Some good news for a change

[JohnD]

Looking forward to a drop in my gas bill.

"US natural gas prices tumbled to their lowest level in three-and-a-half years on Tuesday as expectations of an unusually warm winter heaped more pain on energy producers already reeling from the collapse in oil prices.

Early on Tuesday, benchmark Nymex November natural gas dropped as low as $1.948 per million British thermal units, down 5.5 per cent on the day and off a fifth from just a week earlier. The last time US gas dipped below $2 was in 2012 following a balmy winter that was the fourth warmest in recorded history. It previously traded in that range in the last century.

The US natural gas market has been transformed over the past five years by a boom in onshore shale production."

says the FT
http://www.ft.com/cms/s/0/e6a29574-7c95-11e5-98fb-5a6d4728f74e.html

 

[EFLImpudence]

You don't live in the US.

 

[handyjack]

You don't live in the US.

He lives in cloud cuckoo land.

 

[noseall]

You don't live in the US.

You are naïve.

 

[WalksWithTurkeys]

And how does this relate to Muslims?

 

[handyjack]

And how does this relate to Muslims?

 

[EFLImpudence]

You don't live in the US.

You are naïve.

Did you mean native?

 

[noseall]

You don't live in the US.

You are naïve.

Did you mean native?

I just thought it was random statement day. What's your excuse boyo?

 

[HawkEye244]

Happy for you John

 

[misterhelpful]

You don't live in the US.

But I do, and can say that we won't see any difference in our gas prices. Like in the UK, customers are on fixed rate or variable rate tariffs so only those on variable rates (not us) will see any changes. The price has only tumbled because the weather has been so unseasonably mild - we were touching 80°F for much of last week - but it will jump back up as soon as the really cold weather hits. It always gets well below freezing in this area for at least a couple of months and we are supposedly going to have a pretty bad winter this year too. It's swings and roundabouts, so I won't be expecting an extra orange in my stocking this Christmas!

 

[JohnD]

Global oil prices are also approaching half what they were a year ago. This isn't due to mild weather, it's due to increased US production undercutting some other producers costs. In the past the US was a big importer, bidding up the price.

http://www.bbc.co.uk/news/business/market_data/commodities/143908/twelve_month.stm

http://www.bbc.co.uk/news/business/market_data/commodities/143910/twelve_month.stm

Why the reluctance to accept that US fracking is turning the world energy market upside down?
The US is now the top producer globally, ahead of both Russia and Saudi Arabia, with a cost of production in the region of $36/BOE.

This is a big problem for such producers as Russia and Scotland, who see their dreams of riches evaporate.

There's still a chance that falling prices will eventually bring some benefit to the consumer.

 

[JBR]

And how does this relate to Muslims?

I suppose the confusion arises because this thread has exactly the same title (with the exception of an initial capital letter) as this one:
//www.diynot.com/diy/threads/some-good-news-for-a-change.444967/#post-3489847

I confess that I mistook the one for the other a couple of times.

 

[EFLImpudence]

Ok. I will buy my gas direct from the US producers, then.

That the price of the supply has fallen drastically does not mean the consumers' bills will fall more than a nominal amount here in Britain.

 

[EFLImpudence]

...as expectations of an unusually warm winter...

... we are supposedly going to have a pretty bad winter this year too...

That's that settled.

I'll let you know in March.

 

[misterhelpful]

Global oil prices are also approaching half what they were a year ago. This isn't due to mild weather, it's due to increased US production undercutting some other producers costs. In the past the US was a big importer, bidding up the price.

Why the reluctance to accept that US fracking is turning the world energy market upside down?

There's no reluctance to accept that from me but I can't see how there will be any big savings passed on to the consumer.
Petrol prices were very low here a couple of months back (just over $2 per US gallon) but one single refinery issue in Indiana for a few days saw the price shoot up by 70-80 cents. As soon as the suppliers see any reason to hike the prices, they will. Therefore, I can only see the gas prices rising once the colder weather comes because, as we all know, when demand for any commodity rises, so does the price.