Natural Gas End of Day Summary: Henry Hub Rises on Cold Weather

US Henry Hub surged during the day amid forecasts for colder weather, which is expected to be supportive for demand.

• US Natgas NOV 23 up 3.7% at 2.95$/mmbtu
• US Natgas APR 24 up 1.7% at 3$/mmbtu
• Domestic natural gas demand is edging higher in line with the seasonal trend with today estimated at 69.3bcf/d according to Bloomberg.
• A pair of cold fronts and rising gusty northwest winds will drive cooler-than-average weather into the central, southern, and eastern US Oct. 8-12, according to Atmospheric GS and Bloomberg.
• Natural gas deliveries to US LNG export terminals are today stable at 12.66bcf/d according to Bloomberg but still curtailed by about 0.75bcf/d due to the Cove Point maintenance possibly for another couple of weeks.
• US domestic natural gas production was yesterday estimated at 101.0bf/d according to Bloomberg compared to the average of 101.3bcf/d in the previous week.
• Freeport LNG sought permission from federal energy regulators to take more steps to return its export plant in Texas to full commercial operation, which would allow the plant to supply more LNG to the global markets ahead of the winter heating season according to Reuters.
• Export flows to Mexico are unchanged today at 7.0bcf/d.
• Freeport LNG sought permission from federal energy regulators to take more steps to return its export plant in Texas to full commercial operation, which would allow the plant to supply more LNG to the global markets ahead of the winter heating season according to Reuters.
• Pipeline gas exports from Russia to Europe in September switched to the first year-on-year increase in 2023 according to Energy Intelligence.
• Global LNG imports for the week to 1 Oct fell 8% to 6.8m metric tons at the start of the holiday period for parts of North Asia according to Bloomberg.
• LNG cargo arrivals into NW Europe were slightly down on the month totaling 51 in September compared to 53 in August and 52 in July according to Bloomberg tanker tracking data.
• The total estimated quantity of LNG on tankers that have not unloaded for at least 20 days rose by 39% over the last week to the highest level since end-November and 83% above the 2018-2022 average, according to Bloomberg estimates.
• Egypt is planning to resume LNG exports this month after increased domestic demand led to a halt in shipment this summer, Egypt’s Energy Minister, Tarek el-Molla, said.
• The project to build an LNG facility in Ust-Kut is still at the feasibility study stage, Deputy general director for production development Alexander Prudnikov said, according to Interfax.