* Storage deficit to year-ago widens to 4 percent
* Storage use this winter running 30 pct above average*
NEW YORK, Feb 10 (Reuters) – U.S. natural gas inventories
slipped below the five-year average last week for the first
time in more than a year, data released Thursday by the Energy
Information Administration showed.
The EIA report showed total domestic gas inventories fell
last week by 209 billion cubic feet to 2.144 trillion cubic
feet, leaving stocks at about 45 bcf, or 2 percent, below the
five-year average for the first time since Jan. 15, 2010, when
storage briefly slipped to a 6 bcf deficit.
It was only the third time in the last 2-1/2 years that
storage has fallen below that benchmark.
The weekly decline was above the Reuters poll estimate of
202 bcf and well above the year-ago drop of 180 bcf and the
five-year average decline for that week of 159 bcf.
Storage currently stands at about 98 bcf, or 4 percent,
below year-ago levels.
Utilities and large industrial firms typically store gas in
underground caverns from April through October to help meet
winter heating needs from November through March.
The stock surplus to the five-year average peaked at 353
bcf in late October but has been steadily shrinking this winter
as frigid weather forced utilities to lean heavily on storage
to meet strong heating demand.
Storage began the heating season in early November at a
record high 3.84 tcf, but heavy withdrawals of about 1,700 bcf
over the last three months are running about 400 bcf, or 30
percent, above the five-year average.
In November, many analysts had expected inventories to end
the heating season at a record high 1.844 tcf, but a Reuters
poll two weeks ago showed expectations had been trimmed by 210
bcf to 1.634 tcf, or slightly below the end-winter record of
1.695 tcf set in 2006.
If weekly withdrawals through March match the five-year
average pace, inventories will end the heating season at 1.522
tcf, or about 3 percent below the five-year average.
(Reporting by Joe Silha)