The Emperor of the North will arrive on Saturday and the national weather service says he will be staying for a few weeks. Two significant and very cold snow storms will pave the way for his arrival.
Keep an eye on temps and wind in Chicago: https://www.wunderground.com/forecast/u ... alwx_10day
The AFC Championship Game in Kansas City will be a test for their loyal fans.
Natural Gas Price UP 16% on Jan 14
Natural Gas Price UP 16% on Jan 14
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Natural Gas Price UP 16% on Jan 14
The NCEP weather forecasts for the remainder of January and all of February have now turned VERY BULLISH for natural gas.
Watch the daily update here: https://www.weatherbell.com/premium
Watch the daily update here: https://www.weatherbell.com/premium
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Natural Gas Price UP 16% on Jan 14
I have been harping on this for a long time, BUT in my opinion it is crazy that our "gassers" are trading below book value per share.
The only reasons that I can see for the lack of buyers are that the Wall Street Gang of analysts are (a) true believers in Global Warming and (b) they keep hearing about a HUGE increase in natural gas production that will overwhelm demand.
MY TAKE:
1. Global Warming isn't happening in the U.S. this quarter. We are going to see record breaking cold and snow in the eastern U.S. in Q1 2019.
2. Severe cold and snow will cause gas production problems in Ohio and PA (freeze offs) in Feb.
3. Demand for U.S. natural gas has and will continue to exceed EIA forecasts. It is the cheapest form of primary energy on this planet.
4. If the weather is actually as cold as the current NCEP forecasts, gas storage will be drained to under 1,000 BCF by March 31st. This will support higher gas prices all year.
The U.S. has massive gas reserves, but reserves in the ground are not the same as production capacity.
The only reasons that I can see for the lack of buyers are that the Wall Street Gang of analysts are (a) true believers in Global Warming and (b) they keep hearing about a HUGE increase in natural gas production that will overwhelm demand.
MY TAKE:
1. Global Warming isn't happening in the U.S. this quarter. We are going to see record breaking cold and snow in the eastern U.S. in Q1 2019.
2. Severe cold and snow will cause gas production problems in Ohio and PA (freeze offs) in Feb.
3. Demand for U.S. natural gas has and will continue to exceed EIA forecasts. It is the cheapest form of primary energy on this planet.
4. If the weather is actually as cold as the current NCEP forecasts, gas storage will be drained to under 1,000 BCF by March 31st. This will support higher gas prices all year.
The U.S. has massive gas reserves, but reserves in the ground are not the same as production capacity.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Natural Gas Price UP 16% on Jan 14
With natural gas inventories still 15 percent below the five-year average, investment bank Barclays sees room for higher prices even if weather normalizes during the rest of winter. Barclays is currently forecasting Henry Hub prices to average $3.51 per mmBtu in the first quarter and $2.92 per mmBtu for the full year.
“The market had seemingly written off a return to cold weather during the downturn of the last six weeks or so, and Monday’s price action is a good reminder that there’s still a lot of winter left,” said Sam Phillips, vice president for global gas and energy at Barclays.
“The market had seemingly written off a return to cold weather during the downturn of the last six weeks or so, and Monday’s price action is a good reminder that there’s still a lot of winter left,” said Sam Phillips, vice president for global gas and energy at Barclays.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group