Natural Gas News – April 12, 2018
Natural Gas Futures Climb as Injection Season Seen Delayed
Natural Gas Intel reported: Natural gas futures nosed higher Wednesday ahead of a government storage report expected to show a withdrawal for the first week of the injection season thanks to lingering April cold. Spot prices tumbled in the East amid moderating temperatures and falling demand, while SoCal Citygate eased off recent gains; the NGI National Spot Gas Average dropped 17 cents to $2.51/MMBtu. The May contract settled at $2.675 Wednesday, up 1.9 cents after trading as low as $2.621 and as high as $2.690. June added 1.5 cents to settle at $2.709. Estimates for Thursday’s Energy Information Administration (EIA) storage report have been pointing to a withdrawal during the first week of April, bullish versus the year-ago and five-year average for a period that would have kicked off the injection season if not for below normal temperatures sticking around. A Reuters survey of traders and analysts on average predicted a 14 Bcf withdrawal from Lower 48 gas stocks for the period ending April 6, with estimates ranging from 9 Bcf to 38 Bcf. A Bloomberg survey produced a median estimate for a 12 Bcf withdrawal, with a range of 7 Bcf to 18 Bcf. Last year 9 Bcf was injected, matching the five-year average for the period.
MVP Plans to Extend Its Natural Gas Pipeline into N.C.
Roanoke Times reported: What has been a long and contentious process of building a natural gas pipeline through the two Virginias is about to get even longer. Mountain Valley Pipeline LLC announced Wednesday that it plans an extension of the 303-mile pipeline currently under construction, connecting with the project’s end point in Pittsylvania County and heading another 70 miles south into North Carolina. What is being called MVP Southgate is a separate project. As such, it will require approval from the Federal Energy Regulatory Commission.