April Nymex natural gas prices closed up by 6.26%, gaining +0.189 on Wednesday amid rising crude oil prices and escalating tensions in the Iran war. On the same day, US dry gas production reached 111.8 billion cubic feet per day (bcf/day), a 3.9% increase year-on-year, while gas demand was recorded at 76.4 bcf/day, up 0.5% year-on-year, according to BNEF.
The EIA projected a decrease in natural gas inventories by 41 bcf—less than the five-year average of 64 bcf—highlighting near-normal supply levels. Notably, Qatar’s Ras Laffan plant, which contributes 20% to global liquefied natural gas supply, was temporarily shut down due to an Iranian drone attack, which could potentially increase US LNG exports.
In market trends, the number of active US natural gas drilling rigs decreased to 132, down by two from the previous week’s 2.5-year high of 134. This follows a notable increase over the past 17 months from a four-and-a-half-year low of 94 rigs reported in September 2024.
