Winter is here- almost. We said the woolly caterpillar showed signs of a brutally cold winter and if you didn’t believe that today’s price of natural gas at 4.22, about a 20% increase within days should validate it will be a cold winter. Rising cost of natural gas in spite of the high storage levels reflects that there could be a leveling out of the demand and supply. The midstream appears to be catching up to the drilling from the past 5+ years which indicates there should be steady and increased drilling especially in the Marcellus and Utica.
November 6, 2014