By David Middleton – Re-Blogged From http://www.WattsUpWithThat.com
Well… It’s the largest draw “on record”… Since 2010…
- Mcf : Thousand cubic feet ~ 1 million btu (mmbtu)
- Bcf : Billion cubic feet = 1 million mcf ~ 1 million mmbtu
- Natural gas storage: underground storage facilities for natural gas. Often old salt mines, depleted oil & gas fields. Gas is injected during warm months and withdrawn during cold months.
Working gas in storage was 2,767 Bcf as of Friday, January 5, 2018, according to EIA estimates. This represents a net decrease of 359 Bcf from the previous week. Stocks were 415 Bcf less than last year at this time and 382 Bcf below the five-year average of 3,149 Bcf. At 2,767 Bcf, total working gas is within the five-year historical range.
If natural gas was sea ice, it would be on the verge of disappearing forever (/Sarc)…
The record draw on natural gas storage was driven by record-breaking natural gas consumption… [See correction at bottom of post]
The record-breaking natural gas demand was driven by… Wait for it… FRIGID COLD temperatures over most of the continental United States…
Which has all led to a sharp spike in spot market natural gas prices… Can you say “hockey stick”?
This is exactly what we should have expected from Gorebal Warming!
Good thing that most of our coal-fired capacity survived Obama’s War on Coal!
Unfortunately, FERC rejected the proposed resiliency pricing rule for coal and nuclear power plants… So let’s hope the Marcellus holds up!
The record-breaking weekly storage draw and spot market price spike were the direct result of the deep-freeze. The record consumption was due to a combination of factors: increased gas-fired electricity generation, exports and to a lesser extent, the deep freeze. I should have structured the post better.