US natgas prices climb 2% on soaring oil futures after Israel strikes Iran
June 13 (Reuters) - U.S. natural gas futures climbed about 2% on Friday as gas followed oil prices higher after Israel launched strikes against Iran, raising worries that the Gulf nation could disrupt Middle Eastern oil and gas supplies.
U.S. crude futures jumped more than 13% overnight, reaching their highest levels since January.
Gas futures for July delivery on the New York Mercantile Exchange were up 5.9 cents, or 1.7%, to $3.551 per million British thermal units (mmBtu) at 10:18 a.m. EDT (1418 GMT). On Thursday, the contract closed at its lowest level since May 30 for a fourth day in a row.
For the week, the front-month was down about 4% after gaining about 13% over the prior two weeks.
The premium of gas futures for August over July rose to a record high of 11 cents per mmBtu. With August futures trading higher than July futures so far this year, energy traders said the higher premium was likely due to expectations of lower supply, higher demand and/or a lower surplus of gas in storage in August than July.
So far this year, energy firms have pulled a monthly record high of 1.013 billion cubic feet (bcf) of gas out of storage during a brutally cold January and added a monthly record high of 497 bcf into storage in May when mild weather kept both heating and cooling demand low, according to federal energy data. The prior all-time monthly injection high was 494 bcf in May 2015.
Analysts expect energy firms will set another storage record this week with an eighth triple-digit injection. The U.S. Energy Information Administration will release the June 13 storage report a day ahead of schedule on Wednesday, June 18, due to the U.S. Juneteenth holiday on June 19. GAS/POLL
During the week ended June 6, energy firms added 100 bcf or more of gas into storage for seven weeks in a row, tying the seven-week triple-digit injection record set in June 2014, according to federal energy data going back to 2010.
Financial firm LSEG said average gas output in the Lower 48 U.S. states has eased to 105.1 billion cubic feet per day so far in June, down from 105.2 bcfd in May and a monthly record high of 106.3 bcfd in March due primarily to normal spring maintenance.
Meteorologists forecast weather across the Lower 48 states will remain mostly warmer than normal through June 28.
With hotter summer weather coming, LSEG forecast average gas demand in the Lower 48, including exports, would rise from 98.5 bcfd this week to 98.8 bcfd next week and 102.1 bcfd in two weeks. The forecast for this week was higher than LSEG's outlook on Thursday, while its forecast for next week was lower.
The average amount of gas flowing to the eight big U.S. LNG export plants has fallen to 14.0 bcfd so far in June, down from 15.0 bcfd in May and a monthly record high of 16.0 bcfd in April.
Traders said LNG feedgas reductions since April were primarily due to spring maintenance, including work at Cameron LNG's 2.0-bcfd plant in Louisiana and Cheniere Energy's (LNG.N), opens new tab 4.5-bcfd Sabine Pass facility in Louisiana and 3.9-bcfd Corpus Christi plant in Texas, and short, unplanned unit outages at Freeport LNG's 2.1-bcfd plant in Texas on May 6, May 23, May 28 and June 3.
Energy traders said they expect maintenance to continue through late-June at Sabine, which has been pulling in about 3.0 bcfd of gas since the end of May. That figure compares with an average of 4.5 bcfd during the month of May.
text_section_type="notes">For gas data on the LSEG terminal type ENERGY in the search bar and then go to the GAS drop down and the NORTH AMERICA drop down.
For Interactive Map, type 'Interactive Map' in the box at upper left of the LSEG terminal
For graphics on Baker Hughes rig counts, see: http://graphics.thomsonreuters.com/15/rigcount/index.html, opens new tab
For next-day SNL U.S. gas prices, see:
For next-day SNL U.S. power prices, see:
For U.S. natgas price and storage polls, see:
For U.S. nuclear power outages, see:
For U.S. Northwest hydro power report, see: NWRFC
For U.S./Canada natural gas rig count vs Henry Hub futures price, see: http://tmsnrt.rs/2eT9k44, opens new tab
For the U.S. natural gas speed guide, see:
For the U.S. power speed guide, see:
To determine CFTC managed money net position add (NYMEX Henry Hub options and futures combined ) plus (ICE Henry Hub options and futures combined divided by four) plus (NYMEX Henry Hub swaps options and futures combined divided by four) plus (NYMEX Henry Hub penultimate gas swaps divided by four)
NYMEX Henry Hub options and futures combined
NYMEX Henry Hub futures only
ICE Henry Hub options and futures combined
NYMEX Henry Hub swaps options and futures combined
NYMEX Henry Hub Penultimate gas swaps
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
North Wales Chronicle
2 hours ago
- North Wales Chronicle
Mike Lynch's superyacht fully raised above water for first time since it sank
Seven people died when the Bayesian sank off the Italian island on August 19, including billionaire Mr Lynch, 59, and his daughter Hannah, 18. The 56-metre (184ft) yacht was seen being held above the water by one of Europe's most powerful sea cranes near the fishing town of Porticello on Saturday afternoon. The yacht's propeller, rudder and keel all appeared to be intact. It was then lowered again slightly and salvage crews say that on Sunday it will be moved to Termini Imerese – where Italian prosecutors investigating the sinking are based. On Saturday morning, workers could be seen on the vessel, which is covered in mud and algae, while the canopy and guard rails are mangled. The full word 'Bayesian' could be seen on the stern of the yacht and a ladder which Italian coastguard officials say was originally on the ship to allow passengers to disembark was seen cracked and pointed upwards on the starboard side. Also visible on the top deck was the stump of the mast. Salvage workers say there were 18,000 litres of fuel on board. Investigators in the UK and Italy say raising the vessel is crucial to fully understanding what happened. Balloon-like kit will be used to lift the Bayesian's mast, a project insider said. The yacht's 72-metre (236ft) mast was cut off on Tuesday using a remote-controlled tool and rested on the seabed. He told PA: 'Lifting bags will be used on the mast, but this will not start until Tuesday or Wednesday. 'In the interim, the salvors on-site not accompanying Bayesian to port will be conducting a full sweep of the seabed site for any potential debris.' Meanwhile, Michele Maltese, of the Italian coastguard, told reporters that thermal cameras were used to check for any potential fuel leaks. A local law investigator was also at the scene, he said. Marcus Cave of British firm TMC Marine, which is overseeing the salvage efforts, said: 'This was a complex and precise lifting operation to recover Bayesian, and followed a step-by-step programme of salvage work. 'The salvage team has progressed in a systematic way that prioritised the safety of all working on site and minimised any potential impact on the environment. 'This care for personnel and for the environment will continue as Bayesian is transported into port tomorrow.' The vessel was originally expected to be raised last month, but salvage efforts were delayed after a diver died during underwater work on May 9, prompting greater use of remote-controlled equipment. About 70 specialist personnel had been mobilised to Porticello from across Europe to work on the recovery operation, which began last month. Inquest proceedings in the UK are looking at the deaths of Mr Lynch and his daughter, as well as Morgan Stanley International bank chairman Jonathan Bloomer, 70, and his wife, Judy Bloomer, 71, who were all British nationals. Marine Accident Investigation Branch investigators said in an interim report that the Bayesian was knocked over by 'extreme wind'. The yacht had a vulnerability to winds, but the owner and crew would not have known, the report said. US lawyer Chris Morvillo and his wife Neda Morvillo, and Canadian-Antiguan national Recaldo Thomas, who was working as a chef on the vessel, also died in the sinking. Fifteen people, including Mr Lynch's wife, Angela Bacares, were rescued. Mr Lynch and his daughter were said to have lived in the vicinity of London and the Bloomers lived in Sevenoaks in Kent. The tycoon founded software giant Autonomy in 1996 and was cleared in June last year of carrying out a massive fraud over the sale of the firm to Hewlett-Packard (HP) in 2011. The boat trip was a celebration of his acquittal in the case in the US.
Leader Live
2 hours ago
- Leader Live
Mike Lynch's superyacht fully raised above water for first time since it sank
Seven people died when the Bayesian sank off the Italian island on August 19, including billionaire Mr Lynch, 59, and his daughter Hannah, 18. The 56-metre (184ft) yacht was seen being held above the water by one of Europe's most powerful sea cranes near the fishing town of Porticello on Saturday afternoon. The yacht's propeller, rudder and keel all appeared to be intact. It was then lowered again slightly and salvage crews say that on Sunday it will be moved to Termini Imerese – where Italian prosecutors investigating the sinking are based. On Saturday morning, workers could be seen on the vessel, which is covered in mud and algae, while the canopy and guard rails are mangled. The full word 'Bayesian' could be seen on the stern of the yacht and a ladder which Italian coastguard officials say was originally on the ship to allow passengers to disembark was seen cracked and pointed upwards on the starboard side. Also visible on the top deck was the stump of the mast. Salvage workers say there were 18,000 litres of fuel on board. Investigators in the UK and Italy say raising the vessel is crucial to fully understanding what happened. Balloon-like kit will be used to lift the Bayesian's mast, a project insider said. The yacht's 72-metre (236ft) mast was cut off on Tuesday using a remote-controlled tool and rested on the seabed. He told PA: 'Lifting bags will be used on the mast, but this will not start until Tuesday or Wednesday. 'In the interim, the salvors on-site not accompanying Bayesian to port will be conducting a full sweep of the seabed site for any potential debris.' Meanwhile, Michele Maltese, of the Italian coastguard, told reporters that thermal cameras were used to check for any potential fuel leaks. A local law investigator was also at the scene, he said. Marcus Cave of British firm TMC Marine, which is overseeing the salvage efforts, said: 'This was a complex and precise lifting operation to recover Bayesian, and followed a step-by-step programme of salvage work. 'The salvage team has progressed in a systematic way that prioritised the safety of all working on site and minimised any potential impact on the environment. 'This care for personnel and for the environment will continue as Bayesian is transported into port tomorrow.' The vessel was originally expected to be raised last month, but salvage efforts were delayed after a diver died during underwater work on May 9, prompting greater use of remote-controlled equipment. About 70 specialist personnel had been mobilised to Porticello from across Europe to work on the recovery operation, which began last month. Inquest proceedings in the UK are looking at the deaths of Mr Lynch and his daughter, as well as Morgan Stanley International bank chairman Jonathan Bloomer, 70, and his wife, Judy Bloomer, 71, who were all British nationals. Marine Accident Investigation Branch investigators said in an interim report that the Bayesian was knocked over by 'extreme wind'. The yacht had a vulnerability to winds, but the owner and crew would not have known, the report said. US lawyer Chris Morvillo and his wife Neda Morvillo, and Canadian-Antiguan national Recaldo Thomas, who was working as a chef on the vessel, also died in the sinking. Fifteen people, including Mr Lynch's wife, Angela Bacares, were rescued. Mr Lynch and his daughter were said to have lived in the vicinity of London and the Bloomers lived in Sevenoaks in Kent. The tycoon founded software giant Autonomy in 1996 and was cleared in June last year of carrying out a massive fraud over the sale of the firm to Hewlett-Packard (HP) in 2011. The boat trip was a celebration of his acquittal in the case in the US.
Powys County Times
2 hours ago
- Powys County Times
Mike Lynch's superyacht fully raised above water for first time since it sank
Tech tycoon Mike Lynch's superyacht has been fully raised above water for the first time since it sank off the coast of Sicily. Seven people died when the Bayesian sank off the Italian island on August 19, including billionaire Mr Lynch, 59, and his daughter Hannah, 18. The 56-metre (184ft) yacht was seen being held above the water by one of Europe's most powerful sea cranes near the fishing town of Porticello on Saturday afternoon. The yacht's propeller, rudder and keel all appeared to be intact. It was then lowered again slightly and salvage crews say that on Sunday it will be moved to Termini Imerese – where Italian prosecutors investigating the sinking are based. On Saturday morning, workers could be seen on the vessel, which is covered in mud and algae, while the canopy and guard rails are mangled. The full word 'Bayesian' could be seen on the stern of the yacht and a ladder which Italian coastguard officials say was originally on the ship to allow passengers to disembark was seen cracked and pointed upwards on the starboard side. Also visible on the top deck was the stump of the mast. Salvage workers say there were 18,000 litres of fuel on board. Investigators in the UK and Italy say raising the vessel is crucial to fully understanding what happened. Balloon-like kit will be used to lift the Bayesian's mast, a project insider said. The yacht's 72-metre (236ft) mast was cut off on Tuesday using a remote-controlled tool and rested on the seabed. He told PA: 'Lifting bags will be used on the mast, but this will not start until Tuesday or Wednesday. 'In the interim, the salvors on-site not accompanying Bayesian to port will be conducting a full sweep of the seabed site for any potential debris.' Meanwhile, Michele Maltese, of the Italian coastguard, told reporters that thermal cameras were used to check for any potential fuel leaks. A local law investigator was also at the scene, he said. Marcus Cave of British firm TMC Marine, which is overseeing the salvage efforts, said: 'This was a complex and precise lifting operation to recover Bayesian, and followed a step-by-step programme of salvage work. 'The salvage team has progressed in a systematic way that prioritised the safety of all working on site and minimised any potential impact on the environment. 'This care for personnel and for the environment will continue as Bayesian is transported into port tomorrow.' The vessel was originally expected to be raised last month, but salvage efforts were delayed after a diver died during underwater work on May 9, prompting greater use of remote-controlled equipment. About 70 specialist personnel had been mobilised to Porticello from across Europe to work on the recovery operation, which began last month. Inquest proceedings in the UK are looking at the deaths of Mr Lynch and his daughter, as well as Morgan Stanley International bank chairman Jonathan Bloomer, 70, and his wife, Judy Bloomer, 71, who were all British nationals. Marine Accident Investigation Branch investigators said in an interim report that the Bayesian was knocked over by 'extreme wind'. The yacht had a vulnerability to winds, but the owner and crew would not have known, the report said. US lawyer Chris Morvillo and his wife Neda Morvillo, and Canadian-Antiguan national Recaldo Thomas, who was working as a chef on the vessel, also died in the sinking. Fifteen people, including Mr Lynch's wife, Angela Bacares, were rescued. Mr Lynch and his daughter were said to have lived in the vicinity of London and the Bloomers lived in Sevenoaks in Kent. The tycoon founded software giant Autonomy in 1996 and was cleared in June last year of carrying out a massive fraud over the sale of the firm to Hewlett-Packard (HP) in 2011.
