Natural Gas prices - Sept 29

[dan_s]

Trading Economics:
US natural gas futures NOV24 surged nearly 5% to close at $2.90/MMBtu on Friday, September 27
> The closing price was the highest in three months, as Hurricane Helene hit the Southeast, prompting Gulf of Mexico producers to cut output and leaving millions without power across Florida, Georgia, and the Carolinas.
> Prices were further supported by strong gas flows to Venture Global's Plaquemines LNG export plant in Louisiana, nearing mid-August highs of 35 million cubic feet per day, though still a fraction of its full 1.8 billion cubic feet capacity. < Cheniere's Train 3 at Corpus Christi, Texas is expected to come online in December, 2024 adding another 1.2 Bcfpd of demand.
> The US National Hurricane Center forecasts the remnants of Helene will move from the Georgia-South Carolina border toward Tennessee and Kentucky. Despite the storm's impact on power, the LNG plants remain unaffected, keeping demand robust.
> The US Bureau of Safety and Environmental Enforcement reported a 20% shutdown in Gulf gas production, though the majority of US output from inland shale basins remains secure.
Natural gas prices are set for their fifth consecutive weekly gain, up 18% this week.

U.S. LNG export capacity will be 3.3 Bcf per day higher year-over-year at the end of December than it was a year ago AND natural gas in U.S. storage is now likely to be below the 5-year average in mid-December.

Natural gas prices were $13.19/MMBtu in Asia and $12.42/MMBtu in Europe on Friday. This means all of our LNG export facilities have HIGH demand for their LNG.

We just need a normal winter to create a Bidding War for natural gas within a few months.