Natural gas is an important energy source in agriculture. And statistical figures on its production can shade pricing or cause other challenges. Turns out the numbers could be wrong.
The U.S. Department of Energy is getting set to make a significant change in how it reports natural gas supplies after it found a flaw in the way those figures are calculated. According to a Wall Street Journal report, the agency was surveying large producers and extrapolating that information across the industry. That left out data from a range of smaller producers, which could swing wildly.
The Energy Information Administration, DOE's statistical arm, will be changing the natural gas report methodology this month, and they say it could cause a significant reported drop in production for some areas.
How this will impact pricing remains to be seen; however the Journal has also reported that EIA has been inaccurate in calculating some key petroleum data as well. The revised natural gas report - called the 914 - from EIA comes out later this month.
Powered by iNet Solutions Group ©2011 All Rights Reserved.