Domino412

How Low Can Natural Gas Prices Go?

Playing the drilling and exploration companies is risky. If nat gas does not rebound, and with mild winters and low demand, it looks like it won't. Companies like CHK are saddled with high debt. The lower nat goes goes and stays, the more likely these companies will go bankrupt. They simply can't operate with these low prices.


On Aug 27 10:20 AM Andiroo wrote:

> What do people think about EP or CHK as a better play on a boost
> in NG prices than UNG?

The Case for Natural Gas

I bought UNG at 33, back in early fall, because I was so sure with winter coming on and demand would rise, that it too would rise. I sold it at 29 and glad i did. Its now 19. With winter winding down and industrial demand down, I don't see nat gas breaking 5 bucks any time this year.

Investors: Don't Borrow Money to Buy Stocks

Regarding CHK and McLendon , I guess he was like myself and buying up shares as they became cheaper due to the decline in Nat gas prices. When shares hit the teens Friday, I scooped up a handfull more. I've been buying CHK and other gas plays since CHK hit the 40's a few months back. I still believe Nat gas will hit 8 to 9 bucks by late winter. Come on, you know we wont see cheap heating bills this winter! And you gotta have it. I see CHK hitting 40 again by January. No, I won't be buying on margin.