We’ve been tracking the daily price of the NYMEX December futures contract at the South Louisiana Henry Hub on and off for the past few months. Yesterday it closed down again, at $2.86/Mcf (or MMBtu). However, the “spot price” for gas–actual physical gas bought and sold at various trading points along pipelines–has all but crashed
Read More...Last week we were jazzed when noticed the price of natural gas at the NYMEX Henry Hub had soared, up over $0.30 to $3.30/Mcf (see NYMEX Henry Hub NatGas Price Shoots Up to $3.30 for December). Apparently what goes up that quickly can down just as quickly. Yesterday the price closed at $3.05/Mcf. Why?This post
Read More...When checking the NYMEX futures price for natural gas, which is based on the spot price at the Henry Hub in southern Louisiana, we had a surprise. Just a few days ago the NYMEX was showing right around $3 per million BTUs (or per Mcf, thousand cubic feet). Yesterday the price closed at $3.30/Mcf. Why
Read More...click for larger version Last week the spot price for natural gas being sold at the Dominion South trading hub in Allegheny County, PA crashed to its lowest point in more than a year, selling for $0.735 per Mcf (thousand cubic feet). According to the experts at RBN Energy, the Marcellus/Utica is heading into a
Read More...The received wisdom has been that with the oil markets getting whacked by the Saudis, the Russians, and the virus, and with new drilling scaled back and oil wells in the Permian, Bakken, Eagle Ford and other oil plays being shut-in, far less “associated gas” would be produced, leading to tighter natgas supplies further leading
Read More...According to the International Energy Agency (IEA), the “lifeblood” of the global energy system is…investment. That is, money. Without investment, new sources of energy don’t appear. In 2016 IEA began to publish an annual report called World Energy Investment, in order to track spending on all forms of energy worldwide. Earlier this week IEA published
Read More...While on the surface the liquefied natural gas (LNG) marketplace may seem simple and straightforward, when you dig down you’ll find it is complex. There are different kinds of contracts between those who sell the gas, those who liquefy and ship it, and those who buy it. The LNG marketplace is, with the entrance of
Read More...The pipeline situation today in the Marcellus/Utica region is far different than it was just a year or two ago. Not long ago lack of pipelines meant we had an overabundance of natural gas in the region without buyers, driving prices into the basement. Today? It’s all different. Because of new and expanded pipelines coming
Read More...The Natural Gas Supply Association (NGSA) yesterday released its 2019 Summer Outlook for Natural Gas report (summary below). It’s not much different than the Winter Outlook was (see NGSA Winter Forecast: High Demand + High Production = Flat Prices). NGSA predicts natural gas demand will reach new all-time highs this summer. However, natural gas production
Read More...This article is provided FREE for Google searchers. In order to access all content on Marcellus Drilling News, please visit our Subscribe page. Trinidad’s Atlantic LNG facility Although natural gas prices in New England at the Algonquin City Gate trading hub (Boston) spiked a few times this past winter, they didn’t spike anywhere near as
Read More...This article is provided FREE for Google searchers. In order to access all content on Marcellus Drilling News, please visit our Subscribe page. This is nuts! This is insane! Because of overproduction, lack of pipelines, and an existing pipeline down for maintenance, natural gas sellers at the Waha natural gas trading hub (in West Texas)
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