Wild Weather is just beginning
Posted: Sat Mar 03, 2018 4:17 pm
March is shaping up to be a WILD MONTH with several major winter storms moving across the country.
Watch the Saturday Summary at https://www.weatherbell.com/premium/
If the result of this month's weather is that it drains natural gas storage from 1,682 Bcf on February 23 to approximately 1,200 Bcf by March 31 it SHOULD support higher natural gas prices all summer. Why? Because refilling storage is 100% required before the next winter heating season begins.
Storage needs to be approximately 4,000 Bcf at the beginning of each winter heating season, so the utility companies can meet space heating demand.
All of my forecast/valuation models assume ngas averages $2.75/MMBtu this year and in 2019.
Watch the Saturday Summary at https://www.weatherbell.com/premium/
If the result of this month's weather is that it drains natural gas storage from 1,682 Bcf on February 23 to approximately 1,200 Bcf by March 31 it SHOULD support higher natural gas prices all summer. Why? Because refilling storage is 100% required before the next winter heating season begins.
Storage needs to be approximately 4,000 Bcf at the beginning of each winter heating season, so the utility companies can meet space heating demand.
All of my forecast/valuation models assume ngas averages $2.75/MMBtu this year and in 2019.