US Southwest spot gas rises on marginal fundamental changes, SoCal outlook

摘要

US Southwest cash natural gas prices increased in May 23 trading fornext-day flows amid marginal changes in fundamentals.SoCal Gas rose around 71 cents to trade at $8.31/MMBtu for May 24flows, according to S&P Global Commodity Insights data.According to Platts Analytics, Southern California was bracing forwhat could be its highest natural gas prices on record this summer.SoCal Gas city-gate has been pricing at a strong premium to HenryHub despite a seven-year high in ga storage levels. In recent trading,peak-summer prices for July, August, and September at the SoCal citygatewere nearing $11/MMBtu, S&P Global data showed. Cash pricescould set a fresh record dating back to the mid-2000s, and forwardbasis prices also were elevated, averaging at about a $2.45/MMBtupremium to Henry Hub, the highest seen since summer 2018.