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High Production Pushes US Lower Despite Hot Weather

NATGAS

Natgas prices in US continue to pull back from a peak of 10$/mmbtu on Aug 23

  • US Natgas OCT 22 down -2% at 9.15$/mmbtu
  • TTF SEP 22 down -2.4% at 266€/MWh
  • EU gas prices have fallen back over building gas storage levels and on EU hopes to control surging European energy markets.
  • Hot weather across most of the US is giving support with demand still above normal. Lower 48 dry gas consumption is today at 73.7bcf/d.
  • High dry gas production is keeping downward pressure on prices. Production set a new high of 100.56bcf/d on Saturday.
  • Deliveries to LNG export terminals have dipped slightly to 10.8bcf/d while exports to Mexico are also slightly down to 6.7bcf/d.

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