Natural Gas End of Day Summary: Henry Hub Lowest Since May 15

Henry Hub is headed for its lowest close since May 15, continuing the steady decline since June 11. Reduced LNG feedgas flows and consistently high production levels are maintaining downside.

• US Natgas AUG 24 down 1.5% at 2.44$/mmbtu
• US Natgas JAN 25 down 0.5% at 3.74$/mmbtu
• US LNG export terminal feedgas flows are today estimated down at 12.25bcf/d, according to Bloomberg.
• US domestic natural gas production was yesterday holding steady at 102.0bcf/d, according to Bloomberg.
• Domestic natural gas demand has risen again to 75.8bcf/d today according to Bloomberg.
• Temperatures across most of the US are still expected to hold above normal throughout the coming two-week period.
• US natural gas inventories likely posted below average growth of 30 bcf in the week to June 28, according to a survey of nine analysts, brokers, and traders by the WSJ.
• Platts analysts expect the US gas storage surplus to continue narrowing through at least mid-July as exceptionally hot weather persists in the lower 48 states, Platts said.
• A federal judge has blocked Biden’s administration from continuing to pause the approval on applications to export LNG on Monday.
• The LNG market is set for an oversupply from 2027 with demand growth, according to BNEF.
• The Sakhalin-2 LNG plant began planned maintenance in late June and will be offline until at least the end of July: Bloomberg.
• Egypt’s Hoegh Galleon FSRU has received its first LNG cargo since arriving.
• Initial data indicates that June showed another record for LNG cargoes transiting through the Cape of Good Hope shipping route.
• LNG cargo diversions have seen an upward trend with at least 40 cargoes diverted in May and June each, according to Platts.