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Henry Hub Falls As Temperatures Cool and with Dip in LNG Feedgas

NATGAS

US Henry Hub front month futures are declining today to extend the drop since late last week as cooler weather spreads across the of the country. Domestic production remains strong and LNG export flows remain steady with gas storage still high despite a falling surplus in recent weeks.

    • US Natgas OCT 23 down -2.9% at 2.51$/mmbtu
  • The latest two week NOAA forecast shows below normal temperatures in the North East and central areas although above normal remains in the south and on the West Coast. Domestic gas consumption is still at the top of the five year range at 74.8bcf/d today.
  • US domestic natural gas production was yesterday estimated at 102.5bcf/d according to Bloomberg and in line with levels seen so far this month.
  • Feedgas delivery flows to US LNG export terminals have dropped slightly today down to 12.6bcf/d today due to a 0.34bcf/d drop in supply to Sabine Pass and compared to an average of 12.3bcf/d over the previous 30 days.
  • Export flows to Mexico are holding well above normal at 7.2bcf/d today.

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