US natgas prices hit 20-week high on LNG flows, heat outlook
By Scott DiSavino
NEW YORK, June 26 (Reuters) - U.S. natural gas futures edged up about 1% to a 20-week high on Friday, supported by increased flows to liquefied natural gas export plants and forecasts for hotter weather in coming weeks that should boost power demand for air conditioning.
On their last day as the front-month, gas futures for July delivery NGc1 on the New York Mercantile Exchange rose 4.2 cents, or 1.3%, to $3.385 per million British thermal units, putting the contract on track for its highest close since February 6 for a second day in a row.
The August NGQ26 contract, which will soon be the front-month, gained about 1% to $3.32 per mmBtu.
That kept the premium of futures for July over August NGN26-Q26 near Thursday's record high.
For the week, the front-month was up about 5% after gaining around 4% last week. It is poised to rise for two weeks in a row for the first time since December 2025.
SUPPLY AND DEMAND
Financial group LSEG said average gas output in the U.S. Lower 48 states held at 109.7 billion cubic feet per day so far in June, the same as May. That compares with a monthly record high of 110.6 bcfd in December 2025.
Analysts said mostly mild weather during the spring allowed energy firms to stockpile more gas than usual.
They projected the amount of gas in inventories would edge up to 5.9% above normal during the week ended June 26, up from 5.7% above in the previous week. EIA/GAS NGAS/POLL
Meteorologists forecast the weather will remain mostly warmer than normal through July 11, which should boost the amount of gas power generators burn to keep air conditioners humming. About 40% of U.S. power generation comes from gas-fired plants.
LSEG projected average gas demand in the Lower 48 states, including exports, would rise from 102.8 bcfd this week to 105.5 bcfd next week and 108.6 bcfd in two weeks. The forecasts for this week and next were similar to LSEG's outlook on Thursday.
Average gas flows to the nine big U.S. LNG export plants rose from 17.1 bcfd in May to 17.3 bcfd so far in June due in part to record feedgas at QatarEnergy/ExxonMobil's XOM.N Golden Pass plant in service and under construction in Texas.
That compares with a monthly record high of 18.8 bcfd in April.
In other LNG news, one of the two LNG vessels sailing from the U.S. directly to China, the LNG Sakura, turned toward South Korea, according to LSEG data. The other vessel is expected to reach China in mid-July.
So far, no LNG tanker has left a U.S. export plant and gone directly to China during U.S. President Donald Trump's second term, which started in January 2025, due primarily to trade disputes between the world's two biggest economies.
China, which imported a large amount of U.S. gas in the past and has many contracts to buy U.S. LNG, is the world's biggest gas importer, while the U.S. is the world's biggest gas producer, consumer and exporter. Chinese companies have bought U.S. LNG and then sold it to buyers in other countries.
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Week ended Jun 26 Forecast |
Week ended Jun 19 Actual |
Year ago Jun 26 |
Five-year average (2021-2025) Jun 26 |
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U.S. weekly natgas storage change (bcf): |
+74 |
+76 |
+61 |
+64 |
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U.S. total natgas in storage (bcf): |
2,909 |
2,835 |
2,945 |
2,747 |
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U.S. total storage versus 5-year average |
+5.9% |
+5.7% |
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Global Gas Benchmark Futures ($ per mmBtu) |
Current Day |
Prior Day |
This Month Last Year |
Prior Year Average 2025 |
Five-Year Average (2021-2025) |
Henry Hub NGc1 |
3.39 |
3.34 |
3.64 |
3.62 |
3.79 |
Title Transfer Facility (TTF) TRNLTTFMc1 |
11.87 |
11.77 |
12.38 |
11.94 |
18.51 |
Japan-Korea Marker (JKM) JKMc1 |
15.39 |
15.55 |
13.05 |
12.24 |
18.12 |
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LSEG U.S. Global Forecast System (GFS) Heating, Cooling and Total Degree Days |
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Two-Week Total Forecast |
Current Day |
Prior Day |
Prior Year |
10-Year Norm |
30-Year Norm |
U.S. GFS Heating Degree Days (HDD) |
5 |
6 |
6 |
6 |
6 |
U.S. GFS Cooling Degree Days (CDD) |
224 |
217 |
211 |
190 |
183 |
U.S. GFS Total Degree Days (TDD) |
229 |
223 |
217 |
196 |
189 |
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LSEG U.S. Weekly GFS Supply and Demand Forecasts |
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Prior Week |
Current Week |
Next Week |
This Week Last Year |
Five-Year (2021-2025) Average for Month |
U.S. Supply (bcfd) |
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U.S. Lower 48 Dry Production |
110.2 |
109.7 |
109.0 |
107.2 |
100.6 |
U.S. Imports from Canada |
7.1 |
7.1 |
7.0 |
N/A |
7.7 |
U.S. LNG Imports |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
Total U.S. Supply |
117.4 |
116.8 |
116.0 |
N/A |
108.3 |
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U.S. Demand (bcfd) |
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U.S. Exports to Canada |
2.3 |
2.0 |
2.3 |
N/A |
2.3 |
U.S. Exports to Mexico |
7.5 |
7.4 |
7.4 |
N/A |
6.7 |
U.S. LNG Export Feedgas |
17.7 |
17.6 |
17.8 |
14.6 |
12.0 |
U.S. Commercial |
4.3 |
4.3 |
4.4 |
4.4 |
5.0 |
U.S. Residential |
3.5 |
3.6 |
3.7 |
3.8 |
4.2 |
U.S. Power Plant |
39.2 |
38.6 |
40.8 |
44.7 |
39.1 |
U.S. Industrial |
21.7 |
21.6 |
21.6 |
22.3 |
21.8 |
U.S. Plant Fuel |
5.4 |
5.4 |
5.4 |
5.4 |
5.2 |
U.S. Pipe Distribution |
2.0 |
2.0 |
2.1 |
2.0 |
3.0 |
U.S. Vehicle Fuel |
0.1 |
0.1 |
0.1 |
0.1 |
0.2 |
Total U.S. Consumption |
76.4 |
75.7 |
78.1 |
82.7 |
78.5 |
Total U.S. Demand |
103.9 |
102.8 |
105.5 |
N/A |
99.5 |
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N/A = Not Available |
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U.S. Northwest River Forecast Center (NWRFC) at The Dalles Dam (fiscal year ending September 30) |
2026 Current Day % of Normal Forecast |
2026 Prior Day % of Normal Forecast |
2025 % of Normal Actual |
2024 % of Normal Actual |
2023 % of Normal Actual |
Apr-Sep |
84 |
84 |
76 |
74 |
83 |
Jan-Jul |
89 |
89 |
78 |
76 |
77 |
Oct-Sep |
94 |
94 |
80 |
77 |
76 |
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U.S. weekly power generation percent by fuel - EIA |
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Week ended June 26 |
Week ended June 19 |
2025 |
2024 |
2023 |
Wind |
9 |
11 |
11 |
11 |
10 |
Solar |
9 |
9 |
6 |
5 |
4 |
Hydro |
6 |
6 |
6 |
6 |
6 |
Other |
1 |
1 |
1 |
1 |
2 |
Petroleum |
0 |
0 |
0 |
0 |
0 |
Natural Gas |
40 |
40 |
40 |
42 |
41 |
Coal |
16 |
15 |
18 |
16 |
17 |
Nuclear |
19 |
19 |
18 |
19 |
19 |
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SNL U.S. Natural Gas Next-Day Prices ($ per mmBtu) |
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Hub |
Current Day |
Prior Day |
This Month Last Year |
Prior Year Average 2025 |
Five-Year Average (2021-2025) |
Henry Hub NG-W-HH-SNL |
3.21 |
3.19 |
3.12 |
3.52 |
3.72 |
Transco Z6 New York NG-WAH-WTX-SNL |
2.50 |
2.49 |
2.34 |
3.53 |
3.56 |
PG&E Citygate NG-CG-PGE-SNL |
1.96 |
2.06 |
3.12 |
3.42 |
5.47 |
Eastern Gas (formerly Dominion South) NG-PCN-APP-SNL |
2.40 |
2.43 |
2.17 |
2.79 |
2.96 |
Chicago Citygate NG-CG-CH-SNL |
2.79 |
2.78 |
2.76 |
3.23 |
3.60 |
Algonquin Citygate NG-CG-BS-SNL |
2.97 |
2.60 |
2.97 |
6.08 |
5.04 |
SoCal Citygate NG-SCL-CGT-SNL |
3.14 |
3.29 |
3.59 |
3.60 |
5.71 |
Waha Hub NG-WAH-WTX-SNL |
1.81 |
1.46 |
1.75 |
1.15 |
2.88 |
AECO NG-ASH-ALB-SNL |
1.14 |
1.16 |
0.64 |
1.13 |
2.13 |
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Intercontinental Exchange (ICE) U.S. Power Next-Day Prices ($ per megawatt-hour) |
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Hub |
Current Day |
Prior Day |
This Month Last Year |
Prior Year Average 2025 |
Five-Year Average (2021-2025) |
New England E-NEPLMHP-IDX |
56.50 |
53.00 |
60.18 |
77.61 |
61.79 |
PJM West E-PJWHRTP-IX |
62.72 |
60.20 |
70.06 |
60.23 |
54.47 |
Mid-Columbia (Mid C) W-MIDCP-IDX |
5.44 |
8.95 |
42.59 |
44.81 |
68.96 |
Palo Verde W-PVP-IDX |
23.00 |
30.07 |
38.53 |
34.82 |
59.94 |
South Path-15 (SP-15) W-SP15-IDX |
6.18 |
12.17 |
22.51 |
28.44 |
53.02 |