The underlying cost of natural gas is driving all electric markets up as the tensions with Russia and Ukraine continue.
A mix of temperatures this past week brought on moderate prices.
Natural Gas Markets
May 2022 NYMEX closed at $7.267. Natural gas remains extremely elevated for 2022 however, we are seeing opportunities within the 2023 and 2024 trading years.
Futures as of 4/27/2022 versus previous week:
Natural Gas Inventory
Working gas in storage was 3,195 Bcf as of Friday, December 31, 2021. According to EIA estimates this represents a net decrease of 31 Bcf from the previous week. We have now hit levels over the 5 year average.
The Baker Hughes exploration gas count came in at 144 this week, which is the same from last week. There are 50 more rigs in service compared to this time last year.
Most of the Northeast and Central Plains will experience colder than normal temperatures while the southern half of the country will see above normal temps!
National Weather Service Updates (NOAA)
Hurricane Watch: Click here to view the National Hurricane Center site.
Equatorial Pacific Outlook:
Peak-summer basis prices at Appalachia’s benchmark hub Eastern Gas South have fallen to an eight-week low in recent trading as gas production across the region shows signs of upward momentum.
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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.