Natural Gas

Today in Energy

Recent Today in Energy analysis of natural gas markets is available on the EIA website.

Market Highlights:

Prices

• Henry Hub spot price: The Henry Hub spot price fell 36 cents from $4.22 per million British thermal units (MMBtu) last Wednesday to $3.86/MMBtu yesterday.
• Henry Hub futures price: The price of the April 2025 NYMEX contract decreased 39 cents, from $4.247/MMBtu last Wednesday to $3.861/MMBtu yesterday. The price of the 12-month strip averaging April 2025 through March 2026 futures contracts fell 35 cents to $4.450/MMBtu.
• Select regional spot prices: Natural gas spot prices fell at most locations this report week (Wednesday, March 19, to Wednesday, March 26). Price changes ranged from a decrease of $1.63 at the Cheyenne Hub to an increase of 52 cents at the Waha Hub.
• Prices in the Northeast decreased this week as flows of natural gas to the region increased more than consumption. At the Algonquin Citygate, which serves Boston-area consumers, the price fell 5 cents from $3.58 per million British thermal units (MMBtu) last Wednesday to $3.53/MMBtu yesterday. At the Transco Zone 6 NY trading point for New York City, the price decreased 21 cents from $3.38/MMBtu last Wednesday to $3.17/MMBtu yesterday. Total consumption of natural gas in New York and New Jersey increased 12% (0.7 billion cubic feet per day [Bcf/d]) this report week, and net deliveries of natural gas from the Appalachia producing region increased 13% (1.0 Bcf/d), according to data from S&P Global Commodity Insights.
• Prices in the West decreased this report week as temperatures increased, leading to less consumption of natural gas. The price at PG&E Citygate in Northern California fell $1.55 from $3.85/MMBtu last Wednesday to $2.30/MMBtu yesterday. The price at SoCal Citygate in Southern California decreased $1.43 from $3.89/MMBtu last Wednesday to $2.46/MMBtu yesterday. At Northwest Sumas on the Canada-Washington border, the main pricing point for natural gas in the Pacific Northwest, the price decreased 69 cents from $1.23/MMBtu last Wednesday to $0.54/MMBtu yesterday. Temperatures in the Riverside Area, inland from Los Angeles, increased 11°F this week to average 65°F. Similarly, average temperatures in the Seattle City Area increased 9°F to 52°F. Consumption of natural gas in the residential and commercial sector in the Western region decreased 32% (1.7 Bcf/d) this report week, according to S&P Global Commodity Insights.
• Prices in the Rockies had the largest decrease this week as natural gas consumption decreased. The price at the Cheyenne Hub fell $1.63 from $3.11/MMBtu last Wednesday to $1.48/MMBtu yesterday. Consumption of natural gas in the residential and commercial sector in the Rocky Mountain region fell 26% (0.4 Bcf/d) this report week, according to data from S&P Global Commodity Insights.
• The price at the Waha Hub in West Texas, which is located near Permian Basin production activities, increased 52 cents from -$0.57/MMBtu last Wednesday to -$0.05/MMBtu yesterday as production in the region declined. Production of natural gas in West Texas decreased 3% (0.4 Bcf/d) this report week, according to data from S&P Global Commodity Insights. Ongoing maintenance on the El Paso Natural Gas pipeline system has constrained flows out of the region.

Daily spot prices by region are available on the EIA website.

Supply and Demand

• Supply: According to data from S&P Global Commodity Insights, the average total supply of natural gas rose by 0.1% (0.1 Bcf/d) compared with the previous report week. Dry natural gas production decreased by 0.4% (0.5 Bcf/d) to average 105.5 Bcf/d, and average net imports from Canada increased by 12.6% (0.6 Bcf/d) from last week.
• Demand: Total U.S. consumption of natural gas rose by 4.1% (3.1 Bcf/d) compared with the previous report week, according to data from S&P Global Commodity Insights. Consumption in the residential and commercial sector increased by 11.7% (2.8 Bcf/d), and consumption in the industrial sector increased by 1.0% (0.2 Bcf/d) week over week. Natural gas consumed for power generation rose by 0.3% (0.1 Bcf/d) week over week. Natural gas exports to Mexico increased 4.6% (0.3 Bcf/d). Natural gas deliveries to U.S. LNG export facilities (LNG pipeline receipts) averaged 16.4 Bcf/d, essentially unchanged from last week.

Liquefied Natural Gas (LNG)

• Pipeline receipts: Average natural gas deliveries to U.S. LNG export terminals were essentially unchanged this week at 16.4 Bcf/d, according to data from S&P Global Commodity Insights. Natural gas deliveries to terminals in South Louisiana increased 2.3% (0.3 Bcf/d) to 11.0 Bcf/d, and natural gas deliveries to terminals in South Texas decreased by 5.1% (0.2 Bcf/d) to 4.2 Bcf/d. Gulf South Pipeline Company LLC (Gulf South) declared a force majeure (Notice ID 5036236) on March 24 for the Stratton Ridge location, which delivers natural gas to Freeport LNG, following a suspected lightning strike at the location. Deliveries of natural gas resumed the next day when Gulf South lifted the force majeure (Notice ID 5036253) after concluding the facilities had not suffered a lightning strike. Natural gas deliveries to terminals outside the Gulf Coast were essentially unchanged at 1.2 Bcf/d this week.

Rig Count

• According to Baker Hughes, for the week ending Tuesday, March 18, the natural gas rig count increased by 2 rigs from a week ago to 102 rigs. The Arkoma Woodford, Barnett, and Permian each added one rig, and one rig was dropped among unidentified producing regions. The number of oil-directed rigs decreased by 1 rig from a week ago to 486 rigs. The Ardmore Woodford added three rigs, and three rigs were added among unidentified producing regions. The Cana Woodford and the Permian each dropped two rigs, and the Barnett, Granite Wash, and the Williston each dropped one rig. The total rig count, which includes 5 miscellaneous rigs, now stands at 593 rigs, 31 fewer rigs than last year at this time.

Storage

• Net injections into storage totaled 37 Bcf for the week ending March 21, compared with the five-year (2020–24) average net withdrawals of 31 Bcf and last year's net withdrawals of 30 Bcf during the same week. Working natural gas stocks totaled 1,744 Bcf, which is 122 Bcf (7%) lower than the five-year average and 557 Bcf (24%) lower than last year at this time.
• According to The Desk survey of natural gas analysts, estimates of the weekly net change to working natural gas stocks ranged from net injections of 16 Bcf to 46 Bcf, with a median estimate of 32 Bcf.
• The average rate of withdrawals from storage is 18% higher than the five-year average so far in the withdrawal season (November through March). If the rate of withdrawals from storage matched the five-year average of 0.6 Bcf/d for the remainder of the withdrawal season, the total inventory would be 1,738 Bcf on March 31, which is 122 Bcf lower than the five-year average of 1,860 Bcf for that time of year.

See also:

• Natural Gas Analysis Reports
• Short-Term Energy Outlook