NATGAS: Henry Hub Pulls Back After Rally on EIA Storage Draw

Henry Hub has pulled back slightly today following weaker prices across the energy complex after rising to a high of $2.301/mmbtu in reaction to data yesterday showing a US gas storage draw.

• The EIA weekly gas inventories for the week ending Aug. 9 showed a draw of 6 bcf counter to expectation and seasonal normal of net injections for the week. US storage inventories however still hold a robust surplus of 375 bcf, although it has shrunk in 12 of the last 13 weeks.
• US domestic natural gas production rebounded back to 102.15bcf/d yesterday according to Bloomberg but still below levels of around 104bcf/d at the start of month.
• US LNG export terminal feedgas flows are today estimated at 12.63bcf/d, according to Bloomberg compared to an average of 12.7bcf/d so far this month.
• Domestic natural gas demand is up again today to 78.6bcf/d, according to Bloomberg, compared to the seasonal average around 72bcf/d. The latest weather forecast still shows lower 48 temperatures cooling over the coming week before rising again later in the month with central regions and the Gulf Coast above normal and east and west coasts closer to or slightly below normal.
• Export flows to Mexico have rebound to the highest since October 2023 at 7.4bcf/d, according to Bloomberg.
• Nymex Henry Hub daily aggregate traded futures volume was 479k on Aug 15.
  • US Natgas SEP 24 down 1.2% at 2.17$/mmbtu
  • US Natgas FEB 25 down 1.1% at 3.36$/mmbtu
  • US Natgas AUG 25 down 1% at 3.27$/mmbtu