Highlights Summer-winter spreads just 10-15 cents at Eastern Gas Strong spot, near-term demand boosting summer prices Northeast gas storage 80 Bcf below average in mid-May Narrowing summer-to-winter forward price spreads at Appalachia’s natural gas hubs are promising to slow storage injections this season, potentially posing a risk to the region’s pre-winter stock levels.
At key upstream locations across the region, peak-summer prices have hit historic highs in relation to next winter’s forward valuations. At the regional benchmark, Eastern Gas South, prices for June, July, and August are now trading at an average discount of just 10-15 cents to next winter’s December, January, and February contracts. At Texas Eastern M2 receipts, the same seasonal spread has been cut in half over the past four months to around 30-35 cents currently, S&P Global Commodity Insights data shows. Relatively strong […]