U.S. natural gas prices soar to highest since 2008 U.S.

gas exchange pricespeaked since 2008. Over the past year, quotations of US gas Henry Hub have already added 210%.

The exchange price of natural gas in the United States exceeded $9 per million British thermal units (MMBtu) for the first time since 2008. At the auction on Wednesday, May 25, the exchange price of gas at the New York Mercantile Exchange (NYMEX) soared by more than 6.7% to $9.4 per MMBtu or $322 per 1,000 cubic meters. m. In total, over the past year, US gas quotations Henry Hub have added 210%.

The increase in gas prices was triggered by concerns about a shortage of supply, writes Bloomberg. Stockpiles of fuel for heating and power plants remain below normal for this time of year as liquefied natural gas (LNG) exports rise to record levels, and shale production remains marginal. In addition, utilities have been burning more gas to generate electricity due to lack of wind in recent weeks, Reuters reported.

In addition, a drought on the west coast of the US is expected to lead to a drop in hydroelectric generation, while forecasts of hotter weather in the east of the country should increase demand for electricity due to increased use of air conditioners.

U.S. stock exchange sees record jump in gas prices in history Oil and gas , Europe , Futures

In the past, when natural gas became too expensive, U.S. electricity producers would switch to cheaper coal en masse, effectively capping demand and preventing prices from skyrocketing. But due to environmental and economic problems, many coal-fired plants in the US have closed, and demand for gas has proved resilient despite high prices, the agency writes.

U.S. gas futures are up about 146% since the start of the year, as record prices across Europe and Asia support strong demand for U.S. LNG exports. Exchange prices for gas in Europe today are about $947 per thousand cubic meters. m, according to the London Stock Exchange ICE.

Gas in the US is still much cheaper than in Europe due to the country's relatively large shale gas reserves and limited export opportunities, but the price gap is gradually narrowing. Henry Hub gas futures are now trading at about three times the European benchmark, but are already about 7% cheaper than they were in early March.

U.S. gas inventories are now about 15% below their five-year high, according to Reuters. The stock situation is dire, Bob Yauger, director of futures at Mizuho Securities, told Bloomberg. According to him, gas prices may soon exceed $10 per MMBtu or $358 per thousand cubic meters. m.

Follow the news of companies in our group "Vkontakte"