US Natgas Prices Decline

US natural gas prices fell below $3.0 per MMBtu on the first day of October, the lowest level in a week, amid the prospect of limited heating and cooling demand. Forecasts indicated that average weather across the country will remain mostly near normal through October 15, reducing the potential for a significant increase in gas-fired power consumption. In addition, Columbia Gas Transmission lifted force majeure on Sunday after resolving a mechanical problem, allowing production to increase in the coming days. Meanwhile, traders are awaiting the weekly storage report later today, with analysts expecting inventories to have fallen to 2.4% above normal in the week through September 25, from 2.9% in the previous week. Meanwhile, feedgas deliveries to nine major US export facilities averaged 17.9 bcfd in September, up from 17.2 bcfd in August. US natural gas prices rose 3.1% in September but were down 7.6% over the third quarter.