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Henry Hub Continues Downward Trend

NATURAL GAS

Henry Hub is set to further its losses on the day as high storage levels and lower LNG feedgas flows add pressure at the end of winter heating season.

  • US Natgas APR 24 down 2.7% at 1.67$/mmbtu
  • US Natgas SEP 24 down 0.1% at 2.48$/mmbtu
  • Henry Hub has been on a downward trajectory since March 8. Despite an intraday rally March 12, front month reversed its gains to end the day trading lower.
  • Total feedgas flows to US LNG export terminals are today estimated at 12.9bcf/d according to Bloomberg.
  • Lower 48 natural gas demand is today relatively unchanged and still below normal at 73.0bcf/d. Below normal temperatures in central areas this week are expanding to the east coast into next week.
  • The NOAA 6-10 day forecast shows below normal in the east and above normal in the west with both returning closer to normal in the 8-14 day period.
  • US domestic natural gas production is today down again slightly to 100.2bcf/d according to Bloomberg compared to an average of 100.9bcf/d so far in March.

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