Energy Market News 5-17-2021

Electricity Markets

Besides ERCOT, all other markets saw an increase in forward electric rates.

Colder temperatures were observed over the week, but the daily markets remained quiet.

Natural Gas Markets

Pricing continues to move up now with prompt month June 2021 NYMEX is trading at $3.00 and now is in the upper range of normal pricing.

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  Futures as of 5/12/2021 versus previous week:

Jun-21	$2.966	+$0.028
Jul-21	$3.019	+$0.037
Aug-21	$3.028	+$0.036
Sep-21	$3.015	+$0.037
Oct-21	$3.033	+$0.038
Nov-21	$3.094	+$0.038

Natural Gas Inventory

As of Friday, May 7, 2021 working gas in storage was 2,029 Bcf. According to EIA estimates this represents a net increase of 71 Bcf from the previous week.

 

The Baker Hughes exploration gas count is up 7 from the previous week for a total of 103 rigs. This is 27 more rigs than the 81 in operation at this time one year ago.

   

Weather Update

 

Temperatures are expected to be warmer than normal throughout most of central and mid-Atlantic regions. With some cooler temperatures expected in the Northwest and in Texas.

National Weather Service Updates (NOAA)

 

• 6-10 Day forecast
• 8-14 Day forecast
• 30 Day Forecast
• Arctic Oscillator

  Hurricane Watch: No Hurricanes Click here to view the National Hurricane Center site. Equatorial Pacific Outlook: Click here to view La Nina and El Nino status.

Energy News

ERCOT Tracker: Power, gas prices hit records during Feb. 14 winter storm Houston — February’s monthly average day-ahead on-peak locational marginal prices in the Electric Reliability Council of Texas hit records above $1,500/MWh due to the Feb. 14 winter storm that resulted in several days with real-time prices at the $9,000/MWh system wide offer cap.   News : US EIA trims gas production forecasts, sees lower gas use for power this summer The US Energy Information Administration May 11 lowered its forecasts for natural gas production for the remainder of 2021, even as it expected growing LNG exports and domestic consumption would help push Henry Hub spot prices higher.   If you would like to receive the Energy Market Update to your inbox weekly, please click here to submit your name and email address. Disclaimer: This information is provided for the use of our customers and potential customers. Power Management Company assumes no responsibility or liability for the accuracy or completeness of pricing or information in this document. Historical data was obtained from sources that we believe to be reliable, but we do not guarantee its accuracy or completeness. It is not intended to provide advice or recommendation. Views are subject to change without notice.