Value Microcaps Motherboard

[southacresdave]

NG production is DOWN not up. Between April 14th and October 20th, the 5 year average of NG added to storage reserves is 2093 bcf, the amount added in 2005 (with all the hurricane problems) was 1792 bcf, the amount added in 2006 was 1747 bcf!! The problem was that NG reserves on April 14 in 2006 were so damn high due to the mild winter. If we had not had the "warmest" winter on record last year (and rather a normal winter), we'd be hurting for certain right now.

The 5 year average for closing out winter reserves (in mid-April) is 1083 bcf in storage. If we'd closed there this year and then only added in 1747 bcf production (the actual production numbers for 2006) our total would be 2830 bcf right now going into winter (which would be 10% below 5 year averages.) NG futures would be on fire right now.

True, we have record reserves, but if anything were to draw them back down then look out!


http://tonto.eia.doe.gov/oog/info/ngs/history.html