US Natgas Edges Higher Ahead of EIA Storage Data

Henry Hub edges up from the lowest since July 2020 earlier this week ahead of the updated EIA US natgas storage inventories with production down from recent highs.

• US Natgas MAR 24 up 1.1% at 1.63$/mmbtu
• US Natgas AUG 24 up 0.5% at 2.25$/mmbtu
• US Natgas FEB 25 up 0.1% at 3.44$/mmbtu
• The latest EIA weekly gas inventories for the week ending Feb 9 will be released this afternoon at 10:30ET. The expectation is for a draw of -67bcf according to a Bloomberg survey after a draw of -75bcf last week. The seasonal normal is a draw of -131bcf.
• Domestic natural gas demand is slightly down on the day at 91.6bcf/d according to Bloomberg and still below the previous five year average. The US east coast is forecast to see below normal temperatures into the weekend before temperatures across the US rise in the second week of the outlook. The 6-14 day period shows above normal expected in central areas although temperatures are expected to remain closer to normal on the east and west coasts.

• US lower 48 gas production is today around the lowest seen this month at 103.9bcf/d according to Bloomberg but still well above levels seen this time last year of around 100bcf/d.
• Feedgas flows to US LNG export terminals are down again today at 13.4bcf/d with a drop in supply to Sabine Pass adding to the ongoing Freeport LNG train outage.
• Export flow to Mexico is holding steady at 6.02bcf/d today.