Natural Gas • Energy News • Electricity • Weather • EIA Storage Report
market snapshot Monday May 8 2023
EIA NATURAL GAS STORAGE REPORT
EIA Storage Report
Pricing for Natural Gas has dropped recently on fears of increasingly strong injections brought about by high production numbers, mild weather, and decreased LNG exports.
Working gas in storage was 2,063 Bcf as of Friday, April 28, 2023, according to EIA estimates. This represents a net increase of 54 Bcf from the previous week.
Stocks were 507 Bcf higher than last year and 341 Bcf above the five-year average of 1,722 Bcf. At 2,063 Bcf, the total working gas is within the five-year historical range.
ELECTRICITY HEADLINES
PJM WEST HUB FORWARD POWER PRICING
Prompt month pricing for June 2023 is $2.182 as of Sunday night. Pricing six months from now, in December, is $3.517, and 12 months out, in June of 2024, pricing sits at $3.206.
No matter how you cut it, pricing is going up higher in 2024 than in 2023. Consider extending your contract out to 36 or 48 months to blend the lower and higher pricing.
After dropping all last week to a low of $2.03 for prompt month pricing, the prompt month rose to $2.18 over the weekend.
PJM ADHUB HUB ON PEAK ELECTRICITY 2023
US WEATHER OUTLOOK
USA Weather Map National Outlook
This summer’s weather outlook appears to be a bit milder than in the recent past. Four of the five hottest Weather Degree Day summers have been in the last five years with near-record demand. This year may see milder temperatures, wetter weather, and an El Nino in late summer.
An active pattern this week as numerous weather systems track across the US with showers and thunderstorms, although comfortable with highs of 60 to 80s for light national natural gas
Next weekend, the West will warm into the 80s-90s, although very nice over the rest of the US with highs of 70 to 80s for very light national demand.
