RE:Pullback for sure at one point but NO oversupply Take it out of % into BCF's.
NG storage is like 324 BCf below 5 year average and 449 BCF below last year at this time.
Heating season is almost done. May, June and July will be huge build months.
No new lng plants.
USA supply isnt going to stop at 95 BCF. Will hit 98 BCF in May or June for sure.
Companies are going to hedge and take this gift. NG is so cheap too produce.
And remember summer is solar power season. Going to have as substution on NG power as it is not cometitive right now.
NG fired power should be 37-40 % of the USA market. Down to 30-33% right now.
Troubling indicator.
gilllis wrote: The current level of Natgas in storage in the USA is near 18% lower than the 5 yr average and near 24% lower than last year level same time. In Europe, the situation in worse. AECO is usually lower than Nymex but tight now, it is higher or even. Production has not yet gone up sufficiently to meet the need of more exports to Europe and to replenish the storage. IMHO, Nymex price will stay high (near 7$) until the spring of 2023 at the minimum. This will provide TOU with tons of money. I expect a special divi of 1.50$ min this week and potentially 4 more special divi of 1.50$ in the next 12 months.