Natural Gas Storage Report - Nov 30
Posted: Fri Dec 01, 2017 6:40 pm
Working gas in storage was 3,693 Bcf as of Friday, November 24, 2017, according to EIA estimates. This represents a net decrease of 33 Bcf from the previous week. Stocks were 309 Bcf less than last year at this time and 107 Bcf below the five-year average of 3,800 Bcf. At 3,693 Bcf, total working gas is within the five-year historical range.
Weather forecast for back half of December looks VERY BULLISH for natural gas prices. Keep in mind that at the end of November last year we had a big surplus of gas in storage and a cold December pushed gas price over $3.70/MMBtu.
I now think there is a good chance we see storage tip to 3,000 Bcf by end of December. It that happens, we should see much higher gas prices in Q1.
Weather forecast for back half of December looks VERY BULLISH for natural gas prices. Keep in mind that at the end of November last year we had a big surplus of gas in storage and a cold December pushed gas price over $3.70/MMBtu.
I now think there is a good chance we see storage tip to 3,000 Bcf by end of December. It that happens, we should see much higher gas prices in Q1.