Highlights Eastern Gas South trades above $3 in mid-July Production, drilling down from previous highs Producers largely holding to 2021 capex budgets As natural gas prices in Appalachia push the $3/MMBtu mark, producers there appear to be holding steadfast in their commitment to investors to hold production and drilling at maintenance levels. In July, cash prices at the basin’s benchmark location, Eastern Gas South, have averaged $2.86/MMBtu, to trade at their highest midsummer levels in over five years, S&P Global Platts data shows. In the forward markets, balance-July prices settled most recently at $2.93/MMBtu. For the subsequent calendar months through November, the Appalachian index is priced slightly lower at an average $2.72, with $3 gas expected to return for the peak winter months of December, January and February. In Appalachia’s recent past, strong gas prices […]