Natural Gas News – August 28, 2020
Houston Ship Channel spot gas rebounds as Hurricane Laura leaves Houston unscathed
Spot natural gas prices in the Houston metropolitan area saw a double-digit rebound the morning of Aug. 27, as Hurricane Laura bypassed the area without leaving major power outages or
infrastructure damage. Houston Ship Channel gained 17.50 cents to settle at $2.48/MMBtu on Aug. 27 for Aug. 28 flows. Similarly, Katy Hub settled 13 cents higher at $2.485/MMBtu. The upward spot gas pricing movement in the Houston area came after Hurricane Laura made landfall around 1 am CT on Aug. 27 as a Category 4 hurricane near Cameron, Louisiana. In the preceding days, models of the hurricane’s path included the possibility of it veering west to impact Houston, although this possibility became increasingly unlikely the closer it got to landfall. Without substantial hurricane-related damage to power infrastructure, S&P Global Platts Analytics data showed gas demand for power generation in Texas increasing around 400 MMcf on Aug. 28. For more on this story visit spglobal.com or click https://bit.ly/3jfy0We
US LNG Exports U.S. Natural Gas Power Generation Hits Record
Increased electricity demand amid higher summer temperatures and lower natural gas prices sent natural gas-fired power generation in the Lower 48 states to a record 36 gigawatts (GW) on
July 27, the Energy Information Administration (EIA) said on Wednesday. The so-called natural gas power burn—the natural gas consumed by power plants—hit a daily record of 47.2 billion cubic feet (Bcf) on the same day, the EIA has calculated, based on S&P Global Platts estimates. Before July 27 this year, the previous daily record for natural gas power burn in the United States was set on August 6, 2019, when power plants consumed a total of 45.4 Bcf of natural gas. For more on this story visit spglobal.com or https://bit.ly/2EEcIm6
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