Henry Hub Erases Earlier Gains

Henry Hub has been volatile once again, initially climbing to $2.978/MMBtu before declining and bottoming out at $2.909/MMBtu. Weighing on prices has been high storage levels against falling temperatures and stable LNG feedgas.

• US Natgas NOV 23 down -0.1% at 2.92$/mmbtu
• US Natgas APR 24 down -0.3% at 3.02$/mmbtu
• The US natural gas storage inventory injections for week ending 20 Oct due for release later this week are projected in the range of 80-85bcf according to Platts gas supply-demand and storage models. This compares with a five-year-average build of 66bcf for that week.
• Domestic natural gas production was yesterday still up almost at the record high from the previous day at 104.05bcf/d compared to output of around 101bcf/d at the start of October.
• US natural gas demand is estimated lower today and back just below the five year average at 68.0bcf/d today according to Bloomberg.
• The latest forecast is relatively unchanged with warm weather in the coming week giving way to below normal temperatures across most country in the 6-10 day period except for the East Coast.
• Feedgas deliveries to US LNG export facilities are similar to yesterday at 13.8bcf/d today according to Bloomberg compared to an average of 13.5bcf/d so far this month and 11.4bcf/d in Oct 2022.
• Export flows to Mexico are today estimated at 6.5bcf/d.