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The May gas contract slid slightly lower Friday to remain in the $2.70s per million Btu, while posting a nickel gain for the week. Support is coming from a small storage build expected next week due to this week's cold weather. Other bullish fundamentals include a tightening of the supply/demand balance as dry gas production volumes plateau, power burns rise, and LNG and Mexico pipeline exports together reach 18 billion cubic feet per day. “With the improving fundamental picture and possibly declining storage projections over the next few weeks, it appears that overall bullish sentiment is the market is starting to gain some traction,” a market observer tells Energy Intelligence. Also supportive was a slight increase of added demand if it were to replace offline nuclear plants performing seasonal maintenance and refueling. This week averaged 4.4 Bcf/d versus 4.2 Bcf/d last week (Off Line Nuclear Capacity). The prompt month, trading in a narrow $2.728-$2.764 range, ended down 1.9¢ at $2.73/MMBtu. Meanwhile, the 12-month strip was down 1¢ at $2.927, while the 2022 calendar strip fell 0.2¢ to $2.714 (Futures contracts). * * * With cold moderating for now in New England, Boston-area Algonquin saw the most significant price move of the day, falling 63¢ to $2.12. This compared to benchmark Henry Hub cash prices that were up 3¢ at $2.71. Also in the Northeast, Transco zone 6 New York went up 3¢ to average $2.23. In West Texas, cash prices at the Permian's Waha Hub were flat at $2.48 while Rockies leader Kern/Opal rose 8¢ to $2.75. SoCal Citygate advanced 26¢ to average $3.75 and Northwest Sumas gained 11¢ to average $2.75. In Canada, Alberta benchmark Aeco was unchanged at $2.21 (Daily spot prices). * * * June WTI crude added 71¢, or 1.2% to close at $62.14 per barrel Friday. However, the contract was down $1.05, or 1.7% for the week on global demand concerns as Covid cases spike in India.

Gas Demand, Gas Inventories, Gas Supply, Gas Prices
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