U.S. Power
Plants Reach All-Time High Natural Gas Consumption in Response to Summer
Heat Wave
Aug 22, 2006 - Business Wire
Weis Communications Gretchen Weis, 713-385-8912 or BENTEK Energy
Rusty Braziel, 303-988-1320
The U.S. has been sweltering under extremely hot temperatures during
both July and August this summer, resulting in record- setting
electricity generation coast to coast. As a result, U.S. power plants
have been burning natural gas at all-time high record rates as consumers
crank up air conditioners nationwide to beat the heat.
According to data released by BENTEK Energy, the leading provider of
daily energy market supply and demand information and analysis to both
the energy and financial services sectors, approximately 29.6 billion
cubic feet per day (Bcf/d) of natural gas was burned in July or 17.5%
over the record burn in August 2005 of 25.2 Bcf/d. August month-to-date
is even higher, recording 30.2 Bcf/d through August 22nd with a record
breaking daily burn of 42.3 Bcf/d on August 2nd.
Natural gas to meet this unprecedented demand has been either pulled
out of storage or diverted from volumes previously destined for
injection into natural gas storage facilities. Natural gas is normally
stored in the summer season to meet heating demand load in the winter
months. This summer's gas burn for power generation could reduce the
large natural gas storage inventories built up earlier this year during
the very warm 2005-2006 winter season.
Due to the significant impact this summer's unprecedented gas
consumption could have on total gas demand and natural gas storage
levels, BENTEK has created a new daily report of natural gas consumed by
power generation plants. The BENTEK U.S. Power -- Gas Burn Report covers
427 plants across the United States, representing almost 50 percent of
the natural gas burned for power generation.
"The need for prompt, accurate information about natural gas use in
the power generation sector has never been greater, given this summer's
record-setting electricity production resulting from the extreme July
and August temperatures occurring throughout the country," said Porter
Bennett, president and CEO of BENTEK Energy and a recognized expert on
energy market fundamentals.
Each daily edition of BENTEK's Gas Burn Report provides gas
consumption data organized in three formats:
--Gas consumption for power generation organized by eight NERC
regions with day, month, season and year views
--Gas consumption for power generation organized by EIA storage week,
which allows users to compare against natural gas storage injections and
withdrawals.
--Detailed breakdown of gas consumption at each of the 427 electric
power plants monitored by BENTEK's Energy Data Warehouse.
The report also provides a daily Gas Burn Number which is comparable
to the Energy Information Administration's (EIA) U.S. Natural Gas
Deliveries to Electric Power Consumers statistical series.
"As a predictor of the EIA Total U.S. Natural Gas Power Demand
statistic, this report is extremely accurate," said Jim Simpson, VP of
Operations with BENTEK. "A regression analysis of our Gas Burn Number to
the EIA Gas Power Demand comes in at a very high correlation." BENTEK's
newly created daily Gas Burn Number gives clients a very valuable data
point to use in their assessment of weekly storage injections and
withdrawals. When used in conjunction with BENTEK's daily Gas Storage
Reports, customers gain a more complete picture of consumption and the
corresponding storage injections and withdrawals for more accurate
prediction of the EIA Gas Storage number released each week.
The U.S. Power -- Gas Burn Report is available by subscription.
BENTEK Energy is providing those interested a limited-time free- trial
offer. Visit www.bentekenergy.com
and click on the Gas Burn Report icon to register.
About BENTEK Energy
Founded in 1985, BENTEK Energy specializes in bringing companies
daily Energy Market Fundamentals that give them the analytical tools and
competitive intelligence needed in order to make critical, bottom-line
decisions in today's energy marketplace. Its product line includes
BENport(TM) web portal, Energy Data Warehouse, Energy Visuals and Energy
Analytics.
BENTEK Energy goes deep into the data to help clients understand the
fundamentals -- how energy is moving, where bottlenecks may develop, and
which supply/demand factors impact prices. It supports clients' decision
making by providing energy flow, supply, demand, capacity and storage
data packaged with graphics and analysis that aid in quick understanding
and decision making.
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