World Perspectives

Cold Weather, But Natural Gas at Near Record Inventories

Last week we reported on the backlog of propane deliveries across the Corn Belt and noted that farmers who have the capability to use natural gas have a relative advantage. Propane stocks are very near the top of their five-year average, but most of the inventory is in the Gulf, positioned for export and not enough pipeline capacity (at least this year) to the Midwest. Much the same is happening in natural gas, except there is new pipeline capacity into the heartland. The U.S. has added or is adding about 16 billion cubic feet per day (Bcf/d) capacity in 2019. The Energy Department tracks 134 active natural gas pipeline projects and 46 of those are new to 2019. Another will be on-line in 2020, linking production in Colorado to Illinois...

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Illuminating the value of technical research

On behalf of a commodity producer organization, WPI evaluated the outputs from a project that featured a $5 million investment into technical research over multiple years. WPI’s team captured the results of this extensive effort and synthesized them for presentation to the organization’s governing board; among the findings uncovered and presented for the first time was the development of genomic traits proven, via rigorous testing, to provide crop yield advantages of 50 percent or more to U.S. farmers in times of drought. Capturing measurable results from long-term efforts can be challenging. Educating clients on the dynamics of success measurement when quantifiable results are not readily available requires deep client-consultant collaboration and an ability to consider both near- and long-term client aspirations with market/policy dynamics – attributes that WPI brings to every consulting engagement.

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