Natural Gas News – January 5, 2023

Natural Gas News – January 5, 2023

Western U.S. Natural Gas Reaches Highest Spot Prices Since 2000

Spot prices for natural gas in three major hubs in the western U.S. surged abruptly in December as the market responded to strong demand and constrictions in supply, according to data from the U.S. Energy Information Administration (EIA.) On Dec. 21, 2022, natural gas spot prices at three major trading hubs in the western U.S. rose above $50.00/MMBtu. Those spot prices were the highest of any other market and an average of $48.12/MMBtu above Henry Hub. The three hubs that exceeded $50.00/MMBtu are Pacific Gas & Electric (PG&E) Citygate ($57.07/MMBtu), Sumas on the Canada-Washington border ($50.33/MMBtu) and Malin, Oregon ($55.38/MMBtu) — a fourth hub, SoCal Citygate, came in at $49.67/MMBtu in mid-December 2022. The figures for PG&E and Malin are the highest spot prices since December 2000, though SoCal Citygate… For more info go to https://bit.ly/3ZqHTGD

U.S. NatGas Jumps 5% On Forecasts For More LNG Exports In Jan

U.S. natural gas futures jumped about 5% on Wednesday from a 10-month low in the prior session on forecasts for higher-than-expected demand for liquefied natural gas (LNG) exports over the next two weeks. Traders said the biggest uncertainty for the market remains when Freeport LNG will restart its LNG export plant in Texas. After several delays from October to November and then to December, Freeport expects the facility to return in the second half of January, pending regulatory approvals. That is in line with what many analysts have long been saying – that Freeport would likely return during the first quarter of 2023 because the company still has a lot of work to do to satisfy federal regulators before restarting the plant. Whenever Freeport returns, U.S. demand for gas will jump. The plant can turn about… For more info go to https://yhoo.it/3IsUV02