Henry Hub Remains Lower in US Hours

Henry Hub front month has regained some ground during US hours but remains lower on the day. Strong production levels and a slight reduction in expected demand next week are adding downside.

• US Natgas AUG 24 down 1.8% at 2.15$/mmbtu
• US Natgas JAN 25 down 2% at 3.57$/mmbtu
• US LNG export terminal feedgas flows are today up to 12.60bcf/d according to Bloomberg with Freeport LNG supply at 1.34bcf/d and consistent with operation of two of the three trains. Calcasieu Pass feedgas is also still about 0.5bcf/d below high levels seen earlier this year.
• Power supply to the Freeport LNG facility is dropping on July 24, according to data seen by Bloomberg, to reverse the increase in power flows since the restart of the facility last week.
• US domestic natural gas production is up towards the highs seen earlier this month at 103.1bcf/d today. The average so far in July is 102.4bcf/d.
• Domestic lower 48 natural gas demand remains above normal estimated at 77.3bcf/d today according to Bloomberg.
• The US weather forecast has once again shifted slightly warmer since yesterday with above normal temperatures now expected across most of the US especially in the 6-10 forecast period.