US Natural Gas Prices Fall
Natural gas futures in the United States fell more than 5% after a major pipeline operator on the Gulf Coast lifted restrictions on gas transport across East Texas and southwestern Louisiana.
The decision allows increased flow of supplies toward eastern markets, including the site of the benchmark gas contract in Erath, Louisiana.
Meanwhile, Natural Gas Pipeline Company of America announced it would provide additional operational capacity to transport gas through compressor stations in Montgomery County, Texas, and Cameron Parish, Louisiana, according to German news agency dpa.
The company's announcement came two weeks after US federal authorities approved NGPL's start of operations for the Texas-Louisiana expansion facilities starting July 1.
At the same time, Freeport LNG export terminal told Bloomberg News it plans to begin "major maintenance work" on July 10, which would make larger amounts of gas available to the domestic market and increase pressure on prices.
The new decline in gas prices followed a government report showing that US LNG inventories rose more than analysts had expected in the past week.
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Original source: Al Arabiya
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