The EIA forecasts that natural gas spot prices at the U.S. benchmark Henry Hub will average ~$5.67/MMBtu between October 2021 and March 2022. This would mark the highest average winter price since 2007-2008. The projected increase reflects the lower than average storage levels heading into winter. While the past few weeks has gone a long…
Revealed in their September “Short-Term Energy Outlook”, the EIA announced that they expect consumption of natural gas to decline in the United States in 2021 and 2022 when compared to 2020 levels. The expectation is that every sector will be down – save for the industrial sector. The largest anticipated decline will be in the…
United States exports of LNG (liquified natural gas) continued to rise in the first half of 2021, averaging over 9.6 Bcf/d. When compared to the corresponding months from 2020, this marks a 42% (or 2.8 Bcf/d) rise . While 2020 was an outlier due to Covid, exports still fell to record lows during the summer…
Natural gas spot prices averaged $3.26/MMBtu for June 2021, the highest price during any summer month (April-September) since 2014. Things have only gotten pricier thus far in July, with the average cost during the first two weeks of the month at $3.67. There have been a number of contributing factors to the price run, but…
Total consumption of fossil fuels in the United States, including petroleum, natural gas, and coal, dropped to 72.9 quadrillion Btu (British thermal units) in 2020. This was down 9% from 2019 and was the lowest level reached since 1991. The charts below shows fossil fuel consumption by source and sector, and also illustrates fossil fuels…
EIA’s Natural Gas Weekly Update from April 14th reported that withdrawals this winter from underground storage facilities in the Lower 48 states were 10.6% above the five-year average (2016-20) leaving inventories at 1.778 Tcf as of March 31st, 2021. At the start of the heating season on November 1st, storage levels exceeded the five-year average…
Winter storm Uri and other smaller systems from the mid-February demand spike led to the second-largest withdrawal of natural gas from storage according to EIA’s weekly Natural Gas Storage Report. In the week ending February 19th, 338 billion cubic feet (Bcf) of natural gas was pulled from storage nearly tripling the average withdrawal in that…
Natural gas prices had a historic run last week as Winter Storm Uri moved across the United States. The storm overwhelmed power grids and immobilized the South while carrying heavy snow and freezing rain into the Northeast. Extreme cold weather triggered blackouts and caused liquids to freeze in pipes forcing wells and processing plants to…
The U.S. Energy Information Administration pegged the total amount of working natural gas in storage for the Lower 48 states at 3.92 Tcf as of October 31st, the traditional end of the injection season. This figure was slightly below the record-high value of 4.047 Tcf which was reached in November 2016. Net injections total 1.914…
With a La Nina climate pattern expected to linger through this upcoming winter, NOAA anticipates a typical cooler/wetter North and a warmer/drier South. Most below-normal temperatures are favored in the Pacific Northwest into the Northern Plains. Michigan has an equal chance of below, near, or above-average temperatures. The Midwest, particularly the Great Lakes into the…