Natural Gas End of Day Summary: Henry Hub Resumes Losses

Henry Hub has reversed some of yesterday’s gains, driven by a smaller than normal storage withdrawal, albeit roughly in-line with expectations. Near term supplies remain steady while warmer weather dampens demand.

• US Natgas MAR 24 down -2.8% at 1.72$/mmbtu
• US Natgas AUG 24 up 1.2% at 2.52$/mmbtu
• The EIA weekly gas inventories for the week ending Feb 16 showed a draw of -60bcf compared to the expectation for a draw of -59bcf according to a Bloomberg survey and the seasonal normal draw of -153bcf.
• US gas production is today estimated at 102.6bcf/d.
• Feedgas flows to US LNG export terminals are today at 13.27bcf/d.
• Lower 48 gas demand is down below normal at 82.9bcf/d today.
• Three of Venture Global LNG’s main customers have asked US energy regulators to address the LNG developers request for a one-year permit extension to complete its Louisiana export facility.
• South and Southeast Asian LNG imports are forecast to rise by 12% on the year to 34.7mn tons this summer.
• Shipping companies are considering converting two LNG tankers into floating storage units to help meet rising demand in Inda, according to Bloomberg.
• Russia’s Sakhalin Energy is offering 12 LNG cargoes a year to Chinese buyers for a term period of three to five years starting in August according to Platts.
• It is unlikely that Colombia will achieve its aim of starting natural gas imports from Venezuela in 2024, as the pipeline connecting the two countries requires urgent repairs, according to Bloomberg.