Henry Hub Gains Ahead of EIA While Sabine Pass Feedgas Flow Drops

US Henry Hub is trading up on the day ahead of the updated EIA gas storage inventories while Sabine Pass LNG feedgas supplies drop again.

• US Natgas JAN 24 up 1.3% at 2.84$/mmbtu
• US Natgas JUN 24 up 0.4% at 2.82$/mmbtu
• US Natgas DEC 24 down -0.3% at 3.96$/mmbtu
• Feedgas flows to US LNG export terminals are today estimated down to 13.65bcf/d according to Bloomberg with a 0.9bcf/d drop in Sabine Pass supplies from yesterday. Sabine Pass flows had dropped earlier this week with volumes suggesting at least one production unit could be offline, but supplies had recovered back near to normal yesterday.
• The EIA weekly gas inventories for the week to Nov 24 will be released this afternoon at 10:30 ET (15:30 GMT). The expectation for a draw of -5bcf according to a Bloomberg survey compared to the seasonal normal draw of -41bcf and the draw of -7bcf seen last week.
• US lower 48 natural gas demand has today declined again to 91.4bcf/d according to Bloomberg from the peak of 107.8bcf/d on Nov 28 but is still above the previous five year average. Temperatures in lower 48 are expected to rise above normal into the coming weekend as the NOAA 6-14 day forecast shows above normal for most regions expect the far East Coast.
• Domestic natural gas production was yesterday around 105.1bcf/d compared to the record high of 106.5bcf/d on Nov 27 and the average of 105.5bcf/d throughout November.
• Export flows to Mexico are at 6.1bcf/d according to Bloomberg.