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Free AccessNATGAS: Waha Hits Record Negative Price Aug. 30: Reuters
Waha natural gas prices in the Permian shale have turned negative a record number of times in 2024, including hitting an all-time low today, Reuters said.
- Waha spot gas prices fell around 120% to a record low of minus $4.80/MMBtu today, Reuters said. The prior record was minus $4.76/MMBtu.
- Pipeline constraints in the Permian continue to trap gas in the region, causing supply to outstrip demand.
- Waha has averaged below zero 21 times in August and 32 times in 2024 to date.
- The negative prices are an obvious sign that the region needs more gas capacity to lift the bottleneck and move the gas to meet demand in other areas.
- However, there is only one large infrastructure project in the region, the 2.5 bcf/d Matterhorn Express Pipeline, likely to enter service in Q4.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.