Natural gas prices have rebounded due to prolonged periods of cold in the Northeast. The amount of gas in storage is now below last year and approaching the five year average. As we approach the five year average, I believe Dry Gas prices will rise to about $4.00 per million BTU’s. Currently dry gas futures prices are in the $4.15 per million BTU range.This price range is still great for utilities, chemical companies, fertilizer manufacturers and manufacturing in general which use natural gas as a fuel or feedstock. The expansion along the Gulf Coast is proceeding on schedule and expanded capacity of ethylene will start coming online this quarter and continue into 2015. In my opinion, this will add to employment and increase exports reducing our balance of trade deficit.
Four Energy Plays We Like: EOG, Whiting, Oasis And Continental
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