Friday, January 24, 2020

EIA Natural Gas Weekly Update

From the Energy Information Administration:
for week ending January 22, 2020   |  Release date:  January 23, 2020
(For the week ending Wednesday, January 22, 2019)
  • Natural gas spot prices fell at most locations this report week (Wednesday, January 15 to Wednesday, January 22). The Henry Hub spot price fell from $1.98 per million British thermal units (MMBtu) last Wednesday to $1.89/MMBtu yesterday.
  • At the New York Mercantile Exchange (Nymex), the price of the February 2020 contract decreased 22¢, from $2.120/MMBtu last Wednesday to $1.905/MMBtu yesterday. Tuesday’s contract price of $1.895/MMBtu was the lowest price for a February contract since 1999. The price of the 12-month strip averaging February 2020 through January 2021 futures contracts declined 13¢/MMBtu to $2.156/MMBtu.
  • The net withdrawal from working gas totaled 92 billion cubic feet (Bcf) for the week ending January 17. Working natural gas stocks total 2,947 Bcf, which is 23% more than the year-ago level and 9% more than the five-year (2015–19) average for this week.
  • The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 15¢/MMBtu, averaging $4.90/MMBtu for the week ending January 22. The prices of ethane, propane, and butane fell by 8%, 7%, and 2%, respectively. The prices of natural gasoline and isobutane rose by 1% and 5%, respectively.
  • According to Baker Hughes, for the week ending Tuesday, January 14, the natural gas rig count increased by 1 to 120. The number of oil-directed rigs rose by 14 to 673. The total rig count increased by 15, and it now stands at 796.

Prices fall as the Henry Hub posts the lowest January price in more than 20 years. This report week (Wednesday, January 15 to Wednesday, January 22), the Henry Hub spot price fell 9¢ from $1.98/MMBtu last Wednesday to a low of $1.89/MMBtu yesterday, the lowest January price since 1999. Temperatures across the Lower 48 states were generally warmer than normal except in the Northeast and Midwest regions, where it was cooler than normal. At the Chicago Citygate, the price decreased 17¢ from $1.97/MMBtu last Wednesday to a low of $1.80/MMBtu yesterday.....MUCH MORE
Note temperature anomaly in the main heating area:

Mean Temperature Anomaly (F) 7-Day Mean ending Jan 16, 2020