Supply & Demand

Henry Hub prices moderate as injection season sets in

The pace of US gas injections into storage over the coming weeks will determine how low Henry Hub prices fall during the shoulder months The pace of US gas injections into storage over the coming weeks will determine how low Henry Hub prices fall during the shoulder months.
By Abhishek Kumar 12 April 2017 0 25476

The onset of the 2017 gas injection season in the United States has put pressure on Henry Hub front-month futures and spot prices. However, the US will need to maintain high gas injection rates over the coming weeks for Henry Hub prices to decline substantially.

Prices at the Henry Hub are high on a monthly and annual basis because US gas stocks are depleted. Storage will remain a concern throughout the injection season – especially during the summer, when air conditioning-related demand in the country usually...