EIA - Natural Gas Storage Report - May 18
Posted: Thu May 18, 2023 10:11 am
Working gas in storage was 2,240 Bcf as of Friday, May 12, 2023, according to EIA estimates.
This represents a net increase of 99 Bcf from the previous week.
Stocks were 521 Bcf higher than last year at this time and 340 Bcf above the five-year average of 1,900 Bcf.
At 2,240 Bcf, total working gas is within the five-year historical range.
Trading Economics:
"US natural gas futures surged by 6% to above $2.5/MMBTU, the highest in two months, driven by reduced gas exports from Canada, expectation of increased demand due to warmer weather and a smaller-than-expected storage build last week. US utilities added 99 billion cubic feet (bcf) of gas into storage during the week ended May 12, 2023, below market expectations of a 108 bcf increase. Additionally, gas exports from Canada, a major supplier to the US, have remained near a 25-month low due to wildfires in Alberta that led to the shutdown of oil and gas production and affected pipeline flows over the past couple of weeks. Furthermore, meteorologists forecast warmer-than-normal temperatures in the US for the upcoming period, which is expected to drive higher demand for natural gas for cooling purposes. Meanwhile, gas flows to major US LNG export plants have decreased from the record levels seen in April due to maintenance work at several facilities."
At the time to this post the Q3 NYMEX futures contract for HH gas are all up over 12 cents
JUL23 $2.64
AUG23 $2.71
SEP23 $2.70
This represents a net increase of 99 Bcf from the previous week.
Stocks were 521 Bcf higher than last year at this time and 340 Bcf above the five-year average of 1,900 Bcf.
At 2,240 Bcf, total working gas is within the five-year historical range.
Trading Economics:
"US natural gas futures surged by 6% to above $2.5/MMBTU, the highest in two months, driven by reduced gas exports from Canada, expectation of increased demand due to warmer weather and a smaller-than-expected storage build last week. US utilities added 99 billion cubic feet (bcf) of gas into storage during the week ended May 12, 2023, below market expectations of a 108 bcf increase. Additionally, gas exports from Canada, a major supplier to the US, have remained near a 25-month low due to wildfires in Alberta that led to the shutdown of oil and gas production and affected pipeline flows over the past couple of weeks. Furthermore, meteorologists forecast warmer-than-normal temperatures in the US for the upcoming period, which is expected to drive higher demand for natural gas for cooling purposes. Meanwhile, gas flows to major US LNG export plants have decreased from the record levels seen in April due to maintenance work at several facilities."
At the time to this post the Q3 NYMEX futures contract for HH gas are all up over 12 cents
JUL23 $2.64
AUG23 $2.71
SEP23 $2.70