Today in Energy
Recent Today in Energy analysis of natural gas markets is available on the EIA website.
Market Highlights:
(For the week ending Wednesday, January 29, 2025)
Prices
Henry Hub spot price: The Henry Hub spot price fell 60 cents from $3.89 per million British thermal units (MMBtu) last Wednesday to $3.29/MMBtu yesterday.
Henry Hub futures price: The February 2025 NYMEX contract expired yesterday at $3.535/MMBtu, down 43 cents from last Wednesday. The March 2025 NYMEX contract price decreased to $3.170/MMBtu, down 34 cents from last Wednesday to yesterday. The price of the 12-month strip averaging March 2025 through February 2026 futures contracts declined 25 cents to $3.813/MMBtu.
Select regional spot prices: Natural gas spot prices fell at all major pricing locations this report week (Wednesday, January 22, to Wednesday, January 29). Price decreases ranged from $13.97 at Transco Zone 6 NY to 3 cents at PG&E Citygate.
Prices decreased in the Northeast this report week as temperatures moderated in the region. At the Algonquin Citygate, which serves Boston-area consumers, the price fell $2.45 from $18.99/MMBtu last Wednesday to $16.54/MMBtu yesterday. The Algonquin Citygate price remains the highest among markets in North America because of continuing supply constraints, which affect New England in the winter during times of high demand for space heating. Weekly average temperatures in the Boston Area have been below freezing since January 8. Temperatures in the Boston Area averaged 30°F this report week, resulting in 246 heating degree days (HDDs), 25 fewer HDDs than last week. At the Transco Zone 6 NY trading point for New York City, the price decreased $13.97 from $17.54/MMBtu last Wednesday to $3.57/MMBtu yesterday. Temperatures in the New York-Central Park Area averaged 33°F this report week, close to normal but 7°F above the previous week, resulting in 43 fewer HDDs than last week. Natural gas consumption in the Northeast decreased by 13% (4.8 billion cubic feet per day [Bcf/d]) this report week, led by a 15% (3.3 Bcf/d) decrease in consumption in the residential and commercial sector, according to S&P Global Commodity Insights. Natural gas production in the region increased by 2% (0.7 Bcf/d) to an average 34.8 Bcf/d.
In the Southeast, prices fell this report week. The FGT Citygate price, which reflects deliveries of natural gas into Florida via the Florida Gas Transmission pipeline, decreased $11.80 from $15.44/MMBtu last Wednesday to $3.64/MMBtu yesterday. Temperatures in the Tallahassee Area averaged 65°F, or 20°F above the previous report week and 12°F above normal, resulting in 23 HDDs, 117 fewer HDDs than last week. Natural gas consumption decreased by 7% (1.7 Bcf/d), led by a 15% (0.9 Bcf/d) decrease in consumption in the residential and commercial sector, according to data from S&P Global Commodity Insights.
Prices on the West Coast decreased this report week. The price at SoCal Citygate in Southern California decreased 22 cents from $4.28/MMBtu last Wednesday to $4.06/MMBtu yesterday. At PG&E Citygate in Northern California, the price fell 3 cents from $3.72/MMBtu last Wednesday to $3.69/MMBtu yesterday. At Northwest Sumas on the Canada-Washington border, the main pricing point for natural gas in the Pacific Northwest, the price decreased 29 cents from $3.58/MMBtu last Wednesday to $3.29/MMBtu yesterday. Natural gas consumption in the Western region was essentially unchanged this report week, according to data from S&P Global Commodity Insights. In addition, natural gas storage inventories in the Pacific region for the week ending January 24 totaled 246 Bcf, 17% above the five-year (2020–2024) average.
The price at the Waha Hub in Texas, which is located near Permian Basin production activities, decreased 61 cents from $2.96/MMBtu last Wednesday to $2.35/MMBtu yesterday. The Waha Hub traded 94 cents below the Henry Hub price yesterday, compared with last Wednesday when it traded 93 cents below the Henry Hub price. The Waha Hub price has traded above zero since January 1 compared with trading below zero on 36% of the trading days in the fourth quarter of 2024. Additional pipeline takeaway capacity from the Permian region came online in October 2024 with the start of the 2.5 Bcf/d Matterhorn Express Pipeline.
Daily spot prices by region are available on the EIA website.
International futures prices: International natural gas futures prices increased this report week. According to Bloomberg Finance, L.P., weekly average front-month futures prices for liquefied natural gas (LNG) cargoes in East Asia increased 6 cents to a weekly average of $14.08/MMBtu. Natural gas futures for delivery at the Title Transfer Facility (TTF) in the Netherlands increased 52 cents to a weekly average of $15.08/MMBtu. In the same week last year (week ending January 31, 2024), the prices were $9.42/MMBtu in East Asia and $9.13/MMBtu at TTF.
Natural gas plant liquids (NGPL) prices: The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 40 cents/MMBtu, averaging $8.11/MMBtu for the week ending January 29. Ethane prices fell 7% week over week, while weekly average natural gas prices at the Houston Ship Channel decreased 37%. The ethane premium to natural gas increased by 249% after the average natural gas price fell below the average ethane price this week. The ethylene spot price fell 1% week over week, and the ethylene premium to ethane increased 2%. Propane prices decreased 5%, while Brent crude oil prices decreased 3% week over week. The propane discount to crude oil widened 2% for the week. Normal butane prices, isobutane prices, and natural gasoline prices each fell by 3%.
Supply: According to data from S&P Global Commodity Insights, the average total supply of natural gas rose by 0.3% (0.3 Bcf/d) compared with the previous report week. Dry natural gas production grew by 2.6% (2.6 Bcf/d) to average 103.5 Bcf/d, and average net imports from Canada decreased by 22.1% (1.9 Bcf/d) from last week.
Demand: Total U.S. consumption of natural gas fell by 12.2% (15.5 Bcf/d) compared with the previous report week, according to data from S&P Global Commodity Insights. Natural gas consumed in the residential and commercial sector declined by 17.2% (10.3 Bcf/d) as warmer weather spread across much of the United States. Natural gas consumed for power generation declined by 9.8% (3.9 Bcf/d), and consumption in the industrial sector decreased by 4.7% (1.3 Bcf/d) week over week. Natural gas exports to Mexico decreased 2.5% (0.2 Bcf/d). Natural gas deliveries to U.S. LNG export facilities (LNG pipeline receipts) averaged 13.7 Bcf/d, or 1.1 Bcf/d lower than last week.
Pipeline receipts: Average natural gas deliveries to U.S. LNG export terminals decreased 1.1 Bcf/d from last week to 13.7 Bcf/d, according to data from S&P Global Commodity Insights. Natural gas deliveries to terminals in South Louisiana decreased 6.3% (0.6 Bcf/d) to 9.2 Bcf/d, and natural gas deliveries to terminals in South Texas decreased by 19.1% (0.8 Bcf/d) to 3.3 Bcf/d. Liquefaction production operations at Freeport LNG, south of Houston, were offline early in the report week due to intermittent power disruptions and resumed over the weekend. Natural gas deliveries to terminals outside the Gulf Coast increased 34.9% (0.3 Bcf/d) to 1.2 Bcf/d this week.
Vessels departing U.S. ports: Twenty-four LNG vessels (eight from Sabine Pass; six from Cameron; three from Calcasieu Pass; two each from Corpus Christi, Cove Point, and Plaquemines; and one from Freeport) with a combined LNG-carrying capacity of 90 Bcf departed the United States between January 23 and January 29, according to shipping data provided by Bloomberg Finance, L.P.
Vessels arriving at U.S. Ports: One LNG vessel with a carrying capacity of 3 Bcf docked for off-loading at the Everett LNG Terminal in Boston Harbor in Massachusetts this month and departed the terminal between January 23 and January 28, according to shipping data provided by Bloomberg Finance, L.P.
According to Baker Hughes, for the week ending Tuesday, January 21, the natural gas rig count increased by 1 rig from a week ago to 99 rigs, as 1 rig was added among unidentified producing regions. The number of oil-directed rigs decreased by 6 rigs from a week ago to 472 rigs. The Eagle Ford added one rig, and one rig was added among unidentified producing regions. The Barnett and the Cana Woodford each dropped one rig, and the Permian dropped six rigs. The total rig count, which includes 5 miscellaneous rigs, now stands at 576 rigs, 45 fewer rigs than last year at this time.
Net withdrawals from storage totaled 321 Bcf for the week ending January 24, compared with the five-year (2020–24) average net withdrawals of 189 Bcf and last year’s net withdrawals of 234 Bcf during the same week. This is the fourth-largest withdrawal on record. Working natural gas stocks totaled 2,571 Bcf, which is 111 Bcf (4%) lower than the five-year average and 144 Bcf (5%) lower than last year at this time.
According to The Desk survey of natural gas analysts, estimates of the weekly net change to working natural gas stocks ranged from net withdrawals of 298 Bcf to 340 Bcf, with a median estimate of 313 Bcf.
The average rate of withdrawals from storage is 31% higher than the five-year average so far in the withdrawal season (November through March). If the rate of withdrawals from storage matched the five-year average of 12.5 Bcf/d for the remainder of the withdrawal season, the total inventory would be 1,749 Bcf on March 31, which is 111 Bcf lower than the five-year average of 1,860 Bcf for that time of year.
More storage data and analysis can be found on the Natural Gas Storage Dashboard and the Weekly Natural Gas Storage Report.
See also:
Spot Prices ($/MMBtu)
Thu,
23-Jan
Fri,
24-Jan
Mon,
27-Jan
Tue,
28-Jan
Wed,
29-Jan
Henry Hub
3.96
3.84
3.71
3.43
3.29
New York
9.00
7.04
3.55
3.62
3.57
Chicago
3.76
3.54
3.26
3.14
2.99
Cal. Comp. Avg.*
3.89
3.83
3.69
3.47
3.45
*Avg. of NGI’s reported prices for: Malin, PG&E Citygate, and Southern California Border Avg.
Data source: NGI’s Daily Gas Price Index
U.S. natural gas supply – Gas Week: (1/23/25 – 1/29/25)
Average daily values (billion cubic feet)
this week
last week
last year
Marketed production
117.2
114.1
115.5
Dry production
103.5
100.9
102.9
Net Canada imports
6.7
8.6
6.4
LNG pipeline deliveries
0.2
0.6
0.1
Total supply
110.4
110.1
109.4
Data source: S&P Global Commodity Insights
Note: This table reflects any data revisions that may have occurred since the previous week’s posting. Liquefied natural gas (LNG) pipeline deliveries represent natural gas sendout from LNG import terminals.
U.S. natural gas consumption – Gas Week: (1/23/25 – 1/29/25)
Average daily values (billion cubic feet)
this week
last week
last year
U.S. consumption
111.7
127.2
91.8
Power
35.9
39.8
33.0
Industrial
26.1
27.4
24.4
Residential/commercial
49.7
60.0
34.4
Mexico exports
6.5
6.7
6.3
Pipeline fuel use/losses
8.2
8.6
7.7
LNG pipeline receipts
13.7
14.7
14.0
Total demand
140.1
157.2
119.7
Data source: S&P Global Commodity Insights
Note: This table reflects any data revisions that may have occurred since the previous week’s posting. Liquefied natural gas (LNG) pipeline receipts represent pipeline deliveries to LNG export terminals.
Rigs
Tue, January 21, 2025
Change from
last week
last year
Oil rigs
472
-1.3%
-5.4%
Natural gas rigs
99
1.0%
-16.8%
Note: Excludes any miscellaneous
rigs
Rig numbers by type
Tue, January 21, 2025
Change from
last week
last year
Vertical
14
7.7%
7.7%
Horizontal
511
-0.8%
-8.6%
Directional
51
-1.9%
4.1%
Data source: Baker Hughes Company
Working gas in underground storage
Stocks
billion cubic feet (Bcf)
Region
2025-01-24
2025-01-17
change
East
552
613
-61
Midwest
661
744
-83
Mountain
212
229
-17
Pacific
246
269
-23
South Central
901
1,037
-136
Total
2,571
2,892
-321
Data source: U.S. Energy Information Administration Form EIA-912, Weekly Underground Natural Gas Storage Report
Note: Totals may not equal sum of components because of independent rounding.
Working gas in underground storage
Historical comparisons
Year ago
1/24/24
5-year average
2020-2024
Region
Stocks (Bcf)
% change
Stocks (Bcf)
% change
East
620
-11.0
612
-9.8
Midwest
744
-11.2
732
-9.7
Mountain
188
12.8
154
37.7
Pacific
224
9.8
210
17.1
South Central
939
-4.0
975
-7.6
Total
2,715
-5.3
2,682
-4.1
Data source: U.S. Energy Information Administration Form EIA-912, Weekly Underground Natural Gas Storage Report
Note: Totals may not equal sum of components because of independent rounding.
Temperature – heating & cooling degree days (week ending Jan 23)
HDDs
CDDs
Region
Current total
Deviation from normal
Deviation from last year
Current total
Deviation from normal
Deviation from last year
New England
313
38
9
0
0
0
Middle Atlantic
304
41
11
0
0
0
E N Central
349
53
9
0
0
0
W N Central
372
57
4
0
0
0
South Atlantic
242
59
0
2
-6
1
E S Central
258
70
-18
0
-2
0
W S Central
207
69
10
0
-4
0
Mountain
280
50
69
0
0
0
Pacific
122
4
12
0
-1
0
United States
270
45
12
0
-2
0
Data source: National Oceanic and Atmospheric Administration
Note: HDDs=heating degree days; CDDs=cooling degree days
Average temperature (°F)
7-day mean ending Jan 23, 2025
Data source: National Oceanic and Atmospheric Administration
Deviation between average and normal temperature (°F)
7-day mean ending Jan 23, 2025
Data source: National Oceanic and Atmospheric Administration
Monthly U.S. dry shale natural gas production by formation is available in the
Short-Term Energy Outlook.