303. SOARING NATURAL GAS INVENTORIES
Gas Prices Tumble to Near One-Year Low
Natural Gas Prices Decline to Their Lowest Level in Almost a Year Amid Soaring Inventories
WASHINGTON (AP) -- Natural gas futures declined to their lowest level in almost a year on Friday amid soaring inventories of the mostly domestic fuel used to heat homes and produce electricity.
Analysts said the price of natural gas could fall even further in the months ahead, given relatively weak demand and expectations of rising supplies, though they cautioned that production in the Gulf of Mexico remains hindered by damage from last year's powerful hurricanes Katrina and Rita.
"Unless we have a repeat of last summer's hurricane season, we're going to have so much (natural) gas in storage by September that we won't have anywhere to put it," said Daniel Lippe of Petral Worldwide Consulting in Houston.Source
-- by JD