Natural Gas Market Indicators: October 15, 2019Average household expenditures for all major home heating fuels are expected to decrease this winter compared with last, according to the U.S. Energy Information Administration’s (EIA) Winter Fuels Outlook report. The decrease in expected winter consumption compared to last year is largely attributable to milder temperatures forecasted compared with last year. Although the National Oceanic and Atmospheric Administration is forecasting a generally warmer winter for most of the country, the biggest decline in heating degree days from last winter is expected in the Midwest.
The EIA projects that U.S. residential sector gas consumption this winter will average 22.1 Bcf per day with an average household consumption for the winter of 58 Mcf. On the supply front, the EIA expects working gas inventories two percent higher than the five-year average to begin the winter, suggesting a strong supply picture. All fundamentals considered, the EIA forecasts residential natural gas prices will average $10.03 per Mcf this winter, one percent less than last winter – an affordable proposition if you heat your home with natural gas.
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.
Please direct questions to Richard Meyer at rmeyer@aga.org or Gina DeFrancesco at gdefrancesco@aga.org.
