Nebraskans are starting to turn their furnaces on they will be hard at work for the next six or seven months. The good news is that there should be no talk of natural gas shortages during the winter season.
American Petroleum Institute Chief Economist Dean Foreman says natural gas and oil have set record numbers of production. He says, “All of the global oil markets fusses on annual growth of only two percent but natural gas markets have quietly expanded by twelve percent year-over-year. And again, this is breakthroughs on the production side, process innovation, new technology that has improved productivity. If anything from what we’ve seen from the government outlook, from the U.S. Energy Information Administration standpoint, is a gas market that is very much in surplus right now.”
However there are challenges ahead. Issues impacted the market include lower growth expectations, rising inflation, interest rates, trade barriers, disputes and financial market uncertainties. The report shows even with increased production there are factors that are limiting the demand. That includes coal and nuclear power subsidies, global market conditions and improved competitiveness by renewable fuels.