Natural gas report week November 10, 2022.
This week’s injection of 79 Bcf was in line with analysts’ expectations which ranged from 66 Bcf to 101 Bcf. Comparatively, last year’s injection was 15 Bcf and the five-year average of net injections is 20 Bcf. Current storage totals 3,580 Bcf which is 2.1% below the five-year average but still within the five-year historical range.
Natural Gas Weekly Fundamentals
- Demand - Overall demand rose by 2.0%, growing by 1.4 Bcf/d week over week. The largest increase in consumption came from power generation (typically cooling) related demand, up 1.2 Bcf/d. The LNG export ship count remains unchanged from last week, totaling 21 for an overall capacity of 78 Bcf.
- Production - Production fell by 0.6 Bcf/d, amplified by another (1.1 Bcf/d) weekly decline in imports from Canada. The natural gas rig count dropped by one from the week before, totaling 155 rigs. Oil-directed rigs grew by 3, for a total of 613.
- Storage Forecast - Mild temperatures during the final weeks of refill season reversed the disappointing injection season trend that characterized much of the summer. At the beginning of injection season, storage was 285 Bcf below the five-year average. For most of the next four months, weekly injections fell short of the five-year average. As such, the deficit to the five-year average was 367 Bcf by mid-August. Nonetheless, recent weeks of moderating temperatures and triple-digit injections have contributed to a current storage total which sits just 37 Bcf shy of the five-year average.
Natural Gas Weekly Market Report - November 10, 2022
December NYMEX: December settled Thursday at $6.239/Dth up 37.4 cents from Wednesday’s close at $5.865/Dth, and up 26.4 cents from the prior week.
12 Month Strip
Settled Thursday at $5.398/Dth, up 14.8 cents from the prior week.
The winter strip (DEC22-MAR23) settled Thursday at $6.207/Dth, up 21.2 cents from last week while the summer strip (APR23-OCT23) settled at $4.950/Dth, up 12.3 cents week-over-week.
Calendar Years 2023/2024/2025
CY23 settled Thursday at $5.347/Dth, up 13.0 cents from the prior week.
CY24 settled Thursday at $4.682/Dth, up 6.1 cents from the prior week.
CY25 settled Thursday at $4.556/Dth, up 5.4 cents from the prior week.
Settled Thursday at $86.47/barrel, down $1.70 cents from the prior week.
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