EIA - Natural Gas Storage Report - May 5

[dan_s]

Working gas in storage was 1,567 Bcf as of Friday, April 29, 2022, according to EIA estimates.
This represents a net increase of 77 Bcf from the previous week.
Stocks were 382 Bcf less than last year at this time and 306 Bcf below the five-year average of 1,873 Bcf.
At 1,567 Bcf, total working gas is within the five-year historical range.

The build of 77 Bcf was higher than I expected (equal to the five-year average), but key is that the deficit to the five-year average increased in April by 70 Bcf.

April and May are the two lowest natural gas demand months of the year. If the storage deficit to the five-year average continues to grow in May, there is almost zero chance that storage can get close to the five-year average before the next winter heating season begins.

[dan_s]

A better indication of market tightness is the 13-week average ( a quarter of a year ).
Over the last 13 weeks the deficit to the five-year average has increased by 204 Bcf.

Five year average builds for May
Week ending
May 5 : +83 Bcf
May 13: +85 Bcf
May 20: +101 Bcf
May 27: +99 Bcf
Jun 3 : + 98 Bcf
Jun 10: +78 Bcf

After mid-June the weekly builds go on steady decline as natural gas for power generation ramps up. If LNG exports remain near capacity, we may see draws from storage in July and August.

For five years of gas storage details go here: http://americanoilman.homestead.com/GasStorage.html

[Fraser921]

Great info...Im going to start watching this like a hawk. i liked your segment on this topic on your podcast