Midwest Natural Gas Prices Persist Despite Ample Storage Levels

Ahead of winter, Midwest natural gas prices remain high due to premium pricing embedded in the regional forward curve. Despite ample storage levels, pipeline access and deliverability during peak demand periods are still highly valued by the market.

The Chicago basis has held near 20 cents, indicating that regional premiums persist. The addition of new capacity has brought little relief to the region, as scarcity premiums remain wide at the Northern Border Ventura.