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 21 cents from $4.40 per million British thermal units (MMBtu) last Wednesday to $4.19/MMBtu yesterday.
• Henry Hub futures price: The price of the April 2025 NYMEX contract decreased 37 cents, from $4.450/MMBtu last Wednesday to $4.084/MMBtu yesterday. The price of the 12-month strip averaging April 2025 through March 2026 futures contracts declined 22 cents to $4.616/MMBtu.
• Select regional spot prices: Natural gas spot prices fell at all major locations this report week (Wednesday, March 5, to Wednesday, March 12). Price changes ranged from a decrease of 66 cents at the Waha Hub to a decrease of 10 cents at the Houston Ship Channel.
• Prices in the Northeast declined this week as temperatures rose. At the Algonquin Citygate, which serves Boston-area consumers, the price went down 34 cents from $4.34/MMBtu last Wednesday to $4.00/MMBtu yesterday. At the Transco Zone 6 NY trading point for New York City, the price decreased 46 cents from $4.10/MMBtu last Wednesday to $3.64/MMBtu yesterday. Average temperatures in the Boston Area increased 5°F this report week to 42°F, resulting in 33 fewer heating degree days (HDD) than last week. Similarly, average temperatures in the New York-Central Park Area increased 6°F to 47°F, resulting in 42 fewer HDDs than last week. Total consumption of natural gas in the Northeast declined by 13% (3.1 billion cubic feet per day [Bcf/d]) this report week, according to data from S&P Global Commodity Insights.
• Prices in the West decreased with the national trend, even as consumption of natural gas increased in the region. The price at PG&E Citygate in Northern California fell 30 cents, down from $4.25/MMBtu last Wednesday to $3.95/MMBtu yesterday. The price at SoCal Citygate in Southern California decreased 36 cents from $4.31/MMBtu last Wednesday to $3.95/MMBtu yesterday. The price at Northwest Sumas on the Canada-Washington border, the main pricing point for natural gas in the Pacific Northwest, fell 23 cents from $2.29/MMBtu last Wednesday to $2.06/MMBtu yesterday. Total consumption of natural gas in the Western region increased 7% (0.6 Bcf/d) this report week, driven by an 11% (0.5 Bcf/d) increase in the residential and commercial sector, according to data from S&P Global Commodity Insights. Temperatures in the Riverside Area, inland from Los Angeles, averaged 55°F this report week, which is 4°F below normal, resulting in 19 more HDDs week over week. Average temperatures increased in the second half of the report week, averaging 57°F Sunday through yesterday compared with 51°F last Thursday through Saturday. Average temperatures also decreased in the Seattle City Area this report week, resulting in an increase of 19 HDDs.
• The price at the Waha Hub in West Texas, which is located near Permian Basin production activities, fell 66 cents this report week, from $1.07/MMBtu last Wednesday to $0.41/MMBtu yesterday. The Waha Hub traded $3.78 below the Henry Hub price yesterday, compared with last Wednesday when it traded $3.33 below the Henry Hub price. A three-day capacity reduction on a segment of the El Paso Natural Gas Company's L2000 line began on Tuesday, adding to ongoing maintenance that has constrained flows out of the region.

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 16 cents to a weekly average of $13.72/MMBtu. Natural gas futures for delivery at the Title Transfer Facility (TTF) in the Netherlands decreased 54 cents to a weekly average of $13.01/MMBtu. In the same week last year (week ending March 13, 2024), the prices were $8.45/MMBtu in East Asia and $8.15/MMBtu at TTF.
• Natural gas plant liquids (NGPL) prices: The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 19 cents/MMBtu, averaging $7.70/MMBtu for the week ending March 12. Ethane prices rose 7% week over week, while weekly average natural gas prices at the Houston Ship Channel were relatively unchanged week over week, widening the ethane premium to natural gas by 28%. The ethylene spot price fell 7% week over week, and the ethylene premium to ethane decreased 15%. Propane prices decreased 4%, while Brent crude oil prices decreased 3%, widening the propane discount to crude oil by 3% for the week. Normal butane prices fell 4%, isobutane prices fell 8%, and natural gasoline prices fell 3%.

Supply and Demand

• Supply: According to data from S&P Global Commodity Insights, the average total supply of natural gas fell by 0.7% (0.8 Bcf/d) compared with the previous report week. Dry natural gas production decreased by 0.7% (0.7 Bcf/d) to average 105.5 Bcf/d, and average net imports from Canada decreased by 0.4% (less than 0.1 Bcf/d) from last week.
• Demand: Total U.S. consumption of natural gas fell by 4.9% (4.2 Bcf/d) compared with the previous report week, according to data from S&P Global Commodity Insights, as above-normal temperatures spread across much of the country. Consumption in the residential and commercial sector declined by 10.3% (3.4 Bcf/d) week over week, and consumption in the industrial sector decreased by 1.7% (0.4 Bcf/d). Natural gas consumed for power generation declined by 1.5% (0.4 Bcf/d) week over week. Natural gas exports to Mexico decreased 1.6% (0.1 Bcf/d). Natural gas deliveries to U.S. LNG export facilities (LNG pipeline receipts) averaged 15.8 Bcf/d, or 0.3 Bcf/d lower than last week.

Liquefied Natural Gas (LNG)

• Pipeline receipts: Average natural gas deliveries to U.S. LNG export terminals fell 0.3 Bcf/d from last week to 15.8 Bcf/d, according to data from S&P Global Commodity Insights. Natural gas deliveries to terminals in South Louisiana increased by 3.1% (0.3 Bcf/d) to 10.5 Bcf/d. Natural gas deliveries to terminals in South Texas decreased by 13.1% (0.6 Bcf/d) to 4.1 Bcf/d, and natural gas deliveries to terminals outside the Gulf Coast were essentially unchanged at 1.2 Bcf/d.
• Vessels departing U.S. ports: Twenty-nine LNG vessels (nine from Sabine Pass, five from Freeport, four each from Cameron and Corpus Christi, three each from Calcasieu Pass and Plaquemines, and one from Cove Point) with a combined LNG-carrying capacity of 110 Bcf departed the United States between March 6 and March 12, according to shipping data provided by Bloomberg Finance, L.P.

Rig Count

• According to Baker Hughes, for the week ending Tuesday, March 4, the natural gas rig count decreased by 1 rig from a week ago to 101 rigs. The Haynesville dropped two rigs, and the Eagle Ford added one rig. The number of oil-directed rigs remained the same from a week ago at 486 rigs. The Granite Wash and the Permian each dropped one rig. The Cana Woodford added one rig, and one rig was added among unidentified producing basins. The total rig count, which includes 5 miscellaneous rigs, now stands at 592 rigs, 30 fewer rigs than last year at this time.

Storage

• Net withdrawals from storage totaled 62 Bcf for the week ending March 7, compared with the five-year (2020–24) average net withdrawals of 56 Bcf and last year's net withdrawals of 19 Bcf during the same week. Working natural gas stocks totaled 1,698 Bcf, which is 230 Bcf (12%) lower than the five-year average and 628 Bcf (27%) 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 36 Bcf to 87 Bcf, with a median estimate of 50 Bcf.
• The average rate of withdrawals from storage is 25% 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 2.8 Bcf/d for the remainder of the withdrawal season, the total inventory would be 1,630 Bcf on March 31, which is 230 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