Natural-gas futures drop nearly 4% on supply jump -- ;((

Natural-gas futures drop nearly 4% on supply jump                                                                 (                                      NGN13                                 )                                                                  by Myra P. Saefong                            

SAN FRANCISCO (MarketWatch) -- Natural-gas futures dropped on Thursday after the U.S. Energy Information Administration reported a bigger-than-expected climb in last week's U.S. supplies. Natural-gas inventories rose by 111 billion cubic foot for the week ended May 31. Analysts polled by Platts forecasted a climb between 93 billion cubic feet and 97 billion cubic feet. Total stocks now stand at 2.252 trillion cubic feet, down 616 billion cubic feet from the year-ago level and 69 billion cubic feet below the five-year average, the government said. July natural gas     (ngn13)   was at $3.86 per million British thermal units, down 14 cents, or 3.6%. It was trading at $3.93 shortly before the data.

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Jay---sadly you are most likely correct even with LNG exports starting in next 2-5 years plus export increase to Mexico together maybe 4-5 Bcfd  which is about 5% of supply extra today would increase demand to 74-75 Bcfd the driller can easily handle more production with out shortage driving up prices. If driller/operator can control and balance it I can see $5 gas prices for many years in the future  and all be happy making some money as demand slowly increases and supplies increasing to balance and not over drill. But people are greedy and will over produce and as you said the cycle starts all over again 

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