The EIA reported an injection of 70 Bcf natural gas storage for the week ending Sept. 4. The prompt month prices momentarily jumped higher, but eased throughout the day and ended the day at $2.323. Our early view for next week currently stands at 70 Bcf.
LNG feedgas deliveries have ramped up with the return of Sabine Pass. The last 3 days (including today) we has seen total deliveries average 6.8 Bcf. Yesterday, Sabine Pass LNG has loaded its first cargo since it went offline ahead of Hurricane Laura. This tanker is still berthed at the facility. There looks to be a line up of tankers in the Gulf that will help move US natgas off our shores.
With Cameron out, Freeport and Corpus Christi volumes have moved higher. In fact, Elba Island deliveries have been rising as well and today hit it hit its operational capacity for the first time.
Today’s Fundamentals:
Daily US natural gas production is estimated to be 87.4 Bcf/d this morning. Today’s estimated production is -0.83 Bcf/d to yesterday, and -0.89 Bcf/d to the 7D average.
Natural gas consumption is modelled to be 72.4 Bcf today, -2.24 Bcf/d to yesterday, and +1.74 Bcf/d to the 7D average. US power burns are expected to be 36.34 Bcf today, and US ResComm usage is expected to be 9.4 Bcf.
Net LNG deliveries are expected to be 6.8 Bcf today.
Mexican exports are expected to be 6.5 Bcf today, and net Canadian imports are expected to be 3.7 Bcf today.
Bloomberg IM: Het Shah
enelyst DM: @het.co
Tel: 917-975-2960
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ION-Energy-Daily-Report-Sept-11-2020.pdf