Natural Gas

April 10th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net injection of 4 Bcf (billion cubic feet) for the week ending April 4, 2014.

Inventories are at 826 Bcf, which is down 50.7% or 849 Bcf from last year and 997 below the 5-year average or 54.7%.

www.eia.gov

Spot prices rose slightly at most hubs for the report week (Wednesday, April 2, to Wednesday, April 9) and went up significantly at the benchmark Henry Hub, following declines the previous week. The Henry Hub spot price rose from $4.35/MMBtu last Wednesday to $4.66/MMBtu yesterday.

At the New York Mercantile Exchange (Nymex), the May 2014 contract increased from $4.364/MMBtu on Wednesday to $4.586/MMBtu yesterday.

Working natural gas in storage rose to 826 billion cubic feet (Bcf) as of Friday, April 4, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage injection of 4 Bcf for the week resulted in storage levels 50.7% below year-ago levels and 54.7% below the 5-year average.

The total rig count was 1,818 as of April 4, an increase of 9 from the previous week, according to data from Baker Hughes Inc. The natural gas rig count decreased by 2 rigs to 316, while the number of oil-directed rigs rose by 11 to 1,498. Since the beginning of 2014, the gas-directed rig count has decreased by 56, with the biggest declines at the Eagle Ford Shale in South Texas (-15), and the Woodford Shale in Oklahoma and Texas (–10). The oil-directed rig count increased by 120, with biggest increases at the Permian Basin in West Texas and eastern New Mexico (61), and the Eagle Ford (11).

A 2% rise in the price of propane, from $11.48/MMBtu to $11.71/MMBtu, caused the weekly average natural gas plant liquids composite price to increase for the second week in a row. The composite price rose this week (covering March 31 through April 4) by 0.2%, and is now at $9.94/MMBtu. The propane price increase alone drove up the composite price, as prices decreased for ethane (1.3%), butane (0.7%), isobutane (1.0%) and natural gasoline (0.7%).

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.674 MMBtu                         $4.462 MMBtu

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April 3rd, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 74 Bcf (billion cubic feet) for the week ending March 28, 2014.

Inventories are at 822 Bcf, which is down 51.6% or 878 Bcf from last year and 992 below the 5-year average or 54.7%.

www.eia.gov

Spot prices rose modestly at most market locations during the report week (Wednesday, March 19, to Wednesday, March 26) as temperatures cooled over the weekend and led to increased natural gas demand. However, the Henry Hub spot price decreased by 2 cents/MMBtu. At the Nymex, the April 2014 contract decreased for the second week in a row, from $4.484/MMBtu on Wednesday, March 19, to $4.402/MMBtu yesterday.

Working natural gas in storage fell to 896 billion cubic feet (Bcf) as of Friday, March 21, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 57 Bcf for the week resulted in storage levels 50.1% below year-ago levels and 50.8% below the 5-year average.

The total rig count was 1,803 as of March 21, according to data from Baker Hughes Inc. The natural gas rotary rig count totaled 326, which represents a decrease of 18 rigs from the previous week, following a drop of 14 rigs in the Eagle Ford shale play in South Texas. The 326 rigs reflect a decrease of 92 units from the same time last year. Oil rigs rose for the sixth week in a row, by 12 units to 1,473, including an increase of 9 rigs in the Eagle Ford. The 1,473 rig U.S. total is 149 greater than last year at this time.

The weekly average natural gas plant liquids composite price decreased for the seventh week in a row this week (covering March 17 through March 21), by 2.2%, and is now at $9.85/MMBtu. This is $2.84/MMBtu less than at the end of January, when the composite price was $12.69/MMBtu. The price of ethane decreased for the fourth week in a row, by 5.5%, while the price of propane decreased for the sixth week in a row, by 2.8%. Butane and isobutane prices declined by 1.0% and 2.4%, respectively, and natural gasoline prices rose 0.4%.

www.eia.gov

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.535 MMBtu                        $4.369 MMBtu

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March 27th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 57 Bcf (billion cubic feet) for the week ending March 21, 2014.

Inventories are at 896 Bcf, which is down 50.1%, or 899 Bcf from last year and 926 Bcf below the 5-year average or 50.8%.

www.eia.gov

Spot prices rose modestly at most market locations during the report week (Wednesday, March 19, to Wednesday, March 26) as temperatures cooled over the weekend and led to increased natural gas demand. However, the Henry Hub spot price decreased by 2 cents/MMBtu. At the Nymex, the April 2014 contract decreased for the second week in a row, from $4.484/MMBtu on Wednesday, March 19, to $4.402/MMBtu yesterday.

Working natural gas in storage fell to 896 billion cubic feet (Bcf) as of Friday, March 21, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 57 Bcf for the week resulted in storage levels 50.1% below year-ago levels and 50.8% below the 5-year average.

The total rig count was 1,803 as of March 21, according to data from Baker Hughes Inc. The natural gas rotary rig count totaled 326, which represents a decrease of 18 rigs from the previous week, following a drop of 14 rigs in the Eagle Ford shale play in South Texas. The 326 rigs reflect a decrease of 92 units from the same time last year. Oil rigs rose for the sixth week in a row, by 12 units to 1,473, including an increase of 9 rigs in the Eagle Ford. The 1,473 rig U.S. total is 149 greater than last year at this time.

The weekly average natural gas plant liquids composite price decreased for the seventh week in a row this week (covering March 17 through March 21), by 2.2%, and is now at $9.85/MMBtu. This is $2.84/MMBtu less than at the end of January, when the composite price was $12.69/MMBtu. The price of ethane decreased for the fourth week in a row, by 5.5%, while the price of propane decreased for the sixth week in a row, by 2.8%. Butane and isobutane prices declined by 1.0% and 2.4%, respectively, and natural gasoline prices rose 0.4%.

www.eia.gov

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.625 MMBtu                       $4.417 MMBtu

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March 20th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 48 Bcf (billion cubic feet) for the week ending March 14, 2014.

Inventories are at 953 Bcf, which is down 49.4% or 932 Bcf from last year and 873 Bcf below the 5-year average or 47.9%.

www.eia.gov

Spot prices fell at most market locations during the report week (Wednesday, March 12, to Wednesday, March 19) as demand declined from the strong weather-related levels of the previous week. The Henry Hub spot price fell from $4.66 per million British thermal units (MMBtu) last Wednesday to $4.44/MMBtu yesterday.

At the New York Mercantile Exchange (Nymex), the April 2014 contract posted almost zero net change, decreasing slightly from $4.490/MMBtu at the beginning to the report week to $4.484/MMBtu yesterday.

Working natural gas in storage fell to 953 Bcf as of Friday, March 14, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 48 Bcf for the week resulted in storage levels 49.4% below year-ago levels and 47.9% below the 5-year average.

The total rig count was 1,809 as of March 14, according to data from Baker Hughes Inc. The natural gas rotary rig count totaled 344, which represents a decrease of 1 rig from the previous week and a decrease of 87 units from the same time last year. Oil rigs rose for the fifth week in a row, by 18 units to 1,461, which is 120 greater than last year at this time.

The weekly average natural gas plant liquids composite price decreased for the sixth week in a row this week (covering March 10 through March 14), by 0.7%, and is now at $10.08/MMBtu. This is more than $2.50/MMBtu less than at the end of January, when the composite price was $12.69/MMBtu. The price of ethane decreased by 5.1%, while the price of propane decreased for the fifth week in a row, by 0.6%. Butane and isobutane prices declined by 0.3% and 0.4%, respectively, and natural gasoline prices rose 1.9%.

www.eia.gov

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.451 MMBtu                     $4.309 MMBtu

 

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March 13th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 195 Bcf (billion cubic feet) for the week ending March 7, 2014.

Inventories are at 1,001 Bcf, which is down 48.9% or 958 Bcf from last year and 858 below the 5-year average or 46.2%.

www.eia.gov

With temperatures rising in most of the United States, natural gas spot prices declined during the report week (Wednesday, March 5, through Wednesday, March 12) at most locations. The Henry Hub spot price averaged $4.66 per million British thermal units (MMBtu) yesterday, a $1.75/MMBtu decrease for the report week.

At the New York Mercantile Exchange (Nymex), the April 2014 contract decreased to $4.490/MMBtu, a 3.3 cent/MMBtu decrease for the report week. The contract had increased to $4.605/MMBtu through trading on Tuesday, March 11, but its price dropped yesterday by 11.5 cents/MMBtu.

Working natural gas in storage fell to 1,001 Bcf as of Friday, March 7, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 195 Bcf for the week resulted in storage levels 48.9% below year-ago levels and 46.2% below the 5-year average.

The natural gas rotary rig count totaled 345 as of March 7. This represents an increase of 10 rigs from the previous week, but still down 62 rigs from the same time last year, according to data from Baker Hughes Inc. Oil rigs rose for the fourth week in a row, by 13 units to 1,443, which is 102 greater than last year at this time. The total rig count was 1,792, up 23 from last week and 40 from a year ago.

The weekly average natural gas plant liquids composite price decreased for the fifth week in a row this week (covering March 3 through March 7), by 4.7%, and is now at $10.15/MMBtu. This is more than $2.50/MMBtu less than at the end of January, when the composite price was $12.69/MMBtu. The price of ethane decreased by 9.3%, while the price of propane decreased for the fourth week in a row, by 6.3%. Butane, isobutene, and natural gasoline prices also continued to slide, declining by 2.0%, 3.7%, and 0.2%, respectively.

www.eia.gov

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.461 MMBtu                         $4.313 MMBtu

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March 6th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 152 Bcf (billion cubic feet) for the week ending February 28, 2014.

Inventories are at 1,196 Bcf, which is down 43.2% or 908 Bcf from last year and 758 Bcf below the 5-year average or 38.8%.

www.eia.gov

 

With another wave of cold weather, natural gas spot prices rose during the report week (Wednesday, February 26, through Wednesday, March 5) at most locations. The Henry Hub spot price traded yesterday at $6.41 per million British thermal units (MMBtu), a $1.57/MMBtu increase for the report week. It rose to $7.90/MMBtu on Tuesday, March 4, before declining yesterday.

At the New York Mercantile Exchange (Nymex), the April 2014 contract traded yesterday at $4.523/MMBtu, a 1.3 cent decrease for the report week. The April contract took over as the front month contract on Thursday, February 27.

Working natural gas in storage fell to 1,196 billion cubic feet (Bcf) as of Friday, February 28, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 152 Bcf for the week resulted in storage levels 43.2% below year-ago levels and 38.8% below the 5-year average.

The total rig count was 1,769, up 12 from a year ago.The natural gas rotary rig count totaled 335 as of February 28, which represents a decline of 7 rigs from the previous week, and 85 rigs from the same time last year, according to data from Baker Hughes Inc. Oil rigs rose for the third week in a row, by 5 units to 1,430, which is 97 greater than last year at this time.

The weekly average natural gas plant liquids composite price decreased for the fourth week in a row this week (covering February 24 through February 28), by 11.2%, and is now at $10.65/MMBtu. This is more than $2.00/MMBtu less than at the end of January, when the composite price was $12.69/MMBtu. This week, prices of ethane and propane, the two largest components of the NGL composite price, decreased by 14.4% and 18.0%, respectively. Butane, isobutene, and natural gasoline declined by 6.6%, 5.2%, and 0.2%, respectively.

www.eia.gov

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.678 MMBtu                      $4.407 MMBtu

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February 27th, 2014

Natural Gas Update

 Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 95 Bcf (billion cubic feet) for the week ending February 21, 2014.

Inventories are at 1,348 Bcf, which is down 40.2% or 905 Bcf from last year and 711 Bcf below the 5-year average or 34.5%.

www.eia.gov

Natural Gas Update:

Natural gas spot prices generally increased during most of the report week, but fell sharply on Tuesday and Wednesday. The Henry Hub spot price closed down at $4.84/MMBtu on Wednesday, February 26, $1.13/MMBtu below last Wednesday’s price. Prices at major Northern population centers increased more consistently throughout the report period.

Prices at the New York Mercantile Exchange (Nymex) fell on Monday despite increasingly cold weather, after increasing during most of the first half of the report week (Wednesday to Wednesday). The March contract price began last Wednesday at $6.149/MMBtu and settled yesterday at $4.855/MMBtu with the expiration of the March contract.

Working natural gas in storage decreased to 1,348 billion cubic feet (Bcf) as of Friday, February 21, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 95 Bcf for the week resulted in storage levels 40.2% below year-ago levels and 34.5% below the 5-year average.

The total rig count rose by 7 from the previous week, up 10 from the same time last year, according to data released by Baker Hughes Inc. The natural gas rotary rig count was 342 as of February 21, an increase of 5 relative to last week, but 86 below last year’s figure. The gas rig count has generally been declining since the start of the year. The oil rig count was 1,425, an increase of 2 from the previous week and 96 rigs greater than the same time last year.

The weekly average natural gas plant liquids composite price fell by 2.1% this week (covering February 17 through February 21) compared to the previous week, and is now at $12.06/MMBtu. This decrease was driven by spot propane at Mont Belvieu, which dropped 7.7% as weather moderated over the previous week, reducing demand for home heating fuel. The ethane and natural gasoline spot prices at Mont Belvieu increased by 3.9% and 3.0%, respectively.

www.eia.gov

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.678 MMBtu                         $4.407 MMBtu

 

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February 20th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 250 Bcf (billion cubic feet) for the week ending February 14, 2014.

Inventories are at 1,443 Bcf, which is down 40.3% or 975 Bcf from last year and 741 Bcf below the 5-year average or 33.9%.

www.eia.gov

Natural gas spot prices decreased at most trading locations during the report week, even as winter weather slammed much of the country. Though it declined overall, the Henry Hub spot price remained somewhat elevated through the report week, beginning the week at $7.90/MMBtu last Wednesday, February 7, and ending the report week at $6.15/MMBtu yesterday.

At the New York Mercantile Exchange (Nymex), the March 2014 futures price decreased from $5.030/MMBtu last Wednesday to $4.822/MMBtu yesterday.

Working natural gas in storage decreased to 1,686 Bcf as of Friday, February 7, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 237 Bcf for the week resulted in storage levels 33.9% below year-ago levels and 27.2% below the 5-year average.

The total rig count was down 13 from the previous week but up 12 from the same time last year, according to data released by Baker Hughes Inc. The natural gas rotary rig count totaled 351 as of February 7, a decline of 7 from the previous week and down 74 from the same week last year. The oil rig count was 1,416, a decline of 6 from the previous week but 86 rigs greater than the same time last year.

The weekly average natural gas plant liquids composite price fell 0.6% this week (covering February 3 through February 7) compared to the previous week, and is now at $12.68/MMBtu. Propane spot prices at Mont Belvieu, Texas, rose 1.1% and the ethane price rose 2.4%. Butane and isobutane prices fell 3.4% and 5.9%, respectively, and natural gasoline prices declined by 1.9%.

www.eia.gov

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.835 MMBtu                      $4.486 MMBtu

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February 13th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 237 Bcf (billion cubic feet) for the week ending February 7, 2014.

Inventories are at 1,686 Bcf, which is down 33.9% or 863 Bcf from last year and 631 Bcf below the 5-year average or 27.2%.

www.eia.gov

Natural gas spot prices increased across most of the country, particularly in the Northeast, as another winter storm rolled across the Midwest and into the Northeast on Wednesday. The Henry Hub spot price increased from $5.20 per million British thermal units (MMBtu) last Wednesday, January 29, to $7.90/MMBtu yesterday.

At the New York Mercantile Exchange, the March 2014 futures contract declined from $5.465/MMBtu last Wednesday to $5.030/MMBtu yesterday. The near-month futures price is currently above the 12-month strip (the average of the March 2014 through February 2015 contracts), which settled at $4.614 yesterday.

Working natural gas in storage decreased to 1,923 Bcf as of Friday, January 31, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net storage withdrawal of 262 Bcf for the week resulted in storage levels 28.8% below year-ago levels and 22.4% below the 5-year average.

The natural gas rotary rig count totaled 358 as of January 31, an increase of 2 from the previous week and down 70 from the same week last year, according to data released by Baker Hughes Inc. The oil rig count rose by 6 to 1,422 active units, up 90 from one year ago. The total rig count is 1,785, up 8 rigs from the previous week and up 21 from a year ago.

The weekly average natural gas plant liquids composite price rose 1.4% this week (covering January 27 through January 31) compared to the previous week, and is now at $12.76/MMBtu. Propane spot prices at Mont Belvieu, Texas, rose significantly, driving the composite price higher despite lower ethane prices. The propane price rose by 4.8% over last week, while ethane declined by 4.7%. Butane and isobutane prices were up as well, rising by 1.5% and 0.6%, respectively. Natural gasoline prices declined by 0.5%.

www.eia.gov

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.715 MMBtu                         $4.437 MMBtu

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February 6th, 2014

Natural Gas Update

Natural Gas Storage Facts

EIA (Energy Information Administration) reported a net withdrawal of 262 Bcf (billion cubic feet) for the week ending January 31, 2014.

Inventories are at 1,923 Bcf, which is down 28.8% or 778 Bcf from last year and 556 Bcf below the 5-year average or 22.4%.

*A reported revision caused the stocks for January 24, 2014 to change from 2,193 Bcf to 2,185 Bcf. As a result, the implied net change between the weeks ending January 17 and January 24 changed from -230 Bcf to -238 Bcf. (www.eia.gov).

www.eia.gov

With another wave of cold weather, natural gas spot prices rose during the report week (Wednesday, January 22, through Wednesday, January 29) at most locations. The Henry Hub spot price hit its highest level since February 2010 on Monday, January 27, settling at $5.69/ MMBtu.

Prices at the New York Mercantile Exchange (Nymex) also reached levels that have not been seen since 2010. Overall prices rose from $4.689/MMBtu last Wednesday to $5.557/MMBtu yesterday.

Working natural gas in storage decreased to 2,193 Bcf as of Friday, January 24, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report(WNGSR). A net storage withdrawal of 230 Bcf for the week resulted in storage levels 22.5% below year-ago levels and 16.6% below the 5-year average.

The natural gas rotary rig count totaled 356 as of January 24, which represents a decline of 9 rigs from the previous week, and 78 rigs from the same time last year, according to data from Baker Hughes Inc. Oil rigs rose by 8 units to 1,416, which is 101 greater than last year at this time. The total rig count was 1,777, up 24 from a year ago.

The weekly average natural gas plant liquids composite price rose 11.4% this week (covering January 21 through January 24) compared to the previous week, and is now at $12.56/MMBtu. Prices of ethane and propane, the two largest components of the NGL composite price, rose 28.5% and 12.6%, respectively. Butane, isobutene, and natural gasoline rose 9.0%, 8.3%, and 1.3%, respectively.

 

12/24-Month Strip (NYMEX) Price

12 Month Strip                      24 Month Strip

$4.672 MMBtu                     $4.412 MMBtu

 

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