Natural Gas prices plunged to new lows this week, falling below $1.50/MMBtu, a catastrophically low price for U.S. gas drillers. While good for consumers, gas economists believe that the downward spiral of fewer Global LNG shipments due to COVID are leading to a supply glut in the US market which is leading to large US gas production shut-ins. Goldman Sachs is predicting roughly 2 Bcf/d shut in gas supply for about two months in order to head off storage congestion. Even with the shut-ins, by the end of the summer, the volume of cancelled gas could add more than 760 Billion cubic feet of gas to storage. Goldman Sachs is now slashing its pricing forecast to $1.40/MMBTu for October down from $1.75. (MJB)
You might be a Canadian if….
-You have a stash of Canadian Tire money somewhere in your house.’
-You understand the phrase “Could you pass me a serviette? I just dropped my poutine on the chesterfield.”
-You know who Casey and Finnegan are.
~Happy Canada Day!!~