Thursday, June 16, 2016

Storage Situation Improving...Slowly

With the EIA's announcement this morning that working gas in storage was up 69 Bcf to 3.041 Tcf, the gap between the current storage level and the five year average narrowed for the tenth consecutive week.  After reaching a high of 54.1% above the five year average on April 5, the deviation has slowly dropped to 30.1% with a series of below average injections.

While things are improving for gas, we still have a long way to go before the storage situation takes pressure off prices.  Come October we likely will be looking at another record or near-record storage year.

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