ANL 11.20 Decreased By ▼ -0.25 (-2.18%)
ASC 9.71 Decreased By ▼ -0.09 (-0.92%)
ASL 12.00 Increased By ▲ 0.65 (5.73%)
AVN 80.00 Increased By ▲ 1.70 (2.17%)
BOP 5.94 Increased By ▲ 0.11 (1.89%)
CNERGY 5.70 Increased By ▲ 0.16 (2.89%)
FFL 6.85 Decreased By ▼ -0.12 (-1.72%)
FNEL 6.26 Increased By ▲ 0.11 (1.79%)
GGGL 12.10 Decreased By ▼ -0.05 (-0.41%)
GGL 16.89 Increased By ▲ 0.07 (0.42%)
GTECH 9.45 Decreased By ▼ -0.20 (-2.07%)
HUMNL 7.00 Increased By ▲ 0.35 (5.26%)
KEL 2.68 Increased By ▲ 0.12 (4.69%)
KOSM 3.09 Increased By ▲ 0.09 (3%)
MLCF 27.50 Increased By ▲ 0.25 (0.92%)
PACE 3.09 Decreased By ▼ -0.01 (-0.32%)
PIBTL 5.99 Decreased By ▼ -0.12 (-1.96%)
PRL 17.58 Decreased By ▼ -0.30 (-1.68%)
PTC 7.62 Decreased By ▼ -0.53 (-6.5%)
SILK 1.29 Decreased By ▼ -0.14 (-9.79%)
SNGP 27.40 Increased By ▲ 1.31 (5.02%)
TELE 11.64 Decreased By ▼ -0.12 (-1.02%)
TPL 9.90 Increased By ▲ 0.01 (0.1%)
TPLP 18.62 Increased By ▲ 0.94 (5.32%)
TREET 29.70 Decreased By ▼ -0.40 (-1.33%)
TRG 81.11 Decreased By ▼ -0.57 (-0.7%)
UNITY 22.48 Decreased By ▼ -0.79 (-3.39%)
WAVES 13.45 Decreased By ▼ -0.05 (-0.37%)
WTL 1.56 Decreased By ▼ -0.04 (-2.5%)
YOUW 5.09 Decreased By ▼ -0.01 (-0.2%)
BR100 4,262 Increased By 29.5 (0.7%)
BR30 15,499 Increased By 12.7 (0.08%)
KSE100 42,861 Increased By 319.7 (0.75%)
KSE30 16,276 Increased By 133.1 (0.82%)

CHICAGO: US natural gas futures rose to their highest in more than a week on Friday, buoyed by forecasts for warmer weather in two weeks and a projected increase in liquefied natural gas (LNG) exports.

The warmer weather is expected to boost the amount of fuel needed for power generation to keep air conditioning units humming, though traders noted that demand next week is likely be similar to this week, kept in check by mild weather and the Memorial Day holiday on Monday.

Front-month gas futures rose 6.7 cents, or 2.3%, to $3.025 per million British thermal units at 9:02 a.m. EDT (1302 GMT), putting the contract on track for its highest close since it settled at a three-month high of $3.109 on May 17.

For the week, the contract was up about 4% after falling about 2% last week.

For the month, the contract was up about 3% after gaining about 12% last month. Data provider Refinitiv said gas output in the Lower 48 US states has averaged 91 billion cubic feet per day (bcfd) in May, up from 90.6 bcfd in April. That, however, was still well below November 2019’s monthly record of 95.4 bcfd.

With warmer weather coming after the US Memorial Day holiday week, Refinitiv projected average gas demand, including exports, would rise from 83.6 bcfd this week to 84.1 bcfd next week with a projected increase in LNG exports and 90.1 bcfd in two weeks as warmer weather boosts demand for air conditioning. The forecast for next week was slightly higher than Refinitiv predicted on Thursday.

The amount of gas flowing to US LNG export plants has averaged 10.8 bcfd so far in May, down from April’s monthly record of 11.5 bcfd. The decline was attributable to short-term issues and normal spring maintenance at a few Gulf Coast plants and the gas pipelines that supply them.

But with European gas prices near their highest since September 2018 and Asian prices above $10 per mmBtu, analysts said they expect buyers around the world to keep purchasing all the LNG the United States can provide.

US pipeline exports to Mexico, meanwhile, have averaged 6.0 bcfd so far in May, just off April’s monthly record of 6.1 bcfd, Refinitiv data showed.

Comments

Comments are closed.