Natural Gas: Supply Dynamics
Natural gas storage has seen a significant shift in recent weeks. After a year of primarily below-average injections, we’ve witnessed four consecutive weeks of injections surpassing the five-year average. This trend has exerted downward pressure on prices and brought storage levels closer to the 4,000 bcf benchmark.
The impact of the recent election on oil and gas storage remains uncertain. With oil production already at record levels, substantial supply gains may be limited. The interplay between supply and demand fundamentals is expected to prevent a rapid formation of surplus.
NATURAL GAS STORAGE REPORT
LNG Demand Trends
Global Demand Fluctuations
China’s economic slowdown has led to a reduction in LNG demand. However, rising natural gas prices in Europe have driven LNG exports above 14 bcf/d.
2024 INJECTIONS COMPARED TO THE FIVE-YEAR AVERAGE
Post-Election Outlook
The recent election is anticipated to accelerate the permitting process for LNG facilities. This could lead to higher prices over the next few years if production fails to keep pace with increasing demand.
Weather Impact on Demand
The 15-30 day forecast indicates milder-than-normal weather conditions. This is expected to dampen demand, although we may still observe actual withdrawals by the end of the month.
NATURAL GAS PRODUCTION REPORT
AD HUB RTC FORWARD POWER PRICES
NATURAL GAS EXPORTS: LNG & MEXICO
NYMEX ROLLING PROMPT MONTH
