Southwestern Energy (NYSE: SWN) Company is an energy company engaged in natural gas and oil exploration, development and production. This Company is operating through two segments such as Exploration and Production (E&P) and Midstream Services.
It is operations in northeast Pennsylvania are primarily focused on the unconventional natural gas reservoir known as the Marcellus Shale. This is affiliated with midstream subsidiaries, it is engaged in natural gas gathering activities in Arkansas and Louisiana.
These operations are principally focused on the development of unconventional natural gas reservoirs located in Pennsylvania, West Virginia, and Arkansas. As of December 31, 2016, it is estimated proved natural gas and oil reserves were 5,253 billion cubic feet equivalent (Bcfe).
- Y/Y Storage Surplus around 900 Bcf
Stockpiles are held in underground storage in the lower 48 states edged down by 9 billion cubic feet (Bcf) for the week ended Mar 13, just above the guidance (of 8 Bcf fall). But, the decrease was significantly lower than last year’s drop of 91 Bcf and the five-year (2015-2019) average net shrinkage of 63 Bcf for the reported week.Nyse sap stock news at https://www.webull.com/quote/nyse-sap withdrawal is putting total natural gas stocks at 2.034 trillion cubic feet (Tcf) – 878 Bcf (76%) above 2019 levels at this time and 281 Bcf (16%) over the five-year average.
- Coronavirus & Weather Woes Roiling the Struggling Sector
- While the novel coronavirus is outbreaking temporarily boosted natural gas prices on prospects of lower volumes, the rally was short-lived.
- The fuel is initially gained on expectations of a brake in the skyrocketing shale oil production growth that will be also limited associated gas output, thereby cutting the massive supply glut.
- However, the market soon gave up on the bullish sentiment, with pessimism and skepticism taking over. The price action is last week erased the minor reversal to close down 14.2% at $1.604 per MMBtu the lowest since 1995 when it hit $1.25.
- Expect Pain Ahead for Gas Stocks
Natural gas might experience short-lived surge based on positive weather forecasts but any powerful turnaround looks unlikely at the moment. The bearish natural gas fundamentals and its seasonal nature are responsible for the understandable reluctance on investors’ part to dip their feet into these stocks. Most gas-focused names are taking a pounding during the past year. Shares of EQT Corporation EQT, Gulfport Energy Corporation GPOR, Southwestern Energy Company SWN, SilverBow Resources, Inc. You can also check Nasdaq lulu news at https://www.webull.com/quote/nasdaq-lulu .