Natural gas stocks in the U.S. are estimated to hit a record level by the end of October this year, according to the country's Energy Information Administration (EIA) on Monday.
Net natural gas injections during the refill storage season, from April 1 to Oct. 31, are expected to bring total working gas in storage to 4,029 billion cubic feet (114 billion cubic meters).
If that level is reached, it will become the largest monthly inventory level on record, the EIA said in a statement.
The EIA said it forecasts that working natural gas in storage in the Lower 48 states, which excludes the U.S. states of Hawaii and Alaska, will end the 2019-2020 winter heating season from Nov. 1, 2019 through March 31, 2020 at 1,935 billion cubic feet (54.8 billion cubic meters) -- 12% more inventory than the previous five-year average.
"This increase is the result of mild winter temperatures and continuing strong production," the statement said.
"Mild winter temperatures for the current winter have put downward pressure on natural gas prices and led to smaller withdrawals from natural gas into storage," it added.
By Ovunc Kutlu