for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up

UPDATE 2-U.S. natgas futures jump to fresh 9-month high following contract roll

 (Adds link to LNG story update)
    Aug 28 (Reuters) - U.S. natural gas futures jumped on Friday to a nine-month high as the front-month
rolled to a new more expensive contract and lots of production remained shut along the Gulf Coast from
Hurricane Laura. 
    Traders noted prices were supported by pipeline exports to Mexico rising to a record high for a
fourth day in a row and liquefied natural gas (LNG) exports starting to edge up after dropping to an
18-month low earlier in the week after two LNG plants in Louisiana shut ahead of Laura.
    On its first day as the front-month, gas futures for the most active October contract fell
5.3 cents, or 2.0%, to settle at $2.657 per million British thermal units. Since October futures are
trading much higher than where the September contract closed on Thursday, the front-month was still up
about 3%, putting it at its highest settle since Nov. 22 for a second day in a row.
    Gas futures have soared 92% since falling to a near 25-year low of $1.432 per mmBtu on June 26.
    "Natural gas prices have mounted a monumental comeback within this two-month period," said Daniel
Myers, market analyst at Gelber & Associates in Houston, noting the recovery was comparable to the 87%
rally between March-July of 2016. "Unlike 2016, this rally has taken place over 63 days, just over half
the time."
    The amount of gas flowing to U.S. LNG export terminals was on track to rise on Friday for a second
day in a row to 2.8 billion cubic feet per day (bcfd). On Wednesday, pipeline flows to the LNG plants
fell to 2.3 bcfd, their lowest since February 2019, after Cheniere Energy Inc and Cameron LNG
shut their Louisiana plants.
    U.S. output, meanwhile, was on track to drop to a three-month low of 85.3 bcfd on Friday as many
wells in the Gulf remain shut for Laura, according to preliminary data from Refinitiv.
            
                                       Week ended      Week ended    Year ago   Five-year   
                                          Aug 28         Aug 21       Aug 28     average    
                                        (Forecast)      (Actual)                  Aug 28    
 U.S. natgas storage (bcf):                +37            +45          +77         +66 Refinitiv Heating (HDD), Cooling (CDD) and Total (TDD) Degree Days                         
 Two-Week Total Forecast               Current Day     Prior Day    Prior Year   10-Year    30-Year Norm
                                                                                   Norm     
 U.S. GFS HDDs                              12             9            4           10           13
 U.S. GFS CDDs                             175            182          179         168          147
 U.S. GFS TDDs                             187            191          183         178          160
                                                                                            
 Refinitiv U.S. Weekly GFS Supply and Demand Forecasts                                      
                                        Prior Week    Current Week  Next Week   This Week    Five-Year
                                                                                Last Year   Average For
                                                                                               Month
 U.S. Supply (bcfd)
 U.S. Lower 48 Dry Production              88.6           86.5         86.0        92.7         79.1
 U.S. Imports from Canada                  6.6            7.1          7.1         7.7          8.0
 U.S. LNG Imports                          0.0            0.0          0.0         0.0          0.2
 Total U.S. Supply                         95.2           93.5         93.1       100.4         87.3
 
 U.S. Demand (bcfd)
 U.S. Exports to Canada                    2.0            1.8          1.9         3.1          2.2
 U.S. Exports to Mexico                    5.7            6.2          5.9         5.5          4.4
 U.S. LNG Exports                          4.7            3.8          3.2         6.5          2.0
 U.S. Commercial                           4.5            4.5          4.6         4.5          4.5
 U.S. Residential                          3.5            3.6          3.7         3.6          3.3
 U.S. Power Plant                          41.8           42.5         39.4        33.9         36.6
 U.S. Industrial                           21.6           21.5         21.5        21.5         20.6
 U.S. Plant Fuel                           4.4            4.3          4.2         4.3          4.3
 U.S. Pipe Distribution                    2.1            2.1          2.0         2.1          2.0
 U.S. Vehicle Fuel                         0.1            0.1          0.1         0.1          0.1
 Total U.S. Consumption                    77.9           78.6         75.5        70.0         71.4
 Total U.S. Demand                         90.4           90.5         86.5        85.1         80.0 SNL U.S. Natural Gas Next-Day Prices ($ per mmBtu)                                         
 Hub                                   Current Day     Prior Day                            
 Henry Hub NG-W-HH-SNL                   2.52           2.52                              
 Transco Z6 New York NG-CG-NY-SNL        1.62           2.00                              
 PG&E Citygate NG-CG-PGE-SNL             3.56           3.49                              
 Dominion South NG-PCN-APP-SNL           1.20           1.35                              
 Chicago Citygate NG-CG-CH-SNL           2.28           2.33                              
 Algonquin Citygate NG-CG-BS-SNL         1.35           1.51                              
 SoCal Citygate NG-SCL-CGT-SNL           4.05           4.59                              
 Waha Hub NG-WAH-WTX-SNL                 1.07           1.25 SNL U.S. Power Next-Day Prices ($ per megawatt-hour)                                       
 Hub                                   Current Day     Prior Day                            
 New England EL-PK-NPMS-SNL             23.00          23.00                              
 PJM West EL-PK-PJMW-SNL                31.50          29.25                              
 Ercot North EL-PK-ERTN-SNL             54.38          55.00                              
 Mid C EL-PK-MIDC-SNL                   20.75          23.00                              
 Palo Verde EL-PK-PLVD-SNL              63.75          93.50                              
 SP-15 EL-PK-SP15-SNL                   64.75          85.25                              
 
 (Reporting by Scott DiSavino; Editing by Steve Orlofsky and David Gregorio)
  
 
 
for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up