Natural Gas Storage Levels
OKLAHOMA CITY, Nov. 18 /PRNewswire/ -- According to economists at C.H. Guernsey & Company, the level of natural gas in storage is not only high, but the withdrawal for the heating season is starting much later than usual.
Economists, using the GUERNSEY storage model, estimate a potential net injection between four and 16 billion cubic feet (bcf) for the third week in November.
"In each of the past six years, by the third week in November we had significant withdrawals from storage; however, our storage model estimates that the American Gas Association (AGA) will again announce this week a net injection into storage," said Dr. Donald Murry a GUERNSEY economist and Vice President.
Although the level of gas storage, which the AGA estimated at 3,107 bcf at the beginning of the week, is 13 percent higher than the level for the same week one year ago, the delay in starting significant withdrawals improves the chances of plentiful supplies throughout the winter. In comparison to the GUERNSEY estimate of a negligible change in storage levels this past week, for the same week a year ago there was a withdrawal of 94 bcf.
"If our estimates prove accurate, this will put storage levels over 20 percent higher than they were this time last year, and this will exert a continued downward pressure on natural gas prices," Murry said.
C.H. Guernsey & Company, a diversified architectural, engineering and consulting firm with approximately 180 employees, has its headquarters in Oklahoma City. The firm has been serving the needs of clients for over 73 years and has offices in Tulsa, Amarillo, Dallas, Tallahassee, Colorado Springs, Honolulu and Rock Island, Ill. |
