[+ Font] :: [- Font] :: Printable

Record Natural Gas Glut Sends Prices To 10-Year Lows, Is It Time To Buy?

By Sumit Roy , http://www.hardassetsinvestor.com
dvoros@hardassetsinvestor.com
January 28th, 2012

Where do prices go from here as inventory surplus continues to balloon?

The Energy Informational Administration (EIA) reported today that storage operators withdrew 192 billion cubic feet of natural gas from storage in the week ending Jan. 20. That was above estimates that were calling for a withdrawal between 171 bcf and 183 bcf, above last year’s withdrawal of 174 bcf, but below the five-year average withdrawal of 200 bcf. After last week’s withdrawal, the inventories now total 3098 bcf — by far the highest level ever recorded at this time of the year.

U.S. inventories are now 556 bcf above the year-ago level and 463 bcf above the five-year average (calculated using slightly different methodology than EIA).

Click here to read the entire article.

By Sumit Roy , http://www.hardassetsinvestor.com
dvoros@hardassetsinvestor.com
January 28th, 2012