Articles tagged natural gas storage

The state of Canada’s natural gas market largely reflects that of the United States: robust production, elevated storage levels and suppressed prices.

Weekly natural gas cash prices lost ground for a third week as mild weather limited demand for heating across much of the Lower 48.      

March Nymex natural gas futures settled the week’s closing session up 2.9 cents as the market looked beyond near-term warmth toward a colder end to February with buying possibly triggered by short covering and bargain hunting at current lows. 

March Nymex natural gas futures settled the Thursday regular trading session down 5.0 cents day/day, turning negative after the U.S. Energy Information Administration (EIA) reported a storage withdrawal that was within market expectations.

Natural gas futures hovered close to even in early trading Friday as the market continued to look to the second half of February for a possible shift away from the exceptionally mild winter weather pressuring prices.

Strengthening but still lower production intersected with spring-like weather during February bidweek trading. Natural gas prices varied by region as a result, with swaths of the country impacted by lower supply and posting gains, and others reporting declines amid waning heating demand.

The U.S. Energy Information Administration (EIA) reported a natural gas withdrawal from storage of 197 Bcf for the week ending Jan. 26, another triple-digit withdrawal and the fourth in a row, which landed at the high end of the wide range of expectations.

Natural gas futures inched higher early Thursday as traders prepared to digest the latest government inventory data, expected to show another strong January withdrawal. 

The March natural gas futures contract held above $2.000/MMBtu Tuesday and closed higher on its first day as the front month, aided by technical levels and daily production declines.

Representatives from some of Mexico’s most important natural gas supply, transport and storage companies are optimistic that the national industry is poised to continue to grow.Mexico natural gas demand is set to expand 4.6% annually during the next decade, according to forecasts by national pipeline system operator Cenagas.