Natural Gas Storage Report - Sept 20

[dan_s]

Working gas in storage was 3,496 Bcf as of Friday, September 14, 2012, according to EIA estimates. This represents a net increase of 67 Bcf from the previous week. Stocks were 320 Bcf higher than last year at this time and 278 Bcf above the 5-year average of 3,218 Bcf. [Back in May storage was over a TCF above the 5-yr average, so we have come a long way.]

EIA issues its natural gas storage report each Thursday at 10AM. Here is the link http://ir.eia.gov/ngs/ngs.html

This report is about what traders were expecting. Gas is up about 3 cents on the day.

When the November NYMEX contract becomes the front month (end of next week), we should see NG move over $3.00.

If NG in storage move back within the 5-year range we should see the price move over $4/mmbtu. We need a cold start to winter to make that happen by year-end.