GoatPipeline operator Kinder Morgan sees energy-intensive tech such as AI, crypto mining and data centers giving a big boost to natural gas demand, which it stores and transports. CEO Kim Dang says in quarterly earnings report that the company is expecting "significant new natural gas demand" rising from those sectors, which would be additive to other growth that is already boosting natural gas demand. The company expects the market for natural gas to already grow substantially from now until 2030, even as it works through a period of low prices
May nat gas prices on Wednesday posted moderate losses on expectations that US nat-gas supplies will remain abundant. Thursday's weekly EIA nat-gas inventories are expected to climb by +53 bcf, well above the five-year average for this time of year of +24 bcf. Losses in nat-gas were limited after Atmospheric G2 said the forecast is trending cooler in the eastern part of the US, which could boost heating demand for nat-gas. Lower-48 state dry gas production Wednesday was 97.9 bcf/day (-2.2% y/y), according to BNEF. Lower-48 state gas demand Wednesday was 67.5 bcf/day (-4.9% y/y), according to BNEF. LNG net flows to US LNG export terminals Wednesday were 10.4 bcf/day (-17% w/w), according to BNEF. Baker Hughes reported last Friday that the number of active US nat-gas drilling rigs in the week ending April 12 fell by -1 rig to a 2-1/4 year low of 109 rigs. Active rigs have fallen since climbing to a 4-1/2 year high of 166 rigs in Sep 2022 from the pandemic-era record low of 68 rigs posted in July 2020 (data since 1987).