Birchcliff Energy Ltd T.BIR

Re: the severity of U.S. weather in the last week or so

[fergus2]

Rockies Observer - Heavy withdrawals from Rockies storage

Rockies storage fields (excluding WBI) on Dec. 1 had a working gas inventory of 120 Bcf, 10 Bcf above the same date in 2012. However, following ...a period of frigid temperatures and elevated demand levels, heavy withdrawals from storage slashed the year-on-year inventory surplus by 90% to 1 Bcf as of Dec. 9. Rockies storage fields withdrew 937 MMcf/d on average Dec. 1-9, which is 835 MMcf greater than 2012 and at least 200 MMcf/d above any of the past years for the same period. Single-digit temperatures on Dec. 4-9 across the region increased demand levels to average 4.9 Bcf/d, 2.2 Bcf/d above normal levels. During the same time frame, storage withdrawals averaged 1.3 Bcf/d, which is the highest withdrawal average this decade. Spot prices within the Rockies responded as cash has averaged $0.10 to more than $2.00 above prompt. Beginning this weekend, demand is expected to normalize over the next week before another Arctic blast hits the region in the 10- to 15-day forecast.less

12/12/2013 | 5:26 AMRockies Observer (Daily)