May 26, 2023 12:52 GMT
Henry Hub Extends Decline After EIA Build Yesterday
US Henry Hub extends the trend lower this week with steady supplies and LNG exports while storage remains high after an above normal build showing in data yesterday.
- US Natgas JUN 23 down -2.9% at 2.24$/mmbtu
- EIA weekly gas inventories for the week ending 19 May release yesterday showed a larger than normal build of +96bcf compared to the 5-year average for this time of year of +86bcf although just below market expectations. Total US inventories are still above the five year average at 2,336bcf compared to the average of 1,961bcf.
- Domestic production is today estimated at 100.4bcf/d compared to an average of 100.7bcf/d so far this month.
- The latest two week US weather forecast is slightly cooler across the US in the 8-14 day period with below normal temperatures showing in the south but above normal still in the north. Domestic demand is estimated down from yesterday at 63.6bcf/d today according to Bloomberg but remains above the five year average.
- Delivery flows to the US LNG export terminals are estimated slightly higher at 13.5bcf/d according to Bloomberg with increased supplies to Corpus Christi.
- Export flows to Mexico are today estimated at 6.7bcf/d.