For week ending October 2, we are expecting a storage injection of 70 Bcf. This would take storage levels to 3826 Bcf, +439 Bcf vs LY and +389 Bcf vs 5Yr average. Injections were 102 Bcf during the same week last year.
The year-on-year storage surplus continues to decrease as we approach the end of summer.
Hurricane Delta’s projected path continued shifting west overnight, with the latest runs placing the storm barely to the east of both Cameron LNG and Sabine Pass LNG. The storm is expected to intensify this afternoon and reach category four strength as it moves across the central Gulf of Mexico. Just as Cameron had its first tanker leave, and the channels are becoming ready – A storm surge watch is in effect for Allen, Calcasieu, Cameron and Jefferson Davis parish.
The latest LNG feedgas estimates from pipeline nomination data showed Cameron picking up yesterday. Today the intake at that plant is at 45 mmcf. Sabine intake is also lower to 3 Bcf, after reaching 4 Bcf on Tuesday.
Today’s Fundamentals:
Daily US natural gas production is estimated to be 83 Bcf/d this morning. Today’s estimated production is -1 Bcf/d to yesterday, and -2.65 Bcf/d to the 7D average.
Natural gas consumption is modelled to be 71.3 Bcf today, +5.43 Bcf/d to yesterday, and +1 Bcf/d to the 7D average. US power burns are expected to be 33.94 Bcf today, and US ResComm usage is expected to be 11.6 Bcf.
Net LNG deliveries are expected to be 6.9 Bcf today.
Mexican exports are expected to be 6.6 Bcf today, and net Canadian imports are expected to be 4.6 Bcf today.
Bloomberg IM: Het Shah
enelyst DM: @het.co
Tel: 917-975-2960
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ION-Energy-Daily-Report-Oct-8-2020.pdf