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SoCal Natural Gas Prices Hit Premium Amid Permian Demand Surge

Guavy AI Editorial Team
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Natural Gas
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The natural gas market in Southern California is experiencing a premium price surge, with local prices averaging $3.85/MMBtu on Wednesday compared to $2.55 at Henry Hub.

This trend is largely driven by demand growth in the Permian Basin, fueled by recent infrastructure improvements and increased exports to Mexico.

The SoCal Citygate spot price has been narrowing its premium over Henry Hub, but it remains above June's average 21-cent discount. The SoCal Border Avg. also saw a significant increase, averaging $3.06 on Wednesday.

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