North America gas weekly update: Higher oil prices and new takeaway support Permian growth
It's still hot. Nonetheless, as we approach mid-September, blistering temperatures are set to start a seasonal decline, even in the South Central region. Power demand will fall, as a result, and the market will lose its key tightening mechanism from the summer injection season. What fundamental driver will arise to keep North American gas markets tight this fall and further erode the storage surplus? This weekly natural gas commodity report seeks to explore: • How much is power demand falling off? • Why is US gas production starting to increase again? • Will LNG feedgas increase further and tighten markets?