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Henry Hub Highest Since Early Dec on Cold Weather and LNG Flows

NATGAS

Henry Hub front month rallies to the highest since Dec 1 with strong domestic demand due to cold weather and near record LNG exports facility feedgas flows amid rising Middle East tensions.

    • US Natgas FEB 24 up 4.4% at 2.79$/mmbtu
    • US Natgas JUL 24 up 2.8% at 2.83$/mmbtu
    • US Natgas JAN 25 up 1.7% at 3.92$/mmbtu
  • Domestic natural gas demand is holding above normal and up on the day to 102.35bcf/d according to Bloomberg. The latest weather forecast shows below normal temperatures spreading across from the west in the coming week but with above normal holding on the East Coast. Gusty winds are expected in the eastern half of the country and snow in the Midwest for Jan 8-12.
  • US natural gas production has dropped to around 104bcf/d according to Bloomberg driven by a decline in Appalachia flows in the last couple of days. The average production for the whole of December was just over 105.1bcf/d.
  • Feedgas supplies to US LNG export terminals are back up to 15.0bcf/d today after a dip in Sabine Pass supply taking the total down to 14.15bcf/d yesterday according to Bloomberg.
  • Export flows to Mexico are relatively unchanged on the day at 5.97bcf/d according to Bloomberg after a dip earlier this week.

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