Natural Gas End of Day Summary: Henry Hub Falls

Henry Hub futures are ending the day lower as a small build in US gas storage levels and seasonally high stocks keep pressure on prices.

• US Natgas APR 24 down 0.9% at 1.68$/mmbtu
• The EIA weekly gas inventories for the week ending Mar. 15 showed a build of 7bcf compared to the seasonal normal draw of -59.5bcf.
• Total stocks are at 2,332bcf compared to the previous five-year average of 1,650bcf.
• Total feedgas flows to US LNG export terminals is today estimated down again to the lowest since Mar. 5 at 12.56bcf.
• Weekly LNG exports from the Freeport LNG exports terminal dropped in March, due to ongoing works at the facility according to Kpler.
• Lower 48 natural gas demand is above the previous seasonal five-year range up at 88.2bcf/d today according to Bloomberg.
• US domestic natural gas production yesterday rose back up to 101.3bcf/d.
• Demand for LNG will be met by the likes of Qatar, Argentina, and Africa if the US refrains from permitting further LNG export plants: Baker Hughes CEO
• The LNG market has limited scope for demand growth in Europe, while the bigger demand case is in Asia, Vitol’s chief executive Russell Hardy said at CERAWeek.
• Improving arbitrage economics to move cargoes to the Far East have pushed up prices in the Mediterranean, according to Platts.
• Natural gas sendout from the UK’s LNG terminals has slumped in March as cargo arrivals dry up, according to Bloomberg.
• The government of Trinidad and Tobago is in talks with the US for a licence allowing joint development of a natural gas project shared with Venezuela.
• MNI COMMODITY RESEARCH: RUSSIA’S CHALLENGE IN REPLACING LOST EU GAS EXPORTS – Full piece here: https://roar-assets-auto.rbl.ms/files/60455/Russia%E2%80%99s%20Challenge%20in%20Replacing%20its%20Lost%20EU%20Exports.pdf