Natural Gas – Week In Review
Natural gas report week October 6, 2022.
This week’s injection of 129 Bcf was in line with analysts’ expectations which ranged from 95 Bcf to 131 Bcf. Comparatively, last year’s injection was 114 Bcf and the five-year average of net injections is 87 Bcf. Current storage totals 3,106 Bcf which is 7.8% below the five-year average but still within the five-year historical range.
Natural Gas Weekly Fundamentals
Demand
Overall demand declined for a fourth week, losing 0.8 Bcf/d. Consumption for power generation fell by 3.0 Bcf/d while residential-commercial demand grew by 1.9 Bcf/d. The LNG export ship count remained the same as the prior week, totaling 20 for an overall capacity of 75 Bcf.
Production
Production added 0.8 Bcf/d over last week. The natural gas rig count dropped by one, totaling 159 rigs. Oil-directed rigs grew by 2, for a total of 604.
Storage Forecast
The average rate of injections into storage is 1% higher than the five-year average at this point in refill season (which traditionally runs April through October). If the injection rate matches the five-year average of 8.9 Bcf/d through October 31, natural gas supply will total 3,381 Bcf, 264 Bcf lower than the five-year average of 3,645 Bcf.
Natural Gas Weekly Market Report - October 6, 2022
November NYMEX
Settled Thursday at $6.972/Dth up 4.2 cents from Wednesday’s close at $6.930/Dth.
12 Month Strip
Settled Thursday at $5.813/Dth, up 12.5 cents from the prior week.
Seasonal Strips
The winter strip (NOV22-MAR23) settled Thursday at $6.992/Dth, up 11.0 cents from last week while the summer strip (APR23-OCT23) settled at $4.970/Dth, up 13.6 cents from last week.
Calendar Years 2022/2023/2024
CY23 settled Thursday at $5.547/Dth, up 14.3 cents from the prior week.
CY24 settled Thursday at $4.692/Dth, down 2.1 cents from the prior week.
Crude Oil
Settled Thursday at $88.45/barrel, up $7.220 from the prior week.
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