Natural gas prices dropped by 3.57% to ₹240.3, despite a smaller-than-expected storage injection by US utilities. Concerns over potential disruptions in US natural gas production eased as tropical storms moved away from the Gulf of Mexico.
Baker Hughes reported a 3 to 102 increase in rig drilling activity. Storage injections have been at record lows, and gas output in Lower 48 states averaged 101.0 billion cubic feet per day in October.
The U.S. Energy Information Administration forecasts a decline in natural gas production to 103.4 billion cubic feet per day in 2024, compared to 103.8 billion in 2023.
However, demand is expected to reach record highs, rising from 89.1 billion cubic feet in 2023 to 89.9 billion in 2024. U.S. utilities added 55 billion cubic feet of gas into storage in the week ending September 27, bringing total stockpiles to 3,547 billion cubic feet.
