Natural Gas

Today in Energy

Recent Today in Energy analysis of natural gas markets is available on the EIA website.

Market Highlights:

Prices

• Henry Hub spot price: The Henry Hub spot price fell $3.87 from $7.78 per million British thermal units (MMBtu) last Wednesday to $3.91/MMBtu yesterday.
• Henry Hub futures price: The March 2025 NYMEX contract expired yesterday at $3.906/MMBtu, down 37 cents from last Wednesday. The April 2025 NYMEX contract price decreased to $3.959/MMBtu, down 25 cents from last Wednesday to yesterday. The price of the 12-month strip averaging April 2025 through March 2026 futures contracts declined 14 cents to $4.420/MMBtu.
• Select regional spot prices: Natural gas spot prices fell at all major pricing locations this report week (Wednesday, February 19, to Wednesday, February 26). Price decreases ranged from $14.23 at Algonquin Citygate to 42 cents at PG&E Citygate.
• Prices decreased in the Northeast this report week as temperatures moderated in the region. At the Algonquin Citygate, which serves Boston-area consumers, the price fell $14.23 from $18.30/MMBtu last Wednesday to $4.07/MMBtu yesterday. At the Transco Zone 6 NY trading point for New York City, the price decreased $10.14 from $13.74/MMBtu last Wednesday to $3.60/MMBtu yesterday. Average daily temperatures in the Boston Area rose steadily during the report week from 24°F last Thursday to 47°F yesterday. Temperatures in the New York-Central Park Area followed a similar trend, increasing from an average 24°F last Thursday to an average 49°F yesterday. Natural gas consumption in the Northeast decreased by 12% (4.1 billion cubic feet per day [Bcf/d]) this report week, led by a 16% (3.1 Bcf/d) decrease in consumption in the residential and commercial sector, according to S&P Global Commodity Insights. Natural gas production in the region averaged 35.4 Bcf/d this report week, essentially unchanged from the previous week. At the same time, production in the Northeast has averaged 35.8 Bcf/d in February so far, or 3% (1.1 Bcf/d) more compared with January, according to data from S&P Global Commodity Insights.
• In the Midwest, prices fell this report week as demand for space heating and natural gas consumption decreased. The price at the Chicago Citygate fell $4.22 from $7.82/MMBtu last Wednesday to $3.60/MMBtu yesterday. Temperatures in the Chicago Area averaged 32°F this report week, 18°F more than the previous report week, which resulted in 226 heating degree days (HDD), or 129 fewer HDDs than last week. Total natural gas consumption in the Midwest decreased by 28% (7.0 Bcf/d) this week, which was led by a 34% (5.6 Bcf/d) decrease in consumption in the residential and commercial sector, according to data from S&P Global Commodity Insights.
• Prices on the West Coast decreased this report week. The price at SoCal Citygate in Southern California decreased 55 cents from $4.74 last Wednesday to $4.19/MMBtu yesterday. At PG&E Citygate in Northern California, the price fell 42 cents from $4.23/MMBtu last Wednesday to $3.81/MMBtu yesterday. At Northwest Sumas on the Canada-Washington border, the main pricing point for natural gas in the Pacific Northwest, the price decreased 86 cents from $2.51/MMBtu last Wednesday to $1.65/MMBtu yesterday. Natural gas consumption in the Western region decreased by 18% (2.0 Bcf/d) this report week, according to data from S&P Global Commodity Insights.
• The price at the Waha Hub in Texas, which is located near Permian Basin production activities, decreased $2.57 from $4.07/MMBtu last Wednesday to $1.50/MMBtu yesterday. The Waha Hub traded $2.41 below the Henry Hub price yesterday, compared with last Wednesday when it traded $3.71 below the Henry Hub price. Maintenance on the El Paso Natural Gas Pipeline system that moves natural gas westbound from West Texas resulted in reductions to pipeline takeaway capacity at multiple locations beginning February 25 through the end of the report week.

Daily spot prices by region are available on the EIA website.

• International futures prices: International natural gas futures prices decreased this report week. According to Bloomberg Finance, L.P., weekly average front-month futures prices for liquefied natural gas (LNG) cargoes in East Asia decreased 62 cents to a weekly average of $14.02/MMBtu. Natural gas futures for delivery at the Title Transfer Facility (TTF) in the Netherlands decreased $1.31 to a weekly average of $13.99/MMBtu. In the same week last year (week ending February 28, 2024), the prices were $8.26/MMBtu in East Asia and $7.64/MMBtu at TTF.
• Natural gas plant liquids (NGPL) prices: The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 2 cents/MMBtu, averaging $8.06/MMBtu for the week ending February 26. Ethane prices were relatively unchanged week over week, while weekly average natural gas prices at the Houston Ship Channel decreased 3%, widening the ethane premium to natural gas by 6%. The ethylene spot price fell 3% week over week, and the ethylene premium to ethane decreased 4%. Propane prices were relatively unchanged, while Brent crude oil prices decreased 1% week over week, narrowing the propane discount to crude oil by 7%. Normal butane prices fell 3%, isobutane prices were relatively unchanged, and natural gasoline prices fell 1%.

Supply and Demand

• Supply: According to data from S&P Global Commodity Insights, the average total supply of natural gas fell by 1.3% (1.4 Bcf/d) compared with the previous report week. Dry natural gas production decreased by 0.2% (0.2 Bcf/d) to average 103.7 Bcf/d, and average net imports from Canada decreased by 16.3% (1.3 Bcf/d) from last week.
• Demand: Total U.S. consumption of natural gas fell by 13.7% (15.9 Bcf/d) compared with the previous report week, according to data from S&P Global Commodity Insights. Natural gas consumption in the residential and commercial sector declined by 22.0% (11.8 Bcf/d) week over week as warmer weather spread across much of the country. Natural gas consumed for power generation declined by 7.6% (2.7 Bcf/d), and consumption in the industrial sector decreased by 5.3% (1.4 Bcf/d). Natural gas exports to Mexico decreased 0.8% (0.1 Bcf/d). Natural gas deliveries to U.S. LNG export facilities (LNG pipeline receipts) averaged 16.4 Bcf/d, or 0.3 Bcf/d higher than last week.

Liquefied Natural Gas (LNG)

• Pipeline receipts: Average natural gas deliveries to U.S. LNG export terminals increased 0.3 Bcf/d from last week to 16.4 Bcf/d, according to data from S&P Global Commodity Insights. Natural gas deliveries to terminals in South Louisiana increased by 2.9% (0.3 Bcf/d) to 10.4 Bcf/d. Deliveries to terminals in South Louisiana are up by 13.7% (1.2 Bcf/d) in February so far compared with an average 8.8 Bcf/d in December 2024, when Plaquemines LNG began producing LNG and shipped its first LNG cargo. Natural gas deliveries to terminals in South Texas were essentially unchanged at 4.8 Bcf/d, and natural gas deliveries to terminals outside the Gulf Coast decreased by 2.6% (less than 0.1 Bcf/d) to 1.1 Bcf/d this week.
• Vessels departing U.S. ports: Twenty-nine LNG vessels (eight from Sabine Pass; five each from Corpus Christi and Freeport; four from Cameron; two each from Calcasieu Pass, Cove Point, and Plaquemines; and one from Elba Island) with a combined LNG-carrying capacity of 108 Bcf departed the United States between February 20 and February 26, according to shipping data provided by Bloomberg Finance, L.P.

Rig Count

• According to Baker Hughes, for the week ending Tuesday, February 18, the natural gas rig count decreased by 2 rigs from a week ago to 99 rigs. The Marcellus added one rig. The Barnett and the Eagle Ford each dropped one rig, and one rig was dropped among unidentified producing regions. The number of oil-directed rigs increased by 7 rigs from a week ago to 488 rigs. One rig each was added in the Ardmore Woodford, the Barnett, the Eagle Ford, the Granite Wash, and among unidentified producing regions, and the Cana Woodford added two rigs. The total rig count, which includes 5 miscellaneous rigs, now stands at 592 rigs, 34 fewer rigs than last year at this time.

Storage

• Net withdrawals from storage totaled 261 Bcf for the week ending February 21, compared with the five-year (2020–24) average net withdrawals of 141 Bcf and last year's net withdrawals of 86 Bcf during the same week. Working natural gas stocks totaled 1,840 Bcf, which is 238 Bcf (11%) lower than the five-year average and 561 Bcf (23%) lower than last year at this time.
• According to The Desk survey of natural gas analysts, estimates of the weekly net change to working natural gas stocks ranged from net withdrawals of 240 Bcf to 282 Bcf, with a median estimate of 266 Bcf.
• The average rate of withdrawals from storage is 27% higher than the five-year average so far in the withdrawal season (November through March). If the rate of withdrawals from storage matched the five-year average of 5.7 Bcf/d for the remainder of the withdrawal season, the total inventory would be 1,622 Bcf on March 31, which is 238 Bcf lower than the five-year average of 1,860 Bcf for that time of year.

See also:

• Natural Gas Analysis Reports
• Short-Term Energy Outlook