North America gas short-term outlook September 2017: Haynesville production weighs on 2018 prices
Exceptionally mild weather and hurricanes decreased September demand. And while it remains tighter than normal, the supply-demand balance has begun to loosen. Production growth is strong in the Permian and we expect the same in the Northeast as new pipeline capacity comes online. And we have upgraded our Haynesville production outlook due to chokes that are improving well performance--our 2018 price outlook now averages $2.85/mmbtu, albeit with some upside if winter weather is cold or if drilling continues to soften.