Energy Market Update 1-18-2022

Electricity Markets

All markets saw a sharp move up over the past week with the cost of natural gas driving the markets up.

Colder than normal weather drove rates up earlier in the week.

Natural Gas Markets

The NYMEX has moved up since last week and is now over the $4.00 market for the remainder of the 2022 trading year.

Futures as of 1/12/2022 versus previous week:
Feb-22 $3.867 +$0.990
Mar-22 $3.716 +$0.611
Apr-22 $3.664 +$0.470
May-22 $3.690 +$0.442
Jun-22 $3.735 +$0.441
Jul-22 $3.785 +$0.444
Natural Gas Inventory

Working gas in storage was 3,016 Bcf as of Friday, December 7, 2022. According to EIA estimates this represents a net decrease of 179 Bcf from the previous week.

   

The Baker Hughes exploration gas count came in at 109 this week, which was up two from last week. There are 25 more rigs in service compared to this time last year.

 

Weather Update

The central U.S. and all of the east coast are expected to see colder than normal temperatures and the west coast is expected to see warmer than normal temperatures.

National Weather Service Updates (NOAA)

Hurricane Watch: Click here to view the National Hurricane Center site. Equatorial Pacific Outlook: Click here to view La Nina and El Nino status.

Energy News

News : EIA lowers 2022 spot gas price forecast; expects production growth flat consumption The US Energy Information Administration has trimmed its forecast for Henry Hub spot natural gas prices in 2022, as gas consumption es were tempered by lower power-sector use of the fuel, and production growth was expected from the second quarter onward.   If you would like to receive the Energy Market Update to your inbox weekly, please click here to submit your name and email address. Disclaimer: This information is provided for the use of our customers and potential customers. Power Management Company assumes no responsibility or liability for the accuracy or completeness of pricing or information in this document. Historical data was obtained from sources that we believe to be reliable, but we do not guarantee its accuracy or completeness. It is not intended to provide advice or recommendation. Views are subject to change without notice.
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