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How the Rocky Mountain snowpack impacts natural gas prices

Seeking Alpha | May 19, 2011 | 11:40 pm Energy

At first glance, you might think this is a stretch. How can snowpack levels in the West possibly have anything to do with the price of natural gas nationally?

It turns out that Rocky Mountain snowfall has a huge impact… Resulting water runoff from the thawing period changes the capacity of hydropower on the West Coast… and that has a huge impact on natural gas demand.

Plus it varies greatly from year to year.