June 29, 2022

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Gas Markets

Market Watch

The August gas futures contract pulled back on its first day in the prompt-month position, settling 7.2¢ lower Wednesday at $6.498 per million Btu. The contract jumped as high as $6.833/MMBtu on short-term forecasts for hotter weather than expected in some regions. But afternoon selling took it as low as $6.445. The 12-month strip fell 17¢ to $5.93; the 2023 strip was down 1.5¢ to $5.23 (Futures contracts).

WTI August crude fell $1.98 to $109.78/bbl.

* * *

Boston-area Algonquin saw the most significant cash price move of the day, rising $1.29 to $7.52. This compared to benchmark Henry Hub prices that were up 11¢ at $6.68. In the Northeast, Transco zone 6 New York went up 38¢ to average $6.52. In West Texas, cash prices at the Permian's Waha Hub rose 22¢ to average $6.20. Meanwhile, Rockies leader Kern/Opal rose 7¢ to $6.42, SoCal Citygate declined 42¢ to average $7.00 and Northwest Sumas gained 1¢ to average $5.04. In Canada, Alberta benchmark Aeco fell 6¢ to $4.58 (Daily cash prices).

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Analysts are anticipating a seasonable 74 Bcf injection into storage for the week ended Jun. 24 when the Energy Information Administration reports data Thursday. That would raise inventories to 2,243 Bcf, about 12.8% below the five-year average. The Reuters poll consensus compares with a year-ago and five-year average injection of 73 Bcf. Last week, temperatures brought cooling degree days to 81, above the 71 CDD 30-year average for the period, Reuters reports. Models for the week ending Jul. 1 are for a 72 Bcf injection, with a range from 61 Bcf to 82 Bcf. That compares with a five-year average injection of 60 Bcf and year-ago build of 25 Bcf.

* * *

Williams Cos. on Wednesday green-lighted its Louisiana Energy Gateway (LEG) project, a 1.8 billion cubic feet per day pipeline system that will move Haynesville Shale gas to industrial customers and LNG exporters along the US Gulf Coast. Some of the gas could also be transported on Williams’ long-haul anchor system, Transcontinental Gas Pipe Line. The company expects service to start in late 2024. LEG “is a key component of our low carbon, wellhead-to-water strategy, proving up what an important role natural gas can play in reducing emissions, lowering costs and providing secure and reliable energy at home and around the world,” said Williams CEO Alan Armstrong. The move follows the company’s announcement in May that it would spend about $1.5 billion to expand gas pipeline capacity over the next several years to help shippers access growing domestic and international markets.

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Texas energy regulators have proposed a new rule that would require natural gas operators to weatherize their facilities to help avert a repeat of February 2021’s deadly deep freeze and widespread power outages. The Texas Railroad Commission's (RRC) plan covers facilities on the state’s "Electricity Supply Chain Map" and includes natural gas wells and oil leases producing associated gas; underground storage facilities; gas processing plants; and certain gas pipelines that directly serve power generators. Because Texas operators are not legally required to shore up these facilities to protect them from extreme cold temperatures, widespread gas freeze-offs were partly to blame for the lack of fuel to keep the grid running during the 2021 winter storm in which about 200 people died. "This is a critical step toward ensuring more production of oil and gas during inclement weather," RRC Chairman Wayne Christian said. The agency is accepting comments until Aug. 15.

Everett Wheeler, Houston and Mark Davidson, Washington

Natural Gas Spot Prices

Top 5 Upward & Downward Price Movements
AlgonquinTenn Gas Zone 6Iroquois Zone 2Transco Leidy LineTetco M3SoCal BorderKern River DeliveredKern - Wheeler RidgeSoCal CitygatePG&E South-5%0%5%10%15%20%AlgonquinTenn Gas Zone 6Iroquois Zone 2Transco Leidy LineTetco M3SoCal BorderKern River DeliveredKern - Wheeler RidgeSoCal CitygatePG&E South
Note: Jun 29' 22 versus prior day price: points moving up (63), down (15).
Natural Gas Spot Prices
Trade Date: Jun. 29, 2022 / Flow Date: Jun. 30, 2022
The above figures refer to volume-weighted averages for gas deals done today for tomorrow's flow, or weekend delivery on Friday trading, at each particular spot. Change reflects the difference from the previous published price. Composites reflect volume-weighted average for all deals done in the regional grouping. Daily Composite Spot Wellhead is a volume-weighted average for all producing area pipelines less gathering and processing costs. All prices are in $/MMBtu.

Critical Notices

Sort:
Count of Critical Notices in Last 7 Days
Algonquin GasTransmissionColumbia GasTransmissionEl Paso NaturalGasKern River GasTransmissionCo.Natural GasPipeline Co.NorthwestPipelineNOVA GasTransmissionLtdTennessee GasPipeline Co.Texas EasternTransmissionTranscoTranswesternPipelineCompany, LLC051015202530354045Algonquin GasTransmissionColumbia GasTransmissionEl Paso NaturalGasKern River GasTransmissionCo.Natural GasPipeline Co.NorthwestPipelineNOVA GasTransmissionLtdTennessee GasPipeline Co.Texas EasternTransmissionTranscoTranswesternPipelineCompany, LLC
Critical Notices

Natural Gas Futures

Nymex Henry Hub Future Price Curves
Jun 29, '22
Aug'22Sep'22Oct'22Nov'22Dec'22Jan'23Feb'23Mar'23Apr'23May'23Jun'23Jul'23($/MMBtu)4.555.566.577.588.59Aug'22Sep'22Oct'22Nov'22Dec'22Jan'23Feb'23Mar'23Apr'23May'23Jun'23Jul'23CurrentLast Month
Henry Hub
Change from prior day, Jun 28 '22


Related Markets

Comparative Fuels

Comparative Fuels
Prices for Jun 29 '22

Spot Cash Electricity Prices

Spot Cash Electricity Prices
Today's prices as of Jun 28 '22

Gas Needed to Replace Offline Nuclear Capacity

Gas Needed to Replace Off Line Nuclear Capacity
5835494944431099964924847517Jun 21Jun 22Jun 23Jun 24Jun 25Jun 26Jun 27Jun 28Jun 29(MMcf/d)02004006008001000120014001600Jun 21Jun 22Jun 23Jun 24Jun 25Jun 26Jun 27Jun 28Jun 29NortheastSoutheastTexasUpper MidwestWestTotalYear-Ago
Note: Source: US Nuclear Regulatory Commission's Daily Power Reactor Status Report and Energy Intelligence,Historical data available via EI New Energy Data

Gas Prices, Power Prices and Spark Spreads for Major Hubs

Marginal Heat Rates (Btu/kWh)
22 Jun 2223 Jun 2224 Jun 2225 Jun 2226 Jun 2227 Jun 2228 Jun 22400060008000100001200014000160001800022 Jun 2223 Jun 2224 Jun 2225 Jun 2226 Jun 2227 Jun 2228 Jun 22Malin/COBSocal/Palo VerdeAlgonquin/NE PoolHouston SC - Katy/ErcotStanfield/Mid-Col.TZ6 NNY/PJM W
Note: Indicates the threshold heat rate for each gas/power pair. Below the MHR, gas-fired generation may be more cost effective vs. purchased power above. For holidays and weekends, the previous business day's values are displayed.
Gas, Power Prices & Spark Spreads for Generators Major Hubs

Renewable Energy

Gas Equivalent of Caiso Wind and Solar Output
20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 Jun(MW)0100020003000400050006000700080009000(MMcf/d)11001200130014001500160017001800190020002100220020 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 JunCAISO Solar PVCAISO Solar ThermalCAISO WindTOTAL gas equivalent (MMcf/d)TOTAL gas equivalent (MMcf/d) - Last Year
Note: Historical data available via EI New Energy Data
Note: Historical data available via EI New Energy Data



Gas Equivalent of Ercot Wind Output
19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 Jun(MW)0200040006000800010000120001400016000(MMcf/d)5001000150020002500300035004000450019 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 JunWind Generation (MW)Gas equivalent (MMcf/d)Gas equivalent (MMcf/d) - Last Year
Note: Historical data available via EI New Energy Data
Note: Historical data available via EI New Energy Data



Gas Equivalent of PJM Renewable Output
19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 Jun(MW)0100020003000400050006000700080009000(MMcf/d)80090010001100120013001400150016001700180019002000210019 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25 Jun26 Jun27 Jun28 JunPJM SolarPJM HydroPJM WindPJM Other RenewablesTOTAL gas equivalent (MMcf/d)TOTAL gas equivalent (MMcf/d) - Last Year
Note: Historical data available via EI New Energy Data
Note: Historical data available via EI New Energy Data




Weather

Today's Short-Term Weather Forecast

Atlanta
Austin
Denver
Detroit
Las Vegas
Los Angeles
Minneapolis
Nashville
Philadelphia
Seattle
Washington
Boston
Orlando
New York
East
Leaflet | Weather from OpenWeatherMap
To change the layers on the map, click the icon to the left and choose the layer you want to display.
Layers available on weather map:
  • Temperature:
    Current ground temperature(in Fahrenheit).
  • Clouds:
    Displays the positions of the current cloud cover.
  • Precipitation:
    Displays current amount of falling water in liquid, sleet or snow form (in inches).
  • Wind speed:
    Displays the current wind speed(in knots).
  • Sea Level Pressure:
    Displays the current pressure at sea level(in millibars).
  • Snow:
    Displays the daily snow fall(in inches).
  • Rain:
    Displays today’s amount of rain fall(in inches).

Degree Days

Degree Days
16417818419317514616418523 June24 June25 June26 June27 June28 June29 June30 June02040608010012014016018020023 June24 June25 June26 June27 June28 June29 June30 JuneCDDHDDCDD AvgHDD Avg
Note: Cooling Degree Days is the sum of temperature variances above 65 degrees for 14 cities: Atlanta, Georgia, Austin, Texas, Denver, Colorado, Detroit, Michigan, Las Vegas, Nevada, Los Angeles, California, Minneapolis, Minnesota, Nashville, Tenn, Philadelphia, Pennsylvania, Seattle, Washington, Washington, DC, Boston, Massachusetts, Orlando, Florida, New York, New York. Heating Degree Days is the sum of temperature variances below 65 degrees for those same 14 cities.
Degree Days


Regional °F Degree Day Differentials
Values listed are the previous days' difference from the 5-year degree day average.

Ex: A value of -4° indicates previous days' degree days were 4 degrees below the 5-year average.

Northeast US
New York -5°
Orlando -1°
Boston -3°
Washington -5°
Seattle -2°
Philadelphia -5°
Nashville -4°
Minneapolis -3°
Los Angeles 5°
Las Vegas 7°
Detroit -6°
Denver 3°
Austin 0°
Atlanta -4°
Southeast US
New York -5°
Orlando -1°
Boston -3°
Washington -5°
Seattle -2°
Philadelphia -5°
Nashville -4°
Minneapolis -3°
Los Angeles 5°
Las Vegas 7°
Detroit -6°
Denver 3°
Austin 0°
Atlanta -4°

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