Financial Times
US natural gas prices fall to decade low

Thursday, January 19, 2012

US natural gas prices have sunk to the lowest point in a decade as the shale drilling boom threatens to fill the nation’s underground storage network.

Bentek Energy, a market analysis group, last week warned that some swollen storage facilities may soon be forced to let out gas to maintain operational integrity, causing “extreme downward pressure on prices in March.”

Even a hot summer, which would force electric power plants to burn more gas, may not keep inventories from straining proved storage capacity of 4.1tn cu ft after the summer gas “injection season” ends in the autumn.

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