Natural gas supply remained steady while demand jumped during the week ended Dec. 13, the U.S. Energy Information Administration said in its latest "Natural Gas Weekly Update" published Dec. 14.
Total supply of natural gas remained the same as the previous report week, averaging 82.0 Bcf/d, as dry gas production held constant week over week. Average net imports from Canada increased by 8% from last week.
Total U.S. gas consumption climbed significantly, jumping 27% on the week. Natural gas consumed for power generation climbed by 18% week over week. Industrial-sector consumption increased by 8% week over week. In the residential and commercial sector, consumption increased by 50% as a cold front moved across the country, and some areas in the southern U.S. received snowfall. However, residential and commercial demand was 1% lower than the same time last year.
Natural gas exports to Mexico increased 4%, while LNG exports were flat week over week. Four LNG vessels with a combined LNG-carrying capacity of 14.8 Bcf departed the Sabine Pass liquefaction facility through the week ended Dec. 13, and two tankers with a combined LNG-carrying capacity of 7.2 Bcf were loading at the terminal Dec. 13.
The EIA noted that Dominion Energy Inc.'s Cove Point liquefaction terminal in Lusby, Md., which introduced feed gas in early December, is expected to be operational in early 2018, making it the second liquefaction terminal in the Lower 48 and the only LNG export terminal on the East Coast.
Looking at storage, net withdrawals totaled 69 Bcf for the week ending Dec. 8, less than the five-year average net withdrawal of 78 Bcf and last year's net withdrawals of 132 Bcf during the same week. Working gas stocks totaled 3,626 Bcf, which is 27 Bcf less than the five-year average and 201 Bcf less than last year at this time.
While the deficit to the five-year average declined for the fourth week in a row, most of the deficit to the five-year average can be attributed to the Pacific region, where working gas stocks were 39 Bcf lower than their five-year average levels this week, the EIA highlighted. Working gas levels in the East and Midwest regions, where natural gas is an important fuel for space and water heating, were 6 Bcf lower than and 16 Bcf higher than the five-year average, respectively.
