MXP Pipeline Disruption Sparks 4.5% Rally in US Natural Gas Prices
A mechanical issue on the Mountaineer XPress (MXP) Line-100 in West Virginia has disrupted natural gas flows from Appalachia, leading to a rally in US natural gas prices.
Columbia Gas Transmission declared Force Majeure on September 24, restricting capacity on the MXP system and reducing affected capacity to zero. This tightens transportation availability for Appalachian gas and places around 1.8 million dekatherms per day of firm service at risk.
The MXP system is a major Appalachian takeaway route with 2.7 Bcf/d of capacity, transporting Marcellus and Utica gas through West Virginia into Columbia Gas Transmission's broader network.
OCT natural-gas futures rose 4.5% to $3.159/MMBtu on September 24, reflecting concerns over constrained Appalachian takeaway capacity.