Prompt month natural gas futures rallied for only the second time in two weeks on Wednesday, gaining ground on lower production data and vows from a key player to drop rigs and cut output to help align currently robust supplies with modest winter demand.

At A Glance:

  • Front month gains 19.7 cents
  • Production slips to 103 Bcf/d
  • Heating demand remains light

After falling 3.3 cents on Tuesday and losing 13% last week, the March Nymex gas futures contract on Wednesday jumped 19.7 cents day/day and settled at $1.773/MMBtu.

NGI’s Spot Gas National Avg. followed suit, rising 5.0 cents to $1.635.

Production on Wednesday slipped 1 Bcf/d from the prior day to about 103 Bcf/d, according to Wood Mackenize. That was still strong relative to historical norms and up nearly 5 Bcf/d from...