RE:RE:RE:Ouch
A lot of shale gas is still unprofitable at todays prices over a complete cycle. So companies like EnCana and others have cut back on gas and are going after oil. In the USA a couple of methane plants that moved out of the USA and are big users of nat Gas are moving back. Plus you have a lot of switch from coal and oil to Nat Gas. Liquidfied Gas for export is also increasing in the USA. So I think $4 maybe the new floor price and we will see $5 over the next 12 months. We may be a bit early but one never knows markets can move up and down unexpectedly. A hot summer can also drive up prices. The best thing is gas storage is below the 5 year average and we still have a couple of winter months left.