[A-List] 2005/2006 US Winter Outlook

[Dale Allen Pfeiffer <daleallen0416@xxxxxxxxx>]

from Dale Allen Pfeiffer's blog

Back in October, we pointed out that the energy
situation as winter approached was not so bleak as
everyone suspected it would be. While the portion of
domestic energy production from the gulf region was
down notably due to hurricanes Katrina and Rita,
demand in that region was also down due to storm
related shut downs, and a mild season throughout the
country had allowed for record storage deposits for
the month of October. We concluded by saying that a
much clearer picture of our short term energy
situation would emerge in the end of November, as we
swung into the winter season.

Gulf production is still down due to the hurricanes,
with 31.9% of Gulf of Mexico (GOM) oil remaining shut
in as of December 6th, and 26.2% of natural gas still
shut in. This has dropped quite a bit from the amount
of shut in that was reported back in October (73.8% of
oil and 63.8% of gas production was shut in at that
time). Oil refinery shutdowns in the GOM are presently
totaling 804,000 barrels per day. While much of the
field production has recovered over the past couple
months, the recovery has slowed in recent weeks,
mainly due to infrastructure damage and upstream shut
downs.

Particularly with regard to natural gas, the damage to
processing facilities has placed a limit on the amount
of production. Processing plants in the region had a
pre-hurricane flow rate of 3.26 Bcf/d (billion cubic
feet per day). Currently, at least 1 million cubic
feet per day of processing capacity remains shut down.
However, many of these plants are expected to be
brought back on line within a month.

Overall, the national energy picture is fairly rosy as
we enter the winter of 2005/2006....

continued at http://www.lulu.com/allenadale

Dale
Irvine, KY
Appalachia

__________________________________________________
Do You Yahoo!?
Tired of spam?  Yahoo! Mail has the best spam protection around
http://mail.yahoo.com