Natural gas futures on Monday rallied for a fifth consecutive day as simmering summer heat, a recovery in liquefied natural gas (LNG) levels and supply pressures collectively provided further price support.

markets

At A Glance:

  • Production falls to 97 Bcf/d
  • Forecasts for mixed demand
  • NGI models draw of 41 Bcf

The July Nymex contract settled at $3.352/MMBtu, up 5.6 cents day/day. August rose 5.6 cents to $3.367.

Strong near-term weather demand also boosted cash prices. NGI’s Spot Gas National Avg. soared 26.5 cents to $3.325.

The prompt month gain followed a nearly 15-cent surge last Friday, boosted by weather demand and festering worries associated with potentially prolonged restrictions on the Texas Eastern Transmission Co. (Tetco) system.

Tetco said a 20% pressure reduction...