Forecast

Royal Dutch Shell plc warned Tuesday of “significant uncertainty” regarding commodity prices and demand for oil and natural gas because of Covid-19, but it reiterated that liquidity remains strong.

Royal Dutch Shell plc warned Tuesday of “significant uncertainty” regarding commodity prices and demand for oil and natural gas because of Covid-19, but it reiterated that liquidity remains strong.

Amid considerable weakness in natural gas pricing, Cabot Oil & Gas Corp. will cut back to its previously disclosed maintenance capital program in 2020, a $575 million budget expected to deliver around 2.4 Bcf/d of net production this year.

Amid considerable weakness in natural gas pricing, Cabot Oil & Gas Corp. will cut back to its previously disclosed maintenance capital program in 2020, a $575 million budget expected to deliver around 2.4 Bcf/d of net production this year.

Amid considerable weakness in natural gas pricing, Cabot Oil & Gas Corp. will cut back to its previously disclosed maintenance capital program in 2020, a $575 million budget expected to deliver around 2.4 Bcf/d of net production this year.

A losing streak that continued for 12 consecutive days in the natural gas futures market weighed heavily on regional forward prices, with lackluster demand and strong production growth pushing prices down considerably at some pricing hubs.

Goldman Sachs on Friday reduced its forecast for natural gas and liquids prices for 2020-2021 because of the unrelenting onslaught in Lower 48 supplies and, barring a cold winter, lower demand.

Robust storage injections are likely to limit Henry Hub natural gas spot prices to an average $2.50/MMBtu in the second half of the year and $2.77/MMBtu next year, though swings in temperatures across the nation could put unexpected pressure on prices, according to the Energy Information Administration (EIA).

Natural gas prices claimed higher ground in 2018 to $3.00/MMBtu-plus, as demand at times exceeded expectations, a trend that could continue unless Lower 48 production overpowers consumption, according to analysts.