21.08.202515:13:43UTC+00US Natgas Prices Attempt Rebound from 9-Month Low

U.S. natural gas futures increased by over 2%, climbing above $2.8 per million British thermal units (MMBtu), recovering from a nine-month low of $2.752 observed on August 20. This rise is attributed to reduced production levels and increased demand for liquefied natural gas (LNG) exports, which have tightened the market. Production is on track to decline by about 3.6 billion cubic feet per day (bcfd), reaching a six-week low of 106.4 bcfd, compared to a record high of 109.8 bcfd on July 28. Additionally, flows to LNG export plants have averaged 15.8 bcfd so far in August, up from 15.5 bcfd in July. Furthermore, data from the Energy Information Administration (EIA) indicated that U.S. utilities injected only 13 billion cubic feet (bcf) into storage for the week ending August 15, significantly below expectations of 22 bcf and well under the 35 bcf five-year average. Despite this, inventories remain 5.8% above the seasonal norms. Looking forward, weather forecasts predict near-normal conditions through early September, suggesting there may be limited demand fluctuations.