US Natgas Steady on Mixed Weather and Expected Freeport LNG Delay

US Natgas holding steady with a mixed weather forecast showing below normal temperatures in the west offset but above normal continuing in the east according to the latest NOAA 6-14 day forecasts.

• US Natgas FEB 23 down -0.5% at 3.68$/mmbtu
• Below normal demand due to warm weather, limited LNG exports and high domestic production so far this year has driven smaller than normal storage withdrawals and pushed front month Henry Hub gas prices to the lowest since the end of 2021. EIA storage unexpectedly built by +11bcf last week according to data released yesterday. Expectation was for a -11bcf draw and the 5-year average for this time of year is -155bcf.
• Lower 48 dry gas consumption is today still below normal at 93.0bcf/d compared to the five year average of around 98bcf/d.
• Natural gas production was yesterday at 101.6bcf/d having set a new record high of 102.46bcf/d on 11 Jan.
• Upside moves remain limited due to the expectation that the return of Freeport LNG exports will be extended until February, from the previous target of the end of January. Deliveries to LNG export terminals are today estimated up to 12.77bcf/d.