Negative West Texas Gas Prices Reveal Global Energy Mismatch

A dislocation in global energy supplies means that even as buyers in some parts of the world are desperate to secure gas, there’s so much extra production in Texas that producers are burning it off as quickly as they’re allowed.

In West Texas, oil and natural gas are produced together. With crude prices surging on the supply disruptions sparked by the war in Iran, many drillers are happy to keep output high. But meanwhile, the region lacks the infrastructure to move all of the gas out and into the export market. As a result, local gas prices have plunged to ...