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Henry Hub Holding Gains After Weekly Storage Withdrawal

NATGAS

US Henry Hub is relatively unchanged today amid low volumes due to the Thanksgiving holiday after gains yesterday in reaction to a small, unexpected draw in US gas storage inventories.

    • US Natgas DEC 23 up 0.4% at 2.91$/mmbtu
  • The EIA weekly gas inventories for the week ending 17 November showed a draw of -7bcf compared to expectations of a build +2bcf and five-year average for this time this year of -53bcf. The total US inventories remain above normal at the start of the withdrawal season at 3,825bcf compared to the five-year average of 3,577bcf.
  • Domestic natural gas demand has ticked up above normal to 84.8bcf/d today as temperatures cool across the US. Temperatures are expected to fall below normal at the end of this week and extend into next week. The NOAA forecast shows below normal in the central and eastern regions in the 6-10 day period before warming back to near of even above normal in the 8-14 day period.
  • Domestic natural gas production is today estimated back up to 105.7bcf/d according to Bloomberg after dipping back to 105.2bcf/d on Nov 21. Output has been holding near record levels this month and reached a record 106.1bcf/d on Nov 8.
  • Feedgas flows to US LNG export terminals are today unchanged 14.8bcf/d according to Bloomberg.
  • Export flows to Mexico are today at 5.9bcf/d according to Bloomberg.

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