Natural Gas Futures, Spot Surge on Intensifying Medium-Range Cold; West Texas Falls

  • December rallies 28.3 cents to $3.567 after gapping up over weekend; January up 26.5 cents to $3.575
  • “A vicious day for those that held short over the weekend,” says NatGasWeather
  • “The margin of safety in a cold weather scenario is wearing thin,” says EBW’s Weissman
  • West Texas spot prices down as Northern Natural continues reporting performance issues at Permian delivery points
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Natural Gas Futures Rally on Colder Afternoon Guidance; West Texas Cash Falls

  • December Nymex up 4.7 cents to $3.284; January up 3.5 cents to $3.310
  • “Confidence is low as run-to-run changes in all weather models remain incredibly large,” Bespoke says
  • E&P guidance suggests possibly slowing Appalachian supply growth: Jefferies
  • West Texas spot prices pressured as Northern Natural Permian delivery points underperform
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Pemex Casting Off Red Tape to Potentially Import More LNG

A top-level team of Mexican energy officials and regulators has reached an accord with state oil company Petroleos Mexicanos (Pemex) to allow the producer to renew purchasing liquefied natural gas (LNG), while eliminating penalizations under the previous system, a source close to the deal told NGI’s Mexico Gas Price Index. Read More

Models Mixed on November Temps as Natural Gas Futures Slide; Maintenance Squeezes West Texas Cash

  • December falls 2.4 cents to $3.237; January down 2.7 to $3.275
  • Markets to closely watch Nov. 15-18 pattern as models mixed on mild, cold risks: NatGasWeather
  • EIA reported 48 Bcf build shows “extreme looseness” in last week’s injection a “relative one-off,” says Bespoke
  • West Texas prices down ahead of El Paso maintenance
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Historically Low U.S. Storage Puts Dicey Scenarios in Play for Natural Gas Markets

The natural gas market is balanced on a knife’s edge heading into Winter 2018/19. Meager end-October stockpiles could create problems getting the gas to where it’s needed if cold weather surprises, analysts say, while surging Lower 48 production growth could see the market loosen significantly should winter weather fail to impress. Read More

November Natural Gas Futures Roll Off Board Unchanged at $3.185

  • Nymex November gas futures contract expires flat after late buying spree
  • Production sets fresh record, while weather models turn warmer through medium range
  • Some market observers unsure about late November weather given volatility in models
  • Spot gas prices soar in New England, other parts of the East as cold weather systems move across region
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