US Gas Price Response Highlights Producer Divide

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  • US natural gas producers are diverging in their response to the highest prices in 14 years, after a rally took Henry Hub rates above $9 per million Btu.
  • Publicly traded gas E&Ps, under pressure from investors to channel funds elsewhere, are holding off from committing more capex to production.
  • More nimble private gas producers are ramping up output to capitalize on the rally, while majors out to pump more oil are set to cash in on their associated gas.

The Issue

Gas Prices, Gas Spot Markets, Gas Supply, Independent E&Ps
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