Natgas Prices Hit 14-Week Low as Storage Surplus Grows, Pressuring Exxon's LNG Operations
XOM sits 46% above its 52-week low of $105.525.
Summary
U.S. natural gas futures dropped to a 14-week low of $2.662/mmBtu ahead of a storage report expected to show a larger-than-normal injection of 31 bcf, widening the surplus to 6.6% above the five-year average. This extends a three-week streak of bearish builds, driven by record production and mild spring weather. For Exxon, the impact is twofold: lower Henry Hub prices squeeze upstream gas margins, while reduced LNG feedgas flows—down to 16.9 bcfd in August partly due to issues at its Golden Pass facility—limit export revenue at a time when global prices remain elevated above $18/mmBtu. The storage report due today will confirm whether the surplus continues to pressure domestic prices despite strong summer cooling demand.
At the time of this announcement, XOM was trading at $153.55 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $623.5B. The 52-week trading range was $105.53 to $176.41. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.