American Gas Association’s Post

Earlier today the EIA reported that 13 Bcf of natural gas was injected into U.S. storage facilities for the week ending August 30th, which was not only under market expectations (30-35 Bcf), but well below last year’s build of 33 Bcf and a five-year average of 51 Bcf. The October front had been higher all session on the data and is currently up $0.12 at $2.265/MMBtu. Everything from the front through November 2025 is above yesterday’s close, but there is some back-and-forth action beginning with December 2025 and going out to September 2027. Heat in California has indicative natural gas basis prices up at the PG&E Citygate (+$0.01 to $1.56/MMBtu) and the SoCal Border (+$0.02 at $1.05) for 1 year beginning October 1st. The temperatures have had more of an effect on the Day Ahead Power prices at NP15 and SP15, which are higher. On-peaks were well above $100/MWh, with SP15s more than $150.

It was a hot May across the country, except for here in San Diego. We seemed to have some nice weather with temperatures still in the 70s. But with hot weather across the country, it increased electricity demand as people cranked up their air conditioners to stay cool. Before the increase in demand, there was a large inventory of natural gas that brought natural gas prices down to levels not seen in a long time. The reduction in natural gas inventories to more normal levels has allowed natural gas prices to rise and they now trade around $2.60 per million British thermal units which was about 65% higher than the low reached in late March. It is forecasted that this could be a hot summer, which means a higher use of natural gas for electricity to run those air conditioners. One area that is helping is solar, which is reducing some of the need for natural gas. Currently, estimates are that natural gas should not be too much higher as recent prices are perhaps just enough to bring back the drillers. This should make consumers happy with lower natural gas prices and the drillers happy since they can drill more and get a reasonable price for natural gas. It’s a nice situation, but keep in mind it will not last forever and something will cause the market to move one way or the other and spoil the party. #summerseason #electricity #electricitycosts #economy #useconomy #naturalgas #gasprices #airconditioners #electricitydemand #consumer #consumerspending #stock #stockmarket

It was a hot May across the country, except for here in San Diego. We seemed to have some nice weather with temperatures still in the 70s. But with hot weather across the country, it increased electricity demand as people cranked up their air conditioners to stay cool. Before the increase in demand, there was a large inventory of natural gas that brought natural gas prices down to levels not seen in a long time. The reduction in natural gas inventories to more normal levels has allowed natural gas prices to rise and they now trade around $2.60 per million British thermal units which was about 65% higher than the low reached in late March. It is forecasted that this could be a hot summer, which means a higher use of natural gas for electricity to run those air conditioners. One area that is helping is solar, which is reducing some of the need for natural gas. Currently, estimates are that natural gas should not be too much higher as recent prices are perhaps just enough to bring back the drillers. This should make consumers happy with lower natural gas prices and the drillers happy since they can drill more and get a reasonable price for natural gas. It’s a nice situation, but keep in mind it will not last forever and something will cause the market to move one way or the other and spoil the party. #summerseason #electricity #electricitycosts #economy #useconomy #naturalgas #gasprices #airconditioners #electricitydemand #consumer #consumerspending #stock #stockmarket

It was a hot May across the country, except for here in San Diego. We seemed to have some nice weather with temperatures still in the 70s. But with hot weather across the country, it increased electricity demand as people cranked up their air conditioners to stay cool. Before the increase in demand, there was a large inventory of natural gas that brought natural gas prices down to levels not seen in a long time. The reduction in natural gas inventories to more normal levels has allowed natural gas prices to rise and they now trade around $2.60 per million British thermal units which was about 65% higher than the low reached in late March. It is forecasted that this could be a hot summer, which means a higher use of natural gas for electricity to run those air conditioners. One area that is helping is solar, which is reducing some of the need for natural gas. Currently, estimates are that natural gas should not be too much higher as recent prices are perhaps just enough to bring back the drillers. This should make consumers happy with lower natural gas prices and the drillers happy since they can drill more and get a reasonable price for natural gas. It’s a nice situation, but keep in mind it will not last forever and something will cause the market to move one way or the other and spoil the party. #summerseason #electricity #electricitycosts #economy #useconomy #naturalgas #gasprices #airconditioners #electricitydemand #consumer #consumerspending #stock #stockmarket

ISO New England spot power and natural gas prices saw a month-on-month and year-on-year increase in January, driven by winter storms that lowered temperatures and increased power demand. However, the forward power and gas prices remain below year-ago levels. Read more on the impact of winter storms on the energy market here: https://lnkd.in/eGganhgY

GET YOUR HOME OFF GA$! My latest article, thanks for Renew Economy for publishing! "Because gas is coming to Victoria from farther and farther away, the authorities warn that an unexpected, yet credible supply disruption could lead to gas supplies being curtailed a mere six hours later." https://lnkd.in/gzRdJjRT #myefficientelectrichomehandbook

In the US, energy and natural gas prices are influenced by domestic factors like weather patterns, storage levels, and infrastructure constraints. Recently, extreme weather conditions, such as cold snaps or heatwaves, have led to increased demand for natural gas for heating or cooling, impacting prices. Additionally, fluctuations in production and storage capacity can affect prices, highlighting the importance of efficient infrastructure and supply management to stabilize energy costs for consumers and businesses. #GoGreenGrove #GoGGE #Switch2GGE

Great to see the Guardian starting a new series of articles myth busting about heat pumps. They answer the question "Are heat pumps more expensive to run than gas boilers?" today at https://lnkd.in/d3Vg78nk

Interesting read and I recognise those Heat Pumps 👀👀👀 https://lnkd.in/gbDSdqcS Are heat pumps more expensive to run than gas boilers?

With Enduring Economic Vigor, Industrial Natural Gas Demand Proves Pocket of Strength