Outright Waha cash prices averaged negative $1.16/MMBtu during the week ended June 8 according to data from Bloomberg. This is $0.64/MMBtu higher than the average price during the week ended June 1. Although they are still below zero, this is the highest prices in the basin have been since February as summer demand picks up. Prices are expected to recover further once new takeaway capacity comes online later this year.
Featured Articles
- Analyst Insight
Gulf Coast Express Expansion Ends Waha’s Negative Streak
Waha natural gas prices were positive again for the week that just ended. An expansion of the Gulf Coast Express pipeline provided a critical boost by raising outflow capacity.
- Analyst Insight
Negative Permian Gas Price Persists, but Change is on the Horizon
The price of natural gas remains negative at Waha. But movement in the forward curve suggests that the market is looking to a brighter future in the second half of the year.
- Blog
Open The Door – New Pipeline Capacity Unlocks Supply Potential for Permian Natural Gas
Natural gas prices in the Permian spent the first half of the year in the red. Then, in mid-June, Kinder Morgan flipped a switch and now Waha prices are back above zero. The “switch” was a compression expansion on Gulf Coast Express, which added a desperately needed 570 MMcf/d of takeaway capacity.
