Natural Gas End of Day Summary: Henry Hub Furthers Fall

US Henry Hub furthered its losses during US hours as it continues its slide to its lowest levels since July 2020. Above normal temperatures are stymying US heating demand and piling pressure on prices.

• US Natgas MAR 24 down -4.4% at 1.61$/mmbtu
• US Natgas AUG 24 down -4% at 2.24$/mmbtu
• Henry Hub has been on a downward trend since the start of February, almost continuously closing at lower levels.
• The US weather forecast has turned warmer in the 6-14 day period with above normal now expected in central areas
• Domestic natural gas demand is again just below normal today at 94.1bcf/d according to Bloomberg.
• US lower 48 gas production was yesterday slightly down on the day to 104.1bcf/d according to Bloomberg with a small dip in Permian and Rockies flows.
• Feedgas flows to US LNG export terminals are holding steady today at 13.75bcf/d
• The Biden Administration pause on approvals of new LNG export projects will not have an impact on US LNG supplies to Europe in the next two or three years according to a EC’s Executive VP Maros Sefcovic.
• Global LNG demand is expected to continue to grow into 2040 while global natural gas demand is expected to peak after 2040, driven by China and other Asian counties according to Shell.
• LNG stockpiles held by Japanese utilities fell by 10% last week to 2.06mn tons as of 11 February.
• Indonesia’s Tangguh LNG facility has shut its train 3 due to technical issues, according to to SKK Migas cited by Bloomberg.
• MNI COMMODITY WEEKLY: New Refinery Capacity to Upend Global Product Flows - Full piece here: https://enews.marketnews.com/ct/x/pjJscQTckb8I6a9hdxp-Eg~k1zZ8KXr-kA8x6nDDpD3ptIPjO1OcQ