Why is natural gas storage so low?

[dan_s]

Winter will begin with natural gas in storage ~600 Bcf below the 5-year average. How is that possible when EIA keeps telling us that we have MASSIVE natural gas reserves?

DEMAND EXCEEDS SUPPLY
"Based on the latest EIA data for 2018 through July, U.S. gas production has grown by 7.6 Bcf/d while demand has grown by 8.9 Bcf/d, creating a supply-demand gap of 1.3 Bcf/d. In other words... Despite 2018’s huge supply growth, demand is growing even faster."

We are heading in the winter season with a big deficit in gas storage and over 4 Bcfpd of new LNG export capacity coming on-line in 2019. PLUS: Enbridge’s massive Valley Crossing natural gas pipeline from South Texas to Mexico will start up in April 2019 (after getting delayed from its original October start date). Located in the Rio Grande Valley, the Valley Crossing project will be the single largest pipeline moving gas from the U.S. to Mexico, with a massive 2.6 Bcf/d of capacity. In other words, this one pipeline will single-handedly boost U.S. to Mexico pipeline capacity by 50%. https://www.enbridge.com/Projects-and-I ... ct-to-date

[dan_s]

Read these two articles:

Art Berman 10/15/2018: https://oilprice.com/Energy/Gas-Prices/ ... Spike.html

Atlas Research 10/24/2018: https://seekingalpha.com/article/421397 ... 19?page=16