Nat Gas News – May 4, 2017

Nat Gas News – May 4, 2017

In the News

Snow Is Keeping Natural Gas Prices Down in Texas

Bloomberg reports: Natural gas in balmy Texas is feeling the chill of California’s snowy peaks 1,200 miles away. West Coast power producers are ditching gas in favor of cheap, plentiful hydroelectric power, which is surging after the wettest year ever across the Northern Sierra Nevada range. Much of that moisture fell as snow which is now melting, soaking fields, filling reservoirs and, to the consternation of the Texas gas market, furiously spinning turbines. Since the start of the year, California gas demand has plummeted 34 percent while hydro generation in the state is up 93 percent, according to data compiled by Bloomberg. Gas prices May 1 at the Waha Hub in West Texas fell to a discount of 42 cents per million British thermal units to benchmark Henry Hub gas in Louisiana, the biggest spread since March 2014, based on Intercontinental Exchange data as of Wednesday. For more visit https://bloom.bg/2pKBw2k

U.S. natural gas futures decline with weather, supply in focus

Investing.com reports: U.S. natural gas futures edged lower in early trade on Wednesday, as traders continued to monitor shifting weather forecasts to assess the outlook for early-spring demand and supply levels. Prices of the heating fuel fell for the second consecutive session on Tuesday. A strong spring storm tracking through the southeastern U.S. with heavy showers and thunderstorms will push across the Great Lakes and Northeast this weekend into early next week to keep below normal temperatures in place. Gas use typically hits a seasonal low with spring’s mild temperatures, before warmer weather increases demand for gas-fired electricity generation to power air conditioning. For more about this story visit investing.com or click http://bit.ly/2pbVTlY