Natural Gas End of Day Summary: Henry Hub Softens

US Henry Hub front month continues to be softer day on day, although has tapered earlier losses that were driven by an inventory build in line with expectations.

• US Natgas JUL 24 down 2.9% at 2.96$/mmbtu
• US Natgas DEC 24 down 1.9% at 3.83$/mmbtu
• The EIA weekly gas inventories for the week ending June 7 showed an injection of 74 bcf compared to the expectation for an injection of 73bcf according to a Bloomberg survey and the seasonal normal injection of 89 bcf.
• US storage inventories continue to hold a strong surplus with total stocks at 2,974 bcf compared to the previous five-year average of 2,401bcf
• US domestic natural gas production was yesterday at 99.5bcf/d according to Bloomberg.
• Domestic natural gas demand is today estimated at 69.4bcf/d according to Bloomberg.
• Europe’s over-reliance on US LNG imports demonstrates the risks during the hurricane season on the region’s gas market this winter, according to LSEG, cited by Montel.
• US terminal feedgas flows are today at 12.93bcf/d according to Bloomberg.
• Chevron has deferred several cargoes due to the Wheatstone outage and Bloomberg sources suggest domestic gas resumption on June 27 although LNG production could start before.
• Brunei LNG has exported its first cargo since its recent outage in May.
• Canada’s West Coast has room for multiple LNG export projects to meet a burgeoning global energy demand, industry participants said, cited by Platts.
• Venture Global has signed a non-binding agreement to supply LNG to D. Trading, the commercial arm of Ukraine power producer DTEK.
• Subsidiaries of Saudi Aramco and NextDecade have agreed a non-binding Heads of Agreement for the sale and purchase of LNG for 20 years from Train 4 at the Rio Grande LNG Facility in Texas.