Williams continues to see strong demand for natural gas services on its midstream assets despite the higher price environment, with another record quarter of gathering and transmission volumes driving an increase in earnings guidance for 2021.

CEO Alan Armstrong said he was surprised at how inelastic demand for natural gas was during the third quarter, even as gas prices escalated. Benchmark Henry Hub prices rose from sub-$4.00/MMBtu levels in July to a peak of $5.93 in late September, according to NGI’s Daily Gas Price Index.

Discussing the quarterly results on a call with investors on Tuesday, Armstrong said the Tulsa-based midstream operator would prefer “more moderate” gas prices over the long haul. However, “the recent demand resilience highlights the near- and...