Natural Gas Demand going WAY UP

[dan_s]

Today's (12/28) two week forecast may be the most bullish forecast for natural gas demand that I've ever seen: https://www.weatherbell.com/premium/

Note that it will warm up a bit in mid-January, but remain well below normal.

Take a look at North Dakota. It may be -40F at night. That will cause MAJOR production problems because there is lots of moisture in the stuff coming out of the ground. At some point even oil freezes. Also, the super cold in Ohio and PA will cause gas well shut-ins.

Honestly, I cannot believe that the NYMEX futures contract for February is still under $3.00.

Big gas price spikes are cause by the utilities competing against each other for supply in the "physical market". When I was at Hess we sold gas for over $60/mcf during one really cold period in New York.