US Natural Gas Surges Amid Hurricane Idalia
US natural gas futures climbed past 2.7/MMBtu, propelled by heightened weather predictions of increased heat. Gas traders remain vigilant in assessing the ramifications of Hurricane Idalia on supply and consumption.
Having made landfall in Florida last Wednesday, the hurricane's impact led to power disruptions and a decline in gas demand for the affected area. Presently, PowerOutage.us data shows that over 200,000 homes and businesses in Florida are grappling with power outages.
Despite a temporary decrease in demand due to short-term cooling, the outlook indicates prolonged high temperatures persisting until mid-September. Concurrently, diminished operations at key US LNG export facilities, such as Cheniere Energy's Sabine Pass and Corpus Christi, have contributed to reduced gas flow for LNG exports.
Regarding the supply aspect, August has witnessed a minor contraction in natural gas production compared to preceding months.
Having made landfall in Florida last Wednesday, the hurricane's impact led to power disruptions and a decline in gas demand for the affected area. Presently, PowerOutage.us data shows that over 200,000 homes and businesses in Florida are grappling with power outages.
Despite a temporary decrease in demand due to short-term cooling, the outlook indicates prolonged high temperatures persisting until mid-September. Concurrently, diminished operations at key US LNG export facilities, such as Cheniere Energy's Sabine Pass and Corpus Christi, have contributed to reduced gas flow for LNG exports.
Regarding the supply aspect, August has witnessed a minor contraction in natural gas production compared to preceding months.
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