US Natgas Prices Decline Further

US natural gas prices dropped further to $2.90 per MMBtu, the lowest in seven weeks, amid a milder weather outlook, expectations of reduced gas flows to LNG export facilities, and comfortable supply conditions. Forecasts shifted toward cooler temperatures in the coming weeks, likely curbing demand for gas-fired power generation as air-conditioning usage declines. Additionally, Freeport LNG deliveries fell as the exporter began a major maintenance turnaround at its pre-treatment and liquefaction facilities on July 10, which will last until the end of August. Moreover, the latest EIA weekly report showed that domestic gas inventories were 6.6% above the five-year average as of July 3, highlighting a well-supplied market.