High Stockpiles of Natural Gas a Growing Problem for Pioneer Natural Resources and Cabot Oil & Gas Corp.

The Paragon Report Provides Stock Research on Pioneer Natural Resources and Cabot Oil & Gas Corp.

NEW YORK, NY -- (Marketwire) -- 04/03/12 -- The current natural gas supply glut could see prices fall even farther. Gas remaining in storage after an unusually warm winter is likely to top storage facilities months ahead of schedule, further pressuring the market. Storage capacity in the United States is already at 60 per cent, with Natural Gas inventory levels increasing in the month of March for the first time since 1977. The Paragon Report examines the outlook for companies in the Oil and Gas Industry and provides equity research on Pioneer Natural Resources (NYSE: PXD) and Cabot Oil & Gas Corporation (NYSE: COG).

Access to the full company reports can be found at:

- www.paragonreport.com/PXD
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With demand expected to remain low, producers will see higher fees on pipelines to park the surplus volumes and could be forced to shut in production at the wellhead, said Martin King, an analyst with FirstEnergy Capital Corp. "It's going to be challenging, there's no doubt about it," King said.

A report by oil and gas analysts Bentek energy indicates that the early start to injection season will have serious implications for U.S. natural-gas working capacity, which will be tested in the coming months. "Assuming natural gas injections mimic last summer, the trajectory would imply inventories of 4,698 bcf by November, which is 220 bcf higher than total U.S. design capacity," Bentek said in a report. "The current high storage levels will intensify downward price pressure throughout the U.S. this fall and likely force additional production shut-ins if stronger demand does not materialize this summer."

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Pioneer Natural Resources Company announced its first quarter 2012 earnings press release is scheduled to be issued after the close of trading on the New York Stock Exchange on Wednesday, May 2, 2012. A conference call is scheduled for Thursday, May 3, 2012 at 9:00 a.m. CT to discuss the first quarter results.

Cabot Oil & Gas Corporation recently announced that it has been notified by Williams of a flash fire, which extinguished itself immediately, at the Lathrop compressor station. "The cause of the fire is being investigated and fortunately all personnel are safe and accounted for," said Dan O. Dinges, Chairman, President and Chief Executive Officer. At the time of this incident Cabot was moving volumes that equate to approximately 365 Mmcf per day through this station.


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