And Joe Bastardi is predicting an even colder winter for 2014-2015. What will that do to natgas prices? My guess, with the pressure to export, and increased use as a motor fuel, not to mention power plant changeover from coal, will push gas to the magic $6.00 land.
I doubt it. The point of the article was that even with all the reasons many folks expected the price to exceed $5, it did not.
The exporting won’t begin by this winter, so it can not have an effect. The increases in use for vehicle fuel is creeping slowly. No real way for either to make an noticeable effect in pricing in less than a year.
The also discuss demand increasing 12% in January due to our very cold winter.And Joe Bastardi is predicting an even colder winter for 2014-2015. What will that do to natgas prices? My guess, with the pressure to export, and increased use as a motor fuel, not to mention power plant changeover from coal, will push gas to the magic $6.00 land.
Recent research also suggests that production can increase substantially–to allow for LNG exports—without having a noticeable impact on prices. This is certainly good news for consumers, although producers should again be warned against irrational exuberance.