U.S. Gas Injections at Record Pace
Inventories will be near normal when winter begins
The U.S. Energy Information Administration (EIA) reports that compressors are busy at privately owned gas storage fields.
Following an extremely cold weather, inventories at the end of the 2013-14 heating season were 857 Bcf (24 x 109 m3), the lowest level since 2003.
EIA said that nearly midway through the summer storage injection season (the beginning of April through the end of October), it projects a record build of 2.6 Tcf (73 x 109 m3) will bring stocks to 3.4 Tcf (96 x 109 m3) by the beginning of winter.
“While the refill season began slowly in April, injections quickly ramped up in May and have substantially exceeded five-year average levels each week since then. As a result, the gap between current storage and the five-year average narrowed substantially. Currently, inventories are 683 Bcf (19 x 109 m3) below the five-year average,” EIA said.
The agency explained that gas production is about 3 Bcfd (85 x 106 m3/day) more than it was last summer while demand from the electric power sector has been flat. It said added that continued high production is expected through next spring, which will lessen the need for storage withdrawals next winter.