US natgas drops 4% to 17-month low as storage rises on mild weather and weak demand (updated)

US Global Investors

24/04/2026 20:03

Mild weather and low demand to boost gas storage levels to 8% above normal, analysts say

Low spot prices prompt producers like EQT to cut output

Some Texas and California power and gas prices turn negative as renewables meet demand

Adds closing prices

By Scott DiSavino

NEW YORK, April 24 (Reuters) -
U.S. natural gas futures slid about 4% on Friday to a 17-month low, on forecasts for the weather to remain mild and demand low through early May, allowing energy firms to keep injecting more gas into storage than usual for this time of year.

Front-month gas futures for May delivery NGc1 on the New York Mercantile Exchange fell 9.1 cents, or 3.5%, to settle at $2.523 per million British thermal units (mmBtu), their lowest close since October 29, 2024.

The front-month contract was in technically oversold territory for the first time since mid-April.

For the week, the contract was down about 6% after gaining about 1% last week.

        In the cash market, some power and gas prices in Texas NG-WAH-WTX-SNL and California W-SP15-IDX traded in negative territory this week as mild weather kept both heating and cooling use low, allowing ample amounts of hydro and other renewable sources of energy to meet more demand.

SUPPLY AND DEMAND

Financial firm LSEG said average gas output in the U.S. Lower 48 states eased to 110.2 billion cubic feet per day (bcfd) so far in April, down from 110.4 bcfd in March. That compares with a monthly record high of 110.7 bcfd in December 2025.

On a daily basis, output was on track to drop by around 4.1 bcfd over the past 18 days to a preliminary 11-week low of 108.1 bcfd on Friday, as low spot prices prompt energy firms like EQT EQT.N, the second-biggest U.S. gas producer, to cut production. Preliminary data, however, is often revised later in the day.

Looking ahead, meteorologists forecast the weather will remain slightly cooler than normal through May 9. Cool weather in late April and early May, however, does not cause much heating demand and also reduces the chances of early-season air conditioning use.

Analysts said mostly mild weather so far this spring has allowed energy firms to inject more gas into storage than usual, boosting inventories to a forecast 8% above normal levels during the week ended April 24, up from 7% above normal during the week ended April 17. EIA/GAS NGAS/POLL

LSEG projected average gas demand in the Lower 48 states, including exports, would slide from 103.7 bcfd this week to 100.6 bcfd next week and 100.0 bcfd in two weeks. The forecasts for this week and next were similar to LSEG's outlook on Thursday.

Average gas flows to the nine big U.S. LNG export plants rose to 18.9 bcfd so far in April, up from 18.6 bcfd in March. That reading compares with a monthly record high of 18.7 bcfd in February.

Week ended April 24 Forecast
Week ended April 17 Actual
Year ago April 24
Five-year average (2021-2025) April 24
U.S. weekly natgas storage change (bcf):
+81
+103
+105
+63
U.S. total natgas in storage (bcf):
2,144
2,063
2,026
1,989
U.S. total storage versus 5-year average
+7.8%
+7.1%
Global Gas Benchmark Futures ($ per mmBtu)
Current Day
Prior Day
This Month Last Year
Prior Year Average 2025
Five-Year Average (2021-2025)
Henry Hub NGc1
2.55
2.61
3.43
3.62
3.79
Title Transfer Facility (TTF) TRNLTTFMc1
15.49
15.19
11.48
11.94
18.51
Japan-Korea Marker (JKM) JKMc1
16.39
16.13
12.23
12.24
18.12
LSEG U.S. Global Forecast System (GFS) Heating, Cooling and Total Degree Days
Two-Week Total Forecast
Current Day
Prior Day
Prior Year
10-Year Norm
30-Year Norm
U.S. GFS Heating Degree Days (HDD)
119
112
82
124
109
U.S. GFS Cooling Degree Days (CDD)
48
49
56
46
47
U.S. GFS Total Degree Days (TDD)
167
161
137
170
156
LSEG U.S. Weekly GFS Supply and Demand Forecasts
Prior Week
Current Week
Next Week
This Week Last Year
Five-Year (2021-2025) Average for Month
U.S. Supply (bcfd)
U.S. Lower 48 Dry Production
110.0
109.2
109.1
106.4
99.9
U.S. Imports from Canada
6.8
6.7
6.5
N/A
7.5
U.S. LNG Imports
0.0
0.0
0.0
0.0
0.0
Total U.S. Supply
116.8
115.9
115.6
N/A
107.4
U.S. Demand (bcfd)
U.S. Exports to Canada
2.4
2.4
2.3
N/A
2.5
U.S. Exports to Mexico
6.5
6.8
6.3
N/A
6.1
U.S. LNG Export Feedgas
18.6
18.7
18.5
15.8
13.1
U.S. Commercial
6.4
7.2
6.5
6.3
8.6
U.S. Residential
7.6
8.8
7.5
7.3
11.4
U.S. Power Plant
30.0
29.4
29.4
30.5
27.2
U.S. Industrial
22.3
22.9
22.6
22.4
23.3
U.S. Plant Fuel
5.4
5.4
5.4
5.4
5.3
U.S. Pipe Distribution
2.0
2.0
2.0
2.0
3.0
U.S. Vehicle Fuel
0.1
0.1
0.1
0.1
0.2
Total U.S. Consumption
73.8
75.8
73.5
74.0
79.0
Total U.S. Demand
101.4
103.7
100.6
N/A
100.7
N/A = Not Available
U.S. Northwest River Forecast Center (NWRFC) at The Dalles Dam (fiscal year ending September 30)
2026 Current Day % of Normal Forecast
2026 Prior Day % of Normal Forecast
2025 % of Normal Actual
2024
% of Normal Actual
2023
% of Normal Actual
Apr-Sep
91
93
76
74
83
Jan-Jul
95
97
78
76
77
Oct-Sep
99
101
80
77
76
U.S. weekly power generation percent by fuel - EIA
Week ended Apr 24
Week ended Apr 17
2025
2024
2023
Wind
16
18
11
11
10
Solar
9
9
6
5
4
Hydro
7
6
6
6
6
Other
2
2
1
1
2
Petroleum
0
0
0
0
0
Natural Gas
35
35
40
42
41
Coal
13
14
18
16
17
Nuclear
18
18
18
19
19
SNL U.S. Natural Gas Next-Day Prices ($ per mmBtu)
Hub
Current Day
Prior Day
This Month Last Year
Prior Year Average 2025
Five-Year Average (2021-2025)
Henry Hub NG-W-HH-SNL
2.65
2.75
3.41
3.52
3.72
Transco Z6 New York NG-CG-NY-SNL
1.97
2.18
2.81
3.53
3.56
PG&E Citygate NG-CG-PGE-SNL
1.18
1.29
2.63
3.42
5.47
Eastern Gas (formerly Dominion South) NG-PCN-APP-SN
1.87
1.92
2.69
2.79
2.96
Chicago Citygate NG-CG-CH-SNL
2.22
2.30
3.03
3.23
3.60
Algonquin Citygate NG-CG-BS-SNL
2.06
2.16
3.15
6.08
5.04
SoCal Citygate NG-SCL-CGT-SNL
1.97
2.02
2.94
3.60
5.71
Waha Hub NG-WAH-WTX-SNL
-7.05
-4.37
1.38
1.15
2.88
AECO NG-ASH-ALB-SNL
0.91
0.93
1.60
1.13
2.13
Intercontinental Exchange (ICE) U.S. Power Next-Day Prices ($ per megawatt-hour)
Hub
Current Day
Prior Day
This Month Last Year
Prior Year Average 2025
Five-Year Average (2021-2025)
New England E-NEPLMHP-IDX
43.08
43.94
42.26
77.61
61.79
PJM West E-PJWHRTP-IX
75.70
68.72
50.50
60.23
54.47
Mid-Columbia (Mid C) W-MIDCP-IDX
4.61
6.18
26.45
44.81
68.96
Palo Verde W-PVP-IDX
4.25
2.33
25.26
34.82
59.94
South Path-15 (SP-15) W-SP15-IDX
-2.80
0.91
9.76
28.44
53.02

 (Reporting by Scott DiSavino; Editing by Andrea Ricci and David Gregorio)

 ((scott.disavino@thomsonreuters.com; +1 332 219 1922; Reuters Messaging: scott.disavino.thomsonreuters.com@reuters.net/))