Updated Aug 30, 2024
8/30/24
Permian Basin benchmark Waha cash prices, mired in a protracted slump amid limited natural gas takeaway capacity and a supply glut, may see the summer come and go without relief. But a massive new pipeline is slated to enter service this fall, promising to free up an abundance of associated gas and ease pricing pressure.
Italy’s Eni SpA, one of Mexico’s leading private sector producers, has found more oil and associated natural gas in shallow waters offshore Mexico.
Energy executives working in the most prolific natural gas and oil region of the United States are forecasting Henry Hub prices will average $3.01/MMBtu at year’s end, according to the Federal Reserve Bank of Dallas.
North American natural gas futures prices were in a downward spiral this week and fell for the fifth time in six sessions on Thursday. Both the July and August New York Mercantile Exchange futures contracts had fallen below the $3.00/MMBtu level.
If the future price of natural gas remains higher than the spot price, would producers be incentivized to tighten production? Market participants discussed the possibility that the contango in natural gas would keep some producers from reining in supply.
The U.S. Energy Information Administration (EIA) is slashing its projected 2024 average Henry Hub natural gas spot price by 14% versus its month-earlier forecast after observing record lows for the benchmark in February, the agency said Tuesday.
Henry Hub natural gas spot prices are set to remain subdued at around $2.40/MMBtu in February and March amid unusually mild weather, the U.S. Energy Information Administration (EIA) said in an updated forecast Tuesday.
The U.S. natural gas market is predicted to be oversupplied this year from a warmer-than-normal start to the year and declining demand, which are likely to suppress prices into 2024.
Click here to listen to the latest episode of NGI’s Hub & Flow. NGI senior editors Andrew Baker and Kevin Dobbs discuss the outlook for North American natural gas prices in 2023.
Discounted pricing at the NOVA/AECO C natural gas hub in Southern Alberta is likely to remain a fact of life over the near term, even if pipeline expansions and LNG exports in Western Canada come online as scheduled, according to experts.