A Popular U.S. Gas Bet’s at Risk of Crumbling on Pipeline Logjam
- Possible delays looming over $7.6 billion in shale gas lines
- Gas prices for 2018 may surge as projects face setbacks
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Potential delays looming over three major U.S. natural gas pipeline projects are threatening to sour a popular wager on the fuel.
Gas for delivery in April 2018 is trading at a steep discount to the March contract, signaling that traders anticipate ample supplies at the end of next winter. The spread, known as the “widow maker” for its volatility, could end up swinging to a premium if new lines designed to shuttle the fuel from shale basins in Pennsylvania, Ohio, and West Virginia to markets don’t start up on time.