SOURCE: Energy Solutions, Inc.

Energy Solutions, Inc.

March 22, 2011 12:37 ET

Natural Gas Buying Guide Helps Buyers Improve Profitability

In Its Most Recent Analysis, Energy Solutions, Inc. Identifies Four Timeframes That Are Expected to Provide Natural Gas Buying Opportunities

VERONA, WI--(Marketwire - March 22, 2011) - Prolific shale gas has caused natural gas production levels to exceed natural gas demand requirements. This imbalance has driven natural gas prices to a lower trading range. However, no market moves in one direction forever. According to Natural Gas Buying Guide, a major price trend change is anticipated in 12-15 months. This means gas buyers need a disciplined, proactive natural gas purchasing strategy today and that is the purpose of Natural Gas Buying Guide.

Natural Gas Buying Guide offers a three-step approach to help companies improve their profitability by providing buyers with (1) an interpretation of various market data to improve a natural gas buyer's understanding of current and future natural gas market conditions, (2) a timeline of anticipated natural gas price movements resulting from changing perceptions of natural gas market conditions, and (3) articulated natural gas purchasing recommendations that can be tailored to meet a company's specific objectives and goals.

According to Natural Gas Buying Guide, a declining natural gas drilling rig count will ultimately hinder production growth. This will set the stage for a stronger natural gas price environment that will receive additional support from an increasingly optimistic economic outlook. In addition, the perception of the balance between natural gas supply and demand may change as the tragedy in Japan will heighten fears of nuclear power and place an increased emphasis on natural gas-fired electric generation. Plus, with global natural gas demand growth and the rising price of overseas liquefied natural gas (LNG), the U.S. may look closer at natural gas exports.

Lower natural gas prices create the temptation for natural gas buyers to postpone purchasing decisions. However, a natural gas buyer who implements a proactive natural gas purchasing strategy on a disciplined basis will achieve better long-term results than a buyer who continually gambles and tries to make purchases solely at market bottoms. The disciplined buyer will be prepared when a price trend change occurs.

Natural Gas Buying Guide is an economical solution that will help natural gas buyers improve an existing or develop a new natural gas risk management plan and purchasing strategy. This analysis is written by Valerie Wood, President and Owner of Energy Solutions, Inc., an industry veteran with more than 26 years of natural gas expertise. To learn more, go to www.energysolutionsinc.com, view an Executive Summary, or call (608) 848-9589. 

About Energy Solutions, Inc.
Formed in 1996, Energy Solutions, Inc. is independently owned. With combined experience of more than 50 years in the natural gas industry, our team focuses on helping businesses better understand the natural gas industry in order to improve their competitive edge.

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