After 2 Winters with Above Average Storage Levels, the Industry Likely Will Enter the Next Heating Season With Below Average Inventories

Slide 11 of 13

Notes:

• Storage levels at the end of the heating season (March 31, 2000) were 1,150 Bcf, which is just above the 1995-1999 average of 1,139 Bcf.

• Injection rates in the first 4 months of the present refill season have been 16 percent below average, resulting in a 7 percent shortfall for stocks at the end of July 2000 compared to average. However, net injections in July have been 5 percent above average.

• If injections continue at historically average rates through the remainder of the refill season, gas inventories would be 2,822 Bcf on November 1, which is 5 percent below the 5-year (1995-1999) average of 2,982 Bcf. Compared to the end-of-heating-season level of 758 Bcf in 1996, this suggests an operational capability to withdraw more than 2.0 Tcf during the next heating season– 10 percent more than the 1,876 Bcf withdrawn last winter.