Market Highlights:

Natural gas storage

Net injections into storage totaled 32 Bcf for the week ending July 17, compared with the five-year (2021–2025) average net injections of 30 Bcf and last year’s net injections of 27 Bcf during the same week. Working natural gas stocks totaled 3,056 Bcf as of Friday, July 17, according to EIA estimates. Stocks were 183 Bcf (6%) more than the five-year average and 16 Bcf (1%) lower than last year at this time. The average rate of injections into storage is 12% higher than the five-year average so far in the refill season (April through October). If the rate of injections into storage matched the five-year average of 8.3 Bcf/d for the remainer of the refill season, the total inventory would be 3,936 Bcf on October 31, which is 183 Bcf higher than the five-year average of 3,753 Bcf for that time of year.

Natural gas prices

The Henry Hub spot price rose $0.15/MMBtu to $2.95/MMBtu yesterday. The July month-to-date average price of $2.99/MMBtu is $0.21/MMBtu less than last July’s price. Temperatures remained warmer-than-normal across most of the United States for the second week in a row. Even so, total demand was less than last week, falling 0.6 Bcf/d (1%). This decline was led by a 0.4 Bcf/d (6%) reduction in exports to Mexico, according to LSEG Data. Electric power sector demand increased by 0.2 Bcf/d (<1%). Total U.S. natural gas supply fell by 0.6 Bcf/d (1%) last week, with lower net Canadian imports (8%) accounting for all of this decline, according to LSEG Data. Dry natural gas production remained largely unchanged at 110.8 Bcf/d.

Liquefied Natural Gas (LNG)

For the week ending July 22: The LNG-carrying capacity of vessels departing U.S. ports was 126 Bcf, down 5 Bcf from the previous week. Thirty-four LNG vessels left U.S. ports, unchanged from the previous week. Nine vessels departed from Sabine Pass, six each from Corpus Christi and Plaquemines, four from Cameron, three from Freeport, and two each from Calcasieu Pass, Cove Point, and Elba Island.