Market Highlights:

Natural gas storage

Net injections into storage totaled 28 Bcf for the week ending July 24, compared with the five-year (2021–2025) average net injections of 26 Bcf and last year’s net injections of 44 Bcf during the same week. Working natural gas stocks totaled 3,084 Bcf as of Friday, July 24, according to EIA estimates. Stocks were 185 Bcf (6%) more than the five-year average and 32 Bcf (1%) lower than last year at this time.

Natural gas prices

The Henry Hub spot price fell $0.39/MMBtu to $2.56/MMBtu yesterday. The July month-to-date average price of $2.94/MMBtu is $0.26/MMBtu less than last July’s price. Prices have fallen substantially this month, as maintenance at the Freeport LNG facility has contributed to depressed Gulf Coast demand. Warmer-than-normal temperatures remain this week across most of the country, excluding the Northeast. Total demand increased slightly by 0.3 Bcf/d (<1%). This shift was led by a 0.4 Bcf/d (3%) increase in LNG feedgas and a 0.3 Bcf/d (5%) increase in exports to Mexico. By contrast, power sector consumption fell by 0.4 Bcf/d (1%), according to LSEG Data. Total U.S. natural gas supply rose by 0.6 Bcf/d (<1%) last week, with dry production accounting for all of this increase. Production has been relatively stable throughout July, according to LSEG Data, averaging 111.4 Bcf/d over the past week. Liquefied Natural Gas (LNG) For the week ending July 29: The LNG-carrying capacity of vessels departing U.S. ports was 135 Bcf, up 9 Bcf from the previous week. Thirty-five LNG vessels left U.S. ports, up one vessel from the previous week. Seven vessels each departed from Corpus Christi, Plaquemines, and Sabine Pass; four each from Calcasieu Pass and Freeport; three from Cameron; two from Cove Point; and one from Golden Pass.