Natural Gas Futures Drop as Freeport LNG’s Rolling Outages Stymie Demand; Cash Extends Gains

Natural gas futures fell Friday, tripped up by warmer forecasts for late March and additional work at the Freeport LNG terminal that could offset volume gains from a restart of its third train.

At A Glance:

• Production at 100.8 Bcf/d
• National Avg. gains for second day
• Freeport LNG inspections offset restart

The April Nymex contract fell 8.6 cents/MMBtu day/day to settle at £1.655. NGI's Spot Gas National Avg.[1] rose 6.0 cents to £1.205, led by gains in the East. "Prices are back lower today, aided by massive surpluses, the potential for Freeport to underperform a while longer, and warmer overnight trends" for late March forecasts, according to NatGasWeather.

Overnight updates to weather models trended warmer, indicating cold air could retreat to Canada in late...

References

1. ^ National Avg. (www.naturalgasintel.com)