Spot prices fell over the report week at most market locations, with northeastern pricing points reaching record lows in Friday trading before reversing losses at the end of the report week (Wednesday-to-Wednesday). The Henry Hub spot price fell from $3.88 per million British thermal units (MMBtu) last Wednesday, October 8, to $3.82/MMBtu yesterday.
At the New York Mercantile Exchange (Nymex), the near-month (November 2014) contract shed five cents, falling from $3.855/MMBtu last Wednesday to $3.800/MMBtu yesterday.
Working natural gas in storage rose to 3,299 billion cubic feet (Bcf) as of Friday, October 10, according to the U.S. Energy Information Administration (EIA) Weekly Natural Gas Storage Report (WNGSR). A net increase in storage of 94 Bcf for the week resulted in storage levels 9.4% below year-ago levels and 9.9% below the five-year average for this week.
The total rotary rig count as of October 10 was 1,930 active units, an increase of 8 from the previous week, according to data from Baker Hughes Inc. The natural gas rig count declined by 10 from the previous week to 320 active units. The oil rig count increased by 18 units to 1,609.
The Mont Belvieu natural gas plant liquids composite price declined 3.5%, or 33 cent, to $9.14/MMBtu for the week covering October 6 - October 10. All components of the price fell, with natural gasoline, propane, isobutane, butane, and ethane falling 5.7%, 3.5%, 2.7%, 2.0%, and 1.4%, respectively. The decline in plant liquids prices has generally followed the steep decline in oil prices over the past couple of weeks.
Source: U.S. Energy Information Administration