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Natural gas falls as storm risk threatens Gulf LNG exports
August Nymex natural gas (NGQ26) ended Monday down 1.8%, as forecasts for Tropical Storm Bertha raised concerns about reduced LNG shipments from the US Gulf Coast.
Nat-gas prices retreated on Monday amid concern that a tropical depression could develop into Tropical Storm Bertha and disrupt liquefied natural gas export facilities on the US Gulf Coast over the next several days, which could reduce exports and add to domestic supply, according to Yahoo Finance.
August Nymex natural gas (NGQ26) settled down 0.051, or 1.8%, with prices hovering just above Thursday’s 2-month low. Losses accelerated as forecasts shifted cooler, with below-average temperatures expected in the Northeast through July 24, a pattern that could curb power-sector demand for natural gas.
The article also pointed to data suggesting ongoing fundamentals that are pressuring prices. US (lower-48) dry gas production was 113.0 bcf/day, up 3.9% year over year, while lower-48 state gas demand was 78.4 bcf/day, up 5.0% year over year, and estimated LNG net flows to US export terminals were 18.0 bcf/day, up 0.5% week over week, according to BNEF.
Beyond near-term weather, Yahoo Finance cited speculation that a powerful El Niño could bring warmer conditions to the Northern Hemisphere this fall and winter, reducing heating demand. It also noted the EIA’s July 7 forecast that raised 2026 US dry natural gas production to 111.2 bcf/day from a June estimate of 111.0 bcf/day, while pointing to medium-term support from tighter global LNG supplies following reported damage to Qatar’s Ras Laffan export capacity.
Latest closeNat gas $2.883 ▲0.6%