra

Energy, Inc. is expected to be completed May 2017.Two Component ProjectFirst part, proposed 465 mile pipeline capable of more than 1 billion bcf/day. This $3 billion Sabal Trail project will

increase gas supplies to ensure Florida keeps up with future demand. Second part, the Southeast Connection, a 126 mile pipeline capable of 400 million bcf/day costing $550 million will link the Trail hub in Central Florida to FP&L generating facilities in southeast Florida.The addition of this major pipeline project will help FP&L, other Florida utilities and businesses take advantage of low-cost natural gas from across the United States.According to FP&L natural gas power plants have saved their customers more than $6 billion in fuel costs

.

Growing U.S. Supply ResourceShale basins are contributing to growth. 90% of gas consumed in the U.S. is produced domestically

Potential Gas Committee, an independent group that develops assessments of gas resources, raised its latest estimate to over 2,689 trillion cubic feet, the highest evaluation ever and 26% more than two years ago. At least 100 years of gas supply at current consumption levels.

Potential production decline in shallow Gulf of Mexico(2.4 Bcf/day) is more than offset by shale gas additions.

Location of Shale Gas Formations

Shale resources are being actively explored today across the U.S. Shale production is expected to grow from 6.8 trillion cubic feet per year in 2011 to 7.8 trillion cubic feet per year in 2025

. Access to this growing supply resource is an important aspect of Florida’s current and future natural gas supply portfolio.

Supply Availability & Storage Connections

Pine Prairie

Tres Palacios

Bobcat

Petrologistics

Golden Triangle

Spindletop

Egan

Napoleonville

Southern

Pines

Bay Gas

Significant supply resources, storage capacity, and pipeline delivery infrastructure have been added in the last five years and continue to grow with supplies and demand.

Storage and capacity growth

have positively impacted current and future natural gas supply and prices.

Total of 60 Stations *58 CNG *2 LNG

48

stations operating (18 public/30 private)     12 stations planned (10 public/2 private)Natural Gas Vehicles

LNG Rail & Water Transportation

SummaryFlorida markets have access to a vast, geographically diverse supply area

U.S. reserves are growing

Significant infrastructure improvements have lowered commodity prices and enhanced reliability. Long term price stability can be achieved through term contracting, hedging, and continued investment in infrastructure.

Florida’s Gas Industry has a long history of expansion to meet demand growth.

Natural Gas is Abundant, Affordable, Clean, and American