Domestic daily consumption of natural gas for the nation often cruises along in the 80s (Bcf per day) only to spring above 100 Bcf per day on the coldest days in January and February when heating loads are accentuated. According to Bentek Energy LLC that already occurred on November 24 this winter heating season, as an early arctic blast blanketed much of the nation beginning on that date.
The recent cold weather has solidly turned storage injections into weekly withdrawals – exactly what supply planners would expect. At the same time flowing produced gas is at record or near record highs and imports from Canada even popped up to over 6 Bcf per day during the early season cold.
No major surprises here except for the vagaries of weather and temperatures. As a result, Henry Hub pricing popped up a little to about $3.80 per MMBtu and forward pricing through May 2014 remains at about that benchmark.
Visit this link to download the full Natural Gas Market Indicators report. Topics covered in this week’s report include: Reported Prices, Weather, Working Gas in Underground Storage, Natural Gas Production, Shale Gas, Rig Counts, Pipeline Imports and Exports, and LNG Markets.
AGA is very grateful for the reader interest in our Natural Gas Market Indicators report, which is now marking the 216th issue published. Although we will continue to circulate the document twice per month via e-mail, a new look is in the works and new tools for you to forward the report to others are being developed. Please be on the lookout for initial changes in the format beginning January 2014. Our content and purpose will remain the same, which is to provide you a snapshot of critical natural gas industry developments from a local gas utility perspective. Thank you again for your interest in our market views and your readership.