Natural Gas Heating Demand Expected to Be 34% Below Average in the Coming Weeks
December 03 2012 - 7:20AM
Marketwired
Natural gas has been in a slump recently as forecasts for warmer
temperatures and weaker demand for gas-fired heating have caused
prices for the commodity to fall sharply. The United States Natural
Gas Fund (UNG), which is designed to track the changes in the price
of natural gas, has fallen over 11 percent in the past week. The
Paragon Report examines investing opportunities in the Natural Gas
Industry and provides equity research on EnCana Corp. (NYSE:
ECA)(TSX: ECA) and Cheniere Energy, Inc. (NYSE: LNG)
Access to the full company reports can be found at:
www.ParagonReport.com/ECA
www.ParagonReport.com/LNG
Weather forecasts have called for above average temperatures in
the coming weeks. Approximately 50 percent of households in the
United States are heated with natural gas. Recent data from Weather
Derivatives show that heating demand will be 34 percent below
average for the 48 contiguous states from Dec. 4 through Dec. 8.
The forecast for lower demand has seen prices for natural gas fall
5.2 percent in the past week.
"The earlier seasonal rally clearly expressed overly optimistic
expectations for initial heating demand. Good demand may still
materialize, but the enthusiastic aspirations of participants need
to be worked off," wrote Mike Fitzpatrick, editor of the Energy
OverView newsletter.
Paragon Report releases regular market updates on the Natural
Gas Industry so investors can stay ahead of the crowd and make the
best investment decisions to maximize their returns. Take a few
minutes to register with us free at www.ParagonReport.com and get
exclusive access to our numerous stock reports and industry
newsletters.
Encana is a leading North American energy producer that is
focused on growing its strong portfolio of diverse resource plays
producing natural gas, oil and natural gas liquids. Oil and natural
gas liquids (NGLs) production volumes in the third quarter averaged
over 30,000 barrels per day, an increase of nearly 6,000 bbls/d
compared to the third quarter of 2011.
Cheniere Energy is a Houston-based energy company primarily
engaged in LNG-related businesses. Construction of their Sabine
Pass LNG Terminal began in August and by late 2015 the terminal is
expected to be online. The company reported a net loss of $109.0
million for the third quarter of 2012, compared to a net loss of
$53.9 million in the year-ago period.
The Paragon Report has not been compensated by any of the
above-mentioned publicly traded companies. Paragon Report is
compensated by other third party organizations for advertising
services. We act as an independent research portal and are aware
that all investment entails inherent risks. Please view the full
disclaimer at:
http://www.paragonreport.com/disclaimer
Add to Digg Bookmark with del.icio.us Add to Newsvine