US Natgas Pulls Back As Freeport Supply Falls

US Henry Hub is falling back today as uncertainty remains over the timing for the full restart of Freeport LNG.

• US Natgas APR 23 down -2.6% at 2.62$/mmbtu
• The partial return of Freeport LNG has supported prices since a low on 22 Feb but US regulators are still seeking information as they evaluate the request to restart full commercial operations. Pipeline natural gas deliveries to the Freeport terminal are today estimated by Bloomberg at 0.71bcf/d. Supplies dropped to about 0.1bcf/d on Wednesday from 1.0 bcf/d on Tuesday according to Refinitiv. Total deliveries to US export terminals are today estimated by Bloomberg down to 12.1bcf/d from a peak of 14.15bcf/d on 4 Mar.
• The NOAA weather forecast is mixed with slightly below normal temperatures across much of the US, but above normal temperatures are expected in some southern regions. Domestic demand is today estimated up slightly to 87.7bcf/d and just above the five year average.
• Lower 48 dry gas production has dipped over the last week with yesterday at 99.6bcf/d compared to around 101.2bcf/d at the end of Feb.
• Natural gas exports to Mexico are around 5.9bcf/d.