Yesterday, the EIA reported at 81 Bcf injection for week ending Oct 8th. This report came in much lower than expectations. The route cause is likely seasonal nuke outages and low wind. As seen in the chart below, wind was well below the seasonal expected levels last week. The story flips for this week with wind coming in well above normal. The chart shows the daily Bcf/d change in gas burns due to wind’s performance as well.



Today’s Fundamentals

Daily US natural gas production is estimated to be  92.6 Bcf/d this morning. Today’s estimated production is +0.4 Bcf/d to yesterday, and +0.22 Bcf/d to the 7D average.

Natural gas consumption is modelled to be 67.2 Bcf today,  -2.63 Bcf/d to yesterday, and -0.79 Bcf/d to the 7D average. US power burns are expected to be 31.1 Bcf today, and US ResComm usage is expected to be 10.8 Bcf.

Net LNG deliveries are expected to be 11.2 Bcf today.

Mexican exports are expected to be 7 Bcf today, and net Canadian imports are expected to be 5.3 Bcf today.

The storage outlook for the upcoming report is +88 Bcf today.

This email, any information contained herein and any files transmitted with it (collectively, the Material) are the sole property of OTC Global Holdings LP and its affiliates (OTCGH); are confidential, may be legally privileged and are intended solely for the use of the individual or entity to whom they are addressed. Unauthorized disclosure, copying or distribution of the Material, is strictly prohibited and the recipient shall not redistribute the Material in any form to a third party. Please notify the sender immediately by email if you have received this email by mistake, delete this email from your system and destroy any hard copies. OTCGH waives no privilege or confidentiality due to any mistaken transmission of this email.