Natural Gas Buyers Get Pricing Relief with Sistrangas Contract Deadline Looming – Mexico Spotlight

Prices of North American natural gas continued to soften this week with U.S. storage levels set to build healthily for the upcoming winter.

After recently barreling toward $10/MMBtu, the 2 Bcf/d available to the North American market following the Freeport liquefied natural gas (LNG) terminal shutdown in Texas, is loosening supply and bringing down prices. The July New York Mercantile Exchange gas futures contract settled at $6.858 on Wednesday, up 5.0 cents on the day. August futures climbed 8.9 cents to $6.872.

“With the gas market reeling from the Freeport LNG extended outage, any hints of rising supply could add incremental bearishness and selling pressure ahead of July contract options expiration and final settlement approaching next week,” EBW senior analyst Eli Rubin...